A STUDY ON CONSUMER SATISFACTION TOWARDS ON

MAIZE CORN COMPANY

CHAPTER – I

INTRODUCTION AND DESIGN OF THE STUDY

INTRODUCTION

India has been largely an agriculture oriented country with most of its teaming

millions of people depending on it for employment, economy and even for survival

for ages. They have been cultivating varieties of crops both as irrigated and rain fed

ones. Maize is one of the crops grown in all states except Kerala. This was

distinctly known also as Indian corn. This maize is a nutritious food to the

mankind as a very delicious fodder to the cattle. Besides these, maize has been used as

value added products and as raw materials for many industrial products.

Maize is a ‘grass’ domesticated by indigenous people in Mesoamerica in pre-

historic times. The Aztces and Mayam cultivated it in numerous varieties throughout

central and southern Mexico to cook or grind in a process called “nixtamalization”.

During the 1st millennium AD, maize cultivation spread from Mexico into the U.S.

South-west and a millennium later into U.S. North- east and south-eastern Canada.

For western civilization, the story of maize popularly known as corn began in 1492

when Columbus's men discovered this new grain in Cuba. Later the crop spread

through much of the Americas. Between 1250 A.D. and 1700 A.D. nearly the whole

continent gained access to the crop. After European contact with the Americas in

the late 15th and early 16th centuries, explorers and traders carried maize to Europe .

It was believed that maize was introduced in India by Portuguese during the

17th Century, but more recent evidences supported the possibilities of its Pre-

Colombian introduction through the Atlantic-Arabian trade routes.

 The later evidence is also supported by the more recent variability that has

been observed in the maize collection made from the north-eastern Himalayan

region . Maize (Zea mays) is a plant, which usually grows to a height of one meter to

three meters or more in some cases. It belongs to family ‘Gramineae and Genus Zea’.

The word "corn" has many different meanings depending on what country you are in.

Corn in the United States is also called maize or Indian corn. Corn in England

means wheat; in Scotland and Ireland, it refers to oats.The term “corn” was derived

from Indo-European word which means “small nuggets”. New English and German

settlers who arrived in the new world referred maize as corn. They distinguished it

from other grains by calling it Indian corn. The origin of the word maize is believed

to be from 'Taino people in northern Antilles Island. The word ‘Taino’ means ‘mahis’

which was considered as source of life. Over the time the word mahis got

transmitted into maize. In scientific and formal usage, “maize” is normally used in

a global context. Equally, in bulk-trading contexts, “corn” is used most frequently.

Among the agricultural commodities “Food Crop” is the most essential one for

the survival of mankind and animal life. Maize is one of the most important cereal

crops in the world agricultural economy and is grown in many countries in each of the

continents of the world. It is utilized in more diversified ways than any other cereal.

The grain is quite nutritious, with a high percentage of easily digested

carbohydrates, fats and proteins and hardly and deleterious substances. Maize is a

coarse grain and it is now being accepted as staple diet and its demand is increasing

year by year. In Indian agriculture, maize occupies a prominent position and each part

of the maize plant is put to one or the other use and nothing goes as waste.
 In India, current consumption pattern of maize is poultry, pig, fish feed 52

per cent, human consumption 24 per cent, cattle feed 11 per cent, starch 11 per

cent, seed and brewery industry 1 per cent each.

The products from maize are value added products which include maize

starch, liquid glucose, dextrose monohydrate, anhydrous dextrose, sorbitol, corn

gluten to name a few. Maize starch is employed in the manufacture of asbestos,

ceramics, dyes and chemicals, plastics, oil cloth, paper and paper boards and in

cosmetics, pharmaceutical industries. Maize cobs and maize kernels are used as a

biomass fuel source such as ethanol and the like to reduce fuel costs.

Maize production essentially provides the food needed for a growing

population, the raw materials for industrial production and the wide market for the

domestically manufactured products. Maize is used as whole grain and as an

important component of many products that have become an essential part of our

daily use in some form or the other. There is growing requirement from poultry

sector, which uses corn as feed.

Today, broiler farming has grown tremendously with country owing to its

importance as a source of economy, employment and nutritional values in terms of

animal protein. The major component of the feed for the broiler birds is maize and

with the spectacular growth of the broiler industry, maize also has to be made

available in large quantities. Cultivation of maize thus will be highly a profitable

venture for the farmers. Maize is finding newer dimensions in its use to improve the

quality of human life. Consequently its demand and price are galloping in

international market.
 Maize is an important cereal crop in world after wheat and rice. The

importance of maize lies in its wide industrial applications besides serving as human

food and animal feed. It is the most versatile crop with wider adaptability in varied

agro-ecologies and has highest genetic yield potential among the food grain crops

. Maize is doing wonderful things in our everyday life.

Maize is present in one form or other in the food we eat, the milk we drink, the

paper we read, the chocolates and biscuits we take, the clothes we wear and the

medicines we take.

Global Maize Growth

Corn is an important feed component for cattle, poultry and swine in most

regions of the World. Grains ground into flour are employed to prepare corn flakes

and meals, while corn germ oil is a good cooking medium. Corn starch is a raw

material in many brews and jams. The area and production at the global level in

2002-03 were 137.17 million hectares and 601.14 million metric tonnes. These factors

registered a gradual and a consistent growth reaching the highest ever level of

169.63 million hectares and 883.28 million metric tonnes respectively constituting

23 per cent and 47 per cent in terms of area and production of maize at the world

level during 2011-12. United States of America, China, Brazil, Mexico, Argentina

and India together account for 75 per cent of the world maize production. USA is the

leading producer of maize with 40 per cent of the global production and India

contributes 3 per cent of global production.

Maize Growth in India

Presently India ranks 4th in area and 6th in production of maize at world level.

The present growth rate in maize production 8.94 per cent is much more than its

consumption of around 5 per cent.

 There has been a continuous increase in area under maize cultivation in

India. Maize was cultivated in 8.33 and 8.60 million hectares during 2009-10 and

2010-11 respectively. During 2011-12, the area under maize cultivation increased by

2.32 per cent over previous year and reached to 8.80 million hectares. The production

of maize has increased to 21.76 million metric tonnes in 2011-12 from 9.53 million

metric tonnes in 1995-96.

The yield has increased to 2470 kg/ha in 2011-12 from 1595 kg/ha in 1995-

96. Karnataka, Andhra Pradesh, Maharashtra, Tamil Nadu, Rajasthan and Uttar

Pradesh together contribute 60 per cent of area and 70 per cent of maize production

in India. Karnataka produces 4.1 million tonnes of maize from 1.3 million hectares

in the year 2011-12.

Maize in Tamil Nadu

Tamil Nadu attained fourth position in Indian Maize production as against

seventh a year before, because of the highest productivity of 6042 kg/ha and larger

cultivation in 2011-12. . During 2011-12, around 16.95lakh tonne of maize was

produced from 2.81 lakh hectares in Tamil Nadu. Introduction of hybrids increased

the yield of maize in Tamil Nadu and the productivity reached 6.04 tonnes per

hectare. Maize is mainly grown in Perambalur, Dindigul, Coimbatore, Salem, Erode,

Virudhunagar, Villupuram, Theni, Tiruchirapalli and Tirunelveli Districts. These

districts together contribute 90 per cent of the total area and production of maize in

Tamil Nadu.

Maize Foreign Trade

The importance of maize has been realized all over the world and therefore

there have been hectic export and import of maize both as whole grain and value

added products.
 During 2011-12 global maize export was 94917 metric tonnes out of which

United States exported 48262 metric tonnes and India exported only 4569 metric

tonnes. The United States is the largest exporter of maize in the world followed by

Argentina, Thailand, France and South Africa. Countries like Vietnam, Sri Lanka,

Malaysia, Indonesia and Taiwan are the major importers of maize from India. World

major importing nations of maize are Japan, Korea, Taiwan, Mexico, China, U.K.,

Egypt, Malaysia and Sri Lanka. Efforts can be made to identify potential market for

India maize in the major maize importing countries other than Sri Lanka and

Malaysia to which India is already exporting maize. During 2011-12, India exported

around 4 million tonnes of maize. High global maize price and weakened value of

Indian currency have helped India’s maize exports in 2011-12 . Thus maize has an

immense potential for exports besides catering to the food and industrial needs of the

country.

However, cultivation of maize has some of the inherent problems like erratic

pattern of rain, pests and diseases, over use of pesticides and insecticides and the like.

The produce show high levels of pesticide residues which cause health and

environmental hazards. Shortage and non-availability of labour also is a problem

now a days. The cost of all the required inputs is on the constant increase where as the

cultivators face serious fluctuations in the market price of maize often. Absence of

regulated markets, market information, lack of minimum support price, indebtedness

and forced sale of the produce are some other problems which the farmers encounter.

Since maize has an abundant and constant demand for various needs, the cultivation

of this crop can be encouraged in terms of extension of area, technological

innovations to increase production and strengthening of the market networks.

ABOUT MAIZE

Maize (Zea mays L) is one of the most versatile emerging crops having wider
adaptability under varied agro-climatic conditions. Globally, maize is known as queen
of cereals because it has the highest genetic yield potential among the cereals. It is
cultivated on nearly 150 m ha in about 160 countries having wider diversity of soil,
climate, biodiversity and management practices that contributes 36 % (782 m t) in the
global grain production. The United States of America (USA) is the largest producer of
maize contributes nearly 35 % of the total production in the world and maize is the
driver of the US economy. The USA has the highest productivity (> 9.6 t ha-1 ) which
is double than the global average (4.92 t ha-1). Whereas, the average productivity in
India is 2.43 t ha-1.
In India, maize is the third most important food crops after rice and wheat.
According to advance estimate its production is likely to be 22.23 M Tonnes (2012-13)
mainly during Kharif season which covers 80% area. Maize in India, contributes nearly
9 % in the national food basket. In addition to staple food for human being and quality
feed for animals, maize serves as a basic raw material as an ingredient to thousands of
industrial products that includes starch, oil, protein, alcoholic beverages, food
sweeteners, pharmaceutical, cosmetic, film, textile, gum, package and paper industries
etc.
The maize is cultivated throughout the year in all states of the country for
various purposes including grain, fodder, green cobs, sweet corn, baby corn, pop corn
in peri-urban areas. The predominant maize growing states that contributes more than
80 % of the total maize production are Andhra Pradesh (20.9 %), Karnataka (16.5 %),
Rajasthan (9.9 %), Maharashtra (9.1 %), Bihar (8.9 %), Uttar Pradesh (6.1 %), Madhya
Pradesh (5.7 %), Himachal Pradesh (4.4 %). Apart from these states maize is also
grown in Jammu and Kashmir and North-Eastern states. Hence, the maize has emerged
as important crop in the non-traditional regions i.e. peninsular India as the state like
Andhra Pradesh which ranks 5th in area (0.79 m ha) has recorded the highest
production (4.14 m t) and productivity (5.26 t ha-1 ) in the country although the
productivity in some of the districts of Andhra Pradesh is more or equal to the USA.
Maize can be grown successfully in variety of soils ranging from loamy sand to clay
loam.
 However, soils with good organic matter content having high water holding
capacity with neutral pH are considered good for higher productivity. Being a sensitive
crop to moisture stress particularly excess soil moisture and salinity stresses; it is
desirable to avoid low lying fields having poor drainage and also the field having higher
salinity. Therefore, the fields having provision of proper drainage should be selected for
cultivation of maize.
All India Coordinated Research Project (AICRP) on maize was launched in
1957 with the objective to develop and disseminate genetically superior cultivars and
production/protection technologies. AICRP organizes interdisciplinary,
interinstitutional, co-operative and systematic testing of newly developed cultivars of
both public and private sectors for different agro-climatic zones of the country. The
project resulted in refining efforts in varietal improvement. Since 1961, a total number
of 187 cultivars including single cross hybrids, composites and multiple parent crosses
have been released nationwide. In India, maize is traditionally grown in monsoon
(Kharif) season, which is accompanied by high temperature (<35° C) and rainfall.
However, with the development of new cultivars and appropriate production
technology, winter cultivation of maize has emerged as a viable alternative.
NEED OF THE STUDY

Researcher focusing the farming methods and the farmers regarding the
selection of particulars brand maize crops. Farmers are not having sufficient knowledge
the usage and prevention of natural products.

So, researcher has pre-planned to create some awareness among farmers about
the selection of natural maize varieties. Because the dealer and retailers are blaming the
farmers for their profit maximization. The maize crops should have elaborate marketing
strategies to develop a particular product.
SCOPE OF THE STUDY

The present study is undertaken to examine the production and marketing of

maize in Dindigul district of Tamil Nadu. This study intends to analyze the opinion of

maize cultivators about the maize cultivation pattern, the existing marketing system,

the socio-economic factors and intermediaries’ opinion about their business.

This study would also encompass the trends in the growth of area, production

and productivity of maize at the world, national, state and district levels. Cost of

production, cost and return, resource-use efficiency, market structure, choice of

middlemen, price-spread, price analysis and marketing efficiency are also covered in

this study.
STATEMENT OF THE PROBLEM

Large numbers of people in the district are dependent on agriculture for

employment and income generation. They cultivate many kinds of crops and maize is

one of the cereal crops enthusiastically cultivated in this district. Maize is the major

crop cultivated in the district both as an irrigated and rain fed one. Higher demand for

maize as poultry and cattle feed and as a food crop, less labour intensive,

comparatively higher returns and the like are some of the reasons attributed to the

preference of maize cultivation in the district.

In addition, maize is in demand as an industrial raw material and as an

ingredient for various industrial products and is value addition. Therefore, a large

number of farmers cultivate maize which consequently provides employment to a

large number of skilled and unskilled labourers both in farming and industrial sectors.

However, maize cultivation is no exception to problems which are faced by

any other agriculturalists in their operations. The problems encountered by the maize

cultivators are ‘increased cost of inputs’, ‘inadequate power supply’, ‘traditional

cultivation practice’, ‘frequent monsoon failures’, ‘pest and diseases menace ’and

‘lack of efficient irrigation management’.

The price of maize both in national and international markets has been widely

fluctuating during the last decades. In the recent past, the prices of maize fluctuated

to an unimaginable level. Despite these price fluctuations, there seems to be no

government intervention in the maintenance of price.

In Dindigul district maize prices are often manipulated in the wholesale

market and at retail point against the interest of maize cultivators.

 Equally, marketing of maize is one of the important factors which have a

direct bearing upon the cultivators. The prevailing system of maize marketing is

considered as “non-cultivator friendly” owing to factors like unethical market

practices, unhealthy practice of the middlemen, weak channels of distribution and

forced sale for clearing debts.

In such a contexts of prospects and limitations in the cultivation and marketing of

maize, it becomes imperative to study the viability and profitability of maize

cultivation in Dindigul district. Though there were number of studies in production

and marketing of maize in general and that too at state level, an in-depth study is felt

necessary to bring out cost and return in maize cultivation at the micro level. This will

not only help to identify the profitability pattern of maize cultivation in a developing

area like Dindigul district but also to frame suitable policy measures to popularize and

enhance the cultivation of this food crop.

Similarly a study relating to problems associated with marketing of this crop from

cultivators’ point of view will encourage the potential maize growers to select a

suitable channel of distribution and to attract more people in the cultivation of maize.

This will ultimately have a positive impact on overall economic development of the

district and the state. Hence the present study.

OBJECTIVES OF THE STUDY

The overall objective of the study is to understand the production and

marketing of maize in Dindigul district and the specific objectives are given below.

To study the profile of the study area, socio-economic characteristics of the sample

cultivators and production practice of maize.

 To analyse the trend, growth and magnitude of variability of the area,

production and productivity of maize at the world, national, state and district

levels.

 To analyze the factors motivating the maize cultivation, the costs and returns,

resource-use efficiency, returns to scale and the problems encountered in the

cultivation of maize by the cultivators in the study area.

 To study the market structure, marketing cost, marketing margin, price-spread,

price analysis, marketing efficiency of different channels, problems of

marketing of maize and measures to overcome the problems in the study area.

 To offer suitable suggestions based on findings for improvement.

LIMITATIONS OF THE STUDY

The data and information on production and marketing of maize were

collected from a sample of maize cultivators by personal interviews with the

help of pre-tested schedules. Hence, the data collected and inferences drawn

from them are subject to recall bias, as maize cultivators did not maintain any

records. Since the study deals with marketing intermediaries also, the data

furnished by them may have some bias. But necessary care was taken to

counter check the data. Further, this study is confined to a particular agro

climatic region and the conclusions drawn are applicable only to the regions

similarly situated. Hence the results of the study have to be interpreted with

the above limitations in view.

RESEARCH METHODOLOGY :

Methodology is the way to solve the research problem systematically. It explains

the various steps generally adopted by the researcher in studying research problem,
along with the logic behind them. For this project in dindigul district.
1. Area of the study :
For this study a survey was conducted in dindigul district is an industrial
area. The area provides requiring scope for the study.
2. Sources of Data :
a) Primary Data
Questionnaire was the main tool for collecting the primary data. Questionnaire
were designed in a systematic with covering adequate and relevant question,
which converts all aspect of the study.
b) Secondary Data
Secondary data by examine were also collected from journals, newspapers and
magazines and text books from related studies.
3. Sampling Design

Sampling design is a process of obtaining information about the entire

population by examine only a part of it, the sampling design consists of three
major parts such as sampling unit, sampling procedure and sampling size.
a) Sampling unit

Sampling unit refers to the respondents (i.e) who is to be surveyed. The

sampling unit of this study comprise the customer satisfaction on Maize crops in
dindigul district.
b) Sampling Procedure

Sampling procedure reveals “ How the respondents were chosen?” sampling

procedure depends upon the research objectives to be accomplished through the
investigations. For the purpose of selection or respondent convenient sampling
techniques was adopted with care was taken.
c) Sampling Size
For the purpose of the 100 respondent of maize crops customers was
selected and data are collected using the questionnaire. For the purpose of
selecting the respondents convenience sampling method was adopted.
METHODOLOGY

The present study is mainly based on survey method. Both primary and

secondary data were used. The required primary data were collected from the sample

respondents through two types of well constructed interview schedules originally, in

conformity with the objectives of the study. These draft interview schedule were

prepared by the researcher and the same was pretested by circulating them among a

few major maize cultivators in the study area and intermediaries. Necessary

modification, correction and inclusions were made in these schedule based on the

suggestions given. The officials of the department of agriculture were also consulted

before finalizing the interview schedule to their present form.

Secondary data relating to area, production and yield of maize at world level

were collected from web site www.enwikipeadia.org., www.fas.usda.state.org,

www.indexmundi.com. and www.tnagmark.tn.nic.in. Data relating to area, production

and yield of maize in India for different states and districts were collected from the

reports of Directorate of Economics and Statistics, Ministry of Agriculture, New

Delhi, Seasonal and Crop Report of Tamil Nadu and ‘G’ return of Dindigul district

and maize journals and annual reports published by Directorate of Maize Research,

New Delhi. Data relating to the profile of the study area was collected from Census

Report 2011, Department of Economics and Statistics, Chennai and Agricultural

Census and District Statistical Hand Book of Dindigul district.

SAMPLING TECHNIQUE

In Tamil Nadu, Dindigul district ranks first in production of maize and second

in area of maize cultivation. It consists of fourteen development blocks, of which five

blocks namely Oddanchatram, Palani, Reddiyarchatram, Thoppampatty and

Vedasandur were selected based on area coverage under maize. From each block,

three panchayats were selected by simple random sampling. Accordingly Chatrapatty,

Veeralapatti and Ambilikkai were selected in Oddanchatram block, Ayakudi,

Neikkarapatti and Kanakkampatty in Palani block, Neelamalaikottai, Puduchatram

and Palakkanoothu in Raddiayarchatram block, Kallimandayam, Keeranur and

Vagarai in Thoppampatty block, and Marampadi, Eriodu and Vedasandoor were

selected in Vedasandoor block. From each panchayat selected, two villages were

selected at random. A sample of 420 maize cultivators were selected at the rate of 14

from each selected villages.

The 420 sample maize cultivators were post-stratified in to marginal, small

and medium farmers and 140 sample farmers from each group was selected for the

present study. It was found that 23 interview schedule from marginal farmers, 2 from

small farmers and 35 from medium farmers were incomplete and hence rejected.

Thus the total sample size was 360. Of these samples, 117 were marginal farmers,

138 were small farmers and 105 were medium farmers.

A multi-staged random sampling method was adopted with the selection of the

blocks, followed by simple random selection of the panchayats, villages and

respondents. The convenient sampling technique was applied in collecting data from

the market functionaries. The data collected from different market functionaries

include 50 village traders, 50 commission agents and 25 wholesalers in Dindigul

district of Tamil Nadu.

TOOLS OF ANALYSIS

To study the trends in area cultivated, production and productivity of maize, simple

regression equation has been used.

 In order to find out the growth rate in area, production and productivity of

maize, compound growth rate has been calculated using semi-log.

 To study the magnitude of variability in area, production and productivity of

maize, co-efficient of variation has been computed.

 To analyse the socio-economic characteristics of the sample respondents,

simple percentage analysis is used.

 To find the resource-use efficiency of factor inputs, marginal value

productivity of each of the significant input variables for marginal, small and

medium farmers was analyzed.

 To measure the marketing efficiency of the various channels in the marketing

of maize, Shepherd’s method was used.

 Price-spread was measured by using concurrent margin method where the

margin was the difference between the price paid by the ultimate consumer

and the price received by the producer.

 Time series analysis was carried out to study the temporal variations in the

prices of maize using multiplicative model.

 To find out the factors motivating maize cultivation, factor analysis has been

used.

 Garrett’s Ranking Technique has been used to identify problems in production

of maize.

 F-test has been used to analyse the problems of marketing of maize and

measures to overcome the problems of marketing of maize.

CHAPTER SCHEME

The present study is divided into six chapters.

The first chapter entitled “Introduction and Design of the Study” introduces

the topic and traces the development of maize cultivation and marketing. Besides

Introduction, this chapter includes Statement of the problem, Objectives of the study,

Scope of the study, Concepts and review of previous studies, Methodology, Sampling

Technique, Period of the study, Tools of analysis, Limitations of the study and

Chapter scheme.

The second chapter entitled “Profile of the Study Area” summarizes the

profile of the study area, characteristics of sample respondents and maize cultivation

practices in Dindigul district.

The third chapter entitled “Maize Production – An Overview” analyses the

area, production and productivity of maize at the world, national, state and district

level. This chapter also analysis the growth performance, magnitude of variability and

trend values in area, production and productivity of maize.

The fourth chapter entitled “Data Analysis of Maize Cultivation &

Interpretation ” analyses the factors motivating the cultivators to involve themselves

in maize cultivation, the cost of production, profitability, production function,

resource-use efficiency and returns to scale and the problems encountered in maize

cultivation by the cultivators in the study area.

The fifth chapter entitled “Summary of Findings and Suggestions”

epitomizes the major findings of the study. A few suggestions have been made for

improvement.
 CHAPTER – II
REVIEW OF LITERATURE

i) Production

Dewett (1982) defined ‘production’ as essentially transformation of

one set of goods into another. He also defined it as creation of value or want

satisfying goods and services.

According to Seth (1985), ‘production’ is the result of blending of

various factors of production namely, land, labour, capital and organization.

According to Pande and Mithani (1990), ‘production’ is the creation

of output or goods and services.

In the present study, ‘Production’ represents the yield of maize

resulting from the application of different input materials.

ii) Production Function

Klein (1973) defined ‘production function’ as a mathematical

expression of technical relationship between input and output, which would

remain constant as long as technology remained invariant.

Samuelson (1978) defined ‘production function’ as one which

indicated the maximum amount of output that could be produced by each of

the specified inputs or factors of production and it was defined for a given

state of technological knowledge.

Sadhu and Mahajan (1981) used the Cobb-Douglas type of

production function to test the production efficiency of individual inputs in

aggregate enterprise of mark and balata farms. In order to evaluate the

economic efficiency of different inputs, the marginal value products of

inputs were compared with their respective acquisition costs.

 Many production studies conducted in India evidenced the ability of

Cobb-Douglas production function to provide consistent estimates. Hence in

the present study Cobb-Douglas production function was employed.

iii) Productivity
Sathilal and Hiremath (1995) observed the ratio of marginal value

product to marginal factor cost for land and plant protection chemicals was

more than unity in small as well as large orchards. It suggested that there was

scope for increasing returns from beer orchards by increasing the use of

these resources. The ratios were less than unity for labour and fertilizers in

small orchards and for labour, farm yard manure and fertilizers in large

orchards indicated that the resources were over-used in production.

According to Saha et al. (2009) residue management with maize stalk

cover, organic manure like poultry manure and mulching with locally

available weed ambrosia, special, not only conserves soil moisture so as to

achieve a second cross but also improves productivity and water use

efficiency of mustard during winter (rabi) season.

According to Dilip Singh (2010), maximum net returns can be

obtained from single cross hybrid high quality protein maize Nitrogen should

be applied in 5 split application in ratio of 10:30:30:20:10 at basal, 4 leaf

emergence, 8 leaf emergence, tassel emergence and early grain-filling

stages.
iv) Cost of Production
According to Rajiv Mehta (2000), the price of any agricultural

commodities is determined by the cost of cultivation. In agriculture, the cost

of cultivations refers to the various input costs incurred by a farmer to

produce the final output. The analysis of cost and return is of vital necessary

in agriculture.

Naik and Thimmappa (2001) concluded that cost of production of

different agricultural commodities reacts differently in the event of

disequilibrium of supply and demand. The study of cost variability covers

their distinct patterns in long term and short term perspectives. Besides, the

magnitude or volatility or cost variation of different agricultural commodities

depends on the respective elasticity of demand.

According to Sujit and Mishra (2002), cost of inputs has increased

manifold but cost of final produces from agriculture has not increased to that

extent. The costs of final producers are not only determined by cost of inputs

but also market forces, uncertainty and erratic monsoon.

Fixed Cost
Mittal and Saxena (1974) defined fixed cost in agriculture as that

which was independent of the level of production whereas the variable cost

varied with the level of output.

Paul A. Samuelson (1980) divided the total cost into fixed and

variable costs. Fixed cost represented the total expenses incurred even when

no output was produced but production had been committed in. It was often

called overhead cost and usually included contractual commitments for

rental, maintenance, depreciation, overhead, salaries and wages. It is a sunk

cost because it is quite unaffected by any variation in the level of output,

during the period of time in which it is sunk.

Fixed cost is those which remain constant in total amount with

increase or decrease in the volume of output or productive activity in a given

period of time. In the present study, fixed cost consists of land revenue, rental

value, depreciation on capital assets, interest on fixed capital and repairs and

maintenance cost.

Variable Cost
According to samuelson (1973), Variable costs represented all items

of total cost except fixed costs.

According to Tandon and Dhondyal (1978), the variable costs as

prime costs and related to the variable resources.

In the present study, variable cost is those which vary in total in direct

proportion to the volume of output. It included the value of bullock labour,

machine labour, human labour, seeds, farm yard, manure, composts,

fertilizers and plant protection chemicals and irrigation. The total cost equal

to variable cost plus fixed cost.

v) Marketing

According to Stanton (1975), Marketing is a total system of

interacting business activities designed to plan, price, promote and distribute

want satisfying product and services to the present and potential customers.

According to Subramaniyam et al (1985), Marketing was the

processes of defining, anticipating and creating customer needs and wants

and of organizing all the resources of the company to satisfy them.

 Yadav (1985) reviewed marketing as “A system of interrelated

activities designed to develop price, promote and distribute goods and

services to groups of customers”.

In the present study, marketing is considered as the performance of all

business activities involved in the flow of goods and services from the point

of initial production up to consumption.

vi. Agricultural Marketing

According to Thambi (1973), agricultural marketing was not mere

selling or distribution but it embraced all the activities that began with

ascertaining the needs of the consumer and the market opportunity, setting up

production to meet the anticipated demand, pricing, distribution and

advertising in the sale of product, hopefully at a small profit.

According to Irwin (1973), agricultural marketing included all the

services, intangible and physical, rendered between the farmers and the

ultimate consumers. The intangible functions included pricing plus financing

and risking, guiding products to consume in a place and form and physical

functions included transporting, processing, sorting and grading of products.

Chandran (1975) defines ‘Agricultural Marketing’ as the

performance of all business activities such as determining the needs of the

consumer, organising the production process to meet the expected demand ,

pricing , distributing, selling and all other related activities involves in setting

farm products in motion from the producer to consumer through times, space

and form.
 Lallan Singh (1984) referred marketing of agricultural produce was

highly complex mechanism. It comprised of series of operations, processes

and agencies involved in the movement of food and raw materials from the

farm to the final consumers and the effect of such operations on producers

and middlemen. These included buying, assembling, processing, packaging,

transporting, storing, financing, risk bearing and selling.

In the present study, agricultural marketing is considered as all the

activities involved in the movement of agricultural produces and services

from the farmers to the ultimate consumers.

vii) Marketing Structure

Lele (1973) described the market structure as the various market

channels, intermediaries and traders involved in moving the produce from

producers to consumers.

Bilgrani (1974) defines “marketing channel” as distributors who are

engaged in direct or indirect transfer of title to the product as it moves from

producer to consumer or industrial users.

According to Mamoria and Joshi (1975), middleman is one who

specializes in performing operations or rendering services that are directly

involved in the purchase and sale of goods in the process of their flow from

producer to final buyer.

In the present study, market structure included village traders,

commission agents, wholesaler and industrial user who are engaged in the

trade channel.
viii) Marketing Cost

According to Jain (1971), marketing costs are the actual expenses

incurred in bringing the goods and services from the producer to the

consumer. The expenses are incurred by all those who are engaged in the

process of marketing from producers to retailers.

According to Moore et al (1973), marketing cost were the actual

expenses incurred in the marketing process. They included not only cost of

performing the various marketing functions but taxes and other assessments

as well.

Dhull and Gangwar (1975) defined ‘marketing cost’ as the actual

cost incurred by each agency involved in the marketing channel for

performing their functions. This included transportation, loading and

unloading, weighing, cleaning, octori, market fee, commission, sales tax,

processing cost and wastage.

In the present study, marketing cost refers to the cost incurred by each

agency involved in the marketing channel for performing its functions like

packing, loading, unloading, transportation, grading cost, storage cost,

establishment charges and administrative charges paid in marketing of maize

collected in the study area.

ix) Marketable Surplus and Marketed Surplus

According to Singh and Naraina Rao (1974), ‘marketable

surplus’ generally stands for the quantity available with the producer for

disposal, after meeting his genius requirements for family consumption,

seeds, livestock, feed, payment of wages and disbursement to village artisans,

other customary payment for service rendered and the like.

 According to Singh and Naraina Rao (1974), ‘marketed surplus’

represents that portion of the total production which is actually disposed off

by either for cash or by barter.

According to Bhetti et al. (1972), ‘marketed surplus’ depends on the

total farm production, the retention for consumption and farm operations such

as payment of wages in kind, feed and seed.

x) Returns

Singh et al (1977) stated that the net income, above all costs, was the

return that pertains to all factors of production over and above all charges for

such factors less all costs included in the production process.

Sisodia (1978) defined the ‘net income’ in a simple way as the gross

income less cost C.

Kandasamy et al. (1980) have used the term ‘gross return’ to mean

the value of the total produce. Net return is the remainder after subtracting

total expenditure from gross income.

According to Kalaivanan (2002), “gross income” is the actual amount

realized on the sale of the produce and he arrived at the net income by

deducting cost of production from the gross income.

 CHAPTER – III

PROFILE OF THE STUDY

INTRODUCTION

According to standard dictionary of English language maize means “A tall and

status grass, extensively cultivated as a food for men and animal” It is locally known

as “ Govina Jola.or Mekke Jola” Maize is a wonderful plant (Crop) with highest yield

potential composed to any amount of cereals. It is grown as food crop. Since known

records of cultivation, infact origin of agriculture in both new and old world was

reported to be with the cultivation of maize. The cultivation of maize is easy and can

be grown in all the seasons. Hence it has the premier position in the world replacing

rice and wheat during the last 3-4 years. It has been extensively grown in both

developing and developed countries. Maize has been cultivated for the last seven

thousands of years. During Archaeological excavations in new Mexico, grains of

maize and parts of maize ears were found in caves and rock shelters, which are of

4500 years of old, and even of earlier origin, pollen grains of zea, Tripsacum and

Euchla era are said to have been found at a depth of more than fifty meters under

Mexico city1.
Maize in India

The maize in India is extremely interesting from an evolutionary viewpoint

because of its distance from the center of diversity for this crop and because once

introduced to India small genetically isolated populations have been cultivated locally,

sometimes for over a century.

In the study of landrace Skkim Primitive, which was recognized as showing

marked resemblance in its ear to the reconstructed ancestor of Mangeldrof. This little

grown popcorn of Skkim and adjoining area occurs at mid elevation, 6000-8000 feet

in most tropical cloud forest region maize.

Different varieties of corn cob (zeal Mays lizin) are extensively sculpted but

only on the Hindu and Jain temples of Karnataka. Various deities are shown as

carrying a corncob in their hands as on the Chenna kesava Temple, Belur. The straight

rows of the corn grains can be easily identified.

History of Maize Culture in India

The history of Indian corn or maize in western civilization began in 1492, less

than a month after Columbus discovered the New World. A note on maize may have

made in the log of voyage on 6th November 1492, although Columbus was observed

maize in Haiti as early as 16th October 1492. Maize introduced into Europe by

Spaniards, was known in Spain in 1494, sometime after Columbus returned from his

second voyage. The first importations were made from the West Indies, but others

soon followed from Mexico and Peru. The plant was first grown in Europe as a garden

curiosity. Within a few years, Indian corn had spread from Spain to Southern France,'

Italy, the Balkans and North Africa.

Classification of Maize

1. Flint Corn: Flint corn has very hard kernels. It is grown in Europe, Asia,

Central America as well as it is a principal type of grain corn grown in India.

In India, mostly flint and semi-flint varieties are grown.

2. 2. Dent Corn: Dent corn comprises the largest maize crop in the United States.

It is popularly known as dent because of dent formation on the top of the

kernel having yellow or white colour. This has hard starch at he sides while

the major part of the endosperm contains soft starch. At maturity a typical

dent-like depression appears at the crown

3. 3. Sweet corn: The corn has a large proportion of carbohydrates of the kernel

as dextrin and sugar in the unripe kernels, which are tender. When, matured

and dried, the kernels are hard and have a wrinkled surface. Particularly all

cannel corn is sweet. A small amount ofsweet oorn is dehydrated or frozen.

4. 4. Pop corn: The grains are used for human consumption and are the basis of

popcorn confections. A major part of the endosperm of this tyoe of corn

comcrises hard starch on all sides, with a very small core of soft starch. When

the com is popped, the endosperm expands with the formation of a fluffy white

irregular mass.

5. 5. Flour corn: Flour corn is of the oldest types of maize grown widely in

U.S.A. and South Africa. The grains of this type of corn are large and soft and

the endosperm is very friable. These characteristics permit easy grinding of the

grain into flour.

6. Fod corn: This type of com is not grown commercially. Each kernel is

enclosed in pod or husk in an ear, which is enclosed in husk like other types of

com.
7. Waxy corn: This contains a high proportion of amylopectin, whereas common

maize starch is about 78 percent amylopectin and 22 percent amylose origin is

supported to be in China but many waxy hybrids developed in U.S.A.

Maize Milling Division

The maize milling plant with a capacity of 50 tonnes per day is one of the

sophisticated plants in the country and uses the largest technique of dry

degermination in milling.

Here maize products are manufactured for consumers, livestock feeds production

and industrial use. During 2016-18 maize-milling division has given a target of

crushing 7500 mts of maize.

It is proposed to manufacture and market the following products based on maize

extrusion.

• Maize Brewery Flakes.

• Maize Flakes

• Maize Flour

• Maize Rave

• Maize Puffs

• Pop Corn

• Instant Maize Upma Mix

• Instant Maize Kesari Bath Mix

• Instant Breakfast Bits

• Maize Biscuits.
Reasons for Increasing Maize Popularity:

The reasons for increasing popularity are:

1. The problem of feeding and over increasing population forces the nutritional

experts to seek suitable new food or find new ways of using tne old.

2. Breweries are today making wider use of com grits.

3. New medical aspects of nutritional scientists have increased market for oil with

low cholesterol content. This increases the demand for corn germ.

4. Corn is used as a raw material for making starch, alcohol, dextrin, glucose, etc.

5. Degermed corn can be used in the cattle feed and poultry feed Industry thus

increasing the production of milk and egg.

6. Maize has highest content of edible fibre, iron and carotene than wheat flouer

and rice. This implies that maize has better satiety value, better for eyesight and

helps in overcoming anemic condition.

7. The quantities of maize produced are of a number of varieties, dent, soft and

white dent, 100 percent of maize produced in the country is used for local

industries.

8. Semolina is a gramular product obtained from the vitreous part of the Kernel,

These types of semolina are used in simple but tasty dishes, such as porridge,

soup’s, cakes, gnochhi, tortills, mixed flour breads, pasta, pastry and snack foods.

9. The maize flour is used for biscuit production and produces more crumbly and

crackly texture and reduces the cost of ingredients.

10. Since in over days preparation of meal is simplified, there is an increasing

market for the so called pre-cooked products. These types of products are usually

made from coarse grits, which is conditioned, with steam, flaked and reground.