Marketing of Agriculture Produce

In Pakistan

By Mr Allah Dad Khan

What is Marketing

1.Marketing is the activity, set of institutions, and processes for

creating,communicating, delivering, and exchanging offerings that have

value for customers, clients, partners, and society at large.

2. Marketing is the social process by which individuals and organizations obtain what they need and want through creating and exchanging value with others.

3. The all-embracing function that links the business with customer needs and wants in order to get the right product to the right place at the right time”

4. Marketing may be defined as a set of human activities directed at facilitating and consummating exchanges”

B. SALE IN VILLAGES: The growers sell their product more than 50% to the traders and the shop keepers sitting within the villages at below than market price

C. SALE IN MARKETS: Some farmers sell their products in the markets located in the vicinity of village

D. COOPERATIVE MARKETING: The fourth is the cooperative marketing. Since this system has totally been failed in Pakistan therefore farmers sell to the individual traders or commission agents

PRESENT STATUS OF AGRICULTURAL MARKETING The ways that are used in selling surplus agricultural products include:

A. SALE IN 'MANDIS': Using this method, farmers sell their surplus product to the commission agents and wholesalers at competitive price.

Essential of Marketing MIX

Agricultural Marketing is an adjunct to agricultural production. The production

function is complete when marketing is so arranged that the producer is assured

of a fair return for the investment made. Unless the farmers get remunerative

prices, there is no incentive to go for increased production.

The role of the regulated market in agricultural marketing also needs further

strengthening by bringing more commodities under regulation specially fruits

and vegetables and market yards equipped with better and modern

infrastructural facilities like packing units, ripening chambers, electronic scales

and balances, Weight bridge, electronic display boards to display current market

prices, Linkage with national markets etc.

Agricultural marketing covers the services involved in moving an agricultural product from thefarm to theconsumer. Numerous interconnected activities are involved in doing this, such as planning production, growing and harvesting, grading, packing, transport, storage, agro- and food processing, distribution, advertising and sale

ROLE OF COOPERATIVE MARKETING IN AGRICULTURAL PRODUCE

1. What is cooperative sale societies or cooperative marketing?

2. Objectives of Co-operative Marketing:

3. Pattern of Co-operative Marketing in Pakistan.

Problem of Co-operative Marketing in Pakistan:

(1) Economic Problems:

a. Scale

b. Finance

c. Management

(2) Technical problems

a. Business character

b. Decision making

c. Lack of storage

d. No outright price

(3) Sociological problems

1. Agrioculture advisory services and market

2. Market infrastructure

3. Market information

4. Marketing training

5. Enabling environment

6. Recent development

Agricultural marketing development

Problems in Agriculture marketing

1. Weak Staying Power Low margins, seasonality and high perishability being the distinct features of this industry the access to seed capital and working capital is not easy.

2. Lack of competitiveness 3. Undue and excessive role of middlemen4. Lacking the benefits of of season prices 5. Lack of product standardization,6. Lack of market regulation and regulated markets7. Lack of credit facilities , impediment in the flow of credit 8. Lack of transportation and communication 9. Lack of storage and low demand of processed food 10. Inefficient marketing system, lack of market knowledge 11. Predominance of middle man 12. Lack of uniform weigh and measurement 13. Monopoly 14. Post Harvest losses 15. Forced sale

Solution to problems

1.Trainings of the farmers about marketing of their produce.

2. Access to inputs should be made possible to maximize mechanization.

3. Agro-processing technologies should be introduced which help farmers to get maximum production and hence more benefit.

4. Marketing information system should be efficient and fair to all farmers.

5. Credit programs should be farmer friendly and easily accessible.

6. Marketing linkages should be strong between market functionaries and farmer community.

7. Holistic approach: a combination of all possible approaches should be applied to maximize profit at the farmer level.

Types of Risk Most Important to Producers

1. Sources of risk farming

2. Production or yield risk

3. Price or market risk

4. Institutional risk

5. Human or personal risks

6. Asset risks

7. Financial risk

8. Survey results

9. What can we do?

Marketing Plan

• The general structure of a marketing plan includes an executive summary, a situational analysis, a SWOT analysis, goals, marketing strategy and a method for evaluating progress.

• The executive summary entails a brief overview of the contents of the marketing plan, while the situational analysis breaks down the market and clearly describes your company's place within it. A SWOT analysis will define your business's strengths, weaknesses, opportunities and threats. Goals outline the clear, measurable objectives you would like to achieve in the time frame given. The marketing strategy describes the tactics you plan to use to fulfill your marketing goals, and the evaluation details how you will measure success.

•

Market Led Extension

Emergence of Market-led Extension

• The perceived lack of success of public agricultural extension systems has given birth to

• market-driven approach in India and elsewhere • Different models involving both private-sector firms and civil society

organizations (CSOs) • to provide basic extension services • To shift more of the cost of extension services to the farmers themselves • Markets, not technology, have become the primary driver for

agricultural development • in many countries- more attention is now being given to the concept of

agricultural • innovation systems (AISs) • Most AISs are market-driven • Role of Extension experts to identify new innovatio

Market Led Extension

.