Impact of PMKISAN Scheme on Production and Efficiency of Paddy Cultivation in Tamil Nadu, India

Aims: This study aimed to estimate the impact of Direct Cash Transfer scheme on production and technical efficiency of paddy cultivation.

Study Design: Multi-stage random sampling was used.

Place and Duration of Study: Sample: Three districts namely Dharmapuri, Thoothukudi and Thanjavur were randomly selected for the study during December 2021-March 2022.

Methodology: Both primary and secondary were used in the study. A pre-tested interview schedule was used to collect the information on general characteristics, cost of cultivation and resource inputs used were collected from 90 beneficiaries and 90 non-beneficiaries. Thus, a total of 180 sample respondents.

Results: Of the total PMKISAN assistance (Rs. 6000) about 5.16% (Rs. 3300) of the amount has been spent for cultivation purpose. The average cost of cultivation among the beneficiaries was lesser than non-beneficiaries and the net returns were more among the beneficiary than the non-beneficiary. The major share of operational cost incurred in paddy cultivation for beneficiaries and non-beneficiaries was towards human labour followed by machine labour and fertilizer cost. The estimated mean technical efficiency for PMKISAN beneficiaries was 84% and there is a chance of improvement for increase in yield. The difference in yield and technical efficiency may be due to assistance provided to the farmers, through which the cost of cultivation was less and were able to adopt new technologies.

Conclusion: Overall, the PMKISAN beneficiaries were able to use the PMKISAN assistance for procuring seeds, fertilizers and wages for labour. The beneficiaries were technically efficient in paddy production and also the cost of cultivation was lesser when compared to non-beneficiaries.