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Economic Analysis of Marketing Cost, Margin and Price Spread of Guar [Cyamopsis tetragonoloba (L.) Taub.] through Different Marketing Channels in Bhiwani District

Department of Economics, Baba Mastnath University, Asthal Bohar, Rohtak-124 021 (Haryana), India
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(Received : October 26, 2017; Accepted : December 14, 2017)


The study was conducted in Bhiwani district of Haryana state during 2015-16 with the objective to study marketing cost, margin and price spread through different marketing channels. Three villages were selected with 25 farmers per village with a total of 75 farmers for the study. Ten commission agents and five processing units were selected for the study. Three major channels were observed during study i. e. Channel-I (Producer→ Village trader→ Commission agent→ Processor), Channel-II (Producer→ Commission agent→ Processor) and Channel-III (Producer→ Processor). Channel-II was more prevalent in the market and 46.67% farmers were selling their produce through Channel-II followed by Channel-I (42.67%) and Channel-III (10.67%). Marketing cost in Channel-I, Channel-II and Channel-III was Rs. 257.23, 252.79 and 239.50, respectively, whereas marketing margins in Channel-I, Channel-II and Channel-III were Rs. 147.65, 109.39 and 28.40, respectively. Total price spread was estimated Rs. 404.88, 362.19 and 267.90 in Channel-I, Channel-II and Channel-III, respectively. Among all the channels, the Channel-I was found the most efficient with marketing efficiency of 7.84 followed by Channel-II (8.94) and Channel-III (12.47).

Key words : Economic analysis, cost, margin, price, guar, marketing channels, Bhiwani