Assessment of Economic Performance of Soybean–Wheat and Soybean–Chickpea Cropping Systems in the State of Madhya Pradesh, India

Abstract

Background and Aims: The soybean–wheat and soybean–chickpea cropping systems are the most prevalent cropping systems in the rainfed climate of Madhya Pradesh state. However, the continuous adaptation of this sequential cropping pattern has not only wedged the biological yield but threatened the sustainability of this economically significant cropping system in the state. The present study was thus, undertaken to analyse the comparative cost and profit structure of these systems in the state. Methods: The study was based on a comparison of cultivation costs, profitability measures, and cost–benefit ratios from 1988–89 (base year) to 2019–20 (current year). Results: The results revealed that the soybean–wheat cropping system incurred higher cultivation costs than the soybean–chickpea system across all cost concepts on a per-hectare basis. The maximum difference between the two systems was observed under cost C3 in both base and current years. The profitability analysis showed that during the base year, the soybean–chickpea system generated higher net farm income, family labour income, and farm business income than the soybean–wheat system. However, in the current year, except for net farm income, most profitability indicators were comparatively higher in the soybean–wheat system. Both systems recorded negative net farm income during the current year, mainly due to rising cultivation costs and stagnant crop productivity. The cost–benefit ratio was higher for the soybean–chickpea system in the base year, whereas both systems exhibited nearly similar economic performance during the current year. However, the cost–benefit ratio at cost C3 remained below one for both systems, indicating negative returns over total costs. Conclusion: The study concluded that although both soybean-based cropping systems were economically resilient under prevailing conditions (socio-economic, climatic, etc.), improvement in soybean productivity during the kharif season is essential for enhancing long-term profitability and sustainability of these cropping systems in Madhya Pradesh state.