Q.Defects in the Agricultural marketing in India.

Indian agricultural marketing is defective because of poor storage and transport, too many middlemen, lack of market information, distress sales, malpractices, absence of grading and standardisation, and shortage of institutional finance — all of which reduce the share of the price the farmer actually receives.

This 5-mark question from the AP Intermediate 2nd-year Economics agriculture unit asks for the defects (problems) of agricultural marketing.

Defects in agricultural marketing in India

1. Inadequate storage and warehousing. Lack of proper godowns forces farmers to sell quickly after harvest, and much produce is wasted or damaged.

2. Poor transport facilities. Bad village roads make it hard and costly to carry produce to good markets.

3. Presence of too many middlemen. A long chain of intermediaries takes a large part of the price, leaving little for the farmer.

4. Lack of market information. Farmers often do not know current prices in different markets and so cannot sell where prices are best.

5. Forced or distress sales. Being in debt and needing cash, farmers are forced to sell at low prices immediately after harvest.

6. Malpractices in markets. Faulty weights and measures, unauthorised deductions and charges by traders cheat the farmer.

7. Lack of grading and standardisation. Without quality grading, farmers do not get higher prices for better produce.

   …