IDEAS home Printed from https://ideas.repec.org/a/ags/ajosrd/197996.html
   My bibliography  Save this article

Economics of Tea Production in Pakistan

Author

Listed:
  • Rehman, Bushra
  • Akmal, Nadeem
  • Khan, Muhammad Azeem
  • Rani, Saima

Abstract

Tea is one of the most important non-alcoholic beverage drinks worldwide and has been gaining further popularity as an important „health drink‟ in view of its purported medicinal value. Pakistan has the potential of producing quality tea. National Tea Research Institute NTRI plays a very important role in the production and promotion of tea cultivation in Pakistan. The study was conducted to identify the opportunities and constraints in Shinkiari Mansehra. Primary data was collected from NTRI and different farmers of Shinkiari and evaluate the farmer‟s perceptions production processing and marketing of tea. Results revealed that NTRI processing unit was working at below its full capacity and 226.59 Rs/Kg extra costs bearing due to below capacity. Tea is a high value crop of gross margin of 21340 Rs/ Acre and annually earned gross margin from other Crops wheat and maize was 6675Rs/Acre and Tea Cultivation Advantage was 14665 Rs/Acre but farmers was not interested to cultivate due to its high initial investment. Internal Rate of Return (IRR) and Net Present Value (NPV) were calculated for investment appraisal of the tea. Hence, there is need to promote tea cultivation on grass land area which will increase their income and livelihood and create more employment opportunities for local people.

Suggested Citation

  • Rehman, Bushra & Akmal, Nadeem & Khan, Muhammad Azeem & Rani, Saima, 2012. "Economics of Tea Production in Pakistan," Asian Journal of Agriculture and Rural Development, Asian Economic and Social Society (AESS), vol. 2(03), pages 1-8, September.
    • Handle: RePEc:ags:ajosrd:197996
    DOI: 10.22004/ag.econ.197996
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/197996/files/21-129-AJARD-506-513.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.197996?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:ajosrd:197996. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/aesstea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.