Project title: Estimating Marketing Efficiency of Horticultural Commodities under Different

                       Supply Chains in India

Project leader: Dr. M.B. Dastagiri

Project team: Dr. B. Ganesh Kumar, Dr. K.K. Datta

Horticulture development is currently constrained by poor marketing arrangements. The markets for horticulture commodities are thin, sparsely spread and inefficient. The producers have a low share in consumers’ rupee (less than 30%) reflecting inefficient marketing arrangements. This study estimates marketing costs, marketing margins, price spread and marketing efficiency of major horticultural crops under different supply chains in India to suggest measures to improve marketing efficiency.

Objectives:

1. To estimate the marketing cost and marketing margin of different functionaries for selected horticultural commodities under various supply chains

2  To analyze the price spread, marketing efficiency and farmer’s share in consumer rupee in various supply chains

3 To identify the constraints perceived by various stakeholders; and study the factors influencing the marketing cost / margin / efficiency

4. To suggest suitable strategies to enhance the marketing efficiency for horticultural commodities

Study area:

North: Lucknow, Varanasi, Ludhiana South: Hyderabad, Guntur, Chennai, Coimbatore West: Mumbai, Pune, Jaipur, Jodhpur East: Midnapur, Burdwan, Gopalgunj, Nalanda   Delhi:  Wholesale Market & its Network

Commodities: Brinjal, Okra, Cabbage, Tomato, Leafy vegetables, Onion, Potato, Ginger, Banana, Mango, Lemon, Guava, Papaya,  Rose, Jasmine, Gladiolus, Marigold

Methodology :

1. Tabular analysis

2. Logistic model

3. Rank Correlation

4. Delphi Technique

Key findings:

The preliminary study concludes that the marketing model adopted by private markets particularly Reliance and Subhiksha is more efficient than government markets like Rythu bazaar because the private marketing agency directly go to farmers field and collect fruits and vegetable resulting in reduced marketing cost, transport cost and other incidental charges.

Funding agency: NCAP