Benefit-Cost Analysis of Fish Farming in Azamgarh District of Uttar Pradesh, India

This study examines the economic viability of inland pond-based fish farming in the Azamgarh district of Uttar Pradesh, India, with a focus on small (2 ha) farm categories. Employing a multistage stratified sampling method, data were gathered from 100 respondents to analyse cost structures, returns, and input-output relationships. The findings indicate that variable costs dominate at all scales, representing over 96% of total costs, with labour being the largest single expense, comprising between 41.85% and 46.40%. Other significant contributors include key inputs such as feed/fertiliser (23.78%–24.11%) and seed (20.32%–21.79%). Fixed costs remain minimal, ranging from 1.18% to 3.86%, primarily due to limited capital investments. In terms of returns, gross returns increase with farm size—from ₹3,79,720 for small farms to ₹4,49,714.71 for large farms—along with net returns, which range from ₹86,347.83 to ₹95,520.43. However, input-output ratios exhibit a slight decline with scale, decreasing from 1.29 for small farms to 1.26 for large farms, indicating diminishing marginal efficiency. The study concludes that while all farm sizes are economically viable, strategic enhancements—such as optimising labour costs, improving yields, and increasing input efficiency, particularly in large farms—are crucial for enhancing profitability and sustainability. The findings highlight the potential of inland aquaculture as a scalable livelihood option, provided that cost structures are managed effectively.