Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

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Economics of growing mungbean after rice in the rainfed lowlands of Cambodia Chea Sareth, Rob Cramb and Shu Fukai School of Agricultural and Food Sciences CARDI

description

A presentation at the WCCA 2011 event in Brisbane.

Transcript of Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Page 1: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Economics of growing mungbean after rice in the rainfed lowlands of

Cambodia

Chea Sareth, Rob Cramb and Shu FukaiSchool of Agricultural and Food Sciences

CARDI

Page 2: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Constraints• Rainfed lowland - 84% of rice land• Single rice crop• Subsistence level of rice production• Erratic rainfall, low soil fertility, insect pests • Large families but 0.5 ha of paddy land• Risk of below subsistence

Page 3: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Potential for second crop

• IR66 in early wet season (EWS) is profitable– Requires high supplementary irrigation

• EWS mungbean with no supplementary irrigation has problem

• Non-rice crops following wet season rice– ACIAR project identify mungbean to be most

suitable – Different methods of irrigation – manual, gravity

and pump

Page 4: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Objectives• Project

– To develop profitable double-cropping options for rice/non-rice crops

– To define the water requirements for non-rice crops and predict level of risk

• Paper– To conduct economic analysis of mungbean

cultivation following rice– To examine net returns with 3 irrigation

methods

Page 5: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Methodology• Mungbean cultivation

– Paddy fields with typically sandy soils of low fertility from January to April

– Raised bed condition – a broadbed formation– Two levels of irrigation and three irrigation methods

• Economic measures – Yield and gross incomes (cash)– Outlay of cash for inputs– Family labour input– Net cash return per unit of family labour (NCRL)

NCRL =No. labour-days

Gross income – Cash expense

Page 6: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Agronomic range of irrigation

Water level (mm)

Yie

ld (

kg/h

a)

Page 7: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Yields response to irrigation

477

689

400

500

600

700

800

0.9ML 1.3ML

Irrigation levels

Yie

ld (

kg/h

a)

Page 8: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Inputs requirement for irrigation

195

282

5 80

50

100

150

200

250

300

0.9ML 1.3ML

Irrigation levels

La

bo

ur-

da

y

Manual

Gravity

50

72

40

45

50

55

60

65

70

75

0.9ML 1.3ML

Irrigation levels

Pu

mp

ing

ho

urs

Page 9: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Total labour inputs

136 149 136 149 136 149

195

282

5 8 0 0

-

100

200

300

400

500

0.9ML 1.3ML 0.9ML 1.3ML 0.9ML 1.3ML

Manual Gravity Pumping

Lab

ou

r-d

ays

Irrigation

Other acitivities

Page 10: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Costs and returns

Irrigation level

(ML/ha)

Gross income

(USD/ha)

Cash costs (USD/ha)

Net cash returns (USD/ha)

M/G P M/G P

0.9 716 179 213 536 503

1.3 1,034 179 227 854 806M: manual watering; G: gravity-fed; P: pumping

Page 11: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Net cash returns to labour(grain price: USD 1.5/kg)

1.61.9

3.6

5.3

3.7

5.3

-

1.0

2.0

3.0

4.0

5.0

6.0

0.9ML 1.3ML

Irrigation levels

NC

RL

(U

SD

/day

)

Manual

Pumping

Gravity

Page 12: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Net cash returns to labour(grain price: USD 2.0/kg)

2.32.7

5.3

7.6

5.4

7.5

-

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

0.9ML 1.3ML

Irrigation levels

NC

RL

(U

SD

/day

)

Manual

Pumping

Gravity

• Rural wage: USD 2/day• Minimum wage: USD 1.25/day• Industrial wage: USD 1.7-2.8/day

Benchmark

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Conclusion• Economic potential if agronomic issues

resolved• Access to supplementary irrigation at

between 0.9 and 1.3 ML/ha• Manual irrigation gives low returns (NCRL)• Pumping or gravity methods give a

reasonable return • Improving returns

– increasing effective demand – improved access to fertiliser and credit – electrification

• Irrigation and labour limit production

Page 14: Economics of growing mungbean after rice in the rainfed lowlands of Cambodia. Sareth Chea

Acknowledgement• Australian Centre for International

Agricultural Research• The University of Queensland