An Economic Evaluation of Investment on Aonla (Emblica officinalis G.) in Gujarat

The economic viability of aonla plantation in Gujarat has been studiedthrough a sample of 120 aonla growers spread over 12 selected villages ofthe Kheda and Anand districts for the agricultural year 2003-04. It hasbeen found that establishment of aonla orchard involves high investment,but the annual net returns are also quite high, after the third year ofplantation. The values of economic parameters, viz. NPV, BCR, IRR andPBP have been found to be Rs 652652, 5.25, 65.03 per cent and 55 months,respectively at 10 per cent discount rate. Under varying cost and returnsituations, values of all these feasibility parameters have satisfied theacceptance rules for the investment proposition. It has confirmed theeconomic viability, stability and certainty of investment on aonla orchard.The study has suggested that financial institutions should give credit toaonla producers in the area.