Efficient Marketing System Research Articles

Vertical price transmission in agricultural markets in Ghana

The purpose of this study was to investigate the extent of price transmission along the agri-food supply chain in selected regions in Ghana. The extent of transmission was used to assess the efficiency and effectiveness of the agricultural marketing systems in the area. Efficient marketing systems are expected to reduce the issue of regional price fluctuations, encourage fair income distribution throughout the supply chain, and improve food security. The preliminary time series stationarity/unit root and seasonality tests were performed using the Augmented Dickey-Fuller test (ADF)/Kwiatkowski, Phillips, Schmidt, and Shin (KPSS) and Canova-Hansen seasonal stability tests respectively. Following the detection of statistically significant threshold effects by the Supremum Likelihood Ratio (Sup-LR) tests, the extent of price transmission was investigated using two-region threshold vector error correction models. The initial tests found that the monthly wholesale, retail, and producer price series for maize, cowpea, and yam used in the study were first difference stationary rather than seasonally integrated. The findings revealed that price signals in the agri-food markets were not fully transmitted across the supply chain. Thus, the extent of price transmission was generally low, creating unexploited arbitrage opportunities along the chain. The study identified high transfer costs (proxied by the threshold parameter) and actor-specific market power (as revealed by the Granger causality test) as the primary obstacles to effective market functioning in the area. Minimizing transfer costs through infrastructural development such as improvements in road networks linking farming communities and markets, access to price information, and regular stakeholder engagements could help improve the functioning of the agri-food markets.

Analysing Market Integration and Causality of Oilseed Crops: Key Insights and Challenges in Major Tamil Nadu Markets and Interstate Regions of India

Oilseed crops like Sesame and Groundnut experience significant price fluctuations due to factors like seasonal production patterns, their perishable nature, and risk involved in production and marketing of output. The farmers are further complicated by a lack of information about market conditions, including the timing of arrivals and prices. Market integration, which helps stabilize prices and improve the efficiency of the marketing system. This study focuses on analysing the market integration of major oilseed crops— Sesame, and Groundnut in India from January 2013 to January 2024. Johansen's cointegration test and Granger Causality test were applied to examine how prices in different markets are influence one another. The stationarity of the prices tested using the Augmented Dickey-Fuller test. The results confirmed that the prices are cointegrated, showing a strong interdependence between them. The analysis also revealed causal relationships between regions, such as bidirectional causality in the case of Sesame and Groundnut. The findings underscore the importance of further research to address production challenges, improve technical methods, and develop informed policies to manage the issues faced by oilseed crop growing farmers. This will help overcome obstacles in production and ensure a more efficient marketing system.

Unveiling the Complexities of the Agricultural Marketing System in India: A Crucial Step Towards an Efficient Marketing System

Background: The process of marketing agricultural produce is a labyrinth of complexities. Indian farmers encounter numerous challenges in their quest for a fair price for their produce. The need for a robust marketing system to reward their efforts is not just pressing but urgent. This study was undertaken to identify the challenges various agriculture marketing models face in the region and propose a new, more efficient model. Methods: The present study is explorative research in nature and primary data is collected from 1086 farmers, 11 APMCs, 25 FPCs, 2 retailers and 10 farmers’ markets in the Pune district. Result: This study unveiled the challenges faced by farmers in adopting non-conventional marketing models. However, these challenges can be overcome with the right encouragement and training. The study’s findings confirmed that combining conventional and non-conventional marketing models can empower farmers in the evolving landscape. They also presented an opportunity to understand the emerging challenges in Indian agriculture and offer a promising path toward doubling farmers’ income in India.

Potential role of post-harvest management in agribusiness

Agriculture plays a key role in deciding the economy of the country and agricultural marketing has become the potential driver of the agricultural sector. Green revolution and succeeding technologies made our farmers to succeed in the production front, but lagging appreciably in terms of price realization owing to their inability to stop post-harvest losses and inaccessibility to efficient and scientific marketing system. Post-harvest management includes storage, packaging, coating, disease management, extended shelf life, maintaining food quality. Foods and other products can be preserved by storage at low temperature, which retards the activities of microorganisms and preserve perishable foods in their natural state. Preservation depends on the storage time required whether short or long-term short and the type of product. A cold storage unit works on two principles: Vapour absorption system (VAS), and Vapour compression system (VCS). Although VAS is a bit costlier, but economical in operation. Food irradiation is another recent food preservation technology to address some of post-harvest losses. Food is exposed to ionizing radiation (i.e. radiowaves, microwaves, UV rays, X-rays, gamma rays etc.). Food irradiation can be applied to specific purposes as quarantine treatment of fruits and vegetables and as a method to ensure hygienic quality of foods. Food processing techniques like grading, sorting and packaging, etc add value and enhances shelf life of food. Agricultural productivity augmentation needs a concurrent development of post-harvest support mechanism and efficient and organized marketing system, which would ensure maximum price rrealization to the farmers.

The Positive Role of Packaging in Consumer Behavior

Packaging strategy is the primary means for enterprises to show the products characteristics and an essential part of shaping the brand image to become the most economically efficient marketing system of a competitive tool. In order to occupy a position in the market where the key competitive differentiator is present, product packaging must be able to leave customers with a lasting impression and inspire them to make a purchase decision. Consumers purchasing decisions are extremely influenced by the packagings promotional function when there is no discernible difference in the quality of similar products. It is found that the display effect of product packaging, the completeness of information, and packaging environmental protection impact consumers purchase intention. Finally, combined with the findings of this paper and the current situation of enterprise marketing, this paper puts forward corresponding marketing suggestions for product packaging design from the current status of packaging strategy and strategy optimization.

Asymmetric Effects of Cereal Crops on Agriculture Economic Growth: Case Study of Pakistan

Agricultural marketing includes all activities which add value to agricultural products as they move from areas of agricultural production to ultimate consumption points. An effective and efficient marketing system is required in order to ensure fair returns to stakeholders but unfortunately little attention was paid to this sector in Pakistan. This resulted in welfare risk to stakeholders as price variation and values are common phenomena in the country. Public and private sectors jointly run agricultural marketing system in the country, as public sector is responsible for framing and implementing rules and regulation whereas private sector operates the system. Agricultural markets are governed under the Agricultural Produce Markets Ordinance 1978 which needs to be updated Due to poor post-harvest management practices, almost 25-40% produce is wasted which caused considerable value losses. In this chapter, an effort has been made to describe theoretical foundation of agricultural marketing along with highlighting the marketing system of major and minor agricultural commodities in Pakistan and the role of various institutions and regulations. Marketing efficiency is often understood in terms of marketing margins, physical losses and state of market competition. These indicators are also discussed in this chapter. Further, a section is devoted to identify major agricultural marketing problems with their possible solutions

Analysis of rural–urban vegetable market dynamics in Central Gondar Zone, Ethiopia

BackgroundVegetable crops are among most perishable agricultural products which require efficient marketing system to reach them fresh to consumers. Weak market integration and sluggish price transmission of such perishable products can lead to suboptimal allocation of resources. This study was aimed to identify the degree of vegetable price integration and speed of price transmission between urban and rural vegetable markets.MethodsTwo rural markets (Maksegnit and Koladiba) and one central urban market (Gondar) were selected for the purpose of the analysis based on their strong relationship as supply and destination market for vegetable crops. Price data of vegetable crops were collected from September 2013 to December 2018 from each market areas trade and revenue department offices. Augmented Dickey-Fuller test, Granger causality test and error correction model were utilized in the process of the analysis.ResultsThe result shows that both rural markets were integrated with urban market for garlic crop. In addition, the rural markets caused the urban market to change not in the reverse direction. Moreover, urban market is adjusted by about 30% per month when there were a 1% price shock in rural markets for garlic crop. This speed of price transmission is sluggish for perishable crops and seasonally flexible prices.ConclusionThis study concluded that vegetable prices are determined from demand side and it should be the target for any planned policy modification.

Determinants of Marketing Margin and Efficiency of Wholesale Marketing of Cocoyam in Southeast, Nigeria

Cocoyam is highly seasonal and perishable. An efficient wholesale marketing system makes its consumption, round the year possible, reduces postharvest losses for greater marketing margin. This study examined the determinants of marketing margin and efficiency of wholesale marketing of cocoyam in Southeast, Nigeria. The specific objectives were to examine the socio-economic characteristics of cocoyam wholesale marketers, estimate the marketing margin and efficiency of the wholesale marketing of cocoyam and examine the socio-economic factors of the wholesalers affecting their net marketing margin. Multistage, purposive and random sampling techniques were used to generate relevant data using a structured questionnaire administered to 216 cocoyam wholesale marketers in 18 markets in three states of the southeast (Anambra, Enugu and Imo). Descriptive statistics and inferential statistics (Gross margin and Efficiency Analysis and Multiple Regression) were used to analyse the data. Result on the socio economic characteristics of cocoyam wholesale marketers shows that no marketer was below the age 20 years and above 60 years with the mean age of 46 years. Majority (80%) of the marketers were married with mean family size of 5. The high gross margin of ₦20,387,212 and net marketing margin of ₦2,817,524 indicates profitability and the efficiency coefficient value of 84% indicates a high level of efficiency. The results of the influence of socio-economic variables of the respondents on the net marketing margin shows that six variables (age, marketers` experience, years of formal education, selling price, purchase price and quantity of cocoyam sold) were statistically significant while the remaining variables were not. The R2 value of 0.875 implied that 88% of variation in the net marketing income realized by the marketers was due to variations in the independent variables and the remaining 12% was as a result of stochastic noise. The F-value of 189.390 was statistically significant at 5% level of probability. This implied that socio-economic variables of the respondents together significantly influenced net marketing income, and that regression model was a good fit. It is recommended that adequate facilities such as good road network be provided especially to the rural areas (production site), storage and processing facilities should be subsidized by government for efficient marketing of agricultural produce, especially cocoyam.

Awareness and Determinants of Farmers Participation in e-Marketing of Agricultural Commodities in India

Integration of APMCs across the country through e-NAM was to augment price discovery and dissemination. The process of electronic marketing being new to the stakeholders, the awareness and constraints entailed herein are addressed. This study evaluates the extent of awareness among farmers about different processes of e-marketing, along with the determinants of their participation. A total of 240 farm households were selected randomly through multistage sampling for the primary survey. The result of the study infers that distance to the market and farm size of the farmers was the most important factors that determine farmers’ participation in e-marketing. Awareness about different e-marketing processes among farmers is relatively lower in Andhra Pradesh compared to Karnataka. The promotion of more participation to create an efficient marketing system there is a need for elaborated awareness about e-marketing among farmers and also increases the capacity building programmes to enhance knowledge about several process of trading.

An Economic Analysis of Potato Marketing in Haryana

An efficient marketing system is a prime factor for raising the producer's share in the consumer's rupee and promoting the economic development of the country. The main objective of the study was to examine the price spread and marketing efficiency in the marketing of fresh potatoes in the Kurukshetra district of Haryana, India, during 2019-20. The primary data were collected for potatoes by survey method using a well-designed survey schedule. Price spread was the highest in marketing Channel-I, and the marketing efficiency was highest in marketing Channel-IV as the packaging and unloading services were provided by the supermarkets to the potato farmers. The study provided information regarding the selection of the right marketing channel for potato marketing.

Push and pull factors of red pepper (capsicum) market supply: Evidence from south western Ethiopia

The growth and development of the spices sector depend upon market-oriented production system and good marketing infrastructure. However, for smallholder farmers, it is difficult to supply theirs produces to markets because of different problems and barriers. Therefore, this study was aimed at analyzing the push and pulls factors of red pepper market supply in Southwest Ethiopia. The primary data were collected from 267 randomly selected sample households’. The Tobit model was used to determine the volume of red pepper supplied to the market. The results shows that the education level of household head, land allocated for red pepper production, access to credit, and lagged price of red pepper significantly affect the volume of red pepper supplied to the market. The major production constraints that hamper red pepper yield were red pepper disease, lack of fertilizer supply, lack of improved variety, lack of pesticide, harvesting before maturity, and poor post-harvest handling. The marketing constraints were lack of marketplace, low and unstable price of the product, and low quality of product, improper scale, lack of government support, and lack of transport. Therefore, Policies that give more emphasis on the provision of modern inputs, improving infrastructure, strengthening institutions of collective action, and improving the marketing extension system are recommended. • Push and pull factors are direct and indirect cause of market supply. • An efficient marketing system is the building block of economic growth. • Proper and stable pricing system increase producer's net gain. • Red pepper is the second most important vegetable.

The determinants of smallholder coffee producers’ market outlet choice decision in Debub ari district of South Omo Zone, SNNPR, Ethiopia

This study mainly aimed at analyzing coffee market chain and the determinants of coffee market outlet choice decision of smallholder coffee producers in the Debub Ari District. The descriptive statistics and econometric models were used to analyze the data. Multivariate probit model was used to identify factors affecting market outlet choices of the smallholder coffee producers. Both primary and secondary data were collected from the study area. The multi-stage sampling techniques have been employed for this study. A total of 194 coffee producer household heads have been randomly selected and interviewed with the help of pre-tested structured questionnaire. The focus group discussion and key informants interviews were conducted to supplement the formal data. The probability of choosing collector, wholesalers, retailer, processor, consumer’s outlets is 67.1%, 66.4%, 36.9%, 71.6% and 15.3%, respectively. The joint probabilities of households to jointly choose the four market outlets was 0.031% which is greater than the likely of not choosing all market outlets which is 0.003%. Access to credit negatively influenced retailer, processor and consumer market outlet choice, distance to the nearest market negatively influenced processor market outlet choices, market information, off-farm participation positively influenced retailer and consumer market outlets choices. Therefore, the intervention is needed to improve coffee marketing chain through promoting cooperatives, infrastructural development and timely market information for efficient marketing system in the study area. Int. J. Agril. Res. Innov. Tech. 12(1): 166-173, June 2022

Information and Communication Technologies for Marketing of Horticultural Crops in India

In most developing countries, including India, agriculture is moving away from traditional self sufficiency goals (subsistence) to commercialization. In this changing scenario, an efficient marketing system is central to future growth of the sector. Horticultural crops are highly vulnerable to market fluctuations. Problems due to perishable nature of the crop are compounded by lack of storage facilities, weak infrastructure, and poor transport. This often leads to market glut and distress sale at low paying outlets. In the context of developing countries, it has been suggested that Information and Communication Technologies (ICTs) can play a significant positive role by improving arbitrage and reducing information asymmetries. The Market Information Centre (MIC) in Kerala was established to provide vital market information to the state’s fruit and vegetable cultivators. This paper describes the use of price information provided by MIC to banana cultivators for making market transactions. The study was conducted in Wayanad district of Kerala, India. Data was collected using structured schedule and in depth interviews. Information on price realized by the farmers was collected from both users and non users of information provided by MIC centres.

Pemanfaatan Power Sprayer Guna Mengendalikan Hama Kopi di Desa Klungkung Jember

Coffee is one of the plantation commodities that are in great demand in Indonesia. Coffee production in East Java is the largest in Indonesia, one of the coffee-producing areas in East Java, namely Jember Regency. Some of the factors causing it, one of them from cultivation techniques and inadequate care and maintenance. In particular, many coffee pests are not handled properly. In addition, there is a factor in the level of technology absorption and the application of farm management as well as a less efficient and effective marketing system which has an impact on the income level of farmers. Therefore, it is necessary to innovate cultivation techniques and maintain coffee plants in order to maintain optimal coffee growth and produce better fruit, so as to increase farmers' income. The microcontroller-based sprayer battery is an innovative sprayer to increase coffee production in Klungkung village. The stages of this service activity start from the stage of preparation and coordination with partners, digging information (literature studies) in compiling counseling and training materials from controlling plant pest organisms, especially coffee from spraying techniques according to SOPs, coffee production management, to the coffee marketing system. The results of this dedication is the farmer of Klungkung village get benefits in good coffee cultivation techniques and in spraying pests using Power Sprayer technology.

Market chain analysis of smallholder coffee producers in debub ari district of south omo zone, SNNPR, Ethiopia

This study mainly aimed at analyzing market chain analysis of coffee in the Debub Ari District. The descriptive and S-C-P model was used. Both primary and secondary data were collected from the study area. The multi-stage sampling technique employed for this study. A total of 194 coffee producer household heads have been randomly selected and interviewed with the help of pre-tested structured questionnaire. The focus group discussion and key informants interviews were conducted to supplement the formal data. The results of S-C-P model indicated that the four firms concentration ratio (CR4) result in the study area was found to be tight oligopolistic for both red and dry coffee which accounts 89.2 and 80.0%, respectively. About 72% of price setting was done by buyers, 27% negotiation and 1% by the producers. There are seven market channels, which have been identified in the study area. The computed marketing margin among different actors and channels indicated that the total gross marketing margin (TGMM) of coffee is high in channel I, II, III whereas the producers marketing margin (GMMp) was highest in channel VII. Therefore, the intervention is needed to improve coffee marketing chain through promoting cooperatives, infrastructural development and timely market information for efficient marketing system in the study area. Int. J. Agril. Res. Innov. Tech. 11(2): 61-68, Dec 2021

THE ROLE OF WEEKLY MARKET AMONG THE PAUDIBHUYANS OF KEONJHAR DISTRICT ODISHA

The present article is on the role of weekly market among the Paudi Bhuyans of Keonjhar district of Odisha. The need to exchange goods and services is the fundamental function of any society. The exchange of services and goods can be traced from prehistoric times. The market plays the most essential role to sustain the community growth and functionality. The market not only provides the exchange of essential commodities but also an opportunity to produce various artistic manifestations which are marketable and unique to the community. The present study focuses on the organisational pattern of the weekly markets where all the shops were studied to understand the items sold, to understand the market operations which were done to exchange the goods or services, to understand the impact of weekly markets on the tribal economy and the effects of products that were being sold in the market. On the basis of this study, certain measures or approaches like government intervention, proper management of the products under sale or being put on sale, will help in an effective and efficient marketing system in the tribal areas.

Online Platform for Agricultural Produce Livestock Marketing

The main livelihood of the majoritarian population here is through farming, who dwell in villages and feed the whole country. Food is one of the necessities of a human being, which the framers fulfill. However, they fail to get a proper price of the stock they sell in the market. Hence, they are deprived of getting profits for their stock. APMLOP helps them in getting a proper price for their stock and even get profit for their efforts. This paper aims to increase farm income in an efficient marketing system that controls the number of mediators in the marketing process and ensures maximum income for farmers. In this approach, the farmers directly deal with concerned retailers not efficient also well not at marketing system. Definitely selling the farm crops across the country and even outside the country this well indirectly help to increase the demand of the product and provide higher income to farmers also the growth of agro-based industries. By adopting new technology, develop online agriculture market web application. This web application acts as a platform for moving farmer products from the farms directly to the industry or wholesale retailers.

Efisiensi Pemasaran Sapi Potong di Kecamatan Takisung Kabupaten Tanah Laut Provinsi Kalimantan Selatan

Takisung District is one of the centers for beef cattle in Tanah Laut Regency. In creating an efficient and profitable marketing system for both farmers and consumers, farmers must choose short marketing channels. This study aims to identify the shape of the beef cattle marketing channel, determine the costs, benefits, margins, and farmer's share, and the marketing efficiency received by beef cattle producers. This research was conducted in Takisung District, Tanah Laut Regency. The sample villages were chosen deliberately, namely the three villages with the highest number of farmers (Source Makmur Village, Takisung Village, and Gunung Makmur Village). The sample of farmer respondents in each village was chosen randomly in proportion, with a total sample of 30 farmers. To select local traders and cutting traders, the snowball sampling method was used. The study was conducted from March to May 2020. The results showed that there were 4 forms of beef cattle marketing channels, namely Channel I (breeders – consumers), Channel II (breeders – slaughterers-consumers), Channel III (breeders – local traders – consumers), and Channel IV (breeders – local traders – slaughterers – consumers). Furthermore, costs, profits, margins, and farmer's share per head of cattle as well as marketing efficiency for each marketing channel, namely channel 1 with costs, profits, and marketing margins of Rp.0 and farmer's share get 100% results. Channel 2 with a cost of Rp. 570,000, a profit of Rp. 4,950,000 and a margin of Rp. 5,520,000 and a farmer's share with a yield of 73.74%. Furthermore, channel 3 with a cost of Rp.243,000, a profit of Rp.457,000, and a margin of Rp.700,000, and farmer's share obtained a yield of 95.39%. Finally, channel 4 with a cost of Rp. 1,766,000, a profit of Rp. 5,124,000 and a margin of Rp. 5,920,000 and farmer's share getting 71.84% results. Economically, beef cattle marketing can be said to be relatively efficient in all marketing channels. The most efficient marketing channels are channel 1 and channel 3.

Marketing behaviour of sugarcane nursery owners of Maharashtra

Sugarcane is main important cash crop. It is one of major crop of earning foreign exchange. The green tops of cane used as a fodder for cattle. Also sugarcane industry provides employment to a larger number of peoples. Now-a-days sugarcane nursery emerges as a new enterprise mainly in rural society. Nursery techniques involve raising seedlings, management and marketing for economical use. These techniques are useful in increasing success rate and reducing manual work. Also nursery seedlings increase germination percentage, useful for maintaining optimum plant population. The use of inputs like water, fertilizer etc., is also low. Hence, nursery is the starting point for successful planting. Successful nursery growing not only requires knowledge, skill and accuracy in the production but also in the marketing. Therefore, marketing of seedlings seems as a special significance in the sugarcane nursery. Marketing is one of the post production activity, which consistently influences the extent and nature of growing as well as profits to nursery owners. Under the present circumstances, there is a need for development of efficient marketing system along with efficient production management in the whole range of marketing activities including packing, transportation techniques, distribution and product standardization. Keeping the above facts in view, the present study was conducted in the year 2020 at Kolhapur district of Maharashtra State with the objectives; to study personal, socio-economic and psychological characteristics of the sugarcane nursery owners, to analyze the marketing behaviour of the sugarcane nursery owners, to find out relationship between personal, socio-economic and psychological characteristics with their marketing behaviour. The “Ex-post-facto” research design was used for the study .The study was conducted purposively in Kolhapur district of Maharashtra state. From Kolhapur district two tehsils namely Shirol and Hatkangale were selected. Seven villages from each tehsil and then ten respondents from each village were selected by nth method of random sampling to comprise a sample of 140 respondents. The data was collected and analyzed with the help of well-structured interview schedule by personal interview with the sugarcane nursery owners and suitable statistical tools. From the research study it was found that majority (65.01 %) of the sugarcane nursery owners were found to be middle age group (36 to 55 years), 52.16 per cent were educated upto secondary school, most (62.87 %) of the respondents had medium (17-30 years) farming experience, more than half (70.01 %) of respondents had fair irrigation status, half of respondents (52.87 %) had marginal size of land holding (Upto 1.00 ha), most (67.15 %) of the nursery owners had small area under nursery, more than half (57.05 %) of the respondents had medium annual income (Upto Rs.758667). The study also revealed that more than one half (67.87%) were grouped under medium level of sources of information, 60.72 per cent of nursery owners had medium level of innovativeness, 62.15 per cent of respondents were grouped under medium level of risk orientation and 72.15 per cent of respondents had medium level of marketing orientation. It was observed that more than half (57.87 %) of sugarcane nursery owners had medium marketing behaviour. Study revealed that the selected independent variables viz., education, land holding, area under nursery, annual income, irrigation status, source of information, risk orientation and marketing orientation were in positive and strongly significant relationship with their marketing behaviour. Whereas, the variable age had negative and non-significant correlation with marketing behaviour, similarly farming experience had positive and non-significant correlation with marketing behaviour of sugarcane nursery owners.

A value chain analysis of sweet potato commodity marketing

A thorough analysis of farmers’ purchasing power is very important because of agricultural products’ unique characteristics that likely position farmers more vulnerably. In this respect, we seek to anayze farmers’ purchasing power and market conditions of an agricultural product (sweet potatoes) by using the value chain and SCP (structure, conduct, performance) analyses. This study is administered in Bergas Sub-district, Semarang Regency that exhibit high potentials of sweet potato products. Our research sample are farmers, marketing institutions, and governments that are selected with the purposive sampling and snowball sampling methods. The results show that sweet potatoes marketing in this sub-district has four marketing channels and the market structure is oligopoly. The concentration ratio (CR4) of 0.52 indicates that the market has weak concentration with the Minimum Efficiency Scale (MES) score of 65%, implying that new competitors are obstructed to enter the market. Further, the fourth market channel has efficient marketing system performance with the marketing margin of Rp 1,500/ kg and farmers’ market share of 57.14%. Overall, our results suggest that farmers have to select short marketing chains and sell their products to final consumers.