Economics of High-Density Apple Orchards: A Comparative Analysis of Jammu and Kashmir, India and Trentino-Alto-Adige, Italy
Keywords:
high-density orchards, productivity, production costs, payback period, higher returns
Abstract
High-density apple orchards have substantially increased productivity as well as production worldwide. In India, High-Density Apple Plantation scheme was launched in 2015-16 in Jammu and Kashmir with root-stocks imported from Trentino-Alto-Adige, Italy. Trentino-Alto-Adige in Italy is one of the most important regions producing high-quality apples in Europe. This paper compares the yield, input costs and payback period of High-Density Apple Orchards of Jammu & Kashmir, India with Italian (Trentino-Alto-Adige) counterparts. The yield of high-density orchards has substantially improved and the payback period is just five years now, similar to the performance of Italian orchards. Lower gestation period gives the farmers a better leeway to profitability, but the high investment cost upfront is a challenge and thus, 95 percent of the farmers chose lower density apple orchards. The government should improve access to credit and establish Farmer Producer Organisation for cluster development of the sector in the region.
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2021-01-06
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