Economics of Walnut Production in India

In India walnuts are grown in Arunachal Pradesh, Himachal Pradesh, Uttrakhand and Jammu and Kashmir. The last State contributes around 98% of the country's output. Production in Jammu and Kashmir State suffers from lack of proper maintenance and the continued civil unrest in the Kashmir valley, the traditional walnut growing area. Total requirement for walnut in India are projected by the authors to increase from 36,000 tonnes produced currently to 72,550 tonnes by 2020/21. India will need to bring in additional area to meet the projected demand. Owing to the scarcity of suitable land in Jammu and Kashmir State, it would be essential to expand walnut production to other states. The paper focuses on the economics of walnut production in Uttrakhand and Himachal Pradesh, which have suitable agro-climatic conditions for growing walnut. Currently, hardly any data are available on the economics of walnut production in India not even for the Jammu and Kashmir State. Based on field data gathered from Jammu and Kashmir and from the other two states, the economics of the walnut production in India have been analysed. The analyses provide comprehensive estimates of costs involved with the establishment of a walnut orchard, maintenance and other recurring costs during the nonbearing and bearing stages, total cost per hectare of walnut production, income and return, gross and net, from the walnut orchard and the cost/benefit ratios. The analyses indicate that investment in walnut growing in Uttrakhand and Himachal Pradesh will have a high payback.