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Agricultural Market Integration in India

Author

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  • Michal Andrle
  • Patrick Blagrave

Abstract

We assess the degree of cross-market price discrepancy (a proxy for market integration), its evolution over time, and proximate determinants, using monthly price data for 21 agricultural goods and 60 markets in India. Econometric analysis shows that cross-market price integration is positively associated with the level of transportation infrastructure, and distance between market pairs. There is no robust evidence that price integration has increased in recent years, suggesting that any positive effects of recent policy initiatives are either small, outweighed by the identified determinants of integration, or yet to come.

Suggested Citation

  • Michal Andrle & Patrick Blagrave, 2020. "Agricultural Market Integration in India," IMF Working Papers 2020/115, International Monetary Fund.
    • Handle: RePEc:imf:imfwpa:2020/115
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    File URL: http://www.imf.org/external/pubs/cat/longres.aspx?sk=49528
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    Cited by:

    1. Ranjit Kumar Paul & Tanmoy Karak, 2022. "Asymmetric Price Transmission: A Case of Wheat in India," Agriculture, MDPI, vol. 12(3), pages 1-17, March.
    2. Sami Khedhiri, 2023. "The impact of COVID‐19 on agricultural market integration in Eastern Canada," Regional Science Policy & Practice, Wiley Blackwell, vol. 15(2), pages 371-386, April.

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