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.

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