Paddy straw is an organic mulch that lowers evaporation, inhibits the growth of weeds and improves soil properties. Phosphorus is the second major essential nutrient element required by the plant after nitrogen. It facilitates the proper development of the crop’s roots, which in turn aids in the greater uptake of water and nutrients from the soil, ultimately enhancing plant growth and production. The objective of the study was to study the effect of paddy straw mulching and phosphorus on the crop performance, weed dynamics and the economics of summer groundnut. The present study was conducted at Post Graduate Research Farm, M.S. Swaminathan School of Agriculture, Centurion University of Technology and Management, Odisha in 2022. The experiment was laid out in split plot design with 12 treatments and 3 replications. Paddy straw mulching was taken in the main plot and the levels of phosphorus were taken under subplots. Phosphorus was applied as basal at the time of sowing. Results indicated that paddy straw mulch at 5 t ha-1 smothered the weeds more effectively and recorded significantly the lowest total weed density (8.4 No.m-2) and total weed dry weight (6.28 g m-2). Maximum pod (2376 kg ha-1) and kernel yield (1726 kg ha-1) of groundnut were recorded from paddy straw mulch at 5 t ha-1 which were 14.72 % and 22.32 % higher than no mulch treatment. Among the levels of phosphorus, 60 kg P2O5 ha-1 recorded significantly higher pod (2447 kg ha-1) and kernel yield (1936 kg ha-1) which were 26.39 % and 35.41 % higher than no phosphorus application. Application of 60 kg P2O5 ha-1 also recorded the lowest weed density and dry weight. Application of 5 t ha-1 paddy straw mulch and 60 kg P2O5 ha-1 was found to be the best treatment combination increasing pod and kernel yield of groundnut, decreasing total weed density as well as total weed dry matter and resulting in maximum economics.