INTRODUCTION TO AGRICULTURAL MARKETING

 A vast majority of the population of India lives in villages and
agriculture is the main profession of people since times immemorial. In
the olden times, the villages were self-sufficient and the population was
interdependent. People exchanged what they produced. The activity of
marketing was of an activity of distribution. As the means of
transportation and communication improved and the economic
operations of the countries became more and more complex, the process
of marketing of agricultural produce also became more and more
complex. Newer arrangements for distribution came into existence in this
process the organization of marketing activities underwent a change.

India has a vast agricultural raw-material base, and in the present
times of liberalization of economy, agriculture is also undergoing a sea
change. The multinational companies are rushing to India in the areas of
fast food and processed foods with the hope of utilizing this vast
agricultural base. This has created opportunities as well as challenges in
the area of agricultural marketing. On one hand, there are opportunities
for the marketer, on the other hand the land holdings of the farmers are
getting smaller and smaller. They are unable to make heavy investments
and reap benefits of scale. The prices of agricultural products are falling,
while the cost of inputs is increasing. This situation has created several
newer arrangements in the field of agricultural marketing in India.

In this , we will try to put an insight into this important area
of agricultural marketing. Before discussing agricultural marketing-its
functions and organization, it is important to discuss some of the unique
features of agricultural products and their classification.