WEL-COME

MANOJ SUBEDI
AFU
 Case Study of Vegetables and
Mushroom marketing in Rampur

 MARKET STRUCTURE
 MARKETING CHANNEL
 PRICE SPREAD AND PRICE
VARIATION
 PROBLEMS SEEN IN MARKET
MARKET STRUCTURE
 Market structure refers to those organizational
characteristics of a market which influence the
nature of competition and pricing and affect the
conduct of business firms.
 Generally in market , four types of market
structure can be seen :
1. Perfect market
2. Monopoly market
3. Monopsomy market
4. Oligopolistic market
 Marketing channel
 For efficiency of market, there are series of channel to be
interacted in parallel and systematic way
 Marketing channel refers to the series through which the
produce of producer flows to consumer. The series of
marketing channel may vary with the market situation.
 From producer, product transfer through different channel as
below:
A. Producer consumer ( in small
scale market )
B. Producer whole seller
retailer consumer (in large scale market )
C. Producer village trader
whole seller retailer
consumer( in large scale market )
 Examples of marketing channnel

 The marketing transactions of kanya chyau in a market are as below:

Wholesale (RS PER KG )
 Farm Narayanghat Retailer Consumer
Rs.170 Rs.210 Rs.230
Retail (RS PER KG )
 Farm Individaual ( local people of Rampur )
Rs.200
 Farm local market retailer consumer
Rs.200 Rs.215
Price spread and Price variation
 Generally in market, the price paid to the producer
and the money paid by consumer vary based on
market structure and condition.
 It is because of the presence of middle man which is
the major burden for hiking the price in market and
hurting the poor and marginalized people. This is
termed as price spread.
 Variation in price is observed in agricultural market
due to different factors like quality, place and time.
Generally agricultural commodities like fruits and
vegetable are perishable in nature and inelastic in
demand so that the price variation can be observed.
Mushroom for 2 nd lot
 VALUE CHAIN
• Conceptually, a value chain involves a series of value
generating activities, through which a firm or farm develops
competitive advantages and creates value.
• For instance :
1. The potato producer without selling directly if go on
processing approaches like making chips and can receive
the higher prices in compared to former one.
2. As value added product , the farm also processed
mushroom in dry form and sold in packets at higher price
(Rs. 2000-2200 per kg ) which in normal were bought at Rs.
200-250 per kg
 Problems in market

 In vegetables and fruit market, problems like storage

problem (due to perishable nature), price fluctuation,
unavailability as per demand and competition in market
 In mushroom farm, shipping and transportation problem
due to it’s highly perishable nature, less demand in
market due to lack of information regarding its
importance.
 middle man issues is the major problems in every market.
Solution of problems :
 Firstly, middle man issues is the major problems
that should be immediately solved by the
concerning authority .
 Government should focus on production of
channel that directly supplies the product from
producer to consumer.
 Provision of storage facilities, input supply in
time, proper processing, grading, packaging ,
shipping and transportation facilities