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Transcript of Rural Market Institutions
8/8/2019 Rural Market Institutions
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Marketing In The Hinterland
Saroj Kumar Mohanta
Partner, MART
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Rural Images
Saroj Kumar Mohanta
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New Roads
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Housing
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People
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Market
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Outlets
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Place of Gathering
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Technology
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RURAL ECONOMIC STRUCTURE
RURAL ECONOMY
FARM SECTOR NON-FARM SECTOR
AGRICULTURE
ANIMAL HUSBANDRY
HORTICULTURE
FORESTRY
FISHING
INDUSTRIES SERVICES
AGRO-PROCESSING
MANUFACTURING
MINING/QUARRYING
CONSTRUCTION
RETAILING/TRADING
COMMUNITY/SOCIAL SERVICE
TRANSPORT/STORAGE
COMMUNICATION
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Rural Institutions & Markets
Large infrastructure
Post offices 1,38,000
Bank branches 32,000 Public distribution shops 3,80,000
Haats (periodic markets) 42,000
Melas (exhibitions) 25,000
Mandis (agri markets) 7,000
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RURAL INFRASTRUCTURE
SOCIAL
Health
137292 sub centres (1 ANM + 1 MHW)
22807 PHCs (medical officer + 14 paramedics ; 6 beds)
3027 CHCs (4 medical specialists + 21 paramedics. 30 beds + X Ray,
labour room, OT, labs)
Education 12,28,501 EDU. INST.
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RURAL INFRASTRUCTURE
ROAD CONNECTIVITY
49% - <1000; 75% - 1-1500; 78% - > 1500
Pradhan Mantri Gram Sadak Yojna will cover 160000 habitations with
investment of Rs. 60000crores
MEDIA
Radio - 208 Stations - 98.8% population
TV ± DD 1042 transmitters ± 7.5 crore homes
Press ± about 15% of total India
Mobiles ± Over 192 million ««and growing!
ELECTRIFICATION
90% Villages electrified but 48% have access
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Rural Administrative Structure &Social Structure
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Rural Administration
Big
village
Small village
Small village
Panchayat
>5000 pop
Elected body
Gram pradhan heads the elected body
Gram sevak is the administration representative
Panchayat empowered to implement programs
Formal body is different from caste panchayats
About 25 panchayats
are administered under
block administration
BDO is in-charge of block administrationRepresentation of panchayats by a pradhan
MLA is chairman in the block
All govt programs are channeled through blocks
to panchayats. Monitoring and control
About 10 blocks are
administered under
District administration
DC is in-charge of District administration
MP is the chairperson in district administraton
DC is incharge of all departments in the district
and also in-charge of all programs
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Rural Administration (Health)
Big
village
Small village
Small village
Panchayat : Sub-centre
ANM ± 2000pop
Multi purpose worker and Auxillary nurse
midwife officiate the sub centre
Anganwadi worker is not a health department
representative. But a ICDS worker
Block -Sub centres
report to PHC
Bigger blocks have
CHC (better facilities)
PHC have a qualified doctor(s) with supportstaff: Lab technician, Nurse, others
CHC has at least one specialist doctor and more
general doctors. Facility has diagnostic and
imaging facilities
All PHC & CHC report
to District hospital and
health department
officer
District hospital is a centre with specialist doctorsand a complete set up.
The administration is responsible for the health
issues in the district
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Close of Session
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CULTURE SYSTEM LEVELS OF INFLUENCEMACRO
EXO
MESO
MICRO
CUSTOMS
SOCIAL NORMS
CULTURE
EXPERTS
PEER
GROUP
FAMILY
NEIGHBOURSWORK
ATTITUDES,BEHAVIOUR, VALUES,IDEOLOGIES
POINT OFPURCHASE
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SPLIT
OFRU
RAL
PO
PUL
ATION
RURALPOPN.
AGRICULTURE73%
NON-AGRIC.27%
SELF
EMPLOYED
40%
WAGEEARNER
33%
FORMAL15%
INFORMAL
12%
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SPLIT OF RURAL INCOMES
RURALINCOMES
AGRICULTURE53%
NON-AGRIC.47%
SELF
EMPLOYED
43%
WAGEEARNER 10%
FORMAL31%
INFORMAL
16%
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PER CAPITA INCOME
RURALPOPN9941.
AGRICULTURE6855
NON-AGRIC.16464
SELF
EMPLOYED
10150
WAGEEARNER
2860
FORMAL19514
INFORMAL
12595
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DISTRIBUTION OF RURAL HHs BY INCOME
ANNUAL INCOME IN Rs.AT1998 ± 99 PRICES
INCOME CLASS 1989 -90
(% HOUSEHOLDS)
1998 ± 99
(% HOUSEHOLDS)
<=35000 LOWER 67.3 47.9
35001-70000 LOWER MIDDLE 23.9 34.8
70001-105000 MIDDLE 7.1 10.4
105001-140000 UPPER MIDDLE 1.2 3.9
> 140000 HIGH 0.5 3.0
TOTAL100 100
Rural Annual Per Capita Income is Rs. 9481 vs Rs. 19407 in UrbanHighest Rural Per Capita Income is Punjab (Rs. 27256)Lowest Rural Per capita Income is Orissa (Rs. 5704)
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Opportunity & Challenges
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Marketing Opportunities
Low penetration rates in rural
% of rural HH
Durables Urban Rural Total
CTV 30.4 4.8 12.1
Refrigerator 33.5 3.5 12.0
FMCGs Urban Rural Total
Shampoo 66.3 35.2 44.2
Toothpaste 82.2 44.9 55.6
Source: NCAER 2002
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Marketing Opportunities
R1 - 4%
R2 - 11%
R3 - 37%
R4 - 48%
Low rural consumption in FMCGs (rich HHs)
urban rural
Annual consumption Rs 13,000 Rs 9,400
Rural consumption volumes (R1+R2+R3) Toothpaste 88%
Toothpowder 79%
Shampoo 88%