Hyderabad: The cost of producing crops like paddy and cotton in Telangana when compared with the cultivation cost in Punjab, is higher. This high cost is due to the fragmentation of the landholdings, weather and soil condition, a DC report clarified.
If the price of production of 1 Quintal of paddy is Rs1474 in TS then it is Rs946 in Punjab. Cheif Minister Chandrashekhar Rao on Friday announced that the government would provide Rs 8,000 cash per acre per year and the money is to be divided equally for the rabi and Kharif crops.
The farmers enjoy other benefits in the state such as free electricity and load waivers which increase per quintal production cost.
According to the Socio-Economic Outlook, per hectare cultivation cost of paddy, maize and cotton have increased by more than 52 %, 925 % and 150% respectively. According to another data, The cost of paddy cultivation has increased from Rs 54,932 to Rs 83,515, maize Rs 38,405 to Rs 73,767 while the cost of cultivation of cotton has increased from Rs 33,574 to 84,045.
Another reason for the rise in price is the decrease in the size of landholdings observed in all categories except among marginal and small groups. The usage of chemical fertilisers is also high, especially in Karimnagar, Nalgonda and Warangal districts.