Project feasibility vis-a –vis agriculture sector of Andhra Pradesh

A feasibility study is used to determine the viability of an idea in terms of legal, technical and economic viability. The elements of project feasibility during 2017-18 were collected from surviving industries across the geography of Andhra Pradesh. Ex-ante analysis was conducted by conceiving the above prospective enterprises in new locations. The results revealed that custom hiring centre involving a few paddy trans planters is recommended for a small farm household with availability of family labour. Cashew processing unit is recommended for prospective large investors with an anticipated yield of 32 per cent IRR. Dairy farm is recommended for community based collective investors floriculture can be recommended for aspiring entrepreneurs having technical background. Mushroom unit had a yield of 24 per cent IRR and can be recommended for credit worthy small farmers. Cold storage unit with an initial investment of 25 lakhs could be recommended for agriculturally intensive areas with commercial crops like fruits and vegetables. Small and medium farmers can be encouraged to take up vermin-composting units given the production and marketing strategies. Hence, small farmers are encouraged to take up MSRI, dairy, vermicomposting and large farms are encouraged to take up cashew processing, floriculture depending on the capital availability and risk bearing ability.