The present study has been carried out in Ri-Bhoi district of Meghalaya using multistage random sampling in order to work out the economics of ginger with the specific objectives of estimating growth in area, production and productivity of ginger, estimating the cost of cultivation, work out the resource use efficiency, identify the various marketing channels and estimate the price spread in different channels and finally to identify the major constraints in the production and marketing and to suggest suitable measures to overcome the problems. Absolute change for 1998-99 to 2007-08 in area, production and yield for the Meghalaya was found to be 2057ha, 9877 tons and -0.26 tons/ha, respectively and the relative change for ginger acreage, production and yield in the State was observed to be 21.64%, 18.08% and -4.60%, respectively. The negative trend in yield could be due to declined in yield over base year from 6.61q/ha to 5.94q/ha which was the result of expansion of the area. The study revealed that average annual growth (COR) for the State in area, production and yield was 2.35%, 1.58% and -0.78%, respectively per annum. The negative compound growth rate of yield over base year implies that yield has decreased which could be due to higher yield realized during initial period. With the average productivity of 7.65 q/ha, the gross income for the ginger was found to be`91832.52 per ha. Among all the cost of inputs, cost of materials (Seeds and Manures) account for 58.59% in which seed alone accounted for 54.83% (`28842/ha) and FYM 3.76% (`1978.20/ha) and labour cost worked out to be 41.41% (`21780.44/ha) of total cost of cultivation. The total cost of cultivation (Cost C) was worked out to be `73936.66/ha, farm business income `35570.19/ha and the net returned was `17909.52/ha. Linear production function indicated that inputs area and seed were highly significant (2.31 and 3.07) while the manures and fertilizer showed non-significant and labour showed negatively significant. MVP of inputs at their geometric mean level showed that farmers still have scope for further utilization of area and seed to increase the returns. In Ri- Bhoi district four marketing channels were identified and found that channel I was the most effective channel in case of quantity transaction (48% of total marketed surplus) while channel III was most efficient with marketing efficiency of 8.11 %. Among the problems faced by farmers the most felt problems in production of ginger was found to be problems of small land holdings and quality seed while the problems of marketing was observed to be lack of proper transportation facilities and lack of approach road.