In order to produce one quintal of paddy an average farmer in the study area had spent Rs.380.The corresponding figures for the marginal, small, medium and large
farmers are worked out as Rs, Rs, Rs and Rs respectively which shows that the variability in per quintal cost of production among the different categories of farmers is not substantial. For every 100 rupees spent for paddy cultivation an average farmer in the study area has obtained Rs as profit. The respective profitability of an equal amount of investment for the marginal, small, medium and large farmers in the
study area are estimated as Rs, Rs, Rs and Rs which clearly shows that paddy cultivation yields substantial rate of returns to the farmers. In the study area paddy land price ranges from 50 thousand to one lakh rupees and if the interest on land value is added to paid out costs of cultivation, paddy farming in this area is not economically viable. However, as pointed out by MA Oommen land is generally treated as a particular type of asset with fair liquidity in the state rather than a means of production that yields reasonable returns. Again the opportunity cost of the paddy fields in the study area is almost zero. Hence the value of land need not be considered while examining the economic viability of paddy crop.
* * * *
45
Oommen MA Land Reforms and Economic Change-Experience
and Lesson from Kerala, in
Prakash BA (ed, Keralas Economy -Performance,
Problems and Prospects, Sage Publications,
New Delhi Share with your friends: 
