Defects of Agriculture

3013 Words Mar 17th, 2013 13 Pages


The term agricultural marketing is composed of two words -agriculture and marketing. Agriculture, in the broadest sense means activities aimed at the use of natural resources for human welfare, and marketing connotes a series of activities involved in moving the goods from the point of production to the point of consumption. Specification, the subject of agricultural marketing includes marketing functions, agencies, channels, efficiency and cost, price spread and market integration, producers surplus etc. The agricultural marketing system is a link between the farm and the non-farm sectors.

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The objectives of an efficient marketing system are:

1. to enable the primary producers to get the best possible returns,

2. to provide facilities for lifting all produce, the farmers are willing, to sell at an incentive price,

3. to reduce the price difference between the primary producer and ultimate consumer, and

4. to make available all products of farm origin to consumers at reasonable price without impairing on the quality of the produce.

Facilities Needed for Agricultural Marketing

In order to have best advantage in marketing of his agricultural produce the farmer should enjoy certain basic facilities.

1. He should have proper facilities for storing his goods.

2. He should have holding capacity, in the sense, that he should be able to wait for times when he could get better prices for his produce and not dispose of his stocks immediately after the harvest when the prices are very low.

3. He should have adequate and cheap transport facilities which could enable him to take his surplus produce to the mandi rather than dispose it of in the village itself to the village money-lender-cum-merchant at low prices.

4. He should have clear information regarding the market conditions as well as about the ruling prices, otherwise may be cheated. There should be organized and regulated markets where the farmer will not be cheated by the "dalals" and "arhatiyas".

5. The number of intermediaries should be as small as possible, so that the

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