Category: Agricultural Marketing
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Marketable Surplus Calculator
(kg / quintal)Use ONE unit consistently (kg or quintal). Marketable Surplus ≠ Marketed Surplus. -
Price Spread Calculator
Price Spread Calculator
Definition
Price Spread is the difference between the price paid by the consumer and the price received by the producer for an agricultural commodity. It represents the total marketing costs and margins of intermediaries.
Formula
Price Spread = Consumer’s Price − Producer’s Price
Producer’s Share in Consumer Rupee (%) = (Producer’s Price ÷ Consumer’s Price) × 100
Calculator
Price Spread indicates efficiency of agricultural marketing. -
Producer’s Share in Consumer Rupee Calculator
Producer’s Share in Consumer Rupee
Definition
Producer’s Share in Consumer Rupee refers to the percentage of the price paid by the consumer that is actually received by the producer (farmer). It indicates the efficiency of the agricultural marketing system.
Formula
Producer’s Share (%) = (Price received by Producer ÷ Price paid by Consumer) × 100
Calculator
Higher producer’s share indicates a more efficient marketing system. -
Marketing Margin Calculator
Marketing Margin
Definition
Marketing Margin is the difference between the price at which an intermediary sells an agricultural commodity and the price at which the same intermediary purchases it. It represents the intermediary’s cost of marketing plus profit.
Formula
Marketing Margin = Sale Price of Intermediary − Purchase Price of Intermediary
Calculator
Marketing Margin includes both marketing costs and profit of the intermediary. -
Marketing Cost Calculator
Marketing Cost
Definition
Marketing Cost refers to the total expenditure incurred on the movement of an agricultural commodity from the producer to the final consumer. It includes costs such as transportation, storage, packaging, loading and unloading, grading, and market fees.
Formula
Marketing Cost = Transportation + Storage + Packaging + Loading/Unloading + Market Charges + Other Costs
Calculator
Lower marketing cost indicates a more efficient marketing system. -
Marketing Efficiency (Acharya Method) Calculator
Marketing Efficiency (Acharya Method)
Definition
Marketing Efficiency (Acharya’s Method) measures the efficiency of an agricultural marketing system by comparing the price received by the producer with the total marketing costs and margins involved in moving the commodity from producer to consumer.
Formula
Marketing Efficiency (ME) = Producer’s Price ÷ (Total Marketing Cost + Total Marketing Margin)
Calculator
Higher value of ME indicates a more efficient marketing system. -
Marketing Efficiency (Shepherd Method)
Marketing Efficiency (Shepherd Method)
Definition
Marketing Efficiency (Shepherd’s Method) measures the efficiency of an agricultural marketing system by comparing the value of goods sold with the total marketing costs incurred. It focuses only on marketing costs and does not include marketing margins.
Formula
Marketing Efficiency (ME) = Value of Goods Sold ÷ Total Marketing Cost
Calculator
Higher value of ME indicates a more efficient marketing system. -
Index of Market Integration
Index of Market Integration
Definition
Index of Market Integration measures the degree to which prices of a commodity in different markets move together over time. A higher value of the index indicates better integration and efficient transmission of price information between markets.
Formula
Index of Market Integration (IMI) = 1 − (Price Difference between Markets ÷ Average Price of Markets)
Calculator
Value close to 1 indicates strong market integration. -
Market Arrival Index
Market Arrival Index
Definition
Market Arrival Index is an index used to measure the relative quantity of an agricultural commodity arriving in a market during a particular period compared to the average arrivals over a base period. It helps in studying seasonal variations in market arrivals.
Formula
Market Arrival Index (MAI) = (Market Arrivals in a Given Period ÷ Average Market Arrivals) × 100
Calculator
Index > 100 = Above-average arrivals, Index < 100 = Below-average arrivals