Agricultural Marketing

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Vol. XLVI, No. 2
I. S. S. N.—0002—1555
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AGRICULTURAL
MARKETING
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A National Level Quar terly Journal
Quarterly
on Agricultural Marketing
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Directorate of Marketing & Inspection
Ministry of Agriculture
(Deptt. of Agriculture & Co-operation)
Government of India
Vol. XLVI–No. 2
vk"kk<+&&vkf'ou] 1925 ¼'kd½ ISSN. 0002–1555
JULY—SEPTEMBER, 2003 PAMA–116, VOL–XLVI, No. 2
500
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AGRICULTURAL MARKETING
EDITORIAL BOARD CONTENTS Page No.
1. SHRI P. K. AGARWAL, 1. Study on Marketing of Crossandra, Jasmine and Rose
AGRICULTURAL MARKETING Flowers in East Godavari district of Andhra Pradesh.
—S. Hyma Jyothi and V. T. Raju. 2
ADVISER TO THE GOVT.
OF INDIA. 2. Price Spread in Marketing of Brinjal in Maharashtra State.
—V. M. Chole, J. M. Talathi & V. G. Naik. 5
2. DR. G. R. BHATIA, 3. Marketing Analysis of Milk Production in Bhopal district
ADDL. AGRICULTURAL of Madhya Pradesh.
MARKETING ADVISER. —Prashant Khara, H. O. Sharma & T. B. Singh. 9
4. Inter-temporal Variation in the Price and Marketing
3. SHRI H. P. SINGH, Margin of Potato in West Bengal.
JOINT AGRICULTURAL —Bimal Kumar Saha & Arunendu Mukhopadhyay. 15
MARKETING ADVISER. 5. An Economic Evaluation of Onion Production and its
Marketing System in Karnataka.
4. SHRI D. N. TIWARI,
—Balappa, S.R. and Hugar L. B. 22
JOINT AGRICULTURAL
6. Extent and Export Potential of Major Flowers grown in
MARKETING ADVISER.
Haryana and other parts of India.
5. SHRI A. P. BHATNAGAR, —Ashok Dhillon, R. K. Khatkar, 27
Sube Singh & M. S. Luhach.
DIRECTOR (COLD STORAGE
7. A Case Study of Migrant Vegetable Sellers in Ludhiana
AND REFRIGERATION). city.
6. DR. P. K. JAISWAL, —M. S. Sidhu, P. S. Rangi and Tejinder Kaur. 30
8. Economics of Apple Trade in Anantnag district of
DIRECTOR OF Jammu and Kashmir.
LABORATORIES. —Javid Ahmad Shapoo and B. N. Banerjee. 36
HOME NEWS: 40
7. SHRI G. H. DHANKAR,
DEPUTY AGRICULTURAL (i) leFkZu vkSj cktkj ewY; ds vUrj dks ikVus dh ;kstuk
MARKETING ADVISER. 'kh?kz&&dsUnzh; d`f"k ea=h Jh jktukFk flag dh ?kks"k.kkA
(ii) Plight of farmers directly linked to subsidies
8. SHRI LALLAN RAI given by developed World, says Jaitly.
ASSTT. AGRICULTURAL (iii) Agriculture flagged as India’s key concern in
MARKETING ADVISER WTO negotiations.
(iv) Statement by the Commerce and Industry Minister
EDITOR of India at the Cancun Inaugural Plenary Session.
(v) India, China re-emphasize solidarity on WTO issues
SHRI N. K. MISRA at Cancun.
MARKETING OFFICER (vi) Kharif Crop prospects bright.
(vii) Model State Agricultural Produce Marketing (Develop-
ment and Regulation) Act, 2003
Annual Subscription :
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ANY ARTICLE PUBLISHED IN THIS JOURNAL CAN BE REPRODUCED PROVIDED DUE ACKNOWLEDGEMENT IS MADE TO THE SOURCE.
THE VIEWS EXPRESSED IN THE ARTICLES ARE THOSE OF THE AUTHORS AND NOT NECESSARILY OF THE DIRECTORATE OF MARKETING
& INSPECTION AND THE GOVERNMENT OF INDIA.
READERS MAY SEND POPULAR ARTICLES OF TOPICAL INTEREST IN HINDI AND ENGLISH TO THE EDITOR, AGRICULTURAL MARKETING
JOURNAL, DIRECTORATE OF MARKETING & INSPECTION, NEW C. G. O. BUILDING, N. H. IV, FARIDABAD-121001.
Study on Marketing of Crossandra, Jasmine and Rose Flowers in
East Godavari district of Andhra Pradesh*
—S. HYMA JYOTHI1, AND V. T. RAJU2
Introduction Wholesalers
C rossandra, jasmine and rose are the important flower

crops in Andhra Pradesh. Most of jasmine and crossandra
were being grown in states of Tamil Nadu, Andhra Pradesh
These agencies purchase crossandra, rose and jasmine
flowers from the farmers directly and again sell the produce
to the retailers.
and Karnataka. The heavy concentration of flower produc- Retailers
tion in these states is due to prevalence of markets for tradi-
These agencies purchase flowers from the wholesalers
tional flowers. Total area under flower crops in India is about
directly and again sell the produce to the ultimate consumer.
35,000 hectares.
Results and Discussion
Marketing plays an important role in determining the The channel selected for the study indicates that the farmers
levels of income to the producer for his produce. Marketing sell their produce to the wholesalers and wholesalers in turn sell
is the final stage where the farmer converts all his efforts the produce to retailers. The retailers sell their produce to con-
and investment into cash. In modern times farmers have sumers. The detailed analysis of price spread, marketing costs
become highly cost conscious and their financial position and margins were presented in Table1. Price spread is the differ-
will depend not only on returns they receive from a particu- ence between the price paid by the consumer and that received
lar enterprise but, also the place where they are selling their by the producer of a commodity. Sale of crossandra, jasmine and
produce for getting a remunerative price. Hence, it is im- rose were done through different levels of intermediaries be-
portant to analyse the marketing practices that are being fore it reaches the consumer. The price spread, marketing costs
followed and to identify the market intermediaries and and margins were calculated for one basket of crossandra, jas-
channels of marketing. The specific objective is to study mine and rose flowers.
the present marketing pattern and price spreads of
Table-1
crossandra, jasmine and rose.
Price Spread of Crossandra, Jasmine and Rose Flowers
Methodology per Basket
Sl. Particulars Rupees per basket

East Godavari District purposively selected for the study
No.
as it ranks first place under flower cultivation in coastal re- Crossandra Jasmine Rose
gion of Andhra Pradesh. Two mandals viz., Kadium and
Alamuru were selected purposively since these two mandals 1 2 3 4 5
have maximum area under flower crops in East Godavari 1. Net price received by producer 90 180 50
District. From each mandal two villages were selected with 2. Costs incurred by producers — — —
highest area under flower cultivation. A sample of 30 farmers 3. Produces selling price or 90 180 50
each was selected for rose, jasmine and crossandra, thus mak- wholesaler’s purchasing price (63.38) (58.06) (50.00)
ing a total of 90 farmers. The samples were selected as per 4. Costs incurred by wholesaler
the probability proportion to the area under each selected (a) Transportation costs 4.00 6.00 5.00
flower crop in the selected villages for the study. The data (2.83) (1.93) (5.00)
pertaining to the selected flower farmers obtained through (b) Handling charges 2.00 2.00 —
(1.41) (0.64)
survey method for the agricultural year 1995-96 with the help
(c) Loading and unloading charges 1.00 1.50 1.00
of pretested and well-structured questionnaires. For collec- (0.70) (0.48) (1.00)
tion of information pertaining to marketing aspects, 5 whole- (d) Spoiling losses 6.50 8.00 2.00
salers 5 retailers involved in flower marketing at Rajahmundry (4.59) (2.60) (2.00)
were selected at random. (e) Miscellaneous costs — 2.00 1.00
(0.64) (1.00)
The marketing channel selected for the study is Pro- Total 13.50 19.50 9.00
ducer →Wholesaler →Retailer → Consumer. (9.53) (6.29) (9.00)
*Part of M.Sc. (Ag.) thesis submitted by the first author to Andhra Pradesh Agriculture University, Rajendranagar, Hyderabad.
1
S. Hyma Jyothi, Ph. D. Scholar, Department of Agriculture Economics, Agricultural College, Rajendranagar, Hyderabad.
2
V. T. Raju, Professor and University Head, Department of Agricultural Economics, Agricultural College, Bapatla.
2 Agricultural Marketing
:/ws4/My Documents/334M&I-2 344 M&I/2003 Mss. 2 to Page No. 1 to Fresh & Pagination Mahabir Singh
1 2 3 4 5 1 2 3 4 5
5. Wholesaler’s selling price (or) 120 260 79.00 4. Spoilage Losses 6.50 8.00 2.00
retailer’s purchasing price (48.15) (41.02) (22.22)
6. Wholesaler’s margin 16.50 60.50 20.00 5. Miscellaneous Costs — 2.00 1.00
(11.61) (19.51) (20.00) (10.25) (11.11)
7. Costs incurred by retailer
(a) Transportation costs 2.00 2.00 3.00 Total 13.50 19.50 9.00
(1.41) (0.64) (3.00) (100.00) (100.00) (100.00)
(b) Handling charges — 1.00 — (Figures in parenthesis indicate percentage share in total)
(0.32)
From the Table 2 it is evident that the wholesaler incurred
(c) Loading and unloading charges 1.00 1.00 1.00
(0.70) (0.32) (1.00)
Rs. 13.50, Rs. 19.50 and Rs. 9.00 per basket of crossandra,
jasmine and rose flowers as marketing costs. In case of
(d) Sorting costs 4.50 2.00 0.50
(3.15) (0.64) (0.50)
crossandra spoilage losses were found to be higher Rs. 6.50
followed by transportation cost Rs. 4.00. In jasmine also spoil-
(e) Spoilage losses 4.00 6.50 2.00
age losses accounted to Rs. 8.00 followed by transportation
(2.83) (2.13) (2.00)
cost Rs. 6.00 per basket. However, in case of rose flowers
(f) Miscellaneous costs — — 1.00
transportation cost contributed 55.55 per cent to the total
(1.00)
marketing cost met by wholesaler.
Total 11.50 12.50 7.50
(8.09) (4.05) (7.50)
Table-3
8. Retailer’s selling price 142.00 310 100.00
(150.00) (100.00) (100.00) Marketing Costs met by Retailer
9. Retailer’s margin 10.50 37.5 13.50 Sl. Particulars Rupees per basket
(7.39) (12.09) (13.50) No. Crossandra Jasmine Rose
Note : One basket contains Crossandra 3 kg, Jasmine—10 kg and
Rose—500 flowers. 1 2 3 4 5
Figures in parenthesis indicate percentage share in consumeer’s price.
1. Transportation Costs 2.00 2.00 3.00
Table 1 reflects that the producer was getting Rs. 90, (17.39) (16.00) (40.00)
Rs. 180 and Rs. 50 for one basket of crossandra, jasmine and 2. Handling charges — 1.00 —
rose flowers respectively. Out of total consumer’s price of (8.00)
Rs. 142, Rs. 310 and Rs. 100. Therefore, producer’s share in 3. Loading and unloading 1.00 1.00 1.00
consumer’s rupee was found to be 63.38, 58.06 and 50 per charges (8.69) (8.00) (13.33)
cent in crossandra, jasmine and rose flowers. Wholesaler’s
4. Sorting costs 4.50 2.00 0.50
margin in terms of percentage was around to be highest i. e. (39.14) (16.00) (6.66)
20 in rose followed by jasmine with 19.5 and 11.61 in
5. Spoilage losses 4.00 6.50 2.00
crossandra. In marketing of all three flowers retailer’s mar- (34.78) (52.00) (26.68)
gins were found to be lower than wholesaler’s margins.
6. Miscellaneous Costs — — 1.00
Retailers margin was found to be 13.50 per cent in case of
(13.33)
rose, 12.09 per cent in jasmine and 7.3 per cent in crossandra.
The total consumer’s price i. e., market price for one basket Total 11.50 12.50 7.50
of crossandra, jasmine and rose flowers was found to be (100.00) (100.00) (100.00)
Rs. 142.00, Rs. 310.00 and Rs. 100.00, respectively.
Note : Figures in parenthesis indicate percentage share in total
Table-2
Marketing Cost met by Wholesaler Results of the Table 3 reflect that marketing costs incurred
by retailers per basket of crossandra, jasmine and rose flow-
Sl. Particulars Rupees per basket ers were found to be Rs. 11.50, Rs. 12.50 and Rs. 7.50, re-
No. Crossandra Jasmine Rose spectively. In case of crossandra marketing first place among
1 2 3 4 5 costs incurred by retailer was taken by sorting costs 39.14
per cent followed by spoilage losses with 34.78 per cent. But
1. Transportation Cost 4.00 6.00 5.00
(29.62) (30.79) (55.55) in jasmine the major entity of retailer’s marketing cost was
2. Handling charges 2.00 2.00 —
spoilage losses with 2.00 per cent. In case of rose transporta-
(14.83) (10.25) tion cost contributed 40.00 per cent to the
total retailer’s marketing costs followed by spoilage losses
3. Loading and unloading charges 1.00 1.50 1.00
(1.40) (7.69) (11.11) with 26.68 per cent.
July—September, 2003 3
Conclusion Narasimham V S and Selvaraj P 1975: Flower cultivation and
marketing in the environs of Madurai. Indian Horticulture
The producer’s share in consumer’s rupee was found to
24 (1) : 14—17.
be highest in crossandra (63.38 per cent) followed by
jasmine (58.06 per cent) and in Rose (50.00 per cent).
Wholesales are realising higher margin in case of marketing Patil S T and Hiremath K C 1985: Production and marketing
of rose flowers 20.00 per cent followed by jasmine with 19.51 of chrysanthemum in Dharwad district, Karnataka State—
per cent and then finally in crossandra with 11.61 per cent. An economic analysis. Agricultural Economic Research
Retailers were also getting more profits in marketing of rose Bulletin No. : 16.
(13.50 per cent) followed by jasmine (12.09 per cent) and
crossandra (7.39 per cent). In marketing of all three flower Selvamurugan A and Mohanasundaram V 1990: A study on
crops wholesalers were found to be realising more market the economics of production and marketing of Rose and
margins than retailers. Crossandra in Coimbatore district of Tamil Nadu State.
Agricultural Marketing 33 (1) : 34-35.
REFERENCES
Dangat S B and Mahandule D K 1985: Changes in cost struc- Subrahmanyam K V 1986:Economics of production
ture in agriculture—A case study of cash crop of chrysan- and marketing of chrysanthemum flowers in Karnataka.
themum in Maharashtra. Indian Journal of Agricultural Indian Journal of Agricultural Economics 41 (3) :
Economics 40 (4) : 403-404. 286.
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Price Spread in Marketing of Brinjal in Maharashtra State
—V. M. CHOLE1, J. M. TALATHI2 AND V. G. NAIK3
I n India, the small size of farms is striking feature of

farming. This creates difficulties in introducing better
methods of cultivation and marketing. For this, the successful
three categories viz., (I) Small group upto 0.98 ha., (II)
Medium group from 0.99 to 1.61 ha., (III) Large group
1.62 and above to draw meaningful conclusions.
vegetable growing requires specific knowledge, skill,
accuracy and thoroughness in production and marketing. Table-1
With the gradual displacement of subsistence farming by Distribution of sample vegetable cultivators
commercialized agriculture, marketing of farm products has
assumed greater importance in recent years. For the Category No. of Cultivators Holding Size
farmer, disposal of his produce has become as important
Small 56 0 to .98 ha.
as the adoption of modern practices for improving yield
from agriculture. Unless the marketing efficiency improves, Medium 31 0.99 to 1.61 ha.
no incentives to increase the production will attract the Large 13 1.62 ha. and above
cultivators. Only better returns, relatively stable prices and
attractive terms of trade will motivate the cultivators for Total 100
commercial agricultural production.
Price spread (PS)
Though the vegetable crops hold a great promise for This represented the difference between the net price
fostering economic growth and improving the diet of the received by the producer-seller (PNP) and the price paid by
people, they have received limited attention in marketing the ultimate consumer i.e. difference between Producer’s
research programmes in India. In view of this, the present Net Price (PNP) and Retailer’s Selling price (RP).
investigation was attempted to identify the different
PS=RP–PNP
marketing channels in disposal of brinjal and to workout
the price spread in different marketing channels. In other words, it includes (I) the total costs of marketing
(TMC) incurred by producer-sellers and market
Methodology intermediaries excluding the commission agent and (ii) the
net profit (NP) accrued to the intermediaries in the process
A sample of 100 vegetable growers in Panvel tahsil of moving the produce from the producer-seller to consumer.
of Raigad district (M.S.) was selected randomly to
PS=TMC+NP
have information in different aspects of marketing of
brinjal. Producer’s share in consumer’s rupee (PSCR)
Details of marketing and agencies involved in This was the percentage of the net price received by the
marketing of the brinjal were obtained from 5 producer-seller to the price paid by the consumer or selling
functionaries from each category selected randomly. price of retailer.
Information on the marketing, costs and prices received
by different marketing agencies was collected for the year PNP
1999-2000. PSCR= –––––– X100
RP
To study the effect of farm size on productivity and Marketing Efficiency Index (MEI)
disposal pattern of brinjal, the selected vegetable
cultivators were grouped according to their size of total The ratio of the total value of goods marketed to the total
holding of land. The grouping was done with the marketing costs is issued as a measure of efficiency. The
following procedure. The cultivators were classified into higher the ratio, the higher is the efficiency and vice-versa.
1. Ex-Post Graduate Student, 2. Associate Professor of Agril. Economics, 3. Asstt. Professor of Agril. Economics, Dr. Balasaheb Sawant Konkan
Krishi Vidyapeeth, Dapoli, Dist. Ratnagiri (M. S.) 415712.
Shepherd’s equation marketable surplus must also increase. In most cases,
V marketed surplus may be less than the marketable surplus
MEI= ––— I
because of hoarding a part of the commodity in
I
anticipation of rising price. Contrary to this, no difference
MEI = Index of Marketing Efficiency
between marketable surplus and marketed surplus of
V = Value of the goods sold (Consumer’s price)
vegetables was observed in the present study. This was
I = Total marketing cost and marketing margins.
attributed mainly to the highly perishable nature of
RESULTS AND DISCUSSION vegetables, lack of appropriate storage facilities and
Disposal pattern of Brinjal wide price fluctuations in the market. The per hectare
For agrarian economics, it is not important to merely disposal pattern of brinjal is shown in
increase agricultural production, but simultaneously Table 2.
Table-2
Per hectare disposal pattern of Brinjal
(Quantity in quintals)
Group
Sl. Particulars Small Medium Large Overall
No. (N=56) (N=31) (N=13) (N=100)
I. Production 153.40 167.85 164.40 162.70
(100.00) (100.00) (100.00) (100.00)
II. Quantity consumped on farm
(a) Home Consuption 0.50 0.67 0.67 0.59
(0.32) (0.40) (0.41) (0.36)
(b) Gift to relatives — 0.16 0.44 0.12
(0.09) (0.27) (0.07)
(c) Losses (due to breakages and spoilage) 0.29 0.33 0.28 0.35
(0.19) (0.20) (0.17) (0.22)
III. Marketed Surplus 152.61 166.69 162.99 161.64
(99.49) (99.31) (99.15) (99.35)
(Figures in the parentheses indicate percentages to the total).
The vegetable growers marketed almost all the produce Sale pattern and marketing channels.
from the farm after using 0.36 per cent quantity for family
1. Sale Pattern
consumption, while the losses were meagre (0.22%). The
disposal pattern revealed that the marketed surplus decreased The sale pattern of brinjal through various marketing
with increase in farm size. channels is presented in Table 3.
Table-3
Sale pattern of Brinjal through various marketing channel
Sl. Functionaries involved

No Particulars Retailer Wholesaler Commission All Functionaries
Agent
1. Quantity sold (q) 62.10 830.10 507.60 1399.80

(4.44) (59.30) (36.26) (100.00)
2. Price Per quintal (Rs.) 726.57 703.94 705.86 705.64
3. Value (Rs.) 45120.00 58340.50 358297.00 987757.50
(4.56) (59.16) (36.28) (100.00)
(Figures in the parentheses indicate percentages to the total).
It is observed from Table that out of the total quantity (i) Producer—Retailer—Consumer.
of brinjal (1399.80 quintals) marketed by vegetable (ii) Producer—Wholesaler—Retailer—Consumer.
growers, 59.30 per cent was handled by the wholesaler.
The Share of commission agent in total quantity marketed (iii) Producer—Commission agent—Wholesaler—
was found to be 36.26 percent. The share of wholesalers Retailer—Consumer.
in total value of brinjal sold was higher than the share The channel II was the important channel in sale of
of commission agents. The per quintal price received by brinjal for the farmers in the study area because major
the producers was higher when sold through retailer (Rs. portion of the produce was marketed through this channel.
726.57).
Marketing cost incurred by different market
2. Marketing Channels functionaries.
Following marketing channels were identified in the study The cost incurred by different marketing functionaries is
area in marketing of brinjal: given in Table 4.
Table-4
Per quintal cost of marketing of Brinjal incurred in various channels by market functionaries
(Figures in Rs.)
Total cost
Sl. Channels Producer Retailer Whole- Comm. of
No. saler Agent Marketing
1. Sale through retailer 33.80 63.05 — — 96.86

(34.90) (65.10) — — (100.00)
2. Sale through Wholesaler 53.33 64.26 23.52 — 141.10
(37.80) (45.54) (16.66) (100.00)
3. Sale through Commission agent 24.57 62.73 23.80 1.42 112.52

(21.84) (55.75) (21.15) (1.26) (100.00)
(Figures in the parentheses indicate percentages).
It is observed from the Table 4 that per quintal marketing Total marketing cost and price spread
cost of brinjal incurred by the producers was maximum in
The cost and margin for each agency with their share
channel II (Rs. 53.33) followed by Channel I (Rs. 33.80)
in different channels in marketing of brinjal is given in
and Channel III (Rs. 24.57). The marketing cost incurred
Table 5.
by producers was low in channel III because the produce
was transported in large quantity, which resulted in low Table-5
cost of transportation. In most cases, in channel III, producers Per quintal price spread in Brinjal
did not incur the losses.
(Quantity in quintals)
In channel-I, out of the total marketing cost (Rs. 96.86/ Sl. Particulars Marketing Channels
q), the producer’s contribution was 34.90 per cent to the No. I II III
total and the remaining was incurred by the retailer. The
proportionate share of producers was 37.80 per cent followed 1 2 3 4 5
by retailers (45.54%) and wholesalers (16.66%) in channel 1. Net price realised by producer 692.77 650.61 610.43
II. In channel III the total cost of marketing (Rs. 141.10) (69.28) (57.94) (53.14)
was shared by producer, retailer, wholesaler, commission 2. Wholesaler’s net margin — 57.48 58.18
agent in the proportion of 21.84, 55.75, 21.15 and 1.26 per (5.12) (5.06)
cent, respectively. 3. Retailer’s net margin 210.36 273.61 296.71
(21.04) (24.37) (25.83)
The marketing cost incurred by commission agents was
4. Commission agent’s net — — 70.86
comparatively lower than those incurred by wholesalers and Margin (6.17)
retailers. It was due to non-performance of grading, packing
5. Cost of marketing 96.86 141.10 112.52
and transportation functions by commission agents. (9.68) (12.57) (9.80)
Table-6
1 2 3 4 5
Marketing efficiency in marketing of Brinjal
6. Consumer’s price 999.99 1122.80 1148.70
(100.00) (100.00) (100.00)
Sl. Particulars Marketing Channels
7. Total marketing cost (TMC) 307.22 472.19 538.27
(30.72) (42.06) (46.86) No. I II III
(Figures in the parentheses indicate percentages to the total). 1 2 3 4 5
(i) Share of producer 1. Value of the produce sold (V) 999.99 1122.80 1148.70
(Consumer’s price Rs./q)
As apparent from Table 5 the producers who sold their 2. Total marketing cost (I) Rs./q 307.22 472.19 538.27
brinjal through channel I realised maximum share (69.28%)
3. Marketing efficiency 2.25 1.37 1.13
in consumer’s rupee, with a net price of Rs. 692.77/q. The
producer’s share in consumer’s rupee in channel II was Conclusion
57.94 per cent and channel III it was 53.14 per cent. The
In case of brinjal following three channels were
producer’s share in consumer’s rupee was the lowest in
patronized by the vegetable growers for marketing of their
channel III because the producers marketed their produce
produce : Channel-I (Producer-Retailer-Consumer), Channel-
through more intermediaries i.e. commission agents,
II (Producer-Wholesaler-Retailer-Consumer) Channel-III
wholesalers and retailers, who reaped away large amount
(Producer-Commission agent—Wholesaler-Retailer-
from consumer’s price.
Consumer). The channel II was most favoured channel in
Channel I is the most profitable channel followed by the study area as maximum (nearly 50%) quantity was passed
channel II for marketing of brinjal. through this channel.
(ii) Share of commission agent The producer’s share in consumer’s rupee was maximum
in channel I (68.28%), followed by channel II (57.94%)
Commission agent as marketing functionary was found and channel III (53.14%). The share of retailer in consumer’s
to be involved only in channel II. The margin of commission price 21.04 per cent in channel I, 24.37 per cent in channel
agent was about 6.17 per cent in the consumer’s price. The II and 25.83 per cent in channel III. The share of wholesaler
Commission agents reaped comparatively higher benefit with in consumer’s price was 5.12 per cent in channel II and
only a small effort. 5.06 per cent in channel III. The net share of commission
(iii) Share of wholesaler agent was 6.17 per cent in consumer’s rupee in channel III.
The total marketing cost was maximum in channel III
The net margin share of wholesaler was 5.12 per cent in (46.86%) and minimum in channel I (30.72%). It was also
channel II and 5.06 per cent in channel III, which is revealed that the marketing efficiency was higher in
comparatively lower than commission agent. Channel-I (2.25) followed by Channel-II (1.37) and Channel-
(iv) Share of retailer III (1.13).
The net share of the retailer in consumer’s rupee was It is revealed that the marketing efficiency was higher in
worked out to 21.04 per cent in channel I, 24.37 per cent channel I (2.25) followed by channel II (1.37) and channel
in channel II and 25.83 per cent in channel III. The retailers III (1.13).
usually fix their profits at a higher level due to low turnover
REFERENCE
as well as due to higher risk of spoilage.
Chauhan R. S. and Singh J. N. (1998). Vegetable Marketing
(v) Total marketing cost (TMC) Systems in Azamgarh district of U.P. Indian Journal
The percentage share of total marketing cost in of Agricultural Economics 53 (3) : 413.
consumer’s price paid was 30.72, 42.06 and 46.86 per cent Gupta S. P. and Rathere N. S. (1998). Marketing of
in channel I, II and III respectively. The total marketing Vegetables in Raipur District of Chhattisgarh State.
cost was highest in channel III and lowest in channel I. An Economic Analysis. Indian Journal of Agricultural
Marketing efficiency Economics 53 (3) : 393.
Marketing efficiency (ME) estimated in marketing of Kasar D. V., Ambre B. S., Raut, R. C. and Rasane V. S.
brinjal is presented in Table 6. (1994). Marketing of Bitter gourd in Ahmednagar
district of Maharashtra. Indian Journal of Agricultural
It is revealed from the Table 6 that the marketing
Marketing 8 (2) : 246–249.
efficiency was higher in channel I (2.25) followed by channel
II (1.37) and channel III (1,13). The higher marketing Shiyani, R. L. Kuchhadiya, D. B. and Patat M. V. (1980.
margins intercepted by the market intermediaries in the Marketing of vegetables in South Saurashtra Zone of
channel II and III resulted in the poor efficiency of markeing Maharashtra. Indian Journal of Agricultural Marketing
of brinjal. 12 (1 & 2) : 156–160.
Marketing Analysis of Milk Production in Bhopal District of
Madhaya Pradesh
—PRASHANT KHARE, H. O. SHARMA AND T.B. SINGH1
I ndian economy is predominantly an agrarian economy

with more than 75% of its people living in villages and
depending upon agriculture and allied activities like live-
price structure and the problems are the questions, which
are of greater importance to the producers and consumers
as well. To answer all these questions, the present study is
stock farming, dairy farming. The dairy sub-sector occu- undertaken with the specific objectives as below :
pies an important position in the economy, as milk is the 1. To assess the routes-wise volume of milk collection
second largest agricultural commodity contributing to the during different months/years its operational area.
GNP, next only to rice. While the share of agricultural output
to the total GDP has been on the declining trend, the share 2. To analyse the inter-relationship between the vol-
of livestock output to the agriculture has been increasing ume of milk collection through different co-opera-
and now it accounts for 25% of agricultural output (around tive socities and their distance.
6% of total GDP). Milk alone contributes Rs. 450 billion to 3. To estimate the cost of milk collection at different
the GNP of the country. However, the plan investment levels.
animal in husbandry and dairying is only a meager 5% of 4. To examine the price structure of milk at collection
agriculture. The strength of Indian dairy sector lies in the as well as distribution site.
fact that in spite of limited investment it has shown consist-
ent and sustainable growth. 5. To influence the constraints faced by the milk pro-
ducers and milk co-operative societies.
At present National Dairy Development Board has es- Research Methodology
tablished a large number of co-operative societies. At the Bhopal Sahakari Dugdh Sangh Maryadit Sangh was
end of March 2001, Maharashtra had the higest number selected purposively because of maximum capacity of milk
of dairy co-operative societies (16,724) followed by Uttar collection (2,59,000) and maximum number of milk
Pradesh (15,648), Gujarat (10679), Tamil Nadu (8,369), producer’s co-operative societies (891) in Madhya Pradesh.
Punjab (6,823), Rajasthan (5,900), Karnataka (8,516), The “Sangh” had 13 milk collection centres and out of this
Andhra Pradesh (4,912) and Madhya Pradesh (4,877). In Habibganj Dairy Plant was selected purposively because it
Madhya Pradesh, the milk development programme started has maximum capacity of milk collection (1.5 lakh 1./day).
two decades before. For the smooth running of the pro- There were six routes of Habibganj Dairy Plant out of these;
gramme, the integrated approach by State and Central five routes were selected for the study. One route was left,
Governtment included resources from planned and Op- as societies of this particular route were not working through
eration Flood Scheme. Thirty-five district of Madhya out the year. In each selected routes two societies were also
Pradesh were covered under Operation Flood with the selected at random. A list of all the milk producers of these
financial and technical help of World Bank and India milk producer’s co-operative societies was prepared and 10
Dairy Corporation. Remaining 10 districts are also being per cent (63 in number) of the total members (628) were
covered under city milk schemes. In year 2000-01 aver- selected randomly for the study. Thus, total size of sample
age yearly milk collection in all five milk federation was 63 milk producers, 10 milk producer’s co-operative
(Bhopal, Gwalior, Jabalpur, Ujjain and Indore) was 294.24 societies of five routes of Habibganj Dairy Plant, Bhopal
thousand Kg/day and average early milk sale was 218.17 (M.P.). The data required for the study were both primary
thousand Kg/day. It has also established 467 artificial and secondary in nature. The primary data was related to
insemination centres, 73919 artificial inseminations were general characteristics of milk producer’s, their main
performed successfully and 45485 metric tonnes of ani- occupation as well as secondary occupation, number and
mal feed was sold. kind of animal, land utilization pattern, cropping pattern,
The urban people depend upon the rural areas for supply milk production and marketed, month-wise milk produc-
of milk, through the milk collection from rural areas, since tion and marketing cost involved in rearing of cattle, milk
the local sources are not sufficient in serving the city con- collection cost and constraints related to production and
sumers. The cost of milk collection, cost of distribution, marketing of milk. The secondary data were related to col-
1. Post Graduate Student, Senior Scientist and Associate Professor respectively, Department of Agril. Economics and Farm Management, R. A. K. College of Agriculture,
Sehore (M.P.) 466001.
lection, distribution, price policy and number of societies 2. Month-wise Fluctuation in Milk
working under the Bhopal Sahakari Dugdh Sangh Maryadit On an average “Sangh’’ collected 34 lakh litres of milk
(Sangh). The period of the study was 2000-01. with monthly fluctuation of 4.18 per cent per month. In
The personal investigation method was adopted for the which the collection of 83.24 per cent was from their milk
collection of primary data. Interview schedule was prepared producer’s co-operative societies and remaining 16.76% from
carefully and after pre-testing the required data was col- other agencies. The fluctuation in milk collection was more
lected by personal contact with the respondents. All possi- in other agencies (30.70) as compared to milk producer’s
ble precautions were taken for getting the reliable informa- co-operative societies (3.49) (Table 2) Thus, milk
tions. The collected informations were also tested through producer’s co-operative societies plays important role in
cross-questioning at the time of investigation. collecting maximum milk (nearly 83 per cent of milk per
RESULTS AND DISCUSSION month) in study area.
1. Pace of Growth of Milk collection Table-2

In an average “Sangh” collected 20-1-93 lakh L. of milk Milk Collection through Bhopal Sahakari Dugadha Sangh
per year. All the year shows that there was percentage (in litres)
increase of milk over the previous year except the year
1992-93 (-6.11%), 1994-95 (-4.06%) and 1995-96 (-23.16), Month Milk Collection
which shows that there was reduction in milk collection Co-operative Soceties Other Agencies Total
over the previous years. But, overall, there was 250.54 April 2817149 721585 3538734
percentage increase in milk collection over the base year 79.60 (8.05) 20.40 (10.43) 100 (8.54)
1991-92 of the study with annual fluctuation of 60.39% per May 2798033 814056 3612089
year (Table 1). During the last decade (1991 to 2001) the 77.46(8.00) 22.54(11.76) 100.(8.62)
milk collection was significantly increased over the time June 2847536 703713 3551249
period and shows linear growth of 12.59 per cent per year. 80.18(8.14) 19.82(10.17) 100(8.48)
The regression coefficient between time (year) and milk July 2787114 932301 3719415
collection (lakh 1) showed that in each year milk collection 74.93(7.97) 25.07(13.47) 100(8.88)
was significantly increased with 25.43 lakh litre during the August 3058100 602262 3660362
period of study (Table 1). 83.55(8.74) 16.45(8.70) 100.(8.74)
September 3084071 390714 3474785
Table-1
88.76(8.74) 11.24(5.65) 100.(8.29)
Pace of growth total volume of Milk collection
October 3033864 500913 3534777
85.83(8.67) 14.17(7.24) 100(8.44)
Sl. Years Milk Percentage increase
No. collection the over previous November 2879982 409153 3289135
years 87.56(8.56) 12.44(5.91) 100(7.85)
1. 1991-92 119.5 – December 2993900 456582 3450482

86.76(8.56) 13.24(6.60) 100(8.23)
2. 1992-93 112.2 –6.11
January 2946086 458838 3404929
3. 1993-94 189..5 68.89 86.52(8.42) 13.48(6.63) 100(813)
4. 1994-95 181.8 –4.06 February 2809933 334565 3144498
5. 1995-96 139.7 –23.16 89.36(8.04) 10.64(4.83) 100(7.50)
6. 1996-97 161.6 61.60 March 2917347 597530 3514877
7. 1997-98 169.2 4.70 83.99(8.340) 17.01(8.63) 100(8.39)
8. 1998-99 226.0 33.57 Total 34973115 6922212 41895327

83.24(100) 16.76(8.63) 100(100)
9. 1999-00 301.9 33.58
Average 2914426.25 576851 3491277.25
10. 2000-01 418.9 33.75 C. V. (%) 3.49 30.70 4.18
Average 201.93
3. Volume of Milk Collection Vs Distance
Percentage Change over base year 1991-92 250.54
C. V. (%) 60.39 Correlation between milk collection by different milk
Correlation (r) between year and 0.82** co-operative societies in different routes of the Dairy Plant
milk collection and their distance was worked out and it was observed that
Regression (b) between year and 25.43** the distance of the society was negatively related (r=-0.44)
milk collection with the volume of milk collection (Fig. 1) shows that as
Growth rate (%) 12.59 the distance of the societies increases, the volume of milk
‘t’ value (r) 4.01 collection decreases. Hence, there is necessity of increasing
‘t’ value of (b) 3.002 milk collection centres of plant in the study area.
4. Cost of Milk Production The total cost of milk production per farm was Rs. 111.43
in which the variable cost was 88.60 per cent (Rs. 98.72)
The cost of milk production included (a) Fixed cost as
and remaining 11.40 per cent (Rs. 12.71) was fixed cost. In
well as (b) Variable cost. Fixed cost, includes (i) deprecia-
variable cost, cost of labour (43.63%) and feed stuff
tion on shed, (ii) depreciation on live stock, (iii) deprecia-
(38.17%) are the main component of the cost.
tion on miscellaneous items and (iv) interest on fixed capi-
tal. Variable cost, includes (i) cost of feedstuff, (ii) labour Hence, it is concluded from the above discussion that
cost, (iii) cost of treatment and (iv) interest on working the cost of labour and feed stuff was the main component
capital. The cost of milk production was Rs. 7.90 per litre in the production of milk in the study area. These finding
in the study area. (Table 3). are also in conformation to Beohar (1998).
Table-3 allowance, (iv) house rent, (v) official expenses including
Cost of milk production
stationery, (vi) labour cost (head hold), (vii) travel allow-
Sl. Particulars Milk Production Percentage
ances and depreciation on furniture. The total charges borne
No Cost to total by the milk co-operative societies per litre of milk were
Rs. 0.34/1. The selected societies bear charges about
1. Fixed Cost 1,24,642,50 per year in the collection of milk. Salary of the
(a) Depreciation on cattle shed 1.64(12.90) 1.47 workers (68.89%) forms the major components of the
(b) Depreciation on livestock 4.30(33.83) 3.86 charges borne by the co-operative society, followed by of-
(c) Depreciation on misc. expenses 0.02(0.15) 0.02 ficial expenses including stationery (7.99%), house rent
(d) Interest on fixed cost 6.75(53.10) 6.05 (7.53%), worker allowance (7.22%), labour charges (4.87%),
2. Total of fixed cost 12.71(100) 11,40 travelling allowance to workers (2.25%), testing cost (0.99%)
3. Variable Cost and depreciation on furniture (0.26%). (Table 4.2).
(a) Cost of feed stuff 42.53(43.08) 38.17 Table-4.2
(b) Labour cost 48.62(49.25) 43.63 Charges Borne by Milk Co-operative Societies. (Rs.)
(c) Cost of treatment 1.43(1.45) 1.29
(d) Interest on working capital 6.14(6.22) 5.51 Sl. Particulars Expenses Percentage
No. (Rs./year)
4. Total of Variable cost 98.72(100) 88.60
5. Total cost of production 111.43 (100) 1. Testing Cost 4392 0.99
6. Value of dung 7.40 2. Salary of Workers 306568 68.89
7. Net cost of production 104.03 3. Workers allowance 32137 7.22

8. Milk production per day (litre) 13.43 4. House Rent 33500 7.53
9. Per litre cost of Production 7.90 5. Official Expenses included Stationery 35572 7.99
6. Labour Charges (Head hold) 21667 4.78
4. Cost of Milk Collection 7. Travelling allowance to workers 9999 2.25
The total cost of milk collection from producer to the 8. Depreciation on Furniture 1152.5 0.26
Dairy Plant are divided in following sub heads:
Total 444987.50 (100)
(a) Charges borne by the milk producers.
Milk collection per year 124642.5
(b) Charges borne by the milk co-operative society. Expenses (Rs. Per litre) 0.34
(c) Charges borne by the Dairy Plant.
(c) Charges Borne by the Dairy Plant
To calculate the procedure’s share in consumer’s rupee,
After commission (Rs. 0.68/1.) to the milk producer’s co-
the total milk expenses incurred by the milk distribution
operative societies, processing and packing cost (Rs. 0.27/1.)
agencies were also taken into consideration.
and transportation cost (0.24/1.) are the main component of
(a) Charges borne by the milk producer the cost borne by the Dairy Plant. The details of the
The total charges borne by the average milk producers transportation cost are given in appendix 1.3 in which society-
of the co-operative socity was Rs. 3.81 per farm. wise transportation cost was included. Miscellaneous
Expenses on transportation (51.45%) were the main com- expenses is also a part of cost borne by the Dairy Plant and it
ponent of the cost, followed by labour expenses (40.15%), is observed from the table 4.6.3 that the per 1. milk expenses
expenses on milk cane (5.25%) and miscellaneous expenses in collection of milk collection was Rs. 1.43/1. which was
(3.15%). The total charges borne by the producers per litre about half of the cost incurred in milk collection by the Dairy
were Rs. 0.37 per litre (Table 4.1). Plant. (Table 4.3)
Table-4.1 Table-4.3
Charges borne by Milk Producer’s (Rs.)
Cost of Milk Collections Borne by the Dairy Plant
Sl. No. Particulars Cost (per farm) Percentage
Sl. Particulars Cost (Rs./l.) Percentage
1. Expenses on Transportation 1..95 51.45 No. to total
2. Expenses on Labour 1.53 40.15
3. Expenses on Milk Can 0.20 5.25 1. Commission to Co-operative societies 0.68 25.95
4. Expenses on Miscellaneous 0.12 3.15
5. Total Expenses 3.81 (100) 2. Transportation from Societies to the 0.24 9.16
6. Milk Sold (I.) 10.18 Dairy Plant
7. Cost per Litre 0.37
3. Processing and Packing Cost 0.27 10.31
(b) Charges Borne by Milk Co-operative Societies 4. Miscellaneous items including office expenses 1.43 54.58
The charges borne by the milk co-operative societies
Total 2.62 (100)
includes (i) testing cost, (ii) salary of worker, (iii) worker
(d) Cost of Distribution 1 2 3
Cost of distribution of milk is also as important item in the
cost of milk collection. Hence, an attempt was also made to (iii) Producers profit 2.19 15.04
calculate the cost of distribution of the milk. These are based on 1. Producer Sale Price 10.46 71.84
the secondary data collected from the Dairy Plant. The cost (i) Cost of Collection of Co-operative 0.34(50) 2.34
incurred in distribution included transportation cost of milk that Societies Habibganj Dairy Plant
was borne by the Dairy Plant and other cost such as, expenses on (ii) Profit of Co-operative Societies 0.34(50) 2.34
electricity, labour, and rent of the booth were borne by the retailer.
The total cost incurred in the distribution of milk was Rs. 0.21 2. Co-operative Societies Sale Price 11.14 76.52
per litre (Table 4.6.4) in which the cost borne by milk retailer (i) Cost of Collection from Co-operative 2.02(68) 13.87
was 61.90 per cent and cost borne by the Dairy Plant was also Societies to Habibganj Dairy Plant
38.1%. (Table 4.4). (ii) Profit of Habibganj Dairy Plant 0.97(32) 6.66
Table-4.4
3. The Dairy Plant Sale Price 14.13 97.05
Cost Incurred in distribution of Milk
(i) Retailer’s Expenses 0.13(30) 0.89
Sl. Particulars Cost (Rs./l.) Percentage
No. to Total (ii) Retailer’s Profit 0.30(70) 2.06
1. Transportation from the dairy Plant to 0.08 38.10 4. Consumer’s Price 14.56 (100)
Distribution Booths
2. Cost incurred in distribution of milk 0.13 61.90 7. Problems in Milk Collection
includes expenses on labour, electricity
& rent of the booth As study shows that “Sangh” plays a vital role in
upliftment of poorer in the study area, but there are so
Total 0.21 (100) many problems in the collection of milk which are divided
6. Price Spread in Marketing of Milk in the two sub-heads :
Price structure of milk collection and distribution was also (a) Problems faced by milk producers.
analysed and results are presented in Table 5. It is observed (b) Problems faced by milk Co-operative societies.
from the table that milk producers got only 71.84 per cent
share in the consumer rupees (Rs. 14.56/l.), but their profit 7.1 Problems Faced by Milk Producers
was only Rs. 2.19 per litre (15.4%) in the milk marketing. The main problem related to low quantity of milk
After deducting the producers share in consumer of milk marketed by the producer members in the Co-operative
rupees, the Dairy Plant got maximum profit of Rs. 0.97/l. area. Low price of the milk was the main problems as
(6.66%) followed by milk producers co-operative societies reported by (84.12%) of the respondents followed by lack
Rs. 0.34/l. (2.34%) and retailer of milk distribution 0.30/l. of cold storage (61.90%), delay in payments (42.85%),
(2.06%). As regards the cost incurred for collection and inadequate water for animal (36.50%), lack of all weather
distribution of milk the expenses borne by the Dairy Plant roads (30.15%), small quantity of marketable surplus
was maximum Rs. 2.02 (13.87%) as compared to milk (23.81%), improper treatment of animals (20.63%), lack
producers co-operative societies 0.34/l. (2.34%) and retailers of cross breed animal (9.52%) and uncertainty of
of milk Rs. 0.13/l. (0.89%). As regards marketing of milk electricity (6.35%), (Table 6.1).
concern it was also reported from the table that, retailer of
milk got maximum profit in (70%) followed by milk Table-6.1
producer’s co-operative (50%) and the Dairy Plant (32%) in Major Problems of Milk Producers (n=63)
the expenses which was Rs. 0.30/l., 0.34/l. and 0.97/l.
respectively. Hence, Sangh plays a vital role in employment Sl. Particulars Nos. of Percentage
generation to poorer, by way of giving employment in No. Respondents to total
distribution of milk and on the other hand in the fruitfulness 1. Low price 53 84.12
of the milk co-operative movement in the area under study.
2. Delay in Payments 27 42.85
Table-5
Price Structure of Milk at Collection and Distribution Site 3. Small Quantity for Marketable 15 23.81
4. Lack of all Weather Roads 19 30.15
Particulars Rs./l. Percentage
to consumers 5. Lack of Cold Storage 39 61..90
price
6. Lack of cross Breed animals 6 9.52
1 2 3
7. Improper Treatment 13 20.63
(i) Cost of production 7.90 54.26
8. Inadequate Water for Animal 23 36.50
(ii) Cost of milk collection from farm to 0.37 2.54
Co-operative societies 9. Uncertainty of Electricity 4 6.35
7.2 Problems Faced by Milk Producer’s Co-operative produced devoted only 0.08 and 0.03 hectare are in Kharif and
Societies Rabi respectively in the cultivation of fodder (Barseam).
Milk producer’s co-operative societies also faced some (v) The charges borne by milk producer in the collection of
problems in the collection of milk and are presented in Table milk from his farm to milk producer’s co-operative society was
4.8.2. It was observed from the table that lack of cold storage only Rs. 0.34 per litre in which transportation cost (51.45%) was
facilities was the major problem in the collection of milk as the main component, which can be lower down if the quantity
reported by all the selected producer’s milk co-operative societies and quality (fat%) of milk is increased by various efforts such as
in the area, followed by lack of all weather roads (40%), private training of quality milk production, feed and fodder cultivation,
trading (30%) and local politics (30%). (Table 6.2). by providing medical facility and opening of A.I. centre in the
Table-6.2
area.
Major Problems of Milk Producer’s Co-operative Societies (n=10) (vi) Producers got only 71.84 per cent share in consumers
rupees, which can be increased by reducing their cost of milk
Sl. Particulars No. of Percentage
No. Respondents to total collection from producers to consumer. In the collection of milk
higest profit earned by the Dairy Plant (6.66%), followed by milk
1. Lack of Cold Strorage 10 100
producer’s co-operative society (2.34%) and retailer of milk
2. Private Trading 3 30 distribution (2.06%) share in the consumer’s rupees, which can
3. Lack of all Weather Roads 4 40 also be increased of by the quantity and quality of milk.
4. Local Politics 3 30
(vii) Low price of milk the most important problems in the
Conclusion and Suggestions collection of milk, followed by lack of cold storage, delay in
payment, inadequate water for animals, lack of all weather roads,
(i) Seasonal variation was observed in the collection of milk
small quantity of marketable surplus of milk, improper treatment,
during the months. Milk collection was higher in healthy season
lack of cross breed animals and uncertainty of electricity. Hence,
(from September to February) and lower in unhealthy season
efforts should be made to solve all there constraints.
(from March to August) Hence, efforts should be made for
increasing the quantity of milk throughout the year specially in (viii) Lack of cold storage is main problems faced by milk
the unhealthy season by means of giving training to their producer producer’s co-operative society followed by lack of all weather
members about hay and silage making. roads, private trading and local politics. Hence, efforts should be
made to solve all there constraints.
(ii) It is also observed that in spite of more production in
the month of July and August. The producer members of the REFERENCES
society were not in position to transport their milk due to lack of 1. Mattigatti, R., Khan, H.S.S. and Suligani, B.S. (1922),
all weather roads. Hence, efforts for developing all weather roads Marketing of Milk in Dharwad District Karnataka. Indian
by people’s participation are made. Journall of Agil. Marketing 6. (1) : 21—26.
(iii) As the distance of the milk producer’s co-operative 2. Shah (1997) The Co-operative Dairy In Maharashtra Economic
societies increases from the dairy plant, the volume of milk and Political Weekly 32(39) 125.
collection decreases, the milk collection was higher in those 3. Sharma A. K. and Vashist B. K. (1997) Price Behaviour of
societies, which are well connected to the dairy plant. Hence, Dairy Products in selected Indian markets, Agril. Marketing
efforts should be made to connect all the societies lively to the 31 (1) : 16—21.
dairy plant or sub centres of dairy plant to overcome this problem. 4. Beohar, B. B. (1998) Economics and marketing of milk
(iv) The variable cost was the main component of cost of Production in central Part of M. P., Indian Journal of Agril.
milk production and the maximum cost incurred in the purchase Economics 53(3) : 401.
of feed and fodder and in labour management. Hence, it is 5. Naik, D. and Dalawai, A. (1998) Production and Marketing
concluded that efforts should be made so that farmer’s share some of Milk in Orissa, Indian Journal of Agril, Economics
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^,xekdZ –kjr ljdkj }kjk xq.koÙkk ds izek.ku

dh ,d iz.kkyh gSA
Inter-temporal Variation in the Price and Marketing Margin of
Potato in West Bengal
*BIMAL KUMAR SAHA, ** ARUNENDU MUKHOPADHYAY
Intrduction Methodology
T he Statistical analysis of time series data on area, yield and

yield rate of potato in West Bengal from 1951—52 to 1983—
84 carried out by the present authers in the article entitled
Nature of Data, source of Data and reference period :—
It is already mentioned that this study is based on the time
series data on harvest and wholesale prices. Wholesale price data
“Horticultural Development in West Bengal. The case of Potato”
are of Calcutta or Kolkata (the changed name of Calcutta) market.
Published in Economic affairs, Volume. 33 Qr. 2, April-June, 1988,
The source from where these data are collected is Directorate of
PP. 90-94, clearly establishes significant increasing trend of all
Agricultural Marketing, Government of West Bengal. The years
these variables over years under consideration. The increasing
under the reference period of these data series extend from 1956-
trend of production is explained in terms of observed increasing
57 to 1983-84. Relevant data prior to 1956-57 and beyond 1983-
trend of area under and productivity of potato. Again the
84 are not available at that time when this paper is originally
significantly increasing trend in the yield rate can largely be
developed in connection to the Ph. D work of Bimal Kumar Saha
attributed to the adoption of high yielding varieties and improved
under the supervision of professor Arunendu Mukhopadhyay in
culture practices in the potato belts of West Bengal namely
1986-87.
Hooghly, Burdwan and a part of Midnapore in the sixty’s onwards
while the absolute prices rather than the relative price (relative to Statistical Tools/Techniques used : “In order to detect the
that of Gram which is mainly produced for home consumption) nature of trend and movement of the variables concerned
lagged one year explains the increasing trend of area belying the regression and graphical techniques are used in the present context.
usual expectation related to economic rationality. Regression equations of the following:
Accordingly the role of absolute price in explaining the (i) Linear : Y=a+bx
increasing trend of area under and also production of potato to
(ii) Log Linear : Y=a+b log x
some extent is seen to be high-lighted. Viewing such an important
role of absolute price (henceforth Price) in explaining the (iii) Exponential : Y=EXP (a+bx)
increasing trend of area under and production of potato the
(iv) Power : Y=EXP (a+b Logx)
consideration of movement of potato price at different stages
overtime assumes significance in the context of marketing of forms are applied here where y stands for harvest Price/wholesale
potato in West Bengal. Fairly adequate time series data on harvest price/Marketing Margin, X for time, that is Years or more
and wholesale prices of potato so far available from the secondary specifically the scale value of years, a and b are the parameters
source are gainfully used to assess broadly the nature of potato of the equations. Of the graphic presentations of time series data
market in West Bengal under dynamic setting. through drawing curves with the use of Arithmetic scale and
logarithmic (Vertical) Scale the former is utilised in the arena of
OBJECTIVES AND METHODOLOGY
this study as because of the fact that this exercise in consonance
Objectives with the objectives set aims to explore graphically only the amount
of change rather than the ratio of change in the variables stated.
The specific objectives of this study in connection to the
Again it is worth noting here that trend element is eliminated
problem stated earlier are :—
from the data as and when necessary in the context of graphical
(i) To examine the nature of trend of Harvest price, wholesale analysis.
price and Marketing Margin or price spread upto wholesale level
along with other related issue(s). RESULTS AND DISCUSSION
(ii) To Examine the nature of movement of the ratio of Harvest Nature of trend of harvest price, wholesale price and
Price to wholesale over time. marketing Margin along-with other related issues.
(iii) To put forth the broad based findings of the study and make Results of regression analysis related to harvest price,
concluding remark on their basis. wholesale price and marketing margin are presented separately
* Research Scholar (Formerly) Deptt. of Agril. Economics, B. C. K. V. & presently Assistant professor of Economics, A. B. N. Seal College (WBES), Coochbehar
(W. B.).
** Professor, Deptt. Agril. Economics, F/Agril. Bidhan Chandra Krishi Viswa Vidyalaya, Mohanpur, Nadia, (W. B.).
for each of the alternative form of functiopns in the Table-1. 1956-57 to 1983-84 are presented in the Figure-2. Fluctuating
Irrespective of the form of functions significantly increasing trend magnitudes of this indicator over years are indicative of the
in all these variables is discerned from the table. Besides such existence of imperfection in the potato market in West Bengal.
trend, it is at the same time observed from the Figure-1 that there This finding is also substantiated by the Figure-3 where the
exists inter-year fluctuation in the wholesale price, harvest price proportion of harvest price to wholesale price is ploted against
and marketing margin. The nature of the fluctuation in these time after eliminating the trend component. Fluctuating behaviour
variables is broadly observed to be unidirectional. This visual of this indicator over years clearly imply the existence of
observation is confirmed by the summary statement presented in imperfection in the potato market of West Bengal.
the Table-2. It is further revealed by this table that the inter-year Broad based finding and conclusion : “the foregoing analysis
variation in marketing margin is more associated with the variation broadly reveals :
in the whole sale price implying the greater control of the whole-
(i) Wholesale price, harvest price and marketing margin have
salers in the determination of the marketing margin which seems
unindirectional inter-year fluctuation. The fluctuation in
to be consistent with the advantageous position assumed by the
marketing margin is more associated with that in the wholesale
wholesalers both at the buying and at the selling ends. Inter-year
price. Such an association implies the greater control of the
fluctuation in the whole-sale price, harvest price and marketing
wholesalers in the determination of marketing margin which
margin can be explained by the corresponding variation in the
seems to be consistent with the advantageous, [monopsonistic
production as it becomes evident from the Table-3. It is noted
and monopolistic (s)] assumed by the wholesalers both at buying
that observed fall including the troughs of the three variables
and at selling ends.
namely, wholesale price harvest price and marketing margin rather
than their rise including peaks is more closely associated with (ii) The proportion of harvest price to wholesale price before
the rise of production including its peaks. “The nature of and after elimination of trend component inherent therein is
movement of the ratio of harvest Price to wholesale price over also fluctuating over the years under consideration. such a
time. behaviour of this variable is very much transparently—indicative
of the existence of imperfection in the potato market in West
It can theoretically be demonstrated that price elasticity of Bengal.
demand at the farm and at the wholesale levels will be the same The existence of imperfectly competitive condition in the
if the price spread upto wholesale stage is a fixed proportion of potato market in West Bengal, thus observed restricts one to expect
the wholesale price. This virtually implies constancy of the ratio remunerative price for the potato growers and also such an
between farm price and wholesale price. Uniformity of price allocation of farm resources specially land towards potato
elasiticity of demand at different stages of marketing is suggestive cultivation which would take place in an alternative condition
of the absence of imperfection in the market. The movement of that is, in perfectly competitive condition. So there emerges the
the ratrio of harvest price to whole sale price over time will provide necessity to implement such market reformatory policies which
some idea about the nature of market. The proportion of harvest will enhance the extent of competition and thereby develop fair
price to wholesale price to over time period extending from as well as efficient pricing process or market mechanism.
ges'kk ^,xekdZ Z izekf.kr oLrq,a gh [kjhnsaA
Figure 1
Figure 2
Figure 3
Table—1
The Movement of Harvest Price, wholesale price (at Calcutta/Kolkata Marekt) & Marketing Margin upto wholesale Level : Results of Regression
Analysis.
Types of equation Items Observed Form of Equation Standard Error ‘r’ value ‘t’ Value
Harvest Price Y= 9.5006 +2.7626 × 0.236 0.83 11.719**

Linear Wholesale Price Y= 24.7527+3.6934× 0.304 0.85 12.137**
Marketing Margin Y= 12.4477+0.7842× 0.254 0.52 3.090**
Harvest Price Y= (–)9.6207+24.8898 Log× 0.793 0.63 6.893**

Log Linear Wholesale Price Y= 0.3315+32.1596 Log× 0.824 0.68 7.419**
Marketing Margin Y= 6.9372+6.9623 Log× 0.547 0.47 2.733**
Harvest Price Y= EXP (2.9374 +0.0571 ×) 0.934 0.87 13.795**

Exponential Wholesale Price Y= EXP (3.5261+0.0511×) 0.927 0.86 12.576**
Marketing Margin Y= EXP (2.5736+0.0313×) 0.012 0.45 2.594**
Harvest Price Y= EXP (2.47+0.5437 Log×) 0.858 0.74 8.850**

Power Wholesale Price Y= EXP (3.1307+0.4687 Log×) 0.872 0.76 9.105**
Marketing Margin Y= EXP (2.3573+0.2761 Log×) 0.120 0.41 2.301*
Note : *Significant at 5% probability level,

**Significant at 10% probability level.
Table-2
Frequency of Increase and Decrease of Wholesale Price (at Calcutta/Kolkata Market) Harvest Price & Marketing Margin upto wholesale level.
Items No. of Corresponding No. of Corresponding No. of Corresponding No. of Corresponding

Rise No. of Rise Falls No. of Falls Peaks No. of Peaks Troughs No. of Troughs
Wholesale Price 13 13 10 10
Wholesale Price & Harvest Price 9 8 4 7
Wholesale Price & Marketing Margin 11 9 8 6
Harvest Price 15 12 9 10
Harvest Price & Marketing Margin 6 4 1 3
Marketing Margin 15 12 10 10
Table-3 Pavaskar, M. G. & Radha Krishnaan : Marketing Margins in
Degree of association between production wholesale price Cotton, Economic and political weekly, Vol. V, No. 13 March 28,
(at Calcutta/Kolkata Market) Harvest Price & Marketing Margin 1970.
(upto wholesale level).
Saha B. K. Mukhopadhayay A : Horticultural Development
Sl. Items Number in West Bengal—The case of potate, Economic Affairs Vol. 33.
No. Qr. 2, April-June, 1988.
1. No. of Rise in wholesale price following the fall in 5 Singh, Laxman : Marketing Costs and producers’ share in
Production consumers’ Rupee–Two case studies of Rice in Madhya Pradesh,
2. No. of fall in wholesale price following the rise in 11 Agricultural situation in India, Vol. XVI, No. 10, January, 1962.
Production
Sinha Randhir, Singh R. R. &Verma P. N.: Marketing of Potato
3. No. of peaks of wholesale price following the 6 in Bihar Sharif, Agricultural situation in India, Vol. XXIII, No.
troughs of Production
5, August, 1968.
4. No. of Troughs in wholesale price following the 6
peaks of Production Thakur D. S. : Food Grain Marketing Efficiency : A case study
of Gujarat, Indian Journal of Agricultural Economics, Vol. XXIX
5. No. of Rise in Harvest price following the fall in 5 No. 4, October-December, 1974.
Production
6. No. of fall in Harvest price following the rise in 10

Books : “Kohls. R. L. UHL. Josheph. N : Marketing of
Production Agricultural products, Macmill-an publishing Co. (Fifth Edition)
INC, 1972.
7. No. of peaks of Harvest price following the troughs 2
of Production Lete Uma. J : Foodgrain Marketing φ in India–private
8. No. of troughs of Harvest price following the peaks 6 performance and public policy, cornell university press Ithaka,
of Production 1971.
9. No. of Rise in Marketing Margin following the 6 Subbarao K : Rice Marketing system and compulsory levies
fall in Production in Andhra Pradesh—A study of public Intervention in Foodgrain
10. No. of fall in Marketing Margin following the rise 11 Marketing, Allied Publishers, New Delhi, 1978.
in Production
Pavaskar, M. G. & Radha Krishnan : Marketing Margins in
11. No. of peaks of Marketing Margin following the 5 Cotton, Economic and political weekly, Vol.V, No. 13 March 28,
troughs of Production
1970.
12. No. of Troughs of Marketing Margin following the 2
peaks of Production Saha B. K. & Mukhopadhayay A : Horticultural Development
in West Bengal—The case of potato, Economic Affairs Vol. 33.
Bibliography Qr. 2, April-June, 1988.
Articles :— Singh, Laxman : Marketing Costs and producers’ share in
consumers’ Rupee–Two case studies of Rice in Madhya Pradesh,
Bhalerao. M.M. & Kalicharan : Marketing of vegetables in Agricultural situation in India, Vol. XVI, No. 10, January, 1962.
Varanasi, Agricultural situation in India, Vol.XXII, No. 1, April,
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Bhalerao. M.M. & Kalicharan : Marketing of wheat in 5, August, 1968.
Varanasi, Agricultural situation in India, Vol. XXIII, No. 1 April,
1968. Thakur D. S. : Foodgrain Marketing Efficiency : A case study
of Gujarat, Indian Journal of Agricultural Economics, Vol. XXIX
Baksi S. K. & Banerjee B. N. : Economics of potato cultivation No. 4, October-December, 1974.
in District Burdwan (West Bengal), Agricultural marketing, Vol.
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XXV, No. 4 January, 1983.
Agricultural products, Macmill-an publishing Co. (Fifth Edition)
Krishnaswamy, L. Harinarayan & Kumar Vijoy : A study of INC, 1972.
price spread of wheat in Rajasthan, Agricultural situation in India Lete Uma. J : Foodgrain Marketing φ in India–private
vol. XXIII No. 4 July, 1968. performance and public policy, cornell university press Ithaka,
1971.
Patnaik. K. Umashankar : Economic performance of Ground-
nut Marketing channels; A case study of Rayalaseema Region of Subbarao K : Rice Marketing system and compulsory levies
Andhra Pradesh, Indian Journal of Agricultural Economic, Vol. in Andhra Pradesh—A study of public Intervention in Foodgrain
XI, No. 1 January-March, 1985. Marketing, Allied Publishers, New Delhi, 1978.
An Economic Evaluation of Onion Production and its Marketing
System in Karnataka
—BALAPPA S. R.1 AND HUGAS L. B2
Introduction Gulbarga were selected based on the highest area under selected
O nion is one of the most important vegetable grown in India crops. Similarly, in the second stage, two to four taluks were
which is used either in raw or dehydrated form to add flavour selected based on potentiality and highest area under onion crop
and taste to Indian cuisine. Since onion has medicinal values, it in the concerned district in the third stage, 30 farmers growing
is used in some pharmaceutical preparations also. The diverse onion from selected taluks of the district were selected at random
agro-climatic conditions enable India to produce onion in one or in view of spread out of onion growers in different villages. Thus,
the other part round the year. At present, India stands second the sample size constituted of 150 for the study as a whole.
largest producer of onion in the world, next only to China (FAO Further, while selecting the villages in the selected taluks for
production yearbook, 1998). For India, onion is a consistent earner identifying the potentiality as well as concentration of onion
of foreign exchange and the exports on onion and onion products growers, experience of the officers of Horticulture/Agriculture/
reach several destinations (Kulkarni and Prema, 1997). The total Marketing Departments at district/taluka level along with those
production of onion in India increased from 2.5 million tonnes in of market inteermediaries were taken by consultation.
1980-81 to 4.4 million tonnes in 1998-99 (Anon., 1999). For studying marketing aspects, six markets namely Belgaum.
Dharwad, Hubli, Bijapur, Raichur and Gulbarga were choosen
Most of the onion produced in India comes from the states of
based on the size of the market for the selected crop. From each
Maharashtra, Gujarat, Uttar Pradesh and Karnataka though onion
of the market, five wholesalers, five commission agent-cum-
is also grown in Orissa, Tamil Nadu, Madhya Pradesh, Andhra
wholesalers and five retailers were choosen and interviewed
Pradesh and Bihar. Karnataka state accounted for 20 per cent
personally to elicit required information with the help of well
area and 13 per cent total output of onion in the country in 1996-
structured and pre-tested questionnaire.
97 (Anon., 1999).
Tabular analytical technique with the help of percentages,
In the state of Karnataka, north Karnataka accounts for the averages and ratios were used to compute costs, returns, prices,
bulk of the total onion production and Hubli and Belgaum are sales, etc. of producer-seller as well as different market
biggest onion markets. The onion produced in North Karnataka functionaries. The primary data on cultivation and marketing of
is distributed throughout the country. Bulk of the onion exported onion pertained to the agricultural year 1999-2000.
from India also originates from North Karnataka. Though there
is great potential for the state of Karnataka in the cultivation of In the study area, following four important marketing channels
onion crop, formers often incur losses due to low prices, lack of were identified in marketing of vegetables in different markets.
market outlet and other infrastructure in the marketing system.
Channel I : Producer-seller → Village merchant → Wholesaler
In the light of the above facts, this paper seeks to evaluate → Retailer → Consumer
various aspects of production and marketing of onion in the state
of Karnataka in general and North Karnataka in particular. The Channel II : Producer-seller→ Commission agent → Wholesaler
broad objectives of this paper are to comprehensively analyse → Retailer → Consumer
various components of production and marketing costs, marketing Channel III: Producer-seller → Commission agent-cum-
channels adopted by the farmers, producer’s share in consumer’s Wholesaler — Retailer → Consumer
rupee, price spread, etc. in respect of this important valued crop
in this state. Channel IV : Producer-seller → Consumer
Methodology However, Marketing channel IV was not popular among onion

growers as only 2 to 5 per cents of them marketed their produce
The present study was conducted in North Karnataka because through this channel. Therefore, while working out marketing
it accounts 73.20 per cent of onion area in the state during costs and margins, this channel was not considered. It has been
1996-97. The multistage random sampling technique was adopted observed that the price spread varied not only between the markets
in designing sampling frame for the study. In the first stage, the but also between the different channels of marketing for the same
districts namely Belgaum, Dharwad, Bijapur, Raichur and vegetable and within the different vegetables themselves.
1. Research Associate, Cost of Cultivation Scheme (GOI), UAS, Bangalore.

2. Professor and Head, Deptt. of Agril. Economics, College of Agriculture, Raichur.
Results and Discussion the lowest (1.58) in Belgaum district.
Among the five districts considered for study, onion was grown The average marketing cost incurred by the producer-seller in
under rainfed conditions in Belgaum and Dharwad, while it was onion (Table 3) in the overall study area accounted to Rs. 56.72
cultivated under irrigated conditions in Bijapur, Raichur and per quintal, its magnitude was higher in Gulbarga (Rs. 68.76/q.)
Gulbarga districts. and Raichur (Rs. 60.81/q.) markets as compared to Bijapur (Rs.
56.06/q.) Belgaum (Rs. 43.55/q.) and Dharwad (Rs. 41.05/q.)
markets, mainly due to higher commission paid by them. Majority
On an average, farmers incurred a total cost of cultivation of of the farmers of these three districts sold their produce in the
Rs. 24,400 per hectare, of which variable cost accounted for more Hyderabad market (Andhra Pradesh) due to higher price prevailing
than 90 per cent (Table 1). Among the variable costs, expenditure in that market and pay commission charges of six per cent as
on human labour (37.91%) constituted major item of total cost of against two per cent in Karnataka. Similar pattern was observed
cultivation followed by expenditure on fertilizers (12.89%), farm- in marketing cost incurred by the farmers per hectare.
yard manure (10.64%), irrigation (9.82%), seeds (8.14), and
Out of the total marketing cost incurred by the product-seller,
bullock labour (6.82%). This clearly indicates that the vegetables
the commission charge (35.95%) accounted for major component
were cultivated with traditional practices which are labour
followed by expenditure on transportation (32.04%) and cost of
intensive. However, the availability of labour especially during
packing (17.35%) in the overall study area, Similar pattern was
peak seasons was inadequate as perceived by the farmers during
observed in all the markets except Belgaum and Dharwad markets
their opinion survey. The rental value of land formed major
wherein transportation cost was the major component followed
component (7.13%) of the cost of cultivation among fixed costs.
by cost on packing and commission charges. These three
Similar pattern of cost structure was observed in all the selected
components alone accounted for about 85.34 per cent of the total
districts. However, the total cost of cultivation in Belgaum
marketing cost incurred by the farmers.
(Rs. 16.764/ha) and harwad (Rs. 18,025/ha) districts were found
to be relatively lower than other districts namely Raichur An appraisal of components of marketing costs clearly revealed
(Rs. 1,207.70/ha), Bijapur (Rs. 29,444.59/ha) and Gulbarga that commission charge formed the most significant constituent
(Rs.26,557.35/ha) as well as overall (Rs. 24,400.38/ha) average, of the total marketing cost incurred by the farmers. Similar results
mainly because of lower levels of input use and costs incurred were obtained for vegetables in different locations by Chatha and
especially the major inputs such as human labour, chemical Kaul (1982) and Subrahmanyam (1988). This was mainly due to
fertilizers and plant protection chemicals. Similar trend was also abnormaly high rate of commission charges by the commission
observed in the case of total variable costs. agent/commission agent-cum-wholesaler, which varied from two
to 6 per cent of the value of the produce sold.
The overall average net returns obtained by onion growers
amounted to Rs. 45,429.29 per hectare with gross returns of Rs. The magnitude of price spread was found to be lowest in
69,828.67 per hactare. However, farmers of Gulbarga (Rs. Raichur market (<29%) in both the channels as compared to other
70,355.01/ha), Bijapur (Rs. 67,714.41/ha) and Raichur (Rs. markets indicating higher share of producer’s in consumer’s price
64,421.35/ha) districts obtained net returns more than three times (>71%). Thus, producer’s share in the price paid by the consumer
of Dharwad (Rs. 22,365.18/ha) and Belgaum (16,578.86/ha) varied marginally among different markets.
districts, mainly due to cultivation of onion under irrigation
Out of the price spread, the total cost of marketing incurred
condition in these districts.
by different market functionaries formed major components in
The overall average total cost worked out to be Rs. 202.45 per both the channels (21.33% to 22.13%) followed by total margins
quintal in onion (Table 2), of which cultivation cost (Rs. 147.00/ accrued to them (9.85% to 11.44%). Similar pattern was observed
q.) was higher than its marketing cost (Rs. 55.45/q.). A similar in all the markets, The village merchants with higher marketing
trend was observed in all the districts. However, the total cost in coast incurred, realised lower margins out of the total marketing
Raichur (Rs. 219.54/q.) and Belgaum (Rs. 212.82/q.) districts margin.
was marginally higher than other districts. A similar pattern was
The village merchant play a very important role in moving
also observed in the case of cultivation cost.
the produce from village to the market particularly smaller lots
The per quintal gross returns for the overall study area comes of produce by the farmers. However, the net margins accrued to
to Rs. 420.68 resulting a net returns of Rs. 286.34 over variable the village merchants was considerably lower than that of other
cost and Rs. 273.68 over cultivation cost with benefit cost ratio intermediaries eventhough the proportion of cost incurred was
of 2.08. Among the different districts, farmers of Raichur district higher. Further, the producer’s share in consumer’s rupee realised
realised the highest gross returns (Rs. 486.67/q.) while net returns both in onion in channel-1 was almost equal to that of channel-
over variable cost (Rs. 352.53/q.) cultivation cost (Rs. 341.93/q.) II. In channel-I, eventhough an additional intermediary of village
and total cost (Rs. 273.17/q.) were found to be highest in Gulbarga merchant was involved in the chain of marketing system, the
district, mainly due to good quality of the produce obtained in producer’s share in consumer’s rupee has not changed indicating
irrigated condition which fetched higher price. The benefit cost the favourable role of village merchants in the marketing of
ratio was again highest (2.38) in Gulbarga district while, it was vegetables. Therefore, considering the role of village merchants
especially in handling small lots of small and marginal vegetable and services. Therefore, in order to regulate the expenditure on
growers, it is important to encourage the village merchants in commission, transportation and packing, efforts should be made
linking production centres with the wholesale markets of to develop the necessary infra-structure for the marketing of onion
vegetables. It is also important to bring the transactions under in the state. Alternatively, it is suggested to develop the farmer’s
regulation to a proper systems of licensing. Alternatively, farmer’s market for vegetables in general and onion in particular.
markets may be developed in line with Ryath Bazar/Apni mandi
REFERENCES
to bring the farmers in direct transactions with the consumer’s so
as to benefit both producers and consumers. ANONYMOUS, 1999, Directory of Indian Agriculture. Indian
It is worth noting that the percentage of margins realised Economic Data Research Centre, New Delhi, p. 185.
by the different market intermediaries was higher than their CHATHA, I. S. AND KAUL, J. L. 1982, A study into the price
cost incurred in the marketing of onion. Among the market behaviour and marketing margins of potato in Punjab.
intermediaries, the share of the retailers in the marketing
Agricultural Marketing, 20(1) : 21—24.
margin was higher than other intermediaries. This may be
attributed to the fact that retailers often incurred losses due CHAUHAN, R. S., SINGH, J. N. AND THAKUR, D. R., 1998,
to wastage in handling, spoilage with passage of time, price Producer’s in vegetables in Azomgarh district of Uttar
fluctuations, etc. resulting in higher cost of marketing and Pradesh. Indian Journal of Agricultural Marketing, 12(3) :
risk in handling. Similar results were reported by Shiyani et 104—105.
al. (1988) and Jairath (1997).
JAIRATH, M. S., 1997, Operational efficiency in fruits and
Conclusion vegetables market—A case study. Indian Journal of
In view of the major cost on labour, there is immediate need Agtricultural Marketing, 11 (1&2): 92—93.
to develop the labour saving practices such as use of weedicides,
improved tools for planting, harvesting, etc. Appropriate KULKARNI, A. P. AND PREMA, B., 1997, Factors influencing
extension method may be adopted to evaluate the farmers on onion prices in India. Journal of Indian School of Political
optimum use of inputs. Economy, 9(3) : 463—489.
Though the farmers are producing adequate quantity of onion SHIYANI, R. L., KUCHIADIYA, D. B. AND PATAT, M. V.,
to meet the consumer demand, they are facing problems in 1988, Marketing of vegetables in South Sourshtra zone of
marketing of their produce. On the other hand, market Gujarat, Indian Journal of Agricultural Marketing, 12 (1 &2)
intermediarties are accruing higher margin by incurring less cost : 156—160.
Table-1
Costs and returns structure of Onion production
(Rs./ha)
Sl. Particulars Belgaum Dharwad Bijapur Raichur Gulbarga Overall

No.
A. Variable Costs
1. Seeds 1332.65 16858.65 2352.00 2567.45 1991.99 1985.95
(7.95) (9.35) (7.99) (8.23) (7.50) (8.14)
2. Farm yard manure 2277.79 2735.81 3366.90 3276.33 1319.50 2595.27
(13.59) (15.18) (11.43) (10.50) (4.97) (10.64)
3. Fertilizers 2807.55 2526.03 4003.15 4486.75 1908.07 3146.31

(16.75) (14.01) (13.59) (14.38) (7.18) (12.89)
4. P. P. Chemicals 251.22 210.00 418.71 690.93 130.12 340.20
(1.50) (1.16) (1.42) (2.21) (0.49) (1.39)
5. Human Labour 5103.35 5828.40 10970.40 12736.00 11619.60 9251.47
(30.44) (32.33) (37.26) (40.81) (43.75) (37.91)
6. Bullock labour 1960.00 1960.00 636.00 1084.50 1680.50 1664.20

(11.69) (10.87) (5.56) (3.47) (6.33) (6.82)
7. Irrigation — — 2525.47 2116.27 2546.13 2395.96
(8.58) (6.78) (9.59) (9.82)
8. Repairs and maintenance 65.77 60.99 203.04 179.95 187.22 139.39
(0.39) (0.34) (0.69) (0.58) (0.70) (0.57)
9. Interest on variable cost 965.88 1050.48 1783.30 1899.67 2993.64 1738.59

(5.76) (5.83) (6.06) (6.09) (11.27) (7.12)
Sub-total 14764.21 16057.36 27259.01 29037.85 24376.77 22299.04

(88.06) (89.08) (92.58) (93.05) (91.79) (91.39)
B. Fixed Costs.
1. Depreciation 55.83 76.05 223.87 211.39 219.33 157.29
(0.33) (0.42) (0.76) (0.68) (0.82) (0.64)
2, Rental value of land 1750.00 1700.00 1750.00 1750.00 1750.00 1740.00

(10.44) (9.43) (5.94) (5.61) (6.59) (7.13)
3. Land revenue 13.02 13.02 13.02 13.02 13.02 13.02
(0.08) (0.07) (0.04) (0.04) (0.05) (0.05)
4. Interest on fixed cost 181.88 178.91 198.69 197.44 198.23 191.03
(1.08) (0.99) (0.67) (0.63) (0.75) (0.78)
Sub-total 2000.73 967.98 2185.58 2171.85 2180.58 2101.34

(11.94) (10.92) (7.42) (6.95) (8.21) (8.61)
C. Total Cost of Cultivation 16764.94 18025.34 29444.59 31207.70 26557.35 24400.38

(100.00) (100.00) (100.00) (100.00) (100.00) (100.00)
D. Returns
Yield (q.) 99.04 116.72 211.80 196.62 205.76 165.99
Rate (Rs./q.) 336.67 350.33 458.73 486.67 471.00 420.68
Gross returns 33343.80 40890.58 97159.00 95689.05 96912.96 69828.67
Net returns 16578.86 22365.18 67714.41 64421.35 70355.61 45429.29
Note : Figures in Parentheses indicate percentage to total cost of cultivation.
Table-2
Costs and returns per quintal of Onion production under rainfed and irrigated situations
(Rupees)
Sl. Particulars Belgaum Dharwad Bijapur Raichur Gulbarg a

No. (rainfed) (rainfed) (irrigated) (irrigated) (irrigated) Overall
I. Costs
1. Variable cost 149.07 137.57 128.70 147.68 118.47 134.34
2. Fixed cosst 20.20 16.86 10.32 11.05 10.60 12.66
3. Cultivation cost 169.27 154.43 139.02 158.73 129.07 147.00
4. Marketing ccst 43.55 41.05 56.06 60.81 68.76 55.45
5. Total cost 212.82 195.48 195.08 219.54 197.83 202.45
II. Returns
1. Gross returns 336.67 350.33 458.73 486.67 471.00 420.68
2. Net returns
(i) Over variable cost 187.60 212.76 330.03 338.99 352.53 286.34
(ii) Over cultivation cost 167.40 195.90 319.71 327.94 341.93 273.68
(iii) Over total cost 123.85 154.85 263.65 267.13 273.17 218.83
3. Benefit cost ratio 1.58 1.79 2.35 2.22 2.38 2.08
Table-3
Marketing cost incurred by the producer in Onion
(Rs/q.)
Sl. No. Particulars Belgaum Dharwad Bijapur Raichur Gulbarga Overall
A. Transactions
1. Quantity sold (q) 99.04 116.72 211.80 196.62 205.76 165.99
2. Sale price (Rs.) 336.67 350.33 458.73 486.67 471.00 420.68
3. Sale value (Rs.) 33343.80 40890.52 97159.00 95689.05 96912.96 69828.67
4. Net price (Rs.) 293.12 309.28 402.67 425.86 402.24 366.63
B. Costs
1. Cost of packing 13.08 12.00 14.35 1.99 9.96 9.84
(30.03) (29.23) (25.28) (3.27) (14.28) (17.35)
2. Loading and unloading charges 3.00 3.00 2.98 2.00 3.00 2.76
(6.89) (7.31) (5.31) (3.29) (4.36) (4.86)
3. Transportation 13.78 13.16 15.71 22.15 21.88 18.18
(31.64) (32.05) (28.03) (36.43) (31.82) (32.04)
4. Commission charges 6.73 7.00 18.35 29.20 28.26 20.39
(15.46) (17.07) (32.73) (48.02) (41.10) (35.95)
5. Hamali charges 2.00 2.00 2.00 2.49 2.49 2.24
(4.59) (4.87) (3.55) (4.10) (3.68) (3.94)
6. Weighment charges 0.50 0.50 0.52 1.00 1.00 0.75
(1.15) (1.22) (0.93) (1.64) (1.45) (1.32)
7. Market cess 0.62 0.62 0.50 0.56 0.50 0.53
(1.42) (1.50) (0.89) (0.82) (0.73) (0.93)
8. Miscellaneous expenses 3.91 2.77 1.65 1.42 1.67 2.03
(8.97) (6.74) (2.95) (2.35) (2.42) (3.57)
Total 43.55 41.05 56.06 6.81 68.76 56.72
(100.00) (100.00) (100.00) (100.00) (100.00) (100.00)
Total cost of Marketing (Rs./ha) 4313.19 4791.36 11873.51 11956.46 14148.06 9416.52
Note : Figures in parentheses indicate percentages
Extent and Export Potential of Major Flowers Grown in Haryana
and other parts of India
—ASHOK DHILLION1, R. K. KHATKAR 2, SUBE SINGH3 AND M. S. LUHACH4
Introduction Where,
T he floriculture industry has a bright future in the context of

globalization and liberalization of trade in the recent years.
The global trade of floricultural products is estimated to be 50
Y = Export of flowers (Rs. Lakhs)
a = Constant
billion US dollar, of which flowers and plants accounts for more b = regression coefficients
than 80 per cent of the total trade. The flowers are good source
t = times in years
of earning foreign exchange. The scope for export of flowers in
the foreign markets has been tremendously increased Compound growth rate was calculated using the following
(Anonymous, 2000). formula :
The world consumption of floricultural products is estimated CGR (Compound Growth Rate) = (Anti log b-1) x 100 ……… (iii)
to be approximately (US$ 25 billion) to the global trade. At
The standard error of the growth rates were calculated by using
present, per capita consumption of flowers is more in Switzerland
the following formula :
i.e. 87 US$ followed by Norway 168 US$, Italy (56 US$),
√
Germany (48 US$), Australia (45 US$), Sweden (44 US$) and 100B ∑(Log yt)2- (1/N) (∑Log yt)2- (Log 10B)∑t2- (∑t/R/N)2
Netherlands (42 US$). In India, consumption of flowers is much Eo =
higher in the Southern states than the Northern counterparts. 100 g 10e N-2 (∑t2-(1/N) (∑t2)
Though, the industry is growing at a faster rate comparatively,
but still there is a scope to bridge the gap of demand and supply Results and Discussion
in domestic as well as in world market (Kandu et al., 1999). On the basis of the data so collected and analysed, the results
In India’s total flowers exports, the share of USA was the of the study are presented as follow :
highest (25.37%) followed by Germany (16.89%), Saudi Arabia Export of floricultural products from India
(9.50%), Italy (8.40%) and UAE (18.05%), respectively during
The data in Table 1 revealed that India’s floriculture export
the year 1992-93. During the year 1997-98, the share of export
exhibited a steady growth during the period 1980-81 to 1999-
of flowers from India was the highest in Japan (38.85%) followed
2000. The export of floricultural products during 1982-83 were
by Netherlands (28.49%) and USA (7.41%), respectively. The
the lowest (amounting to Rs. 32 lakhs only). But these reached at
highest percentage increase of export of fresh cut flowers was
about Rs. 18 crores in 1993-94, Rs. 30.60 crores in 1994-95,
observed in Japan, Netherlands, UK, Australia and Hongkong.
Rs. 57.80 crores in 1995-96 and Rs. 100 crores by the year 1999-
Research Methodology 2000. Thereby showing a huge increase of about 118 percent in
1999-2000 over 1980-81. This indicated a significant growth on
The relevant data pertaining to export of flowers from India
export front, thanks to the acceptance of their quality in major
were collected from APEDA, Horticulture Development Board
foreign markets and the higher prices obtained due to the
and other published sources. The information pertaining to export
liberalization of industrial and trade policies in July, 1991 which
from Haryana were worked out on the basis of per cent
passed the way for development of export oriented production of
contribution of Haryana towards production of flowers in India
cut flowers and the new seed policy of 1988 had already made it
over the years.
feasible to import planting material of international varieties
Trends and compared growth rate of flower crops (Padamanabhan, 1991).
To analyse the trend and growth rates of export of flower crops Trends value and compound Growth Rate of Exports of
from 1991-92 to 1999-2000, linear and compound growth rates floriculture products from India
of the following form were fitted :
The estimated trend line and compound growth rate of exports
Y = a+bt (i) of floricultural products from India are depicted in Table 2. It is
Y = abt (ii) clear from the Table 2 that India recorded significant increasing
1. Research Associate in the NATP Project, Department of Agril. Econ. CCS HAU, Hisar.
2. Professor, Department of Agricultural Econ., CCS HAU, Hisar.
3. Senior Research Fellow in NATP Project Dryland Agriculture Research Project, Department of Agronomy, CCS HAU, Hisar.
4. Research Associate, Kandi Project, Deptt. of Agril. Economics, CCS HAU, Hisar.
trend in export of their products. On the basis of the findings, it other parts of India respectively at constant prices (1991-92=100).
can be inferred that during the period under study (1980-81 to It indicated that Haryana state has made commendable progress
1999-2000), India performed extremely well in floricultural in export of flowers.
product exports. The linear trend value indicated that flowers
The estimated trend line and compound growth rate of
exports increased at the annual rate of Rs. 495 lakhs. The higher
floricultural products export from Haryana (Table 3) indicated
compound growth rate (about 38 per cent at current prices and
that Haryana had made significant growth on export front. Thanks
29.60 per cent at constant prices 1981-82=100) of floricultural
to the acceptance of quality of our products in major foreign
exports indicated that India’s floricultural exports obtained
markets. Haryana’s floricultural products exports achieved a
credible performance and have vital potential the findings are in
compound growth rate of about 44.50 percent per annum, which
conformity with Acharya et al. 1996.
indicated that Haryana’s floricultural export has tremendous
Extent of Flowers exports from Haryana and other parts of potential and the floricultural industry in Haryana is poised for a
India major boon.
REFERENCES
The results in Table 3 indicated that floricultural export from
other parts of India and Haryana are picking up at a faster rate. It Acharya, Punki and Panda, P. K. 1996. Floriculture—a promising
increased from nearly Rs. 14.80 crores in 1991-92 to 100 crores foreign exchange earner. Yojana, 40(12): 17—19.
in 1999-2000 in India. The corresponding figures for Haryana Anonymous, 2001. National Horticultural Board. Government
were Rs. 43.37 lakhs in 1991-92 to 796.00 lakhs in 1999-2000. of India.
Further it showed export of flowers from other parts of India as
Jadhav, M. S., Inamdan, P. P. and Pagire, B. V. 2000. Export
well as from Haryana increased at a faster rate in terms of quantity.
potential and marketing of flowers in India. Indian Journal of
The export of flowers from Haryana was just 180.60 MT in Agricultural marketing conf. spl. 125—134.
1991-92 which increased to 1652.25 MT in 1999-2000. The export Kundu, K. K., Singh, Jai, Singh, V. K. and Suhag, K. S. 1997.
of flowers in terms of quantity from Haryana and other parts of India’s floricultural exports growth, status, constraints and
India increased at a compund growth rate of 32.40 per cent and export strategies: An economic analysis, Indian Journal of
15 per cent per annum, respectively. Agricultural Marketing, 11(1 & 2): 14—21.
The export in terms of value increased at an annual compound Padamanathan, B. S. 1991. Unlimited export potential. The Hindu
growth rate of 39 per cent and 23.34 per cent from Haryana and Survey of Indian Agriculutral. 5 : 197—99.
Table-1
Export of Floricultural Products from India (1980-81 to 1999-2000)
Sl. No. Years Value of exports Value of export in Rs Lakhs at constant

(in Rs. Lakhs) prices (1981-82 = 100)
1 2 3 4
1. 1980-81 83.61 —
2. 1981-82 56.57 56.57
3. 1982-83 32.03 30.53
4. 1983-84 48.21 42.73
5. 1984-85 65.11 54.21
6. 1985-86 217.11 173.13
7. 1986-87 213.78 161.16
8. 1987-88 174.53 121.62
9. 1988-89 467.13 302.93
10. 1989-90 657.00 396.49
11. 1990-91 786.68 430.58
12. 1991-92 1480.18 712.30
13. 1992-93 1480.18 647.21
14. 1993-94 1799.58 726.22
1 2 3 4
15. 1994-95 3060.00 1096.77

16. 1995-96 5780.00 1918.35
17. 1996-97 6340.00 2011.42
18. 1997-98 7750.00 2354.90
19. 1998-99 9661.00 2771.37
20. 1999-2000 10000.00 2777.77
C. G. R. (per cent) 37.80 29.60
Table-2
Trend value and Compound Growth Rate of Exports of Floriculture Products from India
Trend Line E1 = – 2691 – 062 + 495 113t*

Standard error of regression coefficient 68.77
t – statistics 7.199
R2 0.74
Compound growth rate (%) 37.8*
*Significant at 5% probability level

Table-3
Extent of Flowers Export from Haryana and other parts of India
India Haryana
Years
Value Value Quantity Value Value (Rs. Quantity
(Rs. Lakh) (Rs. Lakh) at (M. T.) (Rs. Lakh) Lakh) at (M. T.)
constant prices constant prices
(1991–92=100) (1991–92=100)
1991-92 1480.18 1480 6164 43.37 43.37 180.60

(2.93) (2.92)
1992-93 1480.18 1345 8439 111.60 101.40 636.30
(7.53) (7.53)
1993-94 1799.58 1509 9487 117.20 38.28 918.34
(6.51) (9.67)
1994-95 3060.00 2279 10816 248.77 185.28 879.34
(8.12) (8.12)
1995-96 5780.00 3986 13617 367.03 253.13 864.67
(6.35) (6.34)
1996-97 6340.50 4180 14961 537.63 354.44 1268.67
(8.47) (8.48)
1997-98 7750.00 4813 14920 699.82 441.88 1347.27
(9.42) (9.02)
1998-99 9661.00 5759 18734 852.10 507.94 1652.33
(8.81) (8.81)
1999-2000 10000.00 5772 20757 796.00 459.47 1652.25
(7.96) (7.95)
(C.G.R.) 35.50 23.34 15.00 44.50 39.00 32.40

%)
Figures in parentheses are percentage to India’s figure in respective years

M. T.—Metric Tonnes
A Case Study of Migrant Vegetable Sellers in Ludhiana City
—M.S. SIDHU*, P. S. RANGI **AND TEJINDER KAUR***
Introduction (ii) to study the employment pattern and earnings of the

migrant vegetable sellers;
T he Punjab State has been demanding labour for various
activities through pull factors from the neighbouring states
of Uttar Pradesh, Jammu and Kashmir and Rajasthan since long.
(iii) to examine the impact of migrant vegetable sellers
on the employment and general economic conditions
In fact, there has been an equally strong push factors for labour of the local vegetable sellers; and
from these states since the mid-sixties especially after the initiation
(iv) to assess the consumers’ behaviour regarding
of the process of green revolution in the State. Now labourers
purchase of vegetables from the migrants vis-a-vis
come to Punjab even from far-off places in Bihar, Orissa, West
local vegetable sellers.
Bengal and Madhya Pradesh states for gainful employment. In
the wake of green revolution in Punjab and widespread adoption Methodology
of wheat-paddy rotation which is quite intensive, the farmers of
Keeping in view the objectives of the study, a sample of 60
the state have become largely dependent on migratory labour for
migrant vegetable sellers was taken from the Ludhiana city. These
various agricultural operations (Sidhu, Rangi and Singh, 1997).
migrants were selected through convenient sampling technique
During the last one decade, the Punjab agriculture has faced from different vegetable markets. A sample of 30 local vegetable
the problem of stagnation. The cropping intensity has become sellers and 30 consumers was taken through convenient sampling
almost stagnant around 185 per cent for the last few years and technique. The data were collected through personal interview
there is little scope for its increase in the near future (Rangi and method. The schedules prepared in this regard were pre-tested.
Sidhu, 2000). The Punjab agriculture has developed a structure The data pertained to the year 1999-2000. The secondary data
and system of employing one-tenth of its total labour use for the were also taken from the Statistical Abstracts of Punjab and the
migrant labourers. Keeping in view the stagnation of employment office of the Market Committee, Ludhiana.
opportunities in the agricultural sector of the state, the migrant
RESULTS AND DISCUSSION
labour force has also started looking for new employment
opportunities in the non-agricultural sector, viz., rickshaw pulling, Socio-economic background of the migrants
construction workers, skilled and unskilled workers in factories,
The socio-economic characteristics of the migrant vegetable
petty shopkeepers like vegetable and fruit vendors, tea-stalls. pan.
sellers such as age, caste, marital status, literacy level, family
bidi, cigarette sellers, shop attendents, cooks or waiters in hotels/
size, their economic position and the place/state from where they
restaurants/halwai shops, coblers, masons, carpenters, plumbers,
migrated are important indicators influencing the labour supply.
gardeners, press walas, etc. Most of these employment
These socio-economic variables are explained as follows :
opportunities are available to these labourers in the urban areas
of the State where being in larger groups, they also feel themselves State-wise classification of migrant vegetable sellers
to be more secure.
A study of the state-wise distribution of the migrant vegetable
Ludhina is the fastest growing city of the State. From a sellers showed that majority of the sellers come from the States
population of just about 49 thousands in 1901, it is now a mega of Uttar Pradesh and Bihar. About 60 per cent of the respondents
city with more than 20 lakh persons. Every fourth person in belonged to Uttar Pradesh and about 37 per cent hailed from
Ludhiana city is a migrant from the neighbouring states. There is Bihar. One each of the migrants came from Nepal and Haryana.
a large fruit and vegetable market in the city. The annual arrival In case of Uttar Pradesh, majority of them belonged to the eastern
of various vegetables is more than 20 lakh quintals. It is estimated region and in Bihar, majority of them hailed from the northern
that there are about 5000 vegetable sellers in the city out of which parts. The major reason behind migration of vegetable sellers
almost 50 per cent are migrants. Therefore, the present study has was the stark poverty in these areas and lack of gainful
been undertaken especially : employment in their home states.
(i) to identify factors associated with the migration of Age group

labour and examine the socio-economic background As regards the group of the migrant vegetable sellers, the
of the migrant vegetable sellers; study revealed that about 80 per cent of them fell in the young
*Economist (Marketing)**; Senior Economist (Marketing)*** and Research Fellow respectively, Department of Economics and Sociology, Punjab Agricultural
University, Ludhiana-141004.
age group of 20 to 40 years and about 15 per cent were above 40 The education level of the migrant vegetable sellers is shown
years. About five per cent of them were below 20 years of age. in Table 2.
Thus, it was mainly younger people who migrated and sought Table-2
employment in vegetable selling. The major reason for this was
Education level of the educated migrant Vegetable sellers, 1999-2000
that the young persons could better withstand the trials and
tribulations associated with the migration and could better adjust
Education level No. of respondents Percentage to the total
themselves in the new environment and working conditions.
Another reason was that the older people liked to stay back at Up to V 20 51.28
home (state) to look after the family affairs. VI to VIII 10 25.64
Caste-wise distribution of migrants IX to X 4 10.26
The caste-wise distribution of the migrant vegetable sellers is XI to XII 2 5.13

given in Table 1. Undergraduate 2 5.13
Table-1 Graduate 1 2.56
Caste-wise distribution of migrant Vegetable sellers, 1999-2000 Total 39 100.00
Caste No. of respondents Percentage to the total As already stated, about 65 per cent of the migrant vegetable
sellers were educated. Among the educated migrants, about 51
High caste 21 35.00
per cent had educated up to Vth standard, about 26 per cent from
Scheduled caste 23 38.33 sixth to eight standard and about ten per cent from ninth to tenth
Backward caste 5 8.33 standard. About five per cent each had education from XI to XII
and undergraduation. It may be mentioned here that one
Others* 11 18.34 respondent was graduate also. As already discussed, education
plays an important role in every business and it is also very crucial
Total 60 100.00
in vegetable selling.
*Others included Muslims also. Family size
The data given in Table 1 showed that about 38 per cent of Generally, the migrants belonged to those families whose
them belonged to the Scheduled Castes and eight per cent to the family size was relatively large. About 62 per cent of the
backward castes. Thirty-five per cent of them belonged to the respondents belonged to the families having 6 to 10 family
high castes, whereas about 18 per cent hailed from other castes. members and about ten per cent having 11 to 15 family members.
The dominance of the lower castes among the migrant vegetable About 28 per cent of the migrants had family size of up to five
sellers is due to the understandable reason of greater economic members. This showed that there is a slow increase in awareness
hardships faced by these groups in these native places. about the benefits of small family size. Moreover, it also revealed
that the joint family system is breaking up even in States like
Martial status
Uttar Pradesh and Bihar due to social and economic factors. Still,
The material status of the migrant vegetable sellers is a the overall size of the families was large due to greater incidence
particularly important variable. About 67 per cent of them were of poverty in these areas.
married and the rest about 33 per cent were single. Among the
It may be mentioned that the number of earners in the families
married migrants, about one-fourth have brought their families
was rather small. About 42 per cent of the respondents were sole
to Ludhiana also. The family life provided social and moral
earners in their families, about 25 per cent respondents reported
support to the migrants.
two earners and 20 per cent had three carners. The percentage of
Literacy rate families with four and five carning members were about five and
about seven. It is interesting to note that 40 per cent of the other
The educational level of the magrant vegetable sellers was earners in the famililies of the respondents were also vegetable
also studied and it was found that out of 60 sellers, 65 per cent sellers. About three per cent of them were fruit sellers. A large
were educated and 35 per cent were uneducated. The percentage number of earners (38.33 per cent) were working as agricultural
share of educated migrants was more on account of the fact that labourers, ten per cent were casual workers in the urban areas,
buying and selling of vegetable requires calculations. Some buyers five per cent were industrial workers and three per cent were
purchase more quantity of vegetable, whereas there are small rickshaw pullers.
purchasers also. Therefore, to win the confidence of the buyers,
the calculations done by the vegetable sellers should always be Land ownership
correct one. Most of the uneducated migrant vegetable sellers Majority of the migrant vegetable sellers (72 per cent) were
generally sold onions and potato. The sale of these two observed to be having land. About 28 per cent of them were
commodities is more easy for the uneducated sellers. landless. But the size of holding was small (Table 3).
Table-3 Period of migration
Size of holding of migrant Vegetable sellers, 1999-2000
The general experience of the researchers in Punjab shows
Holding size No. of migrants Percentage to the total
that the phenomenon of migrant labourers in Punjab picked up
(in acres) significantly around mid-1970s when paddy cultivation picked
up in the state. It is also important to note that there is a
Up to 1 4 9.30 replacement amongst the migrants with the old aged persons
1—2 15 34.88 staying back for being less competitive in the market at new place.
2—3 12 27.91 The data given in Table 5 shows the period of migration of the
respondents to Punjab.
3—4 1 2.32
Table-5
4—5 3 6.98
Period of migration of the migrant Vegetable sellers, 1999-2000
5 and above 8 18.61
Period No. of respondents Percentage
Total 43 100.00
Before 1980 2 3.34
Among those owning land, as many as 63 per cent had 1981–1985 9 15.00
agricultural land from one to three acres and about nine per cent
1986–1990 11 18.33
had holding size of up to one acre only. About nine per cent of
them had holding size of three to five acres whereas 19 per cent 1991–1995 20 33.33
had more than five acres of land. The quality of land, however, 1996 and afterwards 18 30.00
was reported to be poor and 37 per cent of the holdings had
irrigation facilities. Since 63 per cent of the of the migrants did Total 60 100.00
not have any source of irrigation, therefore, there was little
production of different crops and even this was uncertain due to A perusal of Table 5 shows that majority of the respondents
greater incidence of floods and droughts in those areas. (about 63 per cent) come to Punjab in the nineties. There was an
era of militancy in the State during eighties. Therefore, the
Debt position migrants were also hesitant to come to the State in large numbers.
This aspect was also examined and out of 60 respondents, 65 During the eighties, about 33 per cent of the respondents migrated
per cent were not found to be under any type of debt. Thirty-five to Punjab. About three per cent came even before 1980.
per cent of the migrant vegetable sellers were under debt. An
enquiry revealed that these migrants incurred debt mostly for Factors behind migration
meeting their consumption needs and other social obligations at
their native villages. The rate of interest charges on the loans was The study brought out that the major factors which motivated
exhorbitant which ranged from two to six per cent per month, the respondents to migrate for employment in Punjab was the
i. e. 24 to 72 per cent per annum. Majority of the respondents, economic distress being faced in their native places due to
i. e. (about 81 per cent) reported the amount of debt up to Rs. unemployment, underemployment, relatively low wages and low
7500 (Table 4). These loans were mostly obtained from non- earnings from their meagre owned assets of land due to low
institutional agencies because the cooperative and commercial agricultural productivity. Besides low wage rates, the employment
banks were virtually not playing any role in such cases. The village was also for a short duration in the native places. Although 72
money lenders and landlords who advanced the major part of the per cent of the respondents owned some land, but the same was
loans to these migrants, exploited them economically and socially. of low productivity because of non-availability of irrigation
Some of these respondents even reported instances of some sort facilities and low input use. They could not earn much to meet
of bonded labour system still prevent in their native villages. the needs of their families in the native areas. Contrary to this,
the Punjab State particularly Ludhiana city provided gainful
Table-4 employment opportunities to these respondents as vegetable
Debt position of the migrant Vegetable sellers, 1999-2000
sellers. Thus, both the push and pull factors were found to be
operative in motivating the outflow of the labour from their
Amount of loan (Rs.) No. of migrants Percentage to the total
respective places (Sidhu and Grewal, 1984; and Grewal and Sidhu,
Up to—2500 8 38.10 1979).
2500—5000 2 9.52
The study brought out that 37 per cent of the respondents came
5000—7500 7 33.34
to Ludhiana city at the instance of their relatives, about 33 per
7500—10000 2 9.52 cent at the instance of acquaintances with the co-villagers and 17
10000—12500 2 9.52 per cent came on their own. The remaining respondents came to
know about employment opportunities in Punjab from some
Total 21 100.00 sources such as contractors, truck drivers, etc.
Detail about previous employment in Punjab Nature of Vegetable selling business
The migrants generally prefer to work in those villages/cities/ As already stated, the financial position of these migrants was
towns where they had worked earlier. Their inter-village and inter- not very sound. Therefore, they are unable to make huge
districts/inter-city migration is comparatively low. It may be investment on the permanent vegetable shops. The Punjab Mandi
attributed to their ignorance about the better employment Board started the schemes of “Apni Mandi” for the farmers of
opportunities available elsewhere. Ludhiana city has become the the Punjab in 1987. In these mandis, the farmers are allowed to
central place for migrant persons from the neighbouring state. sell their vegetables directly to the consumers in the urban areas.
Being industrial and commercial capital of the state, it offers No doubt, farmers bring their produce to these mandis, but these
various employment opportunities to these migrants. In various mandis have opened new business opportunities for the migrant
spheres of economic activities, these migrants can be found. As vegetable sellers because these mandis are held on the road sides
Vancouver in Canada is for Punjabi immigrants, similarly or parks of Municipal Corporation, Ludhiana. At present, the
Ludhiana is famous for these migrants. It is a California for these scenario of “Apni Mandi” is such that number of farmers is less
migrants within the country. but these migrant vegetable sellers dominate there. It is a double
In the study sample, about 82 per cent of the migrant vegetable saving for the migrants because they do not have to pay any rent
sellers had worked only in Ludhiana district, ten per cent in for the shop. They do not arrange even rehri in majority of the
Jalandhar district, three per cent in Patiala and the rest five per cases. The detail in this regard is given in Table 7.
cent in other districts. Their inter-district migration in Punjab Table-7
was rather slow. Some of the factors behind changing the villages/ Nature of Vegetable selling business in Ludhiana city
towns/cities were better employment opportunities at new places,
conflicts between the migrants and their employers. Sometimes, Nature of business No. of respondents Percentage to the
these migrants indulged in petty fights among themselves, total total
therefore, they left particular place to avoid such incidences in Permanent shop 1 1.66
future.
Roadside rehri 10 16.67
Experience as Vegetable sellers
Street hawkers 7 11.67
Experience makes a man perfect. Vegetable selling also require Apni Mandi 42 70.00
various types of skills. The behaviour of these sellers have to be
friendly and cordial towards the customers. The more experienced Total 60 100.00
persons learn the tricks of the business and consequently earn
more. The experience of these respondents as vegetable sellers is The data given in Table 7 showed that only one respondent
shown in Table 6. had permanent shop as vegetable seller whereas about 17 per
cent had roadside rehri and about 12 per cent were street hawkers.
Table-6
As already stated, Apni Mandi has become a paradise for these
Experience of migrant Vegetable sellers migrants. Seventy per cent of them were doing their business
there because these mandis are held almost daily in Ludhiana
Experience No. of respondents Percentage to the total
(in years) city. The migrant sellers have to just shift the venue of their
business. The contractors provided them tables after charging
Up to 2 22 36.67 nominal rents at the Apni Mandi sites itself. The transporters shift
2–4 16 26.67 their unsold stock of vegetables to the next mandi each next day.
4–6 12 20.00 They also change the transportation cost from the migrant
vegetable sellers, but it is economical for a big group of sellers. It
6–8 5 8.33
is virtually a mela type atmosphere in the Apni Mandi each day
8–10 2 3.33
in Ludhiana city.
10 and above 3 5.00
Living conditions
Total 60 100.00
The study brought out that none of the respondents had his
A perusal of Table 6 showed that about 37 per cent of the own house in Ludhiana city. All of them were living in the rented
respondents had up to two years experience only as vegetable accommodation. The single respondents were living in a group
sellers, about 27 per cent between two and four years; 20 per of 5-6 persons in a single room whereas those respondents who
cent between four and six years; about eight per cent between six brought their families also had rented in one room
and eight years; about three per cent between eight and ten years accommodation. The house owners have built such
and five per cent had more than ten years experience. The more accommodation exclusively for the migrants in the undeveloped
experienced respondents did not change their line of business but colonies all over the city where there is no sewerage and drinking
less experienced migrants change their business/employment water facilities. Such unhygienic living conditions create number
keeping in view better avenues available elsewhere. of health problems for the residents. The State Government as
well as Municipal Corporation, Ludhiana have become indifferent confidence of the buyers and this has positive impact on their
to such civic problems in the city. business. Consequently, their gross as well as net earnings move
upward. The average daily net earnings of the respondents worked
It was found that about 13 per cent of the respondents paid a
out to be about Rs. 122. By assuming that the migrant vegetable
monthly rent up to Rs. 100; about 22 per cent between Rs. 100
sellers did their business for 25 days in a month, their monthly
and Rs. 200; about 33 per cent between Rs. 200 and Rs. 400 and
net income was about Rs. 3042 during the year 1999-2000.
the rest (about 32 per cent) paid more than Rs. 400 per month. It
Therefore, they were far better than migrant unskilled industrial
was reported by all the respondents that electricity connection
workers, shop attendants, construction labourers, etc. On an
was provided by the house owner. There was one common hand
average, the monthly wages of such workers are not more than
pump for these migrants in each plot/house. Another interesting
Rs. 2000. Hence, an inference can be drawn that migrant vegetable
phenomenon was observed during investigation regarding their
sellers were earnings about 33 per cent more than their fellow
preference to share the room with persons of their own castes. It
migrants in other jobs. The average monthly expenditure of the
may be due to the prevalence of rigid caste system in Uttar Pradesh
respondents in Ludhiana city itself was to the extent of Rs. 1416
and Bihar.
during the year 1999-2000. The expenditure was on routine
Visit to native places consumption items of household, rent of the room, clothes,
medicines, bidis, cigarettes, pan, zarda, etc. The average monthly
Man is a social animal. To meet their social responsibilities,
saving of the respondents was about Rs. 1626. In this way, the
the migrant population in the State also go to their native areas
migrants were having 53 per cent of their net income as saving.
more frequently. The study revealed that 30 per cent of the
The savings were utilized by the migrants to meet their social
respondents paid one visit each year to their native areas, 25 per
and economic obligations at their native places. They also
cent twice a year and about; 38 per cent three times a year and
purchased durable household goods out of these savings. Some
about seven per cent more than three times in a year. The
of them had built pucca houses at their native places.
respondents with their families here paid less visits whereas the
single respondents were more frequent visitors to their native Consumers preference for local and migrant Vegetable
areas. The respondents reported that high rail/bus fares are sellers
hindrance in such visits. Train reservation is also not easily
available for them. A question was put to the consumers of vegetables in Ludhiana
city regarding their preference for the local and migrant vegetable
Earnings of the migrant Vegetable sellers sellers. Majority of them (80 per cent) reported that they were
The earnings from any business depend on the volume of indifferent towards the local and migrant vegetable sellers. It is
business. Since majority of the respondents were small scale quantity as well as price of the produce which always matter for
vegetable sellers, therefore, their earnings were also not very high. the potential buyers. About 13 per cent of the consumers had
But they were better off than their counterparts doing physical preference for the migrant vegetable sellers and about seven per
labour like construction workers, agricultural labourers, rickshaw cent for the local sellers. But there was no hard and fast rule in
pullers, etc. The daily net earnings of the migrant vegetable sellers this regard, but it was a simple question of convenience. Some
are shown in Table 8. of the consumers preferred the purchase of vegetables at their
doorsteps. A particular (local or migrant) seller may be visiting
Table- 8
that locality regularly, therefore, consumers gave their preferences
Net earnings of the migrant Vegetable sellers, 1999-2000 accordingly. It is well known all over the world that Punjabis in
general are broad minded.
Net earnings No. of respondents Percentage to the total
(Rs./day)
Local Vegetable sellers’ viewpoint
75–100 10 16.67
The study brought out that a vast majority of the local
100–125 26 43.33
vegetable sellers, i.e., about 90 per cent did not view the influx
125–150 18 30.00 of migrant vegetable sellers favourably. They thought the migrant
150–175 4 6.67 sellers to be their competitors in narrowing down their margins
in the business of vegetable selling. Consequently, their income
175–200 2 3.33
has become slagnant or has increased marginaly in the last 7–8
Total 60 100.00 years. It was also reported by some of the local vegetable sellers
that on account of influx of migrant vegetable sellers, few of
The data given in Table 8 indicated that majority of the their local fellow sellers had shifted to other odd jobs like sale
respondents (about 73 per cent) had daily net earnings between and purchase of raddi; plastic goods, ice cream, grocery items,
Rs. 100 and Rs. 150; about 17 per cent between Rs. 75 and etc. The local vegetable sellers were having this bitter feeling
Rs. 100 and 10 per cent between Rs. 150 and Rs. 200. The although there was no open manifestation of this in the form of
experienced migrant vegetable sellers had higher earnings and any disputes/confrontations between the two types of vegetable
vice-versa. As already stated, the experienced sellers win sellers.
To sum up, Ludhiana is the fastest growing city of Punjab. Ludhiana city itself was to the extent of Rs. 1416 during the year
From a population of just about 49 thousands in 1901, it is now 1999-2000. their average monthly saving was about Rs. 1626.
a mega city with more than 20 lakh persons. Every fourth The savings were utilized by the migrants to meet their socio and
person in Ludhiana city is a migrant from the neighbouring economic obligations at their native places.
states. It is estimated that there are about 5000 vegetable sellers
A question was put to the consumers of vegetables in Ludhiana
in the city, out of which about fifty per cent are migrants. The
city regarding their preference for the local and migrant vegetable
study brought out that 60 per cent of the migrant vegetable
sellers. Majority of them, i.e. 80 per cent, reported that they were
sellers belonged to Uttar Pradesh and about 37 per cent hailed
indifferent towards the local and migrant vegetable sellers. It is
from Bihar. About 80 per cent of them fell in the young age
the quality as well as the price of the produce which always matter
group of 20 to 40 years. About 47 per cent of the migrants
for the potential buyers. The local vegetable sellers (90 per cent)
belonged to the Scheduled Castes and backward castes whereas
did not view the influx of migrant vegetable sellers favourably.
35 per cent were of high castes also. Since vegetable selling
They thought the migrant sellers to be their competitors in
require calculations, therefore, 65 per cent of them were
narrowing down their margin in the business of vegetable selling.
educated. Seventy-two per cent of the migrants had land also.
But there was no open confrontation between these two groups
It was found that 35 per cent of them were under debt. Majority
of vegetable sellers in Ludhiana city.
of them, i.e. 63 per cent, migrated to Punjab during the last
one decade particularly after the return of normalcy in the state. REFERENCES
Both push and pull factors had played an important role for the Grewal, S.S. and M. S. Sidhu, 1979, A study on migrant
phenomen of migration in Punjab. agricultural labour in Punjab, Research Report, Deptt. of Econ.
The study brought out that financial position of these migrants and Sociology, PAU, Ludhiana, pp.1—28.
was not very sound. Therefore, they did not make huge investment Rangi, P.S. and M.S. Sidhu, 2000, Problems and prospects of
on the permanent vegetable shops. the Apni Mandi scheme has agriculture in Punjab in (Ed) R. S. Bawa and P. S. Raikhy,
proved a paradise for them and majority of them do their business Punjab Economy – Emerging Issues, Guru Nanak Dev
of vegetable selling in these Apni Mandis organised daily at University, Amritsar, pp. 1—21.
different places in Ludhiana city itself. The average daily net
earnings of the migrant vegetable sellers was about Rs. 122. Their Sidhu, M. S. and S. S. Grewal, 1984, A study on migrant
monthly net income was about Rs. 3042 during the year agricultural labour in Punjab, Research Bulletin, Deptt. of
1999-2000. Therefore, they were far better than the migrant Econ. and Sociology, PAU, Ludhiana, pp. 1—56.
industrial workers, shop attendants, construction labourers, etc. Sidhu, M. S., P. S. Rangi and Karam Singh, 1997, A study of
The monthly wages of such workers being not more than migrant agricultural labour in Punjab, Research Bulletin,
Rs. 2000. The average monthly expenditure of the migrants in Deptt. of Econ. and Sociology, PAU, Ludhiana, pp.1—62.
‘AGMARK’ ENSURES CONSUMERS’

PROTECTION
Economics of Apple Trade in Anantnag District of Jammu and
Kashmir
—JAVID AHMAD SHAPOO AND B. N. BANERJEE*
Introduction data regarding production, marketing channels and functions, cost

and apple price are obtained from apple growers as well as from
J ammu and Kashmir which is famous for variety of fruits is
also known as the apple State of India. The area and production
of apple in the State has increased from 46,189 ha and 1,90,452
District Horticulture Office. Later, primary and secondary data
are pooled together for detailed analysis. Primarily 50 orchards
are collected randomly from 10 purposively selected villages of
m. tonnes in 1974-75 to 88,149 ha and 7,51,310 m. tonnes by
Anantnag district of Jammu and Kashmir.
2000-01 respectively. The State is exporting apple and its products
to almost all the major apple markets in India. Apple and its For studying various facets of marketing of apple, marketing
products are also exported to Middle East, Gulf and East Asian channel existing in Anantnag district are identified. Then six
countries through Jammu and Kashmir Marketing Corporation Commission Agents and wholesalers from Anantnag who directly
(JKMC), FIL industries and other marketing channels. receive apple from producer, four wholesalers from Jammu market
who directly receive apple from Anantnag, four wholesalers from
The marketing system of apple in Kashmir is quite at a Kolkata (Mechua Bazar), and six retailers from Kanchrapara of
disadvantage to the orchard owners. They either sell the fruit at District North 24 Parganas (W. B.) are selected purposively
an initial phase and let the pre-harvest contractors to manage it, because of its proximity.
or even if they himself manage, usually fall prey to Arhatis (big
Analytical Techniques
contractors in Delhi, Kolkata, or other big markets) to whom they
sell their produce and loses a chunk of their shares. The Arhatis In order to satisfy various objectives formulated for the study,
sell fruits to small contractors who sell it to wholesalers. The tabular method of analysis is followed.
Arhatis are the source of credit to the orcharding farmers. Pesticide The total cost (TC) of marketing is worked out by using the
dealers also provide loans by selling the agro-chemicals on credit. foumula
These farmers are found to offer their product to these agenices C = CF+Cmi
at a lower price.
Similarly, producer’s price is calculated as:
Farmers are always interested to sell their produce at good
PF = PA–CF
market which provides them with good profit. But due to less
developed market infrastructure, lack of market information and Producer’s/grower’s share in the consumer’s price is worked
poor storage, the small and marginal apple growers are compelled out as:
to sell their produce within the village area or local merchants or Pr–C
Arhatis and get lesser price for their produce. In the process of
PS = ——— x100
apple marketing, interest of both the producer and consumer must
be kept in view. Pr
Abbreviations used are:
Apple has to travel a long distance to reach its destinations.
During process, a number of intermediaries come into picture C = Total cost of marketing.
and reap benefit which reduces the share of producer and increases CF = Marketing cost incurred by grower.
the retail price. Thus, the present study attempts to examine the PA = Wholesale price in the primary assembling market.
share of each participant in the process of marketing of apple.
PS = Producer’s share in the consumer’s rupee.
The specific objectives of the study are:
PF = Producer’s price.
i. To identify marketing channels in the marketing of apple.
Pr = Price paid by consumer or retail price.
ii. To analyse price spread and functional analysis. Cmi = Cost incurred by ith middlemen.
Research Methodology RESULTS AND DISCUSSION
The data for the study are collected by Survey method. For Identification of Marketing Channels
the purpose of the study, data and other informations have been Marketing channels are the routes through which agricultural
collected from primary as well as secondary sources. Primary as well as horticultural products move from producers to
*Post-graduate student and Professor, Department of Agricultural Economics, Bidhan Chandra Krishi Viswavidyalaya, Mohanpur-741252, Nadia (W.B.)
consumers. The length of the channel varies from commidity to trasported through trucks for which producer pays Rs. 1.5. per
commodity, depending on the quality to be moved, the form of box. It is observed that the major portion of the marketing cost
consumer demand and degree of regional specialization in met by producer is consumed by the item packaging which
production. includes wooden box, nails, waste paper, paddy straw which are
needed to prevent the fruits from injury.
The following are the prominent apple marketing channels
patronised by growers in Anantnag district. Table shows that the producer, on an average, receives Rs.
175.00 per box containing 18 kg apple, i.e., Rs. 9.72/kg at
Channel A: Anantnag local market. It is observed from table that apple grower
Producer—Forwarding agent—Commission agent— fetches Rs. 32.04 per box or Rs. 1.78 per kg as his net margin.
Wholesaler—Retailer—Consumer. Table-1
Channel B: Price spread and marketing margin of Apples during 2001-02
Producer—Pre-harvest Contractor—Commission agent— Sl. Particulars Charges Percentage

Wholesaler—Retailer—Consumer. No. (Rs./box) of consu-
18 kg. mer’s price
Channel C:
1 2 3 4
Producer—Commission agent—Wholesalers at different point
of assembling—Retailer—Consumer. 1. At producer’s level
Channel D: (a) Cost of production 89.21 16.52
Producer—Processing unit—Retailer—Consumer. (b) Cost of marketing 53.75 9.95
Of these channels, Channel C is selected for the present study. i. Cost of wooden box 23.00 4.26
Here producetrs are from the sample villages of Kulgam belonging
ii. Cost of grading, packing and 10.75 1.99
to Anantnag district of Jammu and Kashmir and final consumers assembling
are from surrounding areas in and around of Kanchrapara, District
North 24 Parganas, (West Bengal). iii. Lifting of box from saw mill 1.00 0.19
to orchard
Price spread and marketing margin of Apples during
iv. Cost of nails, wrapping paper 9.50 1.76
2001-02 and paddy straw etc.
Table 1 presents marketing cost per box (18 kg) and price v. Cost of levelling, stencilling 2.50 0.46
spread at diffrent stage of marketing.
vi. Carriage upto forwarding point 1.00 0.19
Total marketing expenses incurred by grower is worked out
vii. Commission of forwarding agent 2.00 0.37
to be Rs. 53.75 of which cost of wooden box has consumed highest
share, i.e., about 43 per cent of cost incurred by grower. These viii. Frieght charges upto the local market 1.50 0.28
boxes are made from popular wood (Populas spp.). Fruits are
ix. Loading and unloading charges 2.00 0.37
placed in suitable containers, i.e., boxes, in such a way that the
produce is not damaged on its way. The best packaging ensures x. Mandi fee 0.50 5.93
fruits in good shape and quality at consumers’ place. therefore,
(c) Profit reaped by the producer 32.04 5.93
packaging deserves to be done carefully. So producer prefers
wooden boxes rather than craft boxes. (d) Price received by the producer 175.00 32.40
Cost of grading, packing and assembling ranks second after 2. Wholesaler’s level at Anantnag
packaging. After harvesting, grading or sorting is done. Apples (a) Cost of marketing 25.00 4.63
are graded in different grades, i.e., Grade-A, Grade-B and
Grade-C according to size, shape and colour of the fruit. Grading, i. Freight charges upto Jammu market 12.50 2.31
packing and assembling constitutes about 20 per cent of total ii. Commission of commission agent 6.00 1.11
marketing expenses incurred by producer. After packling it is
iii. Market charges 0.50 0.09
assembled at safe place for onward movement. Similar observation
have recorded by Wani et al. (1995)2 iv. Loading and unloading charges 2.00 1.37
v. Storage charges 0.50 0.09

Cost of nails, wrapping paper and paddy straw which are
required for packing amounts Rs. 9.50 per box which accounts vi. State tax, octroi upto Jammu market 3.50 0.65
for 17.17 per cent of marketing cost met by producer. Besides,
(b) Profit reaped by this wholesaler 25.75 4.77
the producer also pays cost of transportation upto the local market
which is situated at 25 km. from the producing point. It is (c) Price received by this wholesaler 225.75 41.81
1 2 3 4 At Mechua bazar wholesale market in Kolkata, this
intermediary has to incur an amount of Rs. 7.60 per box only as
3. Wholesaler’s level at Jammu market marketing cost of which about 47.37 per cent is accounted for
storing the apple box. Marketing cost at this level is noted to be
(a) Cost of marketing 54.50 10.09
least as this intermediary has not to meet any transportation cost.
i. Freight carriage upto Kolkata market 33.50 6.20 However, he fetches Rs. 47.40 which accounts for 8.78 per cent
ii. Commission of commission agent 4.00 0.74
of retail price as his profit.
iii. Market charges 1.00 0.19 At retailer’s level, an amount of Rs. 105.89 is required as
marketing cost. It is noted that out of this cost about 96 per cent
iv. Loading and unloading charges 2.00 0.37
is meant for retailer’s loss in the form of injury of apple and
v. Storage charge 2.50 0.46 mixed graded apples which are to be sorted out and sold at varying
prices as per size of the fruit. Lower graded apples fetch lower
vi. State and other State tax, octroi etc. 11.50 2.13
prices but retailer has to pay the price for better graded fruits.
(b) Profit reaped by this wholesaler 40.25 7.46 The retailer, however, fetches Rs. 58.61 per box i.e., about 11 per
cent of retail price as his profit. His profit may vary depending
(c) Price received by this wholesaler 320.50 59.35
upon the extent of damage caused.
4. Wholesaler’s level at Mechua Bazar, Kolkata
It is observed from table that maximum marketing cost is
(a) Cost of marketing 7.60 1.41 incurred by the Jammu wholesaler which is associated with higher
transportation cost. It is further observed that maximum profit is
i. storage charges 3.60 0.67
reaped by retailer (if loss incurred by retailer is not considered)
ii. Loading unloading charges 2.00 0.37 which may vary on the extent of damage fruit. It is further noted
that amount of profit fetched by different intermediaries increases
iii. Other handling charges 1.50 0.28
with the movement of produce from Anantanag wholesale market
iv. Market fee 0.50 0.09 to ultimate consumer. Thus, it may be concluded that the level of
profit is associated with the level of investment.
(b) Profit reaped by this wholesaler 47.40 8.78
(c) Price received by this wholesaler 375.50 69.54

Functional analysis of marketing margin
5. Retailers level at Kanchrapara

After examinting the price spread of apple marketing, it is
essential to analyse the share consumed by individual func-
(a) Cost of marketing 105.89 19.61 tionaries in the marketing process. This is presented in Table 2.
i. Freight charges upto Kanchrapara 3.00 0.56 It is observed from table that the maximum share of consumer’s
ii. Other handling charges 1.50 0.28 rupee is taken away by the traders including grower as their profit
or risk premium as apple requires higher investment starting from
iii. Retailer’s loss @ 27 per cent 101.39 18.78 production till it reaches to the ultimate consumer. Out of total
Profit reaped by the retailer 58.61 10.85 marketing margin amounting to Rs. 450.79 per box, about Rs.
204.00 is taken away by the traders accounting for 45.27 per cent
Price received by the retailer 540.00 100.00
as their profit. Next important item of margin is noted to be the
spoilage, in spite of care taken to minimise the damage of the
Table shows that Anantnag wholesaler has to incur a cost
fruits, about 22.49 per cent of the margin is lost in the form of
amounting Rs. 25.00, i.e., 4.63 per cent of retail price to market
damage and improper grading as opined by the retailers who have
one box of apple to Jammu wholesale market. Of this cost 50 per
to incur this loss. It is also observed that Rs. 39.50, i.e., 8.76 per
cent is spent on transportation and 24 per cent to the Commission
cent is required for packing a box of apple containing 18 kgs.
Agent. However, he fetches Rs. 25.75 which accounts for 4.77
Transport is an important function in the process of marketing as
per cent of retail price or 11.41 per cent of the price received by
it has to travel a long distance, i.e., from village of Anantnag
him as his profit. In other words he fetches Rs. 1.43 per kg as his
district of Jammu and Kashmir to retail market at Kanchrapara
risk premium.
of North 24 Pargana district, West Bengal. It is observed that
At Jammu wholesale market, this intermediary has to meet about 11 per cent, i.e., Rs. 50.50 of retail price is required as
Rs. 54.50 per box, i.e., 10.09 per cent of retail price as marketing freight charges. Considering the distance covered, this expense
cost. It is noted that 61.47 per cent of this cost is taken away as may be treated as nominal. As the apple passes through a number
freight charge. Next important item of cost is noted to be taxes of States to reach the ultimate consumer, an amount of Rs. 17.50
and octroi which amounts to Rs. 11.50 per box. It is further per box is to be paid in the form of octroi, State tax and market
cbserved from table that this intermediary earns a profit of Rs. fees. The difference between retail price and price received by
40.25, i.e., 7.46 per cent of retail price or 14.36 per cent over his the growers indicates the inefficiency of the marketing system of
investment. apple. The difference is mainly due to higher profit earned by
traders and the extent of spoilage. So, steps should be initiated CONCLUSION
to reduce the magnitude of the margins.
The study clearly reveals that with the increase in number of
Table 2
middlemen and distance travelled, the commodity becomes dearer
Functional analysis of marketing margin of apple
to the consumers. Moreover, the porfit reaped by different
Sl. Items Share Percentage intermediaries clearly depend on the level of investment. Higher
No. (Rs.) profit earned by traders makes the fruit dearer. Steps should be
initiated to regularise the market operations. Apple should be
1. Packing charges 39.50 8.76
marketed after proper grading and standardising to protect
2. Loading and unloading charges 8.00 1.77
consumers and retailers :
3. Helping hands 5.00 1.11
4. Grading and assembling charges 6.25 1.39 REFERENCES
5. Transportation charges 50.50 11.20
1. Acharya, S. S. and Agarwal, N. L. “Agriculture Marketing in
6. Commission 12.00 2.66
India” Oxford & IBH publishing Co. Pvt. Ltd.; New Delhi
7. Storage charges 6.60 1.47
1999.
8. Spoilage 101.39 22.49
9. Market charges and other taxes 17.50 3.88 2. Wani, M. H.; Mattoo, M. S. and Sofi, A. A.(1995); Resource
10. Traders’ profit 204.05 45.27 use and economic efficiency of various marketing cost
components in apple; Agricultural Marketing; 37(4) :
Total 450.79 100.00
PP 38-40.
‘AGMARK’ STANDS FOR PURITY AND QUALITY

BUY AGMARK PRODUCTS
Home News
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(ii) Plight of farmers directly linked to subsidies given by sub-serve agri-business profits of a few millions elsewhere
developed world, says Jaitley sustained through $ 1 billion subsidies each day in the OECD
countries”, Mr. Jaitley said.
(iii) Agriculture flagged as India’s key concern in WTO
negotiations Mr. Jaitley underlined the urgent need to bring down the high
tariffs and non-tariff barriers on products of export interest to
(iv) Statement by the Commerce and Industry Minister of developing countries in order to secure sufficient gains from
India at the Cancun inaugural plenary session globalisation for them. Special & Differential (S&D) Treatment
The plight of farmers in developing countries is directly linked for developing countries and policy space to deal with sensitive
to the level and kind of subsidy given in the farming sector in the products in agriculture taking into account their development
developed world, Mr. Arun Jaitley, Minister of Commerce & needs, including rural development and food security and
Industry and Law & Justice, Government of India said in a forceful livelihood concerns remained an integral part of all elements of
statement at the Opening Plenary of the 5th Ministerial negotiations. “India reiterates that under no circumstances can it
Conference of the World Trade Organisation (WTO) in Cancun accept any form of harmonisation of tariffs in agriculture or
(Mexico) yesterday. Clearly flagging agriculture as a key concern obligations to create and expand tariff rate quotas. India along
for India, Mr. Jaitley made it plain that the commitment by the with 19 other members has put forward joint proposals on
developed countries to eliminate distortions in world agriculture agriculture that we believe offer a constructive and meaningful
caused by their policies held the key to resolving differences alternative. We look forward to discussing it at the Conference”,
among member countries in this vital area. Stressing that the the Minister added.
development dimension must occupy centre stage of the On market access negotiations for non-agricultural products
negotiations, he called for the Ministerial Conference to move (industrial tariffs), Mr. Jaitley emphasised that suggestion for
towards a more inclusive and transparent decision making process. mandatory harmonisation and elimination of tariffs would be most
iniquitous to developing countries. Further, he pointed out that
Pointing out that the protection in the developed countries
being at different stages of development, we did not have
faced by developing country exporters in agriculture is four to
capacities to understand binding obligations in all the seven sectors
seven times higher than in manufactures. Mr. Jaitley said that the
proposed for tariff elimination.
effect was to stimulate over production in high cost rich countries
and to shut out potentially more competitive proucts from Expressing deep disappointment that the development
developing countries. “It is no surprise that over the past few dimension envisaged in the Doha Work Programme had been
years, agricultural exports from developing countries to developed given short shrift, Mr. Jaitley said that the draft Cancun Ministerial
countries grew at just half the rate they did to other developing Text was grossly inadequate on implementation issues and would
countries. Let us also remind ourselves that the agriculture severely affect the interests of developing countries in agriculture,
subsidies provided by OECD countries are more than six times industrial tariffs and Singapore issues. “We cannot escape the
what they spend on official development assistance for developing conclusion that it does not accommodate the legitimate aspirations
countries. OECD government support sugar producers at the rate of developing countries and instead, seeks to project and advance
of US $ 6.4 billion annually — an amount nearly equal to all the views of certain developed countries. If we do not restore the
developing country exports. Subsidies to cotton growers in a priority accorded to the outstanding implementation issues, the
developed country totalled US $ 3.7 billion last year which is developing countries would be forced to conclude that the
three times that country’s foreign aid to Africa. The net effect of ‘development’ elements in the Doha Development Agenda is only
subsidising agriculture in developed countries at the expense of rhetoric”, he said. He also referred to the unresolved issues relating
products of the relatively poor in developing countries is to to the special & differential provisions for developing countries
aggravate global income inequalities. On the other hand, against and stressed the need to make all S&D provisions precise,
equity, justice and fair play, developing countries are being asked operational and effective as well as non-mandatory S&D
to liberalise their agriculture. What the farmers in developing provisions be converted into mandatory ones within a specified
countries demand is protection from distortions in the trade of time frame.
agricultural commodities, created through the high level of On Singapore issues, Mr Jaitley said—“We do not believe
subsidies in the developed countries. The plight of these farmers that all the Singapore issues are trade related. Our strongest
is directly linked to the level and kind of subsidies in the developed arguments still remain that WTO is not the right forum, that the
world. Hence, it would be difficult for us to agree to negotiations, traditional WTO principles of non-discrimination particularly
which could potentially place at high risk the very livelihood of national treatment are not appropriate for a development policy
650 million people in India, who are solely dependent on related issue like investment and that trade negotiators are not
agriculture. It is only when the developed countries agree to take the right people to deal with movements of capital that have
five steps forward in the removal of trade distorting subsidies dynamics of their own”. Pointing to the significant and deep
that the developing countries can take one step forward in the differences in the views of members on many elements of these
area of market access. The legitimate concerns of billions of issues, Mr. Jaitley said—“Hence, we are not convinced of the
farmers in the developing countries, for whom agriculture means appropriateness of taking a decision on modalities (for
survival and not commercial operation, cannot be sacrificed to negotiations) as it does not give us any idea of the substance and
direction of obligations that agreements in this area may require better ways to help those farmers in rich countries who genuinely
us to undetake”. need help, than by subsidising big exporters so that much poorer
farmers in poor countries cannot feed their families. It is not hard
Underlining India’s interests in the services negotiations, Mr.
to imagine a system under which just about everyone would be
Jaitley reiterated that liberalisation of certain sectors was essential
better off. Agriculture is a crucial issue. But it is not the only area
to accelerate growth in developing countries and emphasised that
where the existing world trade order is imbalanced. Opportunities
for developing countries including India the balance of benefits
for developing countries must also be opened by effective
in the negotiations would accrue to the extent to which their
liberalisation of trade in textiles, by specific agreements that allow
service providers were allowed to supply services in important
them to participate actively in the growing trade in services and
overseas markets either from remote locations or through
by faster transfer of technology. Of course, developing countries
temporary movement of natural persons. “In case the resistance
also have a responsibility to help themselves. But trade
among developed countries for agreeing to the request of
liberalisation is no panacea for developing countries. For many
developing countries for enhanced market access under Modes 1
of them, it involves considerable adjustment and social costs.
and 4 continues, this would substantially erode our flexibility to
There is a need for synergy and proper sequencing—between the
make commitments in sectors of interest to developed countries”,
capacities of the developing countries, the level of obligations
Mr. Jaitley said.
they are to take on, the cost of implementation and the adequacy
Mr. S.B. Mukherjee, Minister of State for Commerce & of financial and technical resources available to them. Developing
Industry and Mr. Dipak Chatterjee, Commerce Secretary, countries need aid for trade and such aid must not come at the
Government of India, were present among others of the Indian expense of aid for development.
delegation at the Opening Plenary Session. (v) India, China Re-emphasise Solidarity on WTO Issues at
Giving India’s assessment of the multilateral trading system, Cancun
the Minister said that developing countries participated in the India and China have re-emphasised their solidarity on WTO
system in the hope that it would lead to their economic betterment issues at the Cancun Ministerial Conference of the World Trade
and not because trade liberalisation was an end in itself. The Organisation (WTO) which commenced yesterday. At a meeting
system, he said, has to meet this expectation and “the multilateral with Mr. Arun Jaitley, Minister of Commerce & Industry and
trading system has to acknowledge that developing countries Law and Justice, the Chinese Minister of Commerce, Mr. Lu
cannot afford to travel at the same speed as developed countries Fuyuan, said that both China and India belonged to the developing
to achieve gains. Therefore, obligations to be undertaken by the country group and as such shared many common interests and
developing countries should not arise out of coercion. Rather, common positions. “China and India are close neighbours
they should have a feeling that these obligations are in their interest especially after the visit of the Prime Minister Atal Bihari
and that they are in a position to accept and implement them”. Vajpayee when bilateral relations have entered a new phase. In
Mr. Jaitley also applauded the accession of both Nepal and the areas where we have a common consensus, we should offer
Cambodia to the WTO and said that India had very warm and support to each other”, the Chinese Minister said adding that both
friendly ties with these two countries. should exchange views on a frequent basis in the next few days
at Cancun.
Earlier, India’s position found an endorsement in the message
of the UN Secretary General Mr. Kofi Annan to the Ministerial India and China are already part of the 21 member coalition
Conference, which was delivered by Mr. Rubens Ricupero, on agriculture in the WTO which is pressing for elimination of
Secretary General, United Nations Conference on Trade and trade distorting subsidies and a more equitable world agriculture
Development (UNCTAD). In his message, the UN Secretary trade. They are also together in the group of 15 countries on
General said—“Those who press poor countries to open their Singapore issues.
markets may indeed have those countries’ best interests at heart.
Agreeing with the Chinese Minister, Mr. Jaitley underlined
But can we be surprised that poor countries are reluctant to take
that coalition building had ushered in a new area of cooperation
them seriously when they find the markets of rich countries still
between India and China and observed that together both could
closed to their products, and when they have to compete at home,
shape the WTO negotiations and leave an impact on the
and in the world market, against subsidised products from those
functioning of the WTO system. Both the Ministries highlighted
same rich countries? These barriers and subsidies in developed
that the initiatives taken by the countries like China, India, Brazil
countries must be phased out, as fast as possible, for the sake of
and South Africa had put the focus squarely on the issue of trade
humanity. To do so is in the interests of rich and poor alike. Trade
distoring agriculture subsidies given by the developed countries
barriers and distortions can hurt a country’s health whether it is
and their determination to hold together, so that their aspirations
developed or developing. Developed countries spend vast sums
could find reflection in the Cancun Ministerial Declaration.
on subsidies, often propping up relatively small and unproductive
portions of their economies. In the process, they hurt their own The Chinese Minister made the point as a newly acceded
citizens twice—as tax payers and as consumers. There are surely member of the WTO, China had already undertaken heavy
Source: Press Information Bureau, Govt. of India, New Delhi, dated 11th September, 2003.
commitments by way of tariff cuts and it would be improper to the initiative of State Governments alone. Consequently, in a
expect newly acceded members to take on further commitments market area, more than one market can be established by private
without giving them the benefit of special & differential treatment persons, farmers and consumers. (Section-3).
provisions as had been made clear in the joint proposal on
3. There will be no compulsion on the growers to sell their
agriculture by the group of 21 countries.
produce through existing markets administered by the Agricultural
(vi) Kharif crop prospects bright Produce Market Committee (APMC). However, agriculturist who
does not bring his produce to the market area for sale will not be
Crop prospects for kharif 2003 are bright. Helped by good
eligible for election to the APMC. (Section-14)
monsoon rains this year, the area coverage of most of the crops
has progressed satisfactorily. The sown area under several major 4. Separate provision is made for notification of ‘Special Markets’
crops such as maize, soyabean and kharif pulses has already or ‘Special Commodities Markets’ in any market area for specified
exceeded the normal area. This is likely to reflect positively on agricultural commodities to be operated in addition to existing
the overall crop production. markets. (Section-20)
The country’s foodgrain production during 2002-03 slumped 5. The APMC have been made specifically responsible for :
to 182.6 million tonnes, due to wide-spread drought from the (a) ensuring complete transparency in pricing system and
record level of 212 million tonnes in 2001-02. Production this transactions taking place in market area;
year is likely to match the performance of 2001-02 if serious
climatic disturbances are not faced. (b) providing market-led extension services to farmers;
Good rains have also helped in recharging the surface and (c) ensuring payment for agricultural produce sold by
ground water resources. This will benefit the irrigation needs of farmers on the same day;
rabi crops. (d) promoting agricultural processing including activities
for value addition in agricultural produce; and
(vii) Model State Agricultural Produce Marketing
(Development and Regulation) Act, 2003 (e) publicizing data on arrivals and rates of agricultural
produce brought into the market area for sale;
The Ministry of Agriculture, Govt. of India had set up a
Committee under the Chairmanship of Shri K. M. Sahni, Addl. (f) set up and promote public private partnership in the
Secretary, Department of Agriculture and Cooperation, to management of agricultural markets. (Section -
formulate a Model Law on Agril. Marketing in consultation with 26 & 27)
the States. The Committee, among others, had Secretaries In- 6. Provision made for the appointment of Chief Executive
charge of Agricultural Marketing from the States of Madhya Officer of the Market Committee from among the professionals
Pradesh, Andhra Pradesh and Maharashtra as its members. The drawn from open market. (Section-36)
Committee after holding extensive discussions with the
representatives of State Govts., Trade and Industry, has finalized 7. A new Chapter on ‘Contract Farming’ added to provide for
a Model Act, the Committee has also drafted a Model compulsory registration of all contract farming sponsors,
speicfications of a Contract Farming Agreement. With a view to recording of contract farming agreements, resolution of disputes,
discussing the Model Act and the Model Contact Farming if any, arising out of such agreement, exemption from levy of
Agreement with the State Govts. a meeting is scheduled to held market fee for indemnity to producers, title/possession over his
on 9th Oct., 2003 to articulate the response of the State to help in land from any claim arising out of the agreement. (Chapter-VII).
evolving a consensus on an effective plan of action for
implementation of the suggested reforms in Agricultural 8. Model specification of contract farming agreements provided
Marketing. The salient features of the new draft include : in the Addendum to the model law.
1. The Title of the Act is changed to highlight the objective of 9. Provision made for direct sale of farm produce to contract
development of agricultural marketing in addition to its regulation farming sponsor from farmers’ field without the necessity of
under the Act. Accordingly, the Preamble of the Act is redrafted routing it through notified markets. (Chapter-VII)
to provide for development of efficient marketing system, 10. Provision made for imposition of single point levy of market
promotion of agri-processing and agricultural exports and to lay fee on the sale of notified agricultural commodities in any market
down procedures and systems for putting in place and effective area and discretion provided to the State Government to fix graded
infrastructure for the marketing of agricultural produce levy of market fee on different types of sales. (Section-42)
(Section-1).
11. Licensing of market functionaries is dispensed with and a
2. Legal persons, growers and local authorities are permitted time bound procedure for registration is laid down. Registration
to apply for the establishment of new markets for agricultural for market functionaries provided to operate in one or more than
produce in any area. Under the existing law, markets are set up at one market areas. (Section-44).
Source :—Press Information Bureau, Govt. of India, New Delhi, dated 16th September, 2003.
12. Commission agency in any transaction relating to notified 18. For the Chairmanship of State Agricultural Marketing Board,
agricultural produce involving an agriculturist is prohibited and two options provided namely Minister in-charge of Agricultural
there will be no deduction towards commission from the sale Marketing as ex-officio or alternatively to be elected by the
proceeds payable to agriculturist seller. [Section-44(6)] Chairman/members of Market Committees. (Section-63)
13. Provision made for the purchase of agricultural produce 19. The State Agricultural Marketing Board made specifically
through private yards or directly from agriculturists in one or responsible for:
more than one market area. (Section-45) (i) setting up of a separate marketing extension cell in the
Board to provide market-led extension services to
14. Provision made for the establishment of consumers’/farmers’ farmers;
market to facilitate direct sale of agricultural produce to
consumers. (Section-46) (ii) promoting grading, standardization and quality
certification of notified agricultural produce and for the
15. Provision made for resolving of disputes, if any, arising purpose to set up a separate Agricultural Produce
between private market/consumer market and Market Committee. Marketing Standards Bureau. (Section-73)
(Section-50)
20. Funds of the State Agricultural Marketing Board permitted
16. State Governments conferred power to exempt any agricultural to be utilized for promoting either on its own or through public
produce brought for sale in market area, from payment of market private partnership, for the following:
fee. (Section-56) (i) market survey, research, grading, standardization,
quality certification, etc;
17. Market Committees permitted to use its funds among others:
(ii) development of quality testing and communication
(i) to create facilities like grading, standardization and infrastructure;
quality certification;
(iii) development of media, cyber and long distance
(ii) to create infrastructure on its own or through public infrastructure relevant to marketing of agricultural and
private partnership for post harvest handling of allied commodities. (Section-79)
agricultural produce and development of modern 21. Provision made to provide for ae-Trading of agricultrual
marketing system. (Section-59). commodities (Section 26, 73, 109 and 110).
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tqykbZ&&flrEcj] 2003

o`Ãf"k [k.M&46] vad % 2

foi.ku ,oa fujh{k.k funs'kky;

C rossandra, jasmine and rose are the important flower

Sl. Particulars Rupees per basket

^,xekdZ 'kq)rk dh igpku gSA

I n India, the small size of farms is striking feature of

Sl. Functionaries involved

1. Quantity sold (q) 62.10 830.10 507.60 1399.80

1. Sale through retailer 33.80 63.05 — — 96.86

3. Sale through Commission agent 24.57 62.73 23.80 1.42 112.52

(Figures in the parentheses indicate percentages).

(Figures in the parentheses indicate percentages to the total). 1 2 3 4 5

I ndian economy is predominantly an agrarian economy

1. Pace of Growth of Milk collection Table-2

1. 1991-92 119.5 – December 2993900 456582 3450482

8. 1998-99 226.0 33.57 Total 34973115 6922212 41895327

7. Net cost of production 104.03 3. Workers allowance 32137 7.22

^,xekdZ –kjr ljdkj }kjk xq.koÙkk ds izek.ku

T he Statistical analysis of time series data on area, yield and

ges'kk ^,xekdZ Z izekf.kr oLrq,a gh [kjhnsaA

Harvest Price Y= 9.5006 +2.7626 × 0.236 0.83 11.719**

Harvest Price Y= (–)9.6207+24.8898 Log× 0.793 0.63 6.893**

Harvest Price Y= EXP (2.9374 +0.0571 ×) 0.934 0.87 13.795**

Harvest Price Y= EXP (2.47+0.5437 Log×) 0.858 0.74 8.850**

Note : *Significant at 5% probability level,

Items No. of Corresponding No. of Corresponding No. of Corresponding No. of Corresponding

Wholesale Price & Harvest Price 9 8 4 7

Wholesale Price & Marketing Margin 11 9 8 6

Harvest Price & Marketing Margin 6 4 1 3

6. No. of fall in Harvest price following the rise in 10

Methodology However, Marketing channel IV was not popular among onion

1. Research Associate, Cost of Cultivation Scheme (GOI), UAS, Bangalore.

Sl. Particulars Belgaum Dharwad Bijapur Raichur Gulbarga Overall

3. Fertilizers 2807.55 2526.03 4003.15 4486.75 1908.07 3146.31

6. Bullock labour 1960.00 1960.00 636.00 1084.50 1680.50 1664.20

9. Interest on variable cost 965.88 1050.48 1783.30 1899.67 2993.64 1738.59

Sub-total 14764.21 16057.36 27259.01 29037.85 24376.77 22299.04

2, Rental value of land 1750.00 1700.00 1750.00 1750.00 1750.00 1740.00

Sub-total 2000.73 967.98 2185.58 2171.85 2180.58 2101.34

C. Total Cost of Cultivation 16764.94 18025.34 29444.59 31207.70 26557.35 24400.38

Note : Figures in Parentheses indicate percentage to total cost of cultivation.

Sl. Particulars Belgaum Dharwad Bijapur Raichur Gulbarg a

Sl. No. Particulars Belgaum Dharwad Bijapur Raichur Gulbarga Overall

Note : Figures in parentheses indicate percentages

T he floriculture industry has a bright future in the context of

Sl. No. Years Value of exports Value of export in Rs Lakhs at constant

15. 1994-95 3060.00 1096.77

C. G. R. (per cent) 37.80 29.60

Trend Line E1 = – 2691 – 062 + 495 113t*

*Significant at 5% probability level

1991-92 1480.18 1480 6164 43.37 43.37 180.60

(C.G.R.) 35.50 23.34 15.00 44.50 39.00 32.40

Figures in parentheses are percentage to India’s figure in respective years

Introduction (ii) to study the employment pattern and earnings of the

(i) to identify factors associated with the migration of Age group

The caste-wise distribution of the migrant vegetable sellers is XI to XII 2 5.13

Table-1 Graduate 1 2.56

Caste-wise distribution of migrant Vegetable sellers, 1999-2000 Total 39 100.00

‘AGMARK’ ENSURES CONSUMERS’

Introduction data regarding production, marketing channels and functions, cost

Producer—Pre-harvest Contractor—Commission agent— Sl. Particulars Charges Percentage

Channel D: (a) Cost of production 89.21 16.52

Producer—Processing unit—Retailer—Consumer. (b) Cost of marketing 53.75 9.95