Project report for groundnut cultivation

Groundnut Cultivation – Business Potential & Feasibility

• Growing Demand in Edible Oil, Snacks, and Export Industries: You can enter India’s ₹2 lakh crore edible oil market, where groundnut oil takes 15%. Snacks like peanut butter grow 12% yearly, and exports reach ₹2,000 crore in 2024.
• Groundnut as a Multi-Purpose Crop (Food, Fodder, Oilseed): You can sell groundnuts for oil, candy, or spreads, while plant leftovers feed livestock, earning ₹600 per acre extra from fodder.
• Domestic vs Export Market Opportunities: India uses 80% of its 9 million tonnes locally, but you can export to Vietnam or Indonesia, with demand up 6% yearly. Local prices hold at ₹7,000 per quintal.
• Region-Wise Crop Suitability and Scalability: Gujarat and Andhra Pradesh lead with 60% of groundnuts, but you can grow in Maharashtra or Karnataka. Small or big farms both succeed.

• Ideal Soil, Climate, and Farming Practices: You can plant groundnuts in sandy loam soil with pH 6-7, needing 25-35°C and 50-100 cm rain. Crop rotation and sprinklers raise yields by 15%.
• Required Land, Water, Labor, and Capital Investment: You can farm one acre with 250 liters of water weekly. Five workers at ₹200/day for sowing and harvest cost ₹2,500. Total cost per acre is ₹9,500-₹11,000.
• Cost of Seeds, Fertilizers, and Farm Equipment: You can buy 40 kg of seeds for ₹2,000, fertilizers (20 kg nitrogen, 30 kg phosphorus) for ₹1,200, and rent tools for ₹1,200 per season.
• Use of Organic vs Inorganic Farming Approaches: Organic cuts ₹800 in chemical costs but adds ₹600 for manure. Inorganic boosts yield faster but harms soil over time.
• Seasonal Cycles and Harvest Timeline: You can sow in June-July for kharif, harvesting in October after 90-110 days. Rabi sowing begins in February, ready by June.

Entrepreneurial Benefits, Trends & Profitability

• Low Investment, High Return Business Model: You can begin with ₹7,500-₹9,500 per acre for seeds, labor, and fertilizers, earning ₹28,000-₹35,000 by selling 10 quintals at ₹6,500 each, delivering a 280% return in 4-5 months.
• Government Schemes, Subsidies, and Loans for Agri-preneurs: You can claim ₹6,000 yearly through the PM-KISAN Scheme and up to 50% subsidies on sprinklers via PMKSY. NABARD loans help small farmers start.
• Opportunities for Contract Farming and Agro-processing Units: You can supply groundnuts to firms like Adani, ensuring steady prices. Small oil or snack units, costing ₹6-12 lakh, increase your earnings.
• Scope for Value-Added Products (Peanut Butter, Oil, Flour): You can produce peanut butter (₹280/kg), oil (₹190/liter), or flour (₹95/kg). One quintal makes 42 liters of oil, fetching ₹7,980, doubling raw seed value.

• Rise of Organic Groundnut Farming: Organic groundnuts sell for ₹7,500-₹8,500 per quintal, with demand rising 12% in 2024 as people seek healthy options. India’s organic exports reach ₹5,200 crore.
• Integration of Technology (Drip Irrigation, Smart Farming Tools): You can install drip irrigation, saving 25% water for ₹48,000 per acre with subsidies. Apps like AgriApp monitor crops, boosting yields by 12%.
• Profit Margin Analysis: Input vs Output Cost Breakdown: You can invest ₹8,500 per acre (seeds ₹1,800, labor ₹3,800, fertilizers ₹2,900) and earn ₹32,500 from 5 quintals at ₹6,500, netting ₹24,000 profit, a 270% margin.
• Case Studies or Real-Life Success Stories: In Andhra Pradesh, farmer S. Reddy farms 8 acres, earning ₹2.5 lakh yearly using sprinklers and organic methods, selling butter for ₹80,000 extra profit.
• Future Market Projections & Scalability Tips: India’s groundnut market may grow to ₹48,000 crore by 2030. You can expand by renting 5-15 acres or joining FPOs for stronger sales networks.

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