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Marketing System and Agricultural Development in Punjab

In: Economic Transformation of a Developing Economy

Author

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  • M. S. Sidhu

    (Punjab Agricultural University)

Abstract

This chapter examines the output disposal and its impact on agriculture development of Punjab. An important feature of the output market is that the storage capacity for the food grains, both covered and open, was 234 lakh tonnes in the year 2013–14. It also provides evidence regarding how the regulated market assigned a special role to commission agents as intermediaries. These agents are often involved in the money lending business, and trap the farmers in this interlinkage to extract farmers’ surplus. These commission agents are thriving because the APMC Act of 1961 prohibits direct sale of food grains. However, it is also pointed out the lack of modern food grain storage facilities as a contributory factor in this situation. It is suggested that the government should develop, perhaps through public–private partnerships, new safe storage capacity (such as silos), so that wastage of food grains can be prevented in the future.

Suggested Citation

  • M. S. Sidhu, 2016. "Marketing System and Agricultural Development in Punjab," India Studies in Business and Economics, in: Lakhwinder Singh & Nirvikar Singh (ed.), Economic Transformation of a Developing Economy, edition 1, chapter 0, pages 141-164, Springer.
  • Handle: RePEc:spr:isbchp:978-981-10-0197-0_7
    DOI: 10.1007/978-981-10-0197-0_7
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    Cited by:

    1. Sumanta Das & Abhiram Yadav Myla & Akhilesh Barve & Anil Kumar & Naresh Chandra Sahu & Kamalakanta Muduli & Sunil Luthra, 2023. "A systematic assessment of multi‐dimensional risk factors for sustainable development in food grain supply chains: A business strategic prospective analysis," Business Strategy and the Environment, Wiley Blackwell, vol. 32(8), pages 5536-5562, December.

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