Nilabja Ghosh India`s Agricultural Marketing Market Reforms
Transcription
Nilabja Ghosh India`s Agricultural Marketing Market Reforms
Nilabja Ghosh India's Agricultural Marketing Market Reforms and Emergence of New Channels 4^ Springer Contents 1 Introduction 1.1 Evolution of Agricultural Markets: No End in Sight ]. 1.1 From Subsistence to the Exchange Economy 1.1.2 The Unresolved Middleman 1.1.3 Agricultural Markets and Competitions 1.1.4 Vertical Integration 1.2 Context 1.2.1 Apprehensions: Real or Misplaced? 1.2.2 Potentials in India 1.2.3 Alternative Marketing Models 1.3 Organization 1 3 4 5 6 7 8 9 10 11 13 2 Evolution and Reconstitution of Markets 2.1 Markets and Marketing 2.1.1 The Agro-marketing Business and Market Chains 2.1.2 Evolution of the Marketing Channel and Persistence of Dualism in Traditional Economies 2.1.3 Rise of Marketing Policy and its Failings 2.2 Stepping on to Reforms 2.2.1 Multi-market Interactions of Product Marketing with Social Relations 2.2.2 Transaction Cost 2.2.3 Explaining Channel Lengths 2.2.4 Vertical Coordination 2.2.5 A Rethinking on Prices 2.2.6 Diversification and Product Wastage 15 16 16 3 International Perspectives and Lessons Gained 3.1 What Experiences in Developed Countries Convey 3.1.1 The Relevance of Transparency and the Demise of Spot Prices 3.1.2 Entry Barriers Again and Producer Defence 18 19 20 21 22 23 24 25 26 29 29 29 30 ix Contents X 3.1.3 Loss of Independence 3.1.4 Implications for the Urban Consumer 3.1.5 Agro-ecological Prophesy 3.2 Experiences in Developing Countries and Transitional Economies 3.2.1 African Experiences 3.2.2 Centralized Economies 3.2.3 Challenges Awaiting India's Public Policy Making ... . 1 32 32 ^3 34 35 37 4 Objectives, Data and Methodology 4.1 Conceptual Framework 4.1.1 The Invisibility of Unproductive Trading Functions 4.1.2 Reaching Out to Small Farmers 4.1.3 Efficiency, Productivity and Sustainability 4.2 Challenges of Designing the Samples 4.2.1 Definitional Aspects 4.3 Sampling of Farmers 4.4 Sample Details on Traditional Marketing Channels 4.4.1 Problems of Sample Designing 4.4.2 Tracing the Channel Length and Limitations 4.5 Methodology 4.5.1 Channel Performance 4.5.2 Inefficiency of Market and Measurement Issues 4.5.3 Quantified Indicator 4.5.4 Net Adjusted Farmer Price 4.5.5 Gross Marketing Cost 4.5.6 Qualitative Insights 4.5.7 Inclusiveness 4.5.8 Development and Farm Practices 4.5.9 Returns from Land 4.5.10 Difficulties and Limitations 43 44 5 India's Agricultural Markets: Regulation and Revitalization 5.1 Rural Markets 5.2 Early Transitions 5.3 Consumer Protection 5.4 Institutions for Agricultural Marketing and Recent Tendencies 5.4.1 Market Intervention Scheme 5.5 APMC Acts, Auctions and Evaluation of the Regulated Markets 5.5.1 Regulated Markets 5.5.2 Pricing and Auctions 5.5.3 Postharvest Losses in Horticulture 5.5.4 Limitations and Evaluations of Regulated Markets ... 5.6 The Case for Reforms 65 65 66 67 44 45 46 47 47 49 50 53 53 54 55 55 56 58 59 60 61 62 63 63 67 68 69 69 70 71 71 74 Contents xi 5.7 5.8 76 77 79 Reforms Through Legislation in India Hesitations and the Status of Market Reforms 5.8.1 Reforms in Traditional Marketing 5.8.2 Agricultural Marketing Information and the AGMARKNET 5.9 Conclusion 6 Contemporary Reforms and the Transitions in Sample States .... 6.1 Transitions in Andhra Pradesh 6.1.1 Regulated Marketing 6.1.2 Problems of the Regular System 6.1.3 Amendment 6.1.4 New Channels Emerging 6.2 Marketing Reforms in Madhya Pradesh 6.2.1 Traditional Regulations on Marketing 6.2.2 Amendments 6.2.3 Conflicts, Resolution and Changes in State System 6.3 Marketing Reforms in Maharashtra 6.3.1 Regulated Marketing 6.3.2 Limitations 6.3.3 Amendment of Maharashtra Agricultural Produce Marketing (Regulation) Act, 1963 6.3.4 Entry of the Private Sector 6.4 Marketing Reforms in Himachal Pradesh 6.4.1 Regulated Marketing 6.4.2 Problems with the Regular Channel 6.4.3 New Era 6.5 Marketing Reforms in Assam 6.5.1 Traditional Marketing 6.5.2 Failures 6.5.3 Amendment and Progress 6.6 Marketing Reforms in Bihar 6.6.1 Traditional Marketing 6.6.2 Limitations of Regulated Marketing 6.6.3 Reforms? 6.7 Marketing Reforms in Jharkhand 6.7.1 Traditional Marketing 6.7.2 Weaknesses 6.7.3 Advances in Marketing 6.8 Marketing Reforms in West Bengal 6.8.1 Regulated Marketing 6.8.2 Towards Reforms: The Apprehension in West Bengal 6.9 Marketing Reforms in Uttar Pradesh 6.9.1 Limitation and Changes 80 82 83 83 83 84 85 85 86 86 87 88 88 88 89 89 90 91 91 91 92 93 93 93 94 95 95 95 96 97 97 98 98 98 99 100 101 102 Contents XII 6.10 Marketing Reforms in Punjab 6.11 Marketing Reforms in Haryana 7 Socio-economic Conditions and Agriculture in Sample States 7.1 Districts Under Study 7.1.1 Visakhapatnam District in Andhra Pradesh 7.1.2 Nashik District in Maharashtra 7.1.3 Sehore District in Madhya Pradesh 7.1.4 Shimla and Solan Districts of Himachal Pradesh 7.1.5 Ranchi District in Jharkhand 7.1.6 Tinsukia and Nagaon Districts of Assam 7.1.7 Murshidabad District in West Bengal 7.1.8 Bhagalpur District in Bihar 7.1.9 Agra, Hathras and Pratapgarh Districts of Uttar Pradesh 7.1.10 Sonepat, Gurgaon and Kurukshetra Districts in Haryana 7.1.11 Jalandhar and Ferozepur Districts in Punjab 7.2 Markets and Prices 107 '"7 108 108 109 110 Ill Ill 112 113 8 Selling to Corporate Marketing Intermediaries 8.1 Data and Methodology 8.1.1 Definitions and Methods 8.2 Reforms and Marketing Channels in Sample States 8.2.1 Marketing of Onions and Pomegranates in Nashik: How the DFPCL-'Saarrthie' Operates 8.2.2 The Adani Marketing Group and Regular Trading in Himachal Pradesh 8.2.3 ITC and Its e-Choupal in Madhya Pradesh for Marketing Soya Bean 8.3 Marketing Performance 8.3.1 Do Farmers Gain? 8.3.2 Do Users Gain? 8.3.3 Disposal 8.3.4 Wastage 8.3.5 Price Formation, Market Information and Preference for Market Channel 8.4 Perceptions of Farmers and Traders 8.4.1 M aharashtra 8.4.2 Madhya Pradesh 8.4.3 Himachal Pradesh 8.5 Who Participates in the Emerging Market? 8.6 Farm Practices 8.7 Conclusions 121 122 123 124 114 115 117 118 124 125 127 128 129 13(1 130 131 132 133 133 135 135 136 137 1-37 Contents 9 Selling to Processors on Contract 9.1 Data and Methodology 9.1.1 Method of Analysis 9.2 Sample Products and Regions: A Background 9.2.1 Assam Sample 9.2.2 Uttar Pradesh Samples 9.2.3 Punjab Sample 9.2.4 How the Channels Operate 9.2.5 Contracts with Processors Among Potato Growers in Assam 9.2.6 Transitions in Uttar Pradesh from Trader Buyers to Processor Buyers 9.2.7 Developments in Punjab 9.3 Market Performance 9.3.1 Farmer's Gain 9.3.2 Consumer's Gain 9.3.3 Price Fixation and Information Dissemination 9.3.4 Disposal and Wastage 9.4 Perceptions of Stakeholders 9.4.1 Uttar Pradesh 9.4.2 Assam 9.4.3 Punjab 9.5 Who Participates? 9.6 Farming Practices 9.7 Conclusion 10 Selling to Organized Retailers 10.1 Data and Methodology 10.2 Status of Study Regions and Market Functioning 10.3 Emerging and Traditional Marketing Channels 10.3.1 Marketing Through Reliance Fresh in Jharkhand and Haryana 10.3.2 Mother Dairy as the Intermediary in Himachal Pradesh 10.4 Market Performance 10.4.1 Farmer Gains 10.4.2 Consumer Gain 10.4.3 Disposal and Wastage 10.4.4 Price Determination and Information 10.4.5 Perceptions of Different Agents 10.5 Participation 10.6 Farming Practices 10.7 Conclusion %iü 139 140 140 141 141 142 142 143 143 144 146 147 148 148 148 150 151 151 153 153 154 155 156 159 160 160 162 163 164 165 166 167 168 169 170 172 173 173 Contents XIV 11 Direct Marketing by Farmers 11.1 Data and Methodology 11.2 Status of Study Regions and Market Functioning 11.2.1 Direct Selling by Individual Farmers in Andhra Pradesh 11.2.2 Direct Selling in Groups in Assam 11.2.3 Bypassing the Commission Agent in Punjab 11.2.4 The Traditional Marketing Channels 11.3 Market Performance 11.3.1 Gains for Agriculture 11.3.2 Do Consumers Gain? 11.3.3 Price Fixation and Dissemination 11.3.4 Disposal and Rejection 11.3.5 Wastage 11.4 Perceptions of Market Agents 11.5 Who Participates in the Emerging Market? 11.6 Fanning Practices 11.7 Assessments 12 Contracts with Local Traders in West Bengal 12.1 Background 12.2 Market and Market Reforms 12.3 Sample and Methodology 12.3.1 Sample District of Murshidabad 12.4 Marketing Method 12.4.1 Traditional Marketing 12.5 Market Performance 12.5.1 Do Farmers Gain? 12.5.2 Wastage and Disposal 12.5.3 Price Information and Preference 12.6 Perceptions 12.7 Who Participates? 12.8 Farm Practices 12.9 Assessments on West Bengal 13 Local Marketing Support in Bihar 13.1 The Progression and Regression of Market Reforms 13.2 Sample Details and Methods 13.2.1 Sample Region and Crop 13.2.2 Methodology 13.3 Marketing Mango 13.4 Market Performance 13.4.1 Price Determination 13.4.2 Perceptions 13.5 Participation 13.6 Farm Practices 13.7 Concluding Remarks 1 n ^6 177 178 179 179 180 181 181 182 182 183 184 184 186 187 188 189 189 190 190 191 191 192 192 193 194 194 194 195 196 197 199 199 200 200 200 201 201 202 203 204 205 205 Contents xv 14 The Transition in India: An Integrated View 14.1 Variety of Channels 14.2 Reduction of Marketing Costs and Gain in Efficiency 14.3 Shorter Channels and Traders' Productivity 14.4 Economic Gains for Agriculture 14.5 Participation of Farm Classes 14.6 Sensitivity of Farm Size in Participation 14.7 Farm Practices 14.8 Implications of the Changes 207 207 209 212 213 214 216 217 219 15 Reconsidering Agricultural Marketing in India 15.1 Looking Forward 15.2 Misgivings and Political Economy Implications 15.3 Markets and Marketing Channels 15.4 Experiences from Other Countries 15.5 Progress of Reforms in India 15.6 Reforms in States 15.6.1 Reforms in Traditional Marketing and the Role of Traders 15.7 Empirical Findings from Primary Data and Field Information 15.7.1 Functioning of Emerging Channels 15.7.2 Why Participants Choose the New Channel 15.7.3 Marketing Costs and Gains in Efficiency from Switching 15.7.4 Gains to Agriculture 15.7.5 Political Economy Implications 15.7.6 Sensitivity of Farm Size in Participation 15.7.7 Farm Practices 15.7.8 Marketing Practices 15.7.9 Other Services Provided by the Buyer 15.7.10 Innovations of Organization 15.7.11 Traditional Markets 15.7.12 Changing Rules of Price Determination and Significance of Traditional Marketing 15.7.13 Wastage 15.8 Policy Directions 223 223 224 226 226 226 227 227 228 229 229 230 230 230 231 232 232 232 232 233 233 234 235 Appendix 237 Bibliography ^95 Index ^03