TOPICS-CLASSIFICATION OF AGRICULTURAL PRODUCTS WITH REFERENCE TO SEASONALITY AND PERISABITITY SUBMITTED TO-Pro.

MUKESH RANGA CSJM,UNIVERSITY INSTITUTE OF BUSINESS MANAGEMENT MBA(Business economics) MADE BY-MAMTA YADAV PREETI VERMA

Food-grains plays an important role in any society especially for hunger ones. The majority of the people those who die due to hunger, it is because of a simple reason that they have to pay higher prices for the food-grains. Therefore, effective and efficient marketing system is an essential task in this context. If marketing system at this level is not on one side and proper margin at producers level is not transformed on efficient, prices which are charged at customers level are not adequate other side.

Agriculture, in the broad sense, means activities aimed at the use of natural resources for human welfare, i.e., it includes all the primary activities of production. But, generally, it is used to mean growing and/or raising crops and livestock.

CLASSIFICATION OF AGRICULTURAL PRODUCTS

Agricultural products can broadly be classified into seven categories: Foodgrain items Oilseed produce Horticulture produce Fibre products Beverage items Cash items Animal produce

AGRICULTURAL PRODUCTS
Foodgrain Oil Fibre Beverage Cash Animal Horticulture

Seeds Products items items products items Wheat Groundnut Cotton Tea Sugarcane Milk Rice Sunflower Jute Coffee Rubber Fish Dals Coconut Tobacco Eggs Jawar Soyabean Poultry Bajra Mustard Wool Maize Castor Meat

 The farm output is seasonal in character whereas its demand by the consumers is spread over the whole year. The marketing system has therefore,to balance suitability the seasonal out flow of the produce from the farmwith the relatively steady and continue consumer demand.

 Agriculture commodities are perisable in nature and suffer loss and deterioration in quality during storage. The production of certain crops like fruits and plantation crops is highly localized but consumption is widespread.

Marketing Channels
Farmers producing agricultural produce are scattered in remote villages while consumers are in semi-urban and urban areas. This produce has to reach consumers for its final use and consumption. There are different agencies and functionaries through which this produce passes and reaches the consumer. A market channel or channel of distribution is therefore defined as a path traced in the direct or indirect transfer of title of a product as it moves from a producer to an ultimate consumer or industrial user. Thus, a channel of distribution of a product is the route taken by the ownership of goods as they move from the producer to the consumer or industrial user.

Factors affecting channels:

There are several channels of distribution depending upon type of produce or commodity. Each commodity group has slightly different channel. The factors are : Perishable nature of produce .e.g. fruits, vegetables, flowers, milk, meat, etc. Bulk and weightcotton, fodders are bulky but light in weight. Storage facilities. Weak or strong marketing agency. Distance between producer and consumer. Whether local market or distant market.

Marketing Channels for rice:

Producermiller->consumer (village sale) Producermiller->retailer consumer(localsale) Producerwholesaler->millerretailer consumer Producermillercum-wholesaler-retailerconsumer Producervillage merchantmillerretailerconsumer Producergovt. procurementmillerretailerconsumer

Marketing channels for oil seeds

Producers-consumers Producer-village trader-retailerconsumers Producer-oil seed wholesailer-retailer-oil wholesailer-oil retailer-oil consumers Retailer-village trader-processor-oil consumers Producer-government agenciesprocessor-oil wholesailer-oil retailer-oil consumers

Marketing Channel for food grains:

Producer consumer (village sale) Producervillage merchantconsumer (local sale) Producerwholesaler-cum-commission agent retailerconsumer Producerprimary wholesalersecondary wholesaler retailer Consumer ProducerPrimary wholesalermiller consumer (Bakers). Producer->govt.procurementretailer consumer. Producergovernmentmillerretailer consumer.

Marketing Channels for Vegetables

Producersconsumer (village sale) Producerretailerconsumer (local sale) ProducerTradercommission agent retailerconsumer. Producercommission agentretailer consumer Producerprimary wholesaler secondary wholesaler retailer consumer (distant market).

Marketing Channels for cotton:

Producervillage merchantwholesaler or ginning factory wholesaler in linttextile mill (consumer) ProducerPrimary wholesalerginning factory secondary wholesalerconsumer (Textile mill) Producer Trader ginning factory wholesaler in lint consumer (Textile mill) Producergovt. agencyginning factory consumer (Textile mill). ProducerTraderginning factorywholesaler retailer consumer (non-textile use).

Marketing Channels for Fruits:

Producerconsumer (village sale) ProducerTraderconsumer (local sale) Producerpre-harvest contractorretailer consumer Producercommission agentretailerconsumer. Producerpre-harvest contractorcommission agent retailerconsumer Producercommission agentsecondary wholesaler retailerconsumer (distant market).

 These channels have great influence on marketing costs such as transport, commission charges, etc. and market margins received by the intermediaries such as trader, commission agent, wholesaler and retailer. Finally this decides the price to be paid by the consumer and share of it received by the farmer producer. That channel is considered as good or efficient which makes the produce available to the consumer at the cheapest price also ensures the highest share to the producer.

Federation (State level) Union (District level) Inputs Outputs DCS (Village level) Farmers

9.9 PROCESSING OF WHEAT

Wheat milling involves grinding the kernel into a whole wheat flour and separating the bran from the white dour (endosperm). About 90 per cent of the wheat in India is converted into whole wheat products like chappatis; the balance (10 per cent) into bread, biscuits buns and cakes. The milling of wheat in India done in the following ways: 1. Stone Grinding by Hand: This method is used to grind wheat in most of the households. A housewife, by using stone chakkies which are operated by hand, mills 5 to 7 kg of wheat per day in the morning hours.

 2. Chakkies: This is a low capacity poweroperated grinding device used in villages. The cost of milling is high; but because of their convenience, they are widely prevalent in Indian villages. 169

 3. Roller Mills: Most of the heat flour in India is produced by roller flour mills. The steps involved in roller flour milling are: (a) Cleaning: Wheat is first cleaned of stones, dirt, weeds and foreign matter by separators, aspirators, scourers, magnets and washers. (b) Tempering: The cleaned wheat is moistened and held tempering bins for 8 to 24 hours to toughen the outer coat and mellow the endosperm. (c) Blending: Wheat grains of various protein contents are mixed to produce flour of the desired quality.

(d) Grinding and Separating: Wheat grain is first broken by a pair of corrugated rollers. The whole wheat flour is repeatedly rolled, sifted and purified till a complete separation of the bran has been achieved. Indias first roller flour mill was built in 1880 and since then, there is no looking back. Even the reputed multinationals such as HLL are entering this business. The leading roller flour-producing States are Maharashtra, West Bengal, Uttar Pradesh, Tamil Nadu, Karnataka, Assam, and Delhi. Roller flour-milling is a highly capital intensive industry.

9.10 BAKING
India has a large baking industry, which is engaged in the manufacture of biscuits, bread, buns, cakes and pastries. This industry is growing rapidly because of the increase in urbanization, in population 170 and in the per capita income of the masses, and changes in tastes. In urban areas, a large number of bakeries, both small and large, arc functioning.

PROCESSING OF PADDY
Paddy-rice milling is one of Indias largest industries, for the output of this industry exceeds the total of all the other foodgrain processing industries. Paddy consists of about 20 per cent husk, 6 per cent bran, 2 per cent germ and 72 per cent endosperm. There are six major steps in the processing of paddy, depending upon the method used for processing. 171 (4) Husking: Husking refers to the removal of husk from the rice grain. Rice milling is undertaken to remove the husk and a specified per cent or bran from the seeds and endosperm. Four principal rice milling methods are employed in, India. These are: (a) Hand Pounding: This method involves the pounding of paddy with poles or a pestle and mortar. (b) Huller Mills: The heart of a huller rice mill is a fluted metal cylinder rotating with 500 to 600 rpm within a hollow stationary cylinder. Husk and bran are removed in one operation by abrasive action. The rice is polished by a second and a third pass through the machine. (c) Sheller Mills: An under-run disc sheller consists of two stone or composition wheels, each 182 to 562 in diameter, and laid on top of one another. Between there two stones, paddy is husked by the rotation of the adjustable lower wheel. The bran is removed by polishing cans or rice hullers. The husk, bran and rice are separated mechanically. (d) Rubber Roller Mills: Each mill consists of a pair of rotating rubber rollers between which paddy is poured at one to four tonnes per hour, depending on the design of the mill. Shelling results from the abrasion created by the two roller turning at slightly different speeds. Soft rollers minimize breakage. 172 5. Polishing: Polishing is the removal of bran and germ from the rice grain. 6. Separating: This means separation of the parts of broken grain from whole grain. 7. Grading: Grading is separation of rice by size. Head rice is the grain that is th of a whole grain and larger broken are smaller grains. In addition to the processing of the above food groups, there are other food processing industries numbering about 16,000 and employing

(1) Drying: Drying refers to the reduction of the moisture content in paddy to about 14 percent. At the time of harvesting, paddy contains 16 to 18 per cent moisture. Drying can be done either in the sun or by means of a mechanical drier (forcing heated or unheated air through the paddy in a bin or a thin moving stream). Mechanical drying was introduced in India in 1965. (2) Cleaning: Cleaning is done to remove the foreign matter present in the paddy. (3) Parboiling: Parboiling involves soaking and steaming paddy to impart a desired flavour to it and to increase the out-turn. It reduced breakage in milling improves storage life, and helps in the preservation of vitamins and protein in the rice grains.