Skip to main navigation menu Skip to main content Skip to site footer

Research Articles

Early Access

Marketing efficiency and channel dynamics of tribal turmeric FPOs in Andhra Pradesh

DOI
https://doi.org/10.14719/pst.10285
Submitted
26 June 2025
Published
26-08-2025
Versions

Abstract

The present study was carried out in the Alluri Sitharama Raju (ASR) district of Andhra Pradesh during 2022–2024. A purposive sampling method was employed to select 15 Farmer Producer Organizations (FPOs) engaged in turmeric value addition. From each FPO, five respondents were randomly chosen, along with five officials, resulting in a total sample size of 80. Acharya’s modified method was applied to evaluate the efficiency of the identified marketing channels. The study identified four major marketing channels. The Producer-Consumer channel, though utilized by only 5 % of participants, recorded the highest producer share (67.4 %) and highest marketing efficiency (2.07) due to the direct sale mechanism. Conversely, the Village Trader-Wholesaler-Retailer-Consumer channel, which had the highest adoption rate (65 %), exhibited the lowest efficiency of 0.21, indicating significant intermediary margins and reduced returns for farmers. The FPO-led channel showed moderate efficiency, ranging from 0.26 to 1.18, suggesting that with stronger institutional support from Dr YSRH University, ITDA, ANGRAU and line departments could provide more balanced benefits. The GCC-based cooperative channel, primarily followed in tribal areas, demonstrated efficiency values between 0.33 and 0.56. This indicates that while the channel is cost-effective, it offers limited potential for value addition. This evidence-based analysis offers a clearer understanding of the income potential and efficiency across marketing channels, while highlighting the practical factors influencing farmers’ choices. Turmeric marketing is crucial for enhancing farm income, reducing post-harvest losses and improving value chain efficiency, especially in key producing regions like ASR district. Strengthening marketing systems supports the livelihoods of small and tribal farmers, promotes rural entrepreneurship and ensures better price realization. The study provides essential insights for stakeholders, including farmers, FPOs and policymakers to identify and strengthen appropriate marketing strategies for turmeric.

References

  1. 1. Centre for Agriculture and Rural Development Policy Research (CARP), ANGRAU, Lam, Guntur. Report of Andhra Pradesh 2023–2024. 2024. https://www.angrau.ac.in/downloads/turmeric%20outlook%20-june-july-2023-24.pdf
  2. 2. Jyothirmai A, Kshirsagar PJ, Torane SR, Thorat VA, Kadam JR, Mali PC. Growth rate, instability and trend analysis of area, production and productivity of Curcuma longa in India during 1950–51 to 2022–23. Int J Agric Extension Soc Dev. 2024;7(9):93–7.
  3. 3. Birthal PS, Roy D, Negi DS. Assessing the impact of crop diversification on farm productivity and income in India. IFPRI Discussion Paper. 2015;01428:1–30.
  4. 4. Department of Agriculture, Andhra Pradesh. e-panta crop registration portal. 2024. Available from: https://karshak.ap.gov.in/ecrop/
  5. 5. Deshmukh H. An analytical study of marketing strategies of select Farmer Producer Companies in North Maharashtra. Vidyabharati Int Interdiscip Res J. 2021;13(1):772–5.
  6. 6. Kumar S, Hargovind B, Pukhraj S, Joginder S, Sachin KV. Economic analysis of marketing channel of Triticum aestivum production in Hardoi district of Western Uttar Pradesh, India. Asian J Agric Ext Econ Socio. 2023;41(10):140–8. https://doi.org/10.9734/ajaees/2023/v41i102152
  7. 7. Singh PK, Singh OP, Rekha R, Sudhir T. Price spread and marketing efficiency under different marketing channels: a case study of Oryza sativa marketing in Bihar, India. J Rural Agric Res. 2016;16(2):1–4. Yadav A, Patel S, Singh R. Assessment of the impact of e-mandi on marketing efficiency. J Pharmacogn Phytochem. 2020;9(2):315–8.
  8. 8. Pasha M, Paramashivaiah P. A study on marketing channels used by farmers in Tumkur District – with respect to agricultural products. J Emerg Technol Innov Res. 2018;5(11):249–55.
  9. 9. Sehgal S, Kumar M. Analysis of marketing channels and marketing efficiency of Malus domestica growers in Kashmir (J&K), India. South Asian J Soc Stud Econ. 2022;16(1):16–23. https://doi.org/10.9734/sajsse/2022/v16i1601
  10. 10. Shami TK, Muhammad ARN, Muhammad KB, Saher J, Sultan Ali A, Muhammad Shoaib N, et al. Analyzing optimal marketing channels in the vegetable supply chain: exploring factors influencing marketing channel selection. J Econ Impact. 2023;5(3):258–68. https://doi.org/10.52223/econimpact.2023.5311
  11. 11. Acharya SS, Agarwal NL. Agricultural Marketing in India. New Delhi: Oxford & IBH Publishing Co. Pvt. Ltd.; 2005.
  12. 12. Bareliya S, et al. Marketing efficiency of major spices in Madhya Pradesh with special reference to Farmer Producer Organizations. Asian J Agric Ext Econ Socio. 2022;40(12):284–9. https://doi.org/10.9734/ajaees/2022/v40i121792
  13. 13. Nirmal Ravi Kumar KN, Jagan Mohan Reddy M, Shafiwu BA, Amarender Reddy A. Impact of Farmer Producer Organizations on price realization and poverty alleviation among smallholder Capsicum annuum farmers in Guntur. Indian J Agric Res. 2023;57(4):289. https://doi.org/10.36956/rwae.v4i3.880
  14. 14. Ramachandran V, Rao KS. Does participation in modern marketing channels improve welfare of Capsicum annuum farmers? Cogent Food Agric. 2024;10:2338652.
  15. 15. Khodang C, Sharma A. Marketing pattern and efficiency of organic Curcuma longa in Kakching, Manipur (2020–2022). Agro Economist – Int J. 2022;9(3):225. https://doi.org/10.30954/2394-8159.03.2022.6
  16. 16. Das B, Roy D. Assessment of marketing efficiency in FPO-led and traditional channels: a comparative analysis in Assam. Int J Agric Environ Biotechnol. 2022;15(1):105.
  17. 17. Thakur P, Mehta P, Devi C, et al. Marketing performance and factors influencing farmers’ choice of marketing channels: case of Pisum sativum in Himachal Pradesh. Front Sustain Food Syst. 2023;7:1270121. https://doi.org/10.3389/fsufs.2023.1270121
  18. 18. Khushwaha R, Lather A, Kumar S. Unlocking the potential: a review of millet marketing through farmer producer organizations for sustainable agricultural development. Int J Stat Appl Math. 2023;8(6 S):1345. https://doi.org/10.22271/maths.2023.v8.i6Sa.1345
  19. 19. Akter S. Marketing efficiency of different channels for Solanum tuberosum in selected areas of Bangladesh. J Agric Econ. 2016;17(2):67–79.
  20. 20. Pundir RS, Vahoniya DR, Rajwadi A. Production and marketing of Solanum tuberosum in Middle Gujarat. Bhartiya Krishi Anusandhan Patrika. 2024;39(3):269–75. https://doi.org/10.18805/BKAP766
  21. 21. Kumar P, Singh R, Verma A. Unveiling the dynamics of farmer producer organizations in India: marketing efficiency, price spread and poverty alleviation. Palgrave Commun. 2025;11:50.
  22. 22. Sharma KB, Pandey PR, Tiwari K. Estimation of marketing cost, efficiency and price spread of Cicer arietinum in Jaipur district. Pharma Innov J. 2023;12:S2479.
  23. 23. PLoS One Study Group. Association of FPO membership with crop diversity, income and empowerment in Uttar Pradesh. PLoS One. 2024;19(3):e0319704.
  24. 24. Arahant A, Nayak D, Jindal L, et al. Farmer Producer Organization: an ecosystem for socio-economic resilience of farmers in India. Curr Agri Res. 2025;13(1):26. https://doi.org/10.12944/CARJ.13.1.26
  25. 25. Sharma KB, et al. Marketing network analysis of Raphanus sativus: FPO vs non-member strategies. Pharma Innov J. 2023;12:898.
  26. 26. Rani P, Sharma R, Verma S. Role of Farmer Producer Organizations in enhancing market access: a study of vegetable growers in Haryana. J Community Mobil Sustain Dev. 2022;17(2):321–7.
  27. 27. Singh R, Chauhan AK. Comparative analysis of marketing efficiency in traditional and modern channels for Mangifera indica in Uttar Pradesh. Indian J Agric Mark. 2017;31(3):45–53.
  28. 28. Kumar S, Meena ML, Choudhary R. Economics and marketing of Curcuma longa in southern Rajasthan. Indian J Agric Mark. 2020;34(1):35–42.
  29. 29. Akter S. Marketing efficiency of major spices via FPOs in Madhya Pradesh. Asian J Agric Ext Econ Socio. 2022;40(12):284–9.

Downloads

Download data is not yet available.