📄 Abstract
Greenhouse vegetable cultivation was introduced in Kerala as a technological intervention to enhance productivity, stabilise supply, and improve farm income. However, despite the expansion of protected farming since 2009–10, profitability remains uncertain. This study aims to investigate the real factors contributing to low profitability by analysing the annual performance of 165 greenhouse farms out of 837 units established between 2009–10 and 2019–20. Using farm-level data, the study evaluates the structure of cost and revenue, examines cost–output elasticity, and compares required and realised prices for major greenhouse crops. Findings reveal that although 85% of greenhouse farmers have regular buyers for their produce, only 10% receive attractive prices, while 54% sell at prices considered insufficient. The analysis of cost–output elasticity suggests that while production efficiency has improved, profitability continues to decline due to poor price realisation. Large disparities are observed between the average prices required and those received, particularly for crops such as tomato, capsicum, cauliflower, and cabbage, indicating that market prices often fall below cost-recovery levels. The results imply that the key constraint is not production inefficiency but weak marketing and pricing mechanisms. The study concludes that the sustainability of greenhouse vegetable farming in Kerala depends largely on improving market structures, ensuring remunerative pricing, and developing collective marketing and price stabilisation strategies. Addressing these issues is essential to convert the technological and productivity gains of protected cultivation into viable and enduring farm incomes.
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📚 How to Cite:
Dr. Ashraf Panancheri , DETERMINANTS OF LOW PROFITABILITY IN GREENHOUSE VEGETABLE FARMING IN KERALA: AN ANALYTICAL STUDY OF ANNUAL PERFORMANCE , Volume 11 , Issue 10, October 2025, EPRA International Journal of Multidisciplinary Research (IJMR) , DOI: https://doi.org/10.36713/epra24294