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Marketing of organic farm products: Spatial and brand-wise price analysis in Karnataka, India

The study examined the economics of marketing of organic farm produce in Kalaburagi district using primary data from 60 farmers each cultivating Sorghum and Redgram comprising of 30 farmers each practicing Organic Farming (OF) and Conventional Farming (CF) and also from 30 organic retail outlets. The spatial price variability of organic farm produce across different brands were analysed using retail prices of different organic farm products from different markets in Karnataka viz., Gadag, Dharwad, and Bengaluru The results of the study indicated existence of two marketing channels (MC) for sale of organic produce, i.e., MC-I (Producer to Consumer) and MC-II (Producer to Retailer to Consumer). In case of MC-I, processing of redgram grains into dal accounted for 72 per cent and 64 per cent of the total marketing cost when sold in local market and organic melas, respectively. However, in MC-II, the total marketing cost was the highest for Kodo millet (Rs. 39.63/kg), lowest for sorghum (Rs. 6.75/kg) and the profit margin realised was the highest in marketing of Tur dal (Rs. 91.62/kg), lowest for Ragi (Rs. 12/kg). The price variability across the major brands in case of Bajra was the highest (17 %) where as it was the least in the case of Foxtail millet (2 %), Barnyard millet (2 %). Prices of organic products also showed variability across markets (places) and prices were relatively higher in Bengaluru market compared to other markets. | Marketing of organic farm products: Spatial and brand-wise price analysis in Karnataka, India