Factors influencing organic farm income in Chitwan district of Nepal

Premium price is one of the most attractive features of organic farming but having access to one possess various difficulties, especially in the context of developing countries. The objective of this study is to analyze factors impacting involvement in marketing of crops and intensity of income generation therein between organic and conventional farmers by taking into consideration the existence of premium market. It was conducted in semi-urban Chitwan district of Nepal where group conversion to organic farming exists. Data from 285 respondents, selected using stratified sampling method, were analyzed using probit and ordinary least square model. This study finds that income from organic farming is less than conventional farming because production per hectare, commercialization rate and price at which the crops are sold per unit is higher for conventional farm, and access to premium market is very limited. This should be the primary focus for making organic farming monetarily attractive