Value chain analysis of turmeric subsector in Surkhet district of Nepal

A field experiment was carried out during the early summer seasons of 2018, at Turmeric (Curcuma longa) is a high value spice crop of high medicinal and economic concern (HVAP, 2011). It has been using in Ayurveda and medicinal propose from centuries which helps to boost up digestive system, circulatory system, nervous system and immune system (Gunnar, 2018). 60 household respondents were selected using simple random technique without replacement from Beriganga Municipality, Barahataal Village Municipality and Chaukune village Municipality. 4 co-operatives were selected from each level randomly and 5 respondent from each co-operatives, i.e. 20 respondents from each local level. 3 spice industries and 7 traders were selected purposively. Secondary data were collected from secondary sources like PMAMP, journal articles, MoAD etc. Descriptive statistics, benefit cost analysis, value chain analysis were carried out. The study reveals that 81.67% of populations were engaged in agriculture occupation as a primary source of income. The BC ratio of fresh, dry and powder turmeric was found to be 1.30, 1.09 and 1.36 (machinery), 1.16 (Dhiki Jhato) respectively. Similarly the cost of production of fresh dry and powder turmeric was found to be NRs. 18.46, NRs. 119.20 and NRs. 162.92 (machinery), NRs. 189.87 (Dhiki Jhato) respectively. Market margin of fresh, dry and powder turmeric was found to be NRs. 6.03, NRs. 25.07 and NRs. 179.70 respectively. In the study area major value chain actors were providers, producers, collectors, processors, wholesalers, retailers and consumers. Insufficient technical support and improved seed rhizome, insufficient price to cover cost of production and traders dominance in pricing were the major problems faced by turmeric producing community. This study suggests the farmers for seed production, value addition, marketing and distribution in farm level.