AGRICULTURAL MARKETING

EXTENSION – ISSUES AND STRATEGIES

***Dr R P Singh

Associate Director Extension

Throes and Woes of Indian Farmer

Small fragmented land holdings

Poor per hectare yield as compared to

International standards

Inferior quality produce

Market competitiveness

Poor post-harvest management

Seasonal dependence

Multiple products in small quantities with

heavy wastages

Selling every thing whole sale and Buying

everything in retail

Poor storage facilities

Poor bargaining power

Less marketing intelligence

Exploitation by the Commission agents

Constraints in Marketing of Agricultural Products in India Fluctuations in agriculture Prices and Supplies

Conflicting Interests of farmers, middlemen and consumers

Under utilization of Resources

Inadequate Transportation, Communication and Information network

Imbalance in the spread of Internal marketing network

Improper Distribution system

Seasonality, Perishability and Enormity of production

Improper Storage facilities

Less awareness about Processing technologies

Glut in the market

Crop failures

Unorganized marketing sector

Lack of Marketing professionals

Less attention on Marketing strategies in National Agricultural Extension system

Inadequate attention of Mass media

Inadequate Advertisement about agricultural produce

Inadequate Government mechanism to control against exploitation / under pricing

Inadequate Packaging facilities

No Demand forecast of Agricultural commodities

Imbalances in Agricultural production

Challenges ….. Motivate the Extension personnel to learn the new knowledge and skills of marketing

Make the Farmers info-rich - The market information should provide answers to questions like What and how much to produce, When to produce, In what form to sell, At what price to sell, When to sell and Where to sell

Establishment of linkages between Agriculture line departments and Department of Marketing

Capacity building of Extension personnel and Farmers

Reorganization of Agricultural Extension system

Strengthening of Infrastructure facilities

Minimization of Post harvest losses

Agro climatic zone wise and Enterprise wise generation of export oriented technologies

Changing Roles of Agricultural Extension Professionals

SWOT Analysis of the market

Organisation of Farmers Groups

Supporting and Enhancing the capacities of established Farmers Groups

Enhancing the Communication skills of farmers

Establishing the linkages between Farmers Groups, Markets and Processing units

Advice on Product planning

Educating the Farming community

Encourage Direct marketing

Acquiring complete market information

Regular usage of Internet facility

Disseminating the market information through News papers, Radio and Television

Organisation of Study tours for Farmers Groups

Advise on improved marketing practices

Paradigm shifts from TOT Extension to Marketing Extension

Aspects TOT Extension Marketing Extension

PurposePurpose

End ResultEnd ResultFarmers seen Farmers seen asasFocusFocusTechnologyTechnology

Contact with Contact with FarmersFarmers

Transfer of Crop Transfer of Crop technologiestechnologiesAdoption of PracticesAdoption of PracticesHigh ProducerHigh Producer

Seed to SeedSeed to SeedFixed package of Fixed package of practicespracticesIndividualIndividual

To get optimum To get optimum returnsreturnsHigh ReturnsHigh ReturnsAn EntrepreneurAn Entrepreneur

Money to MoneyMoney to MoneyDiverse Baskets of Diverse Baskets of package of practicespackage of practicesFarmers GroupsFarmers Groups

Aspects TOT Extension Marketing Extension

Extensionist’sExtensionist’sInteraction Interaction

LinkagesLinkages

Extensionist’s Extensionist’s RoleRoleRecords Records MaintenanceMaintenanceIT SupportIT Support

MessagesMessagesTrainingTrainingMotivatingMotivatingRecommendationsRecommendationsR-E-FR-E-F

TOT & FeedbackTOT & Feedback

Not much importantNot much importantProduction Production technologiestechnologies

Joint analysis of the Joint analysis of the issue - Consultationissue - Consultation

R-E-F extended by R-E-F extended by market linkagesmarket linkagesMarket intelligenceMarket intelligenceEstablishment of Establishment of linkageslinkagesVery importantVery importantMarket intelligenceMarket intelligence

Information to Extension System and Farmers

Present Agricultural scenario and Land Use pattern

Suitability of land holdings to various crops

Crops in demand in near future

Market prices of crops in demand

Credit facilities

Desired qualities of products by consumers

Marketing network of the local area

Price differences in various markets

Availability of Storage and Warehouse facilities

Transport facilities

Regular updating of market intelligence

Improved production technologies

Post Harvest management

Extension Messages…..Auditing of Local resources and Facilities

Product knowledge and Market segmentation

Product planning

Adoption of Production practices

Harvest and Field operations

Packaging

VACs / Pack- houses

Standardization and Quality control

Storage and Warehousing

Transportation

General Agricultural marketing and Wholesale Market management

Retail management

Market information

Post harvest loss reduction Aspects

Institutional linkages for Training and Research

Marketing credit

Export marketing

Stages in Promoting Agricultural Marketing Extension

Auditing of local resources and facilities

Determining what the market wants

Understanding the marketing system

Decision making and Agreeing on an action plan

Implementing of action plan

Reviewing to identify the deviations

 

Roles and Responsibilities of Agricultural Marketing and ExtensionS.S.NONO

ActivitiesActivities Agril. Agril. MarketingMarketing

Agril. Agril. ExtensionExtension

11 Product PlanningProduct Planninga.a. Market AwarenessMarket Awarenessb.b. Price InformationPrice Informationc.c. Credit FacilitiesCredit Facilitiesd.d. Networking of commodity Networking of commodity

base potential areas with base potential areas with in the country & abroadin the country & abroad

e.e. Regular flow of Regular flow of InformationInformation

S.S.NoNo

ActivitiesActivities Agril. Agril. MarketingMarketing

Agril. Agril. ExtensionExtension

22 Production TechnologyProduction Technologya.a. R & DR & Db.b. Varietal improvementVarietal improvementc.c. Pesticides free productionPesticides free productiond.d. Organic farmingOrganic farminge.e. Use of Bio fertilizersUse of Bio fertilizersf.f. Harvesting at right timeHarvesting at right time

S.S.NoNo

ActivitiesActivities Agril. Agril. MarketingMarketing

Agril. Agril. ExtensionExtension

33 Post harvest managementPost harvest managementa.a. ProcessingProcessingb.b. GradingGradingc.c. StandardizationStandardizationd.d. Infrastructure supportInfrastructure supporte.e. Value additionValue additionf.f. PackagingPackagingg.g. Certification of AgencyCertification of Agency

S.S.NoNo

ActivitiesActivities Agril. Agril. MarketingMarketing

Agril. Agril. ExtensionExtension

44 Storage and TransportStorage and Transporta.a. Creating awareness/ creation Creating awareness/ creation

of transport facilitiesof transport facilitiesb.b. Creation of Storage facilitiesCreation of Storage facilitiesc.c. Networking of storage Networking of storage

informationinformationd.d. Govt support for creation of Govt support for creation of

SHGs in the area of SHGs in the area of infrastructure developmentinfrastructure development

e.e. Credit facilities to SF & MFCredit facilities to SF & MFf.f. Development of Export zoneDevelopment of Export zone

Agricultural Marketing Extension –

A Holistic Frame work Components of Marketing Extension Approach-

Market Risk Farmer Facilitation

To Prevent Market Risk To Manage Market Risk

………………………………………………………………………………………….

Price Risk

Demand Risk

Quality /

Preference Risk

………………………………………………………………..

Extension Approaches…..

Product Planning Approach

Group Approach Coordinated Approach

Major Strategies of Agricultural Marketing Extension

Faithful monitoring of the Government Policies

Providing education to farmers about basic dimensions of Agricultural marketing

Strengthening of Infrastructure facilities

Organisation of Farmers Groups

Train the farmers to make them aware of GATT and it’s implications

Farmers need to be exposed to consumer needs and preferences

Train the farmers in producing the quality products

Establishment of linkages between Agriculture line departments and Dept of Marketing

Intensive training to the Extension professionals on Agricultural marketing

Reorganization of Agricultural Extension system

Reduce post harvest losses

Promoting processing

Use of Cyber technology in disseminating market intelligence

Advise on improve marketing practices

Advise on Alternate marketing

Indian farmers have to shift their focus

from

“Supply Driven

to

Market Driven”

THANK YOU