FINAL REPORT

OF
MINOR RESEARCH PROJECT
MRP (H)- 312/08-09 /KAKA.102/UGC-SWRO
DATED: 30TH MARCH 2009

“THE MARKETING PROBLEMS AND PROSPECTS

OF FRUIT GROWERS WITH SPECIAL
REFERENCE TO BIJAPUR DISTRICT “

PRINCIPAL INVESTIGATOR

PROF. S. L.METRI M.COM. , M.PHIL

ASSOCIATE PROFESSOR IN COMMERCE

SHRI SANGAMESHWAR ARTS AND COMMERCE COLLEGE,
CHADCHAN-586205 DISTRICT: VIJAYAPURA.

SUBMITTED
TO
FINAL REPORT OF A MINOR RESEARCH PROJECT
SUBMITTED UNIVERSITY GRANTS COMMISSION
SOUTH-WESTERN REGIONAL OFFICE
BENGALURU-560009

JULY-2015
Summary of the findings:

Problems in Fruit Marketing

Problems of growers / Pre-harvest contractors in Marketing of sample fruits
based on personal interviews made through structured questionnaire, the responses
received from growers and Pre-harvest contractors have been briefly presented
here under. The basic problem of referred parties is that, markets are not situated in
nucleus point growing centres for the convenience of marketing system. It is
evident
That, in the entire district is being preferred for the establishment of regulated fruit
market, which is being very far off from growers/ Pre-harvest contractors place of
operation and very closure to marketing officials and employees interest. Through,
regulated market has satisfied infrastructural facilities . However, the referred
parties are satisfied with the operations of unregulated market even without
facility.
Further, grower/ Pre-harvest contractors preferred the market timings of
unregulated i.e. commencing from 9 A.M., under this regulated market timings, the
fruits would have to be in the market yard for sale for more than 12 hours, where
by the plucked fruits of earlier day looses its weight. Besides this in market, though
the price is fixed in an open auction systems with secret signals or by other
consealed media of communication, where by a fair sale cannot be expected and
market officials do not supervise all these. Similarly, in unregulated market under
–hand sale method will also provide much opportunity to collied between
commission agent and trader. It is also being observed that, growers/ Pre-harvest
contractors express their desired price for their produce to the commission agent,
who makes negotiations with them about the price that it can fetch and the produce
is sold to the trader in the usual marketing practice. It was told that, even under the
open auction or otherwise, the grower/ Pre-harvest contractor did not receive more
price than what is being settled between them with commission agent before sale.
Examined critically the fruit marketing mechanism prevailing in the state
and also analyzed the performance of different markets in the state. This chapter
presented the existing channels of distribution in fruit marketing for both domestic
and international trade. In sequence to this, factors influencing fruit marketing
mechanism also has been examined. Further, in marketing of sample fruits, a
detailed narration of stages of marketing, marketing cost and the problems
involved in had been presented.
In the channels of distributions of fruit marketing, existence of Pre-harvest
contractor ,commission agent, wholesaler and retailer have become a permanent
feature and the services of commission agent has almost become indispensable
under the present set up of conditions . When the grower does directly marketing
of his produce which is referred as zero level channel but the benefit of getting
higher price than through Pre-harvest contract/commission agent is not only
remote but it needs the grower to incur the marketing cost.
Further examined the trends in fruit marketing from both domestic and
export trade by highlighting the functioning of regulated and unregulated markets
in this regard. With regard to export trade, various conditions which are implied in
export marketing are not known to growers and the agents who are in the field are
exploiting the ignorance of such growers though there is much export potentials for
fruits. The government policy and machinery are only for few sections of growers
and for certain types of middlemen but not with the sole objectives of assisting,
small and marginal growers in upliftment of rural economy.

Finally, the problems of growers and Pre-harvest contractors in marketing

of their produce has been presented. It has been concluded that, though a
conventional marketing mechanism is being in operation in unregulated markets
but the growers/ Pre-harvest contractors are relatively more satisfied than that of
regulated markets. The basic factor, which is found more suitable for the growers
is to sell their products in unregulated market is that ,their functioning time itself,
which generally starts between 9 P.M to 5 P.M., for which the produce has to be
picked –up on the earlier day.
It has also been observed that, elimination of middlemen from the channels
of distribution is not possible as they are being felt indispensable with their
services and methods followed in this regard ,can not be met by any other
machinery. It is also felt that, though there are different agencies, departments to
ensure fair returns to the grower, but their services are not up to the mark.
Indifferent attitude of various.
Though the quantum of production is increasing year after year but the
productivity rate is not improving with requisite quality. Which is adversely
effecting the producers. It is also found that, unrecorded sales are more than the
recorded sales, which causes a setback to both state exchequer and also to the
grower for being ignorant of market information. Much of the grapes and lemons
fruits production in the state had been sold unrecorded for many reasons.

Probably, unrecorded part of fruit production might have been sold directly
to the traders of outside state and much have been concealed for various reasons.
Though, having rich varieties of fruits in the state and also having potential export
market, lack of sufficient market information and motivation for exports effected
the prospects of this industry. However, if effective measures are being taken up.
from all dimensions in marketing of fruits in Bijapur has bright prospects both in
domestic and international market.
Contribution to the Society:

This study helps fruit growers, society and government in all respects. There is

mismatch between the production cost and revenue derived from sale of fruits.

Every one is telling for doing the agriculture in scientific manner but scientific

price fixation for agricultural product is not in practice. Major percentage of profit

of fruit production is eaten by middlemen only. To provide forum to fruit grower to

get maximum profit out of their productivity by giving justice to the farmers to

come out from their existing pitiable conditions.