Drivers of Productivity and Profitability in Major Edible Oilseeds: Insights from CACP Data in India
摘要
India's considerable reliance on imports to fulfil domestic edible oil demand highlights the need for self-sufficiency (Atmanirbharta) in edible oilseeds production. This study examines the determinants of productivity and profitability in edible oilseeds using a 41-year dataset from the Commission for Agricultural Costs and Prices (CACP), offering insights into a deeper understanding of the dynamics within edible oilseeds cultivation. The Two-way Fixed Effects (TWFE) model reveals that both family and hired human labour exert a significant negative impact on profitability in most edible oilseeds, whereas expenditures on seeds and the utilization of hired machinery labour emerge as key productivity and profitability drivers across different edible oilseeds. Implementing targeted subsidies to offset seed costs, along with expanding access to high-quality seeds and productivity-enhancing agricultural practices, could effectively address the productivity and profitability constraints in edible oilseeds cultivation.