Marketed Surplus and Price Spread of Vegetables in Kashmir Valley

Abstract

The paper has reported the growth of vegetable sector in relation with technology mission, extent and determinants of marketed surplus and price spread of vegetables in the Kashmir valley. A substantial increase in the area and production of vegetables has been observed under Mini-Mission-II scheme of Technology Mission. At the farm level, vegetables have been observed to occupy an important place in the cropping pattern. The intensity of cropping in the study area has become more than 250 per cent due to multiple cropping of vegetable crops. On an average, producers’ marketed surplus has been found more than 92 per cent of the total production of selected vegetables. The estimates of regression function have revealed that the production, area under improved varieties, net price received by producers and education level are the significant and positive determinants of marketed surplus, while spoilage at farm level and consumption have shown a negative contribution. The price spread of vegetables with respect to various marketing channels has indicated that the producers’ share has an inverse relationship with the number of intermediaries. The net price received by the producers is relatively higher in the channels in which the produce is directly sold to the consumers or retailers. Across different vegetables, producers could receive higher absolute net returns in tomato, followed by brinjal and cauliflower in all the channels. The study has suggested that the coverage of technology mission should be expanded to other niche areas of vegetable cultivation. The study has also highlighted the needed effective measures to reduce marketing losses at various stages. Study has emphasized on the strengthening of institutions, establishment of processing units and development of market infrastructure in the area.