Author:
Bibhuti Bhattarai, Barsha Mahato

Doi: 10.26480/fabm.01.2025.60.65

This is an open access article distributed under the Creative Commons Attribution License CC BY 4.0, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited

Banana is a widely traded, high-value summer fruit grown across Nepal. This study assessed the production economics and profitability of banana farming in the Chitwan district using information collected from 70 randomly selected growers. Results indicated that the average production cost per kattha was NPR 15,701.2, while the gross return averaged NPR 25,607.12. The benefit–cost ratio of 1.63 confirmed that banana cultivation is profitable. Cobb–Douglas analysis showed that expenditures on land preparation, labor, fertilizers, suckers, manure, and insurance positively influenced gross returns, whereas micronutrient expenses had a significant negative effect, suggesting inappropriate or excessive use. The estimated return to scale was 0.72, indicating decreasing returns to scale. Labor accounted for the largest share of variable cost (21.45%), and land lease represented the highest overall cost component (26.33%). Major challenges reported by farmers included disease and insect infestation, followed by market price fluctuations. The study recommends better training on nutrient management and stronger pest and disease control strategies to improve farm productivity and profitability.