Profitability and resource use efficiency of polyculture system in Andhra Pradesh

The current study has been undertaken to assess the profitability and efficiency of polyculture of Pangasius pangasius and Piaractus brachypomus along with carps which has become an alternative for composite carp culture. Farmers (n=60) from Andhra Pradesh were surveyed using a structured interview schedule. Data were analyzed with various statistical and econometric tools viz. B-C ratio, Cobb Douglas production function, and Data Envelopment Analysis (DEA). Results of B-C ratio revealed that polyculture was profitable for small and large farmers with net incomes of $5,742 and $5,135 respectively. Feed cost has the higher share in total cost with 58% and 50% for small and large farmers respectively. C-D production function depicted that factors feed and labor days were significantly affected farmer's income (p<0.001). The estimated technical score of 0.82 using DEA suggested that farmers can produce same level of output with use of 18% less inputs. Higher percentage of large farmers was technically more efficient than small farmers. The allocative score of 0.81 with cost efficiency score of 0.65 indicated that the same level of output using the combination of inputs corresponds to the minimum cost of production. Acquiring knowledge and managerial skills on efficient use of farm inputs, scientific mix of cultivable fish species, use of low-cost protein-rich feeds, and adoption of scientific feeding strategies would help the farmers to reduce cost of production and increase farm income. The department of fisheries intervention is needed for the promotion of aquaculture with diverse fish species, setting of optimum stocking density and supply of quality feed at reasonable price, and checking of price fluctuations.