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A Study on Marketing of Banana in Paramathi Velur Block of Namakkal District

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A Study on Marketing of Banana in Paramathi Velur Block of Namakkal District The International journal of analytical and experimental modal analysis ISSN NO: 0886-9367 A STUDY ON MARKETING OF BANANA IN PARAMATHI VELUR BLOCK OF NAMAKKAL DISTRICT Dr. S. SENTHILRAJA Assistant Professor, PG and Research Department of Economics, Kandaswami kandar’s College, Velur-Namakkal. Mobile No : 9865469401 Abstract The record of development of the population involved in the agriculture sector so far has been a mix of both encouraging and discouraging trends and that there is need to enhance both the pace and the level of development. To do this, it is necessary to identify the causes, which are affecting the development of Indian farmers particularly rural agricultural farmers. One of the huge problem faced by the agricultural farmers is the unasserted price for their products particularly vegetables which are perishable in nature. Though the government takes steps and policies, the role of intermediaries are not abolished in the rural agricultural marketing. Paramathi Velur is one of the important area producing banana in high level. They face many problems in marketing their products. They are not able to reap reasonable profit due to the intermediaries. The present study made an attempt to analyse the profit spread in banana marketing in Paramathi Velur Block. The non-development of agricultural markets in the State had exposed the farmers to various exploitative trading forces resulting into a situation where the farmers are unable to get the remunerative prices for their produce. The village level markets are manned by the highest bidding and they do not have the basic facilities for proper marketing. These markets are active only on the appointed days – once or twice in a week and on the appointed days the sellers and the buyers come to the market for their selling and purchase the bunches. If the Government take necessary steps to improve the marketing facilities through establishing co- operative marketing for banana, it will helpful for the banana producers to improve the production of banana in this area. Keywords: Banana, Profit margin, Marketing, Producer, Wholesaler, Weekly market. Volume XI, Issue XII, December/2019 Page No: 3099 The International journal of analytical and experimental modal analysis ISSN NO: 0886-9367 A STUDY ON MARKETING OF BANANA IN PARAMATHI VELUR BLOCK OF NAMAKKAL DISTRICT Dr. S. SENTHILRAJA Assistant Professor, PG and Research Department of Economics, Kandaswami kandar’s College, Velur-Namakkal. Mobile No : 9865469401 Introduction The record of development of the population involved in the agriculture sector so far has been a mix of both encouraging and discouraging trends and that there is need to enhance both the pace and the level of development. To do this, it is necessary to identify the causes, which are affecting the development of Indian farmers particularly rural agricultural farmers. One of the huge problem faced by the agricultural farmers is the unasserted price for their products particularly vegetables which are perishable in nature. Though the government takes steps and policies, the role of intermediaries are not abolished in the rural agricultural marketing. India continues to rank as the second largest producer of fruits in the world. Banana is one of the important fruits in India and occupies about 4.24 lakh hectares (10.49 per cent in world share) with a production of about 121.05 lakh tonnes (17.44 per cent in world share) in 2005-06. The main varieties of banana are Dwarf Cavendish, Rasthali, Robusta, Povan, Nendran, Karpuravalli and Sevvazhai. Export of Banana is less than 10 % of production The major banana producing states are Maharashtra, Kerala, Tamil Nadu, Gujarat, Assam, Andhra Pradesh and Karnataka Paramathi Velur is one of the important area producing banana in high level. They face many problems in marketing their products. They are not able to reap reasonable profit due to the intermediaries. The present study made an attempt to analyse the profit spread in banana marketing in Paramathi Velur Block. Marketing of plantain in Paramathi Velur starts on the evening of Friday and is completed on the afternoon of Saturday every week. On an average 10,000 plantain Thars1 are usually traded every week. It is worth Rs.1.5 lakhs. In this, freightage, processing cost, transport cost, etc., are included. The plantain marketing happens to be the major activity of 1 Thars – refer to a cluster of bunches plantain. Volume XI, Issue XII, December/2019 Page No: 3100 The International journal of analytical and experimental modal analysis ISSN NO: 0886-9367 the local market which serves an area with a radius of 20 kilometers. There is no other big plantain market anywhere near. There are many plantain gardens on either bank of the river Cauvery. Plantain Marketing Structure The plantain garden of Paramathi Velur is a mono-commodity farm. There are three major varieties of plantain. They are (1) Poovan (2) Rasthali (3) Monthan. There is quality variation but it is not much noticed. There are indeed seasonal fluctuations in production. The market organization for plantain at Paramathi Velur consists of components of farmer-producer-seller, wholesalers (Intermediate buyers) retailers and consumers. There are many producer-sellers. There are wholesalers too and their number is 20. It is a fact that there is no well developed marketing organization for this important crop here. It is also true that there is considerable difference between the producer’s sale price and the consumer’s purchase price. However there is a possibility for minimizing the spread so that both the producer and consumer could benefit. It has been observed here that the producer remains positive in the process of price fixation. The following research questions are postulated: There is much profit to the seller, whether wholesaler or retailer. Consumer’s pay a high price for plantain fruits but is not fully enjoyed by the producing farmer. Objectives The main objectives of this study are as follows: To estimate the producer’s net price, wholesaler’s net price and retailer’s net price individually and examine their net price ratios comparatively. To examine the abnormal profits of the wholesalers and retailers. To study the various marketing problems connected with the marketing of plantain. Methodology Paramathi Velur is the universe of the present study. Paramathi Velur has a weekly market. Plantain thars come from the neighboring villages of Paramathi Velur block. Villages which lie on the other side of the river Cauvery are in Karur district but they also supply plantain thars to the Paramathi Velur market. A few villages on the eastern tail and of Erode Volume XI, Issue XII, December/2019 Page No: 3101 The International journal of analytical and experimental modal analysis ISSN NO: 0886-9367 district lying contiguous to the borders of Salem and Karur district also supply plantain thars to this market. The plantain marketing commences on Friday night and ends on Saturday afternoon. Producer-Seller The farmers are categorized as marginal farmers, small farmers, medium farmers and large farmers. The period of the present study is during the financial year of 2018-19. There were 52 market days during that year. All the market days were considered for the present research work. During the study year, totally 22 villages supplied plantain thars to the market. Of this 11 villages are in Namakkal district, 9 villages in Karur district and 2 villages in Erode district. Data were collected from the producer-sellers. Random sampling techniques were employed in this study. 55 farmers were randomly selected for the study. There are about 25 processing laborers and they all happen to be females. Of that 5 were selected for study. Jobbers or bargainers in the Paramathi Velur plantain market were about 20 in number and of this 10 were taken for study. Intermediate buyers numbered 20. Of this 5 were taken for this study. The following Table shows the samples selected for the study. TABLE 1 RANDOM SAMPLES OF PRODUCER-SELLERS 1 and less 2 and less 3 and less Above 3 Total than 1 acre than 2 acres than 3 acres acres Producer- 22 11 11 11 55 sellers Percentage 40% 20% 20% 20% 100% TABLE 2 DISTRICT WISE PRODUCER-SELLER 1 and less 2 and less 3 and less Above 3 District than 1 acre than 2 acres than 3 acres acres Namakkal 11 05 05 05 Karur 09 04 04 04 Erode 02 02 02 02 Total 22 11 11 44 Volume XI, Issue XII, December/2019 Page No: 3102 The International journal of analytical and experimental modal analysis ISSN NO: 0886-9367 Results and Discussion The tabular and percentile analyse of the present study exhibits the comparison between the producers annual average sale price, wholesalers annual sale price, wholesalers annual net price, profit margin of the wholesaler, wholesalers annual average sale price retailers annual net price and the profit margin of the retailers. The initial cost of a plantain thar was Rs.129.00. The annual average sale price at the retailers was Rs.225.00. Wholesaler and retailer incur the marketing costs. After the deduction of these marketing costs, the wholesaler received Rs.46.20 as the profit margin per thar at the rates calculated on the average per year. The retailers profit margin, after deductions of marketing costs was Rs.27.00. The total profit margin was therefore Rs.73.20 whose initial cost was Rs.129.00. One can see the wide profit margin that were going to the wholesalers and the retailers. The producers annual average sale price per retailers. The producers annual average sale price per thar was Rs.129.00. The consumers annual average price was Rs.225.00 per thar. Out of Rs.96.00 as the difference, Rs.73.20 constituted the profit and Rs.22.80 formed as transport and other marketing costs of both the wholesalers and the retailers.
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