LPM 121: Fodder Production and Grassland Management (1+1)

COST OF CULTIVATION

• The total cost involved in growing a crop in an unit land area, usually one hectare, is termed as cost of cultivation.
• Considering the grain or green fodder yield, the total cost involved to produce one kg of grain or one kg of green fodder is termed as cost of production.
• The expenditure on growing a crop, starting with land preparation and sowing to harvesting, processing and transport are included in the cost of cultivation.
• The other costs such as land lease, land cess, interest on borrowings and proportionate costs on fixed assets like farm structures, implements, wells, pumpsets, etc. also need to be  included in the total cost of cultivation.