Economic Analysis of the Processing of Apricot-Based Products in the Union Territory of Ladakh
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Author: Mansoor Hussain, Nazir Hussain and Nasreen Fatima
Author Address: Assistant Professors and Senior Scientists, Krishi Vigyan Kendra, Kargil, Sher-e-Kashmir University of Agricultural Sciences and Technology, Kashmir, Srinagar-190025 (Jammu and Kashmir)
Keywords: Bitter apricot, gross return, jam, oil, processing, profit.
JEL Codes: L66, Q12, Q13, Q16.
Abstract
The Union Territory of Ladakh is the leading apricot producer in India and produces 65 per cent of the total production in India. Bitter apricot, locally known as Khantey, accounts for 16 per cent of apricot varieties and is the most commonly processed type. The present study was undertaken in 2022-23 to analyse the costs and returns of the apricot processing unit and to identify the constraints faced by the processor. Data were collected through personal interviews with 5 processors, randomly selected from the twin districts of Ladakh. The study found that the total processing cost to produce the jam was ?10.86 lakh, and the net return realised was ?3.39 lakh, yielding a profit of ?59 per kg of the product. In the processing of apricot oil, the total processing cost was ?5.38 lakh, and the net return realised was ?2.77 lakh. The profit earned per kg of the product was ?12 per litre of oil. The major constraints faced by the processors were low domestic demand and limited knowledge of quality issues. This study suggested that the government should take appropriate steps to encourage processors to produce products that can compete nationally.
Description
Indian J Econ Dev, 2026, 22(2), 378-383
https://doi.org/10.35716/IJED-24247