AGRICULTURAL MARKETING

                   AGRICULTURAL MARKETING

WHAT IS MARKET? 

             •  Market  -  latin word - " Marcatus ".

             •  It means trade or merchandise. 

             •  A place where goods and services are exchanged or sold economically, which facilitates the buyers and sellers for easy transactions of goods and services. 

COMPONENTS OF MARKET

        1.  Existence of goods / commodities for transaction.

        2.  Existence of good buyers and sellers. 

        3.  Price should be determined. 

        4.  There should be mutual relationship between the buyers and sellers. 

MARKETING 

        •  It is the economic process of exchanging goods and services. 

        •  FATHER OF MARKETING  -  "Philip kotler"

AGRICULTURAL MARKETING

           AGRICULTURE  -  Raising of crop and livestock produces using natural resources. 

           MARKETING     -  It is an economic operation, in which the goods and services are directed from farmers to consumers. 

           The basic unit of market supply is FARM. 

           INPUT MARKET     -  Supplies inputs from various firms to farms. 

           OUTPUT MARKET -  Supplies farm produces in market. 

            Utilities are created in every marketing system. 

                  1. Form utility            - Processing activity of marketing. 

                  2. Time utility            - Storage function of marketing. 

                  3. Place utility            - Transport services of marketing. 

                  4. Possession utility - ownership in marketing. 

     Definition

              According to Thomsen, 

                    " Agricultural marketing comprises all the operations, and the agencies conducting them involved in the movement of farm produced foods, raw materials and their derivatives, such as textiles, from the farms to the final consumer and effects of such operations on farmers, middlemen and consumers. "

             According to Acharya and Agarwal, 

                   " It is the study of all activities, agencies and policies involved in the procurement of farm by farmers and the movement of agricultural products from farmers to the consumers. "

             According to Richard kohls, 

                  " The performance of all business activities involved in the flow of goods and services from the point if initial agricultural production until they are in the hands of the ultimate consumer. "

          

IMPORTANCE OF AGRICULTURAL MARKETING

           1. Self sufficiency is achieved and excess commodities are exported to needy countries.

   

           2. Product prices are determined based on demand and supply,  they help producers to decide " WHAT TO PRODUCE " and " HOW MUCH TO PRODUCE ".

           3. Development in marketing activity increases the demand and thereby increases production also.

           4. Increased production process, increases input supply. 

           5. In welfare point of view, 

Producers -  Greater the share, more would be the welfare. 

Consumers-  If needs are satisfied, more would be the welfare. 

Middlemen-  Development in the marketing system, more would be the involvement of middlemen. 

                  If there is efficient marketing system, more would be the welfare of producers, middlemen and consumers. 

           6.  Therefore, the agricultural marketing system should be reviewed periodically based on the needs desired by the three categories.