Economics of production and marketing of apple (Malus domestica) in Mustang, Nepal

Abstract

A study was carried out to assess the production and marketing status of apple in the Mustang district of Nepal in 2019. A total of 100 households were sampled by using simple random sampling technique and interviewed with a pre-tested semi-structured questionnaire. Descriptive statistics and independent-sample t-test was used for data analysis using SPSS and MS-Excel. Farmers were categorized into small farmers (n=68) and large farmers (n=32) based on the number of apple trees grown by farmers. The average area under apple cultivation was 6.64 ropani (0.3378 hactares). The overall average apple production was 2848 kg (2.84 Mt) and the large farmers had more apple production (7035 kg) as compared to small farmers (877 kg). The average annual household income from apple was NRs. 29,868 (248.90 USD). Apple farming was found to be a profitable farm enterprise with a benefit-cost ratio of 1.84. Two marketing channel was identified in the study area and Channel II was found more profitable. Education status of household head, ethnicity, number of economically active family members, experience on apple farming and visit of extension worker to apple farms were the significant factors that positively affected the production and marketing of apple. The satisfaction level of farmers from production and marketing of apple was found very poor (79%). Unavailability of inputs, lack of storage facilities, insect pest damage, poor technical knowledge and infrastructure were major production problems. Similarly, price variation, poor marketing infrastructure and linkage, high postharvest loss, poor bargaining power and low volume of production were the major marketing problems.