Arecanut Growers Face Falling Yield, Rising Costs and Price Uncertainty

CITIZEN NEWS PUTTUR
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All India Arecanut Growers’ Association president Mahesh Pucchappadi explains the challenges facing farmers

Arecanut growers in Dakshina Kannada and surrounding areas are facing a growing set of challenges. Diseases, shortage of skilled labour, declining yield, rising production costs and fluctuations in market prices are putting pressure on the economics of arecanut cultivation

But according to Mahesh Pucchappadi, President of the All India Arecanut Growers’ Association, the issue today is no longer just the price of arecanut. Falling productivity and rising costs are becoming equally important concerns for farmers. In an interview with Citizen News Puttur, Pucchappadi spoke about the problems facing arecanut growers and the changing economics of cultivation.

Q: What are the five biggest problems currently facing arecanut growers in Puttur and surrounding areas?

Mahesh Pucchappadi: Leaf spot and fruit rot are major problems. They are affecting arecanut production. Arecanut plantations require labour. More importantly, skilled labour is required. Skilled workers are needed for weeding, spraying medicines and harvesting arecanut. There is a labour problem now. However, farmers are moving towards alternative arrangements. For activities such as applying fertiliser and processing arecanut, labour is also required, but since these are tasks that farmers can also do themselves, they do not pose as major a problem.

Q: Which of these problems has become worse during the last five years?

Mahesh Pucchappadi: Decline in yield is now becoming a major problem. It is true that production is declining because of weather conditions. Decline in arecanut productivity has recently become a difficulty for farmers. Reasons are weather conditions and diseases.

In Karnataka, although the area under arecanut cultivation increased by more than 32% from 2021–22 to 2025–26, average productivity declined from 2.24 tonnes per hectare to 1.42 tonnes per hectare — a decline of about 37%. In Dakshina Kannada, productivity declined from 2.70 tonnes per hectare to 1.31 tonnes per hectare during the same period.

Q: Apart from declining yield and labour shortage, what other problems are farmers facing?

Mahesh Pucchappadi: Price of arecanut is also becoming unstable now. Lack of price stability is a problem for arecanut growers. As a result, production costs are also increasing. Fertiliser, medicines, labour, machinery, transportation and plantation maintenance have all become expensive. In addition, when crop damage occurs, the fact that insurance or compensation is not provided adequately or on time is also causing difficulties for growers.

Q: Which issues have caused the most difficulties for farmers over the past five years?

Mahesh Pucchappadi: Over the past five years, diseases that have not come under control, declining yield and increasing production costs have caused the most difficulties.

Q: What is the current cost of producing one kilogram of arecanut?

Mahesh Pucchappadi: Today, the production cost of growing one kilogram of arecanut is between ₹380 to ₹400. Therefore, if ₹475 per kg is available to the arecanut grower, including the farmer’s profit and investment, it can be considered income for the farmer.

Q: How much does market price fluctuation affect the farmer?

Mahesh Pucchappadi: The ups and downs in arecanut prices have a significant impact on the arecanut grower. In the present situation, rather than just looking at the price of arecanut, what has become more important is how much arecanut is available from one acre and how much it costs to produce it. This is because the production cost itself is increasing. In such a situation, if the price fluctuates, the burden on the farmer becomes even greater.

What remains after the costs?

Concerns raised by Pucchappadi point to a changing reality for arecanut growers in Puttur and surrounding areas. For farmers, the market price remains important. But the actual financial return depends on three factors - yield, cost of production and the price received in the market.

A farmer may receive a good price per kilogram, but if the yield has fallen because of disease or weather conditions, the total income can still come under pressure. Similarly, when fertiliser, medicines, labour, machinery, transportation and plantation maintenance become more expensive, the farmer needs a higher price simply to maintain a reasonable return.

This is why, according to Pucchappadi, the question facing growers today is not merely “What is the price of arecanut?” It also raises question “How much arecanut is left per acre, and how much does it cost to produce it?”

For Arecanut-growing community, this could become one of the most important questions in assessing the future economics of the crop.

Keywords: Arecanut growers Puttur, arecanut farming Karnataka, arecanut price, arecanut productivity, Dakshina Kannada arecanut, arecanut cultivation costs




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