In the present study, an attempt had been made to analyse the economics of mushroom
farming in Jammu region of Jammu and Kashmir UT for the period 2021-22. A list of
progressive farmers was obtained from the KVKs of eight districts falling in Jammu
division of J&K UT and out of all the progressive farmers, only mushroom growers
were chosen. Thus, Jammu, Samba and Kathua district were selected due to highest
number of mushroom growers practicing mushroom farming in these districts,
according to the list obtained. A total of 22 mushroom growers were selected by using
sampling without replacement method and these growers were interviewed twice and
took the data relevant to three selected years viz. 2019-20, 2021-22 and 2023-24, thus
constituting a total sample size of 66. The results have revealed that highest
investment on Kuchcha mushroom units was found to be made by mushroom growers
of Jammu district (₹203894.88) and least by Kathua district (₹158100) with an overall
average as ₹176226.63. Whereas highest investment on Pucca mushroom units was
made by growers of Kathua district (₹345600) while least by Samba district
(₹289912) with an overall average as 341874.63. This indicates clearly that
investment made was higher in case of Pucca mushroom units as compared to
Kuchcha mushroom units. As far as the share of various equipments in total
investment is concerned it was found to be highest for racks while least for
thermometers. The total cost incurred per 1000 bags per unit has shown the increasing
trend over the years which might be due to the increase in prices of various inputs
used in mushroom farming. The average cost of production per 1000 bags per unit
was ₹220067.02. Among various components of variable cost, labour contributed the
most followed by compost and spawn. Of the hired and family labour used for
mushroom farming, family labour played a significant role. Average production from
mushroom units increased to 3000 Kgs in 2023-24 from 2500 Kgs in 2019-20 thus
indicating an increasing trend over the years. Average market price per kg has also
increased from 110 per kg in 2019-20 to 150 per kg in 2023-24. On an overall basis,
the gross return obtained from the mushroom production of 1000 bags, was
₹355290.00. Thus, an overall cost-benefit ratio was calculated as 1:1.61. There were
also some challenges during the study, thus accurate data collection for mushroom
cultivation was hindered by incomplete records, fluctuating prices, species and
method variations, regional differences, labour cost variability. This study provides
insights on profitability for farmers and investors, aiding investment decisions and
resource allocation while assisting policymakers in creating supportive measures for
mushroom farming's economic viability.