Economic impact of technology adoption: An analysis in winter paddy cultivation in Jorhat district of Assam, India

Introduction

The agricultural economy of Assam, a State in India's northeast, is overwhelmingly dominated by a single crop of rice. This crop with numerous varieties had till recently characterized the State's agricultural landscapes, especially during the kharif season. Importantly, the culture of Assam was so deeply rooted in rice farming and its allied activities that it was popularly known as a land of rice culture. Rice is a common source of subsistence, nourishment, and sustainability for the people of Assam. The ecological conditions of the State, traditions, and aspirations of the people get largely reflected in the cultivation of rice and its traditional management. Like some other parts of the country, in Assam also, rice farming has undergone a notable change in its practice, production, and position in the State's economy. The growing adoption of high-yielding rice varieties and associated modern inputs and implements by the farming community has transformed the State's ecology and economy to the extent that it demands a thorough investigation of its various facets and issues including the competition it has to face with the newly introduced crops. However, the profitability of winter paddy cultivation is increasingly influenced by rising labour costs, labour scarcity during peak agricultural operations, and the need to improve productivity while controlling production costs. In this context, technological interventions in crop establishment have considerable potential to improve the economic efficiency of rice production. A large number of rice growers are adopting the traditional system of cultivation growing traditional varieties, broadcasting method without line transplanting, using very low amount of fertilizers. On the other hand, as a result of the impact of APART project and other demonstrations of Krishi Vigyan Kendra number of farmers are adopting the technology of wet direct seeding using drum seeder and line transplanting using mechanical transplanter. Therefore, the present study was undertaken to analyse the comparative economics and impact of technology adoption on winter paddy cultivation in Assam.

Methodology

The study was conducted at Jorhat district of Assam during the financial year 2023-24. A total of 200 number of farmers were selected randomly for data collection out of which 100 farmers were selected for data collection on traditional manual transplanting method, 50 farmers were selected for data collection on wet direct seeding using drum seeder method and 50 farmers were selected for mechanical transplanting method using mechanical transplanter. On the other hand, total variable cost is considered as the gross cost of cultivation in the present study.

Findings and Discussion

The present analysis evaluates the economic impact of adopting improved rice establishment technologies in winter paddy cultivation in Jorhat district of Assam, India. Three establishment methods were compared: traditional manual transplanting (farmer practice, FP), wet direct-seeding using a drum seeder (WDSR), and mechanical line transplanting using a rice transplanter (MPTR). The comparison is based on cost of cultivation, productivity, gross return, net return, and benefitcost (B:C) ratio. The price of paddy was considered at ₹2,300 per quintal, corresponding to the Minimum Support Price (MSP) used for the 2024-25 production season.

Cost Structure and Economic Implications of Technology Adoption

The common cost of cultivation for winter rice, excluding establishment-specific operations, was estimated at ₹45,682 per hectare. This common expenditure included land preparation, puddling, bund making, leveling, fertilizer and pesticide application, harvesting, post-harvest operations, and fertilizer and manure costs. Among the common cost components, FYM constituted a major expenditure at ₹10,000/ha, followed by harvesting at ₹6,250/ha and post-harvest operations at ₹5,000/ha. Puddling using a rented power tiller involved an expenditure of ₹4,500/ha, while expenditure on MOP, urea and SSP amounted to ₹2,376, ₹1,056 and ₹1,500 per hectare, respectively. The establishment-specific expenditure differed substantially among the three systems. WDSR required only ₹2,180/ha, compared with ₹8,940/ha under MPTR and ₹11,690/ha under traditional manual transplanting. Therefore, the establishment stage itself provides an important source of economic differentiation among the technologies. Under WDSR, the major additional expenditure consisted of seed (₹1,080/ha), seed carrying and sowing labour (₹1,000/ha), and drum seeder hiring (₹100/ha). The relatively low establishment cost reflects the replacement of conventional nursery raising and manual transplanting with direct sowing. Mechanical transplanting required a higher establishment expenditure because of nursery and machinery-related operations. The total additional cost was ₹8,940/ha, including seed, nursery preparation, seedling handling, polythene sheet, labour for supplying seedling trays, and a transplanter hiring charge of ₹3,750/ha. Although this system substantially mechanizes transplanting, the machinery and mat-nursery requirements increase the initial cost of establishment. Traditional manual transplanting recorded the highest establishment-specific expenditure of ₹11,690/ha. The largest component was manual transplanting itself, costing ₹6,250/ha, followed by seedling uprooting and carrying at ₹1,750/ha and nursery preparation at ₹1,250/ha. The high labour requirement makes this system particularly sensitive to increases in wage rates and shortages of agricultural labour.

Comparative Cost of Cultivation

The total cost of cultivation was ₹57,372/ha under traditional manual transplanting, ₹47,862/ha under WDSR, and ₹54,622/ha under MPTR (Table 5). The adoption of WDSR resulted in the largest reduction in cultivation expenditure. Compared with traditional manual transplanting, WDSR reduced the gross cost by ₹9,510/ha, or 16.58%. The corresponding reduction under MPTR was ₹2,750/ha, or 4.79%. The cost advantage of WDSR is particularly important from the perspective of small and medium farmers because lower production expenditure reduces the amount of working capital required for crop establishment. It also reduces farmers' exposure to fluctuations in agricultural wage rates during the peak transplanting period.

Impact on Paddy Productivity

Technology adoption was associated not only with lower production costs but also with increased paddy productivity.

Traditional manual transplanting recorded a productivity of 4.24 t/ha, whereas WDSR and MPTR produced 4.76 and 5.01 t/ha, respectively (Table 5). WDSR generated an additional gross return of ₹11,960/ha over traditional practice, whereas MPTR generated an additional ₹17,710/ha. The higher gross return under MPTR was primarily attributable to its higher productivity. Therefore, mechanical transplanting demonstrated the strongest impact on gross revenue, while WDSR provided a more pronounced advantage through the combined effects of increased productivity and reduced cultivation cost.

Impact on Net Returns

Net return provides a more comprehensive measure of the economic impact of technology adoption because it accounts for both production costs and gross revenue. WDSR recorded the highest B:C ratio of 2.29, indicating the highest economic efficiency among the three systems. MPTR also performed substantially better than traditional practice, with a B:C ratio of 2.11. The improvement in the B:C ratio demonstrates that technological adoption can increase returns relative to production expenditure. WDSR was particularly advantageous because its low establishment cost allows farmers to obtain higher economic returns with comparatively lower investment.

Impact on Labour Requirement and Farm Operations

One of the most important economic impacts of rice establishment technology is its effect on labour demand.

Traditional manual transplanting is highly labour-intensive. The establishment process includes nursery bed preparation, seedling uprooting, transportation of seedlings to the main field, and manual transplanting. In the present cost structure, manual transplanting alone required 25 man-days/ha, costing ₹6,250/ha. The adoption of WDSR replaces these labour-intensive transplanting activities with direct sowing. The technology requires only four man-days/ha for seed carrying and sowing, in addition to a nominal drum-seeder hiring charge. Consequently, WDSR has considerable potential to reduce peak-season labour requirements. Mechanical transplanting also reduces the dependence on manual transplanting labour. However, it requires mat-nursery preparation, seedling handling, tray management, and access to a rice transplanter. Thus, the technology shifts the nature of labour demand from manual transplanting towards machine operation and nursery management. For farmers Assam, where timely completion of rice establishment is important, these technologies can help address labour shortages and facilitate more timely crop establishment.

Reduced dependence on manual labour may also become increasingly important as rural wage rates rise and agricultural labour availability becomes more uncertain.

Comparative Economic Impact of Technology Adoption

The overall economic impact can be represented through the changes in cost, productivity and profitability relative to traditional manual transplanting. The results indicate two distinct dimensions of technological impact. WDSR demonstrates greater economic efficiency through cost minimization, while MPTR demonstrates greater productivity enhancement.

WDSR is therefore particularly attractive, where farmers face constraints in capital and labour availability. Its lower establishment cost reduces the financial burden on farmers while providing a substantial yield improvement. MPTR, on the other hand, is attractive where farmers have access to custom-hiring services and machinery and seek to maximize productivity while reducing manual transplanting requirements.

Broader Economic Implications for Jorhat District

The findings have implications beyond the individual farm level.

If the technologies are adopted on a larger scale in winter paddy cultivation, the resulting reduction in production costs and improvement in productivity could contribute to higher farm incomes and greater economic stability among rice-growing households.

The adoption of WDSR can potentially improve farmers' liquidity because of its lower upfront establishment expenditure. Farmers can also cultivate larger areas with the available labour force because direct seeding reduces the need for large numbers of workers during the transplanting period. Mechanical transplanting has the potential to create demand for custom-hiring services, machinery operators, mat-nursery services, and equipment maintenance, thereby contributing to rural service-sector activities. At the same time, access to machinery through farmer groups, cooperatives, self-help groups, farmer producer organizations, or custom-hiring centres can reduce the constraint imposed by the high individual purchase cost of machinery. At the farm level, increased productivity under both technologies enhances the supply of marketable paddy. At the regional level, widespread adoption could contribute to improved rice production and farm-level income, provided that farmers have timely access to quality seed, machinery, irrigation, technical knowledge, and appropriate cropmanagement practices.

Relative Advantages of the Three Systems

The economic results demonstrate the following ranking:

Conclusion

The analysis demonstrates that technological interventions in rice establishment can substantially improve the economic performance of winter paddy cultivation in Assam. Compared with traditional manual transplanting, both WDSR and MPTR reduced production costs, increased productivity, improved gross returns, and generated substantially higher net returns. Among the technologies evaluated, WDSR using a drum seeder provided the highest overall economic advantage. It reduced the gross cost of cultivation from ₹57,372/ha under traditional practice to ₹47,862/ha, representing a saving of ₹9,510/ha. At the same time, productivity increased from 4.24 to 4.76 t/ha. These combined effects increased net return from ₹40,148/ha to ₹61,618/ha and improved the B:C ratio from 1.69 to 2.29. Mechanical transplanting using a rice transplanter produced the highest productivity of 5.01 t/ha, an 18.16% increase over traditional transplanting. It generated a gross return of ₹1,15,230/ha and a net return of ₹60,608/ha. However, its higher establishment cost meant that its net return and B:C ratio were marginally lower than those of WDSR. The findings therefore suggest that technology adoption can be an important pathway for improving the profitability and economic sustainability of winter paddy cultivation in Jorhat district. WDSR appears particularly suitable for farmers seeking to reduce production costs and labour dependence, while MPTR offers considerable potential for farmers seeking higher productivity through mechanized transplanting. Wider adoption of these technologies should be supported through timely availability of machinery on a custom-hiring basis, technical training, access to quality seed, nursery-management support, and appropriate extension services. Overall, the evidence indicates that the transition from labourintensive traditional transplanting towards direct seeding and mechanized transplanting can enhance farm profitability, improve resource-use efficiency, reduce peak-season labour dependence, and strengthen the economic viability of winter rice cultivation in Assam.

References

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