Price and Non-price Decision-making Factors of Sunflower Production in Karnataka: An evidence from Nerlove's Supply Response Model

Abstract

Karnataka is the leading state in sunflower production in our country. Many studies have been conducted on the supply response of crops, but limited studies were carried out on sunflower crops. The study was conducted to assess the decision-making factors, viz., price and non-price factors, which influence farmers' land allocation to sunflower crops in the Karnataka state. The study found that the price factors were not significantly crucial for area allocation to sunflower crops but mainly depended on non-price factors such as lagged area, lagged production, lagged yield and rainfall/irrigation facilities in the state. The study suggested that the government agencies like SAU; Department of Agriculture, Government of Karnataka; Extension units, and Karnataka Oilseeds Federation should arrange for the buyback of sunflower oilseeds with processors/oil millers that could help farmers to expand the area under oilseed crops in general and sunflower crop in particular in the state.