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Research Articles

Vol. 12 No. sp4 (2025): Recent Advances in Agriculture by Young Minds - III

Market dynamics and socio-economic analysis of timber growers in Tamil Nadu with policy implications

DOI
https://doi.org/10.14719/pst.10888
Submitted
26 July 2025
Published
08-12-2025

Abstract

India faces a critical timber deficit, as consumption (Compound Growth Rate (CGR) 5.20 %) continues to outpace domestic production (CGR 1.97 %). By 2030, timber demand is projected to reach 36.70 million cubic metres (MCUM). The study analyses the market structure, demand-supply gap and socio-economic conditions of timber growers across five districts−Tirunelveli, Kanniyakumari, Salem, Dindigul and Thanjavur−representing diverse agro-climatic zones in Tamil Nadu. It uses primary data from 250 growers and secondary data (2000-2023) from International Tropical Timber Organization (ITTO), State Forest Records and Food and Agriculture Organization Statistical Database (FAOSTAT) to estimate CGR of timber production and import trends. Growers are predominantly male (92.4 %), middle-aged (mean 49.91 years), with 29.3 % illiterate and operate fragmented holdings (average 7.49 %). Teak is the dominant species (72.8 % adoption), though species diversification is influenced by landholding size and agro-climatic conditions. Despite 74.8 % attempting direct sales, market inefficiencies persist: complex channels involving 5 intermediaries inflate price spreads to ₹570/cft (vs. ₹440/cft in streamlined channels), reducing farmers’ share to 43 %-50 % of consumer prices. Critical constraints include water scarcity (59.04 % Garrett score), drying challenges (64.71 %), broker fees (54.37 %) and grading difficulties (57.45 %). Notably, 90.8 % of growers express readiness for digital market integration. The study recommends policy interventions targeting co-operative marketing, e-platform adoption, input subsidies and logistic optimization to enhance grower agency and bridge the supply gap.

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