Abstract:
Sri Lanka is an agriculture-based economy with a major impact in traditional farming.
However, on the other hand greenhouse farming offers numerous advantages, including
controlled environment conditions, potential for year around production leads to better
quality yields and higher yields. This study examines the profitability of greenhouse
farming compared to traditional farming in the Colombo District. A total of 100 farmers
including both greenhouse farmers and traditional farmers were selected using a simple
random sampling method, and a pre-tested structured questionnaire was used to collect
the data. The data were analysed using SPSS version 24 software. Descriptive statistics
and multiple regression analyses were conducted to analyse the variables. The primary
results indicated that individuals aged 36 - 45 were significantly engaged in both farming
types in the Colombo District and a higher value of 83o/o had completed secondary
education level. Most of the respondents (43%) experienced less than five years in
farming, and 65Yo of farmers have fallen within the monthly income bracket of 40,000-
60,000. The study compared the profitability of greenhouse farming and traditional
farming in the Colombo District. The regression model for greenhouse farming had an R
square value of 0.630, explaining 63Yo of profitability variability, while traditional
farming had an R- square value of 0.825, explaining 82.5% variability. Key findings show
that greenhouse farming yields higher production and better crop quality. Compared to
traditional farming. Greenhouse farming has a significant advantage in market price (p:
0.003) and demand dynamics (p: 0.A22). Traditional farming is more affected by market
stability (p:0.028) and environmental impact (p:0.033), resulting in lower yields and
quality. Additionally, greenhouse farming showed a higher profitability margin with
significant factors such as effrcient resource utilization and stable market conditions. The
study also found that greenhouse farming had higher operational costs but yielded more
consistent and higher profits, making it a more viable and sustainable option for farmers
in the region. Overall, greenhouse farming provides more stable and predictable
outcomes, making it a more viable option for farmers in the region. For better yields and
stability, farmers should consider greenhouse farming despite its higher costs. It offers
more consistent profits and improved quality compared to traditional method.