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The field experiment was conducted at Agricultural College and Research Institute, Madurai, Tamil Nadu, during Kharif, 2017 to study the physiological and economic analysis of rice grown under unpuddled condition. The treatments comprised of two date of sowing (first and second fortnight of July) and two establishment methods with different varieties (Direct sowing and Unpuddled Transplanted Rice (UPTR) of CO 51, MDU 5 and ADT 48 rice varieties). The experiment was laid out in split plot design with three replications. The results revealed that direct sowing of CO 51 had superior physiological indices like LAI, CGR and RGR at panicle initiation, flowering and harvest stages than the other varieties and net return and benefit cost ratio were also achieved highly in this method of cultivation on sowing at first fortnight of July. While, the lower net return was obtained from ADT 48 under UPTR cultivation. This study clearly indicated that delay of water released from the dam up to July second fortnight, CO 51 and MDU 5 rice variety under direct sowing condition gives the better result than other varieties. [ABSTRACT FROM AUTHOR]