Cereal crops are the major component of agriculture sector in Afghanistan by generating income and
providing food dietary of subsistence to the farm family. The sector which is dominated by small scale farmer
across the country is facing numerous problems such as inefficient use of resources, poor production technology,
low labor productivity and high production costs. This study was carried out to maximize farm income
by optimization resource allocation and developing an optimal farm plan for a cooperative farm in Ahmad
Abad district. A field survey was conducted to collect primary input–output oriented data from 32 cooperative
farmers. Linear programming techniques was employed to optimize resources allocation, maximizing
economic return restricted by certain linear constraints including land, irrigation water, production cost,
human labor, tractor power and subsistence food requirement. The result suggested to allocates 179.20,
11.80, 9.97 and 4.92 hectares to wheat, maize, rice and barley, respectively. While, farmers allocate 72.0,
57.9, 36.9 and 39.1 hectares to wheat, maize, rice and barley, respectively. Following, which the gross revenue
increases from 3,275,986 AFs in the actual plan to 4,518,906 AFs in the optimal plan (Indicating a
37.9% improvement). Results indicating that the existing plan of farmers is not efficient in term of resource
allocation and economic outcome. Furthermore, the optimal plan argued the employment activities of the
farm. The result reveal that hiring of labor is not required, even in the activities peak season (May, June,
July and August). Eventually, the optimal plan enables 13.5% saving in the labor time. Furthermore, by
efficient resource allocation only land is a binding constraint, capital, irrigation water and tractor do not limit
the production process. Ultimately wheat came up as the most profitable crop of farm, farmers should allocate
more arable land to wheat cultivation, which will enable the economic position of farm to be more sustainable
and commercial.