Agricultural marketing: Difference between revisions
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=== Agricultural Marketing === |
=== Agricultural Marketing === |
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Agricultural marketing can best be defined as series of services involved in moving a product from the point of production to the point of consumption. Thus agricultural marketing is a series of inter-connected activities involving: planning production, growing and [[harvesting]], grading, packing, transport, storage, agro- and [[food processing]], distribution and sale. Such activities cannot take place without the exchange of information and are often heavily dependent on the availability of suitable finance. Marketing systems are dynamic. They are competitive and involve continuous change and improvement. Businesses that have lower costs, are more efficient and can deliver quality products are those that prosper. Those who have high costs, do not adapt to changes in market demand and provide poorer quality are often forced out of business. Marketing has to be customer oriented and has to provide farmers, transporters, traders, processors, etc. with a profit. This requires those involved in marketing chains to understand buyer requirements, both in terms of product and business conditions. |
Agricultural marketing can best be defined as series of services involved in moving a product from the point of production to the point of consumption. Thus agricultural marketing is a series of inter-connected activities involving: planning production, growing and [[harvesting]], grading, packing, transport, storage, agro- and [[food processing]], distribution and sale. Such activities cannot take place without the exchange of information and are often heavily dependent on the availability of suitable finance. Marketing systems are dynamic. They are competitive and involve continuous change and improvement. Businesses that have lower costs, are more efficient and can deliver quality products are those that prosper. Those who have high costs, do not adapt to changes in market demand and provide poorer quality are often forced out of business. Marketing has to be customer oriented and has to provide [[farmers,]] transporters, traders, processors, etc. with a profit. This requires those involved in marketing chains to understand buyer requirements, both in terms of product and business conditions. |
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==Agricultural marketing in developing countries== |
==Agricultural marketing in developing countries== |
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Agricultural Marketing
Agricultural marketing can best be defined as series of services involved in moving a product from the point of production to the point of consumption. Thus agricultural marketing is a series of inter-connected activities involving: planning production, growing and harvesting, grading, packing, transport, storage, agro- and food processing, distribution and sale. Such activities cannot take place without the exchange of information and are often heavily dependent on the availability of suitable finance. Marketing systems are dynamic. They are competitive and involve continuous change and improvement. Businesses that have lower costs, are more efficient and can deliver quality products are those that prosper. Those who have high costs, do not adapt to changes in market demand and provide poorer quality are often forced out of business. Marketing has to be customer oriented and has to provide farmers, transporters, traders, processors, etc. with a profit. This requires those involved in marketing chains to understand buyer requirements, both in terms of product and business conditions.
Agricultural marketing in developing countries
Several organizations provide support to developing countries to develop their agricultural marketing systems, including the Food and Agriculture Organization of the United Nations (FAO).Improvement of marketing systems necessitates a strong private sector backed up by appropriate policy and legislative frameworks and effective government support services. Such services can include provision of market infrastructure, supply of market information, and agricultural extension services able to advise farmers on marketing. Training in marketing at all levels is also needed. One of many problems faced in agricultural marketing in developing countries is the latent hostility to the private sector and the lack of understanding of the role of the intermediary. “Middleman” has become very much a pejorative word.
Recent developments
New marketing linkages between agribusinesses, large retailers and farmers are gradually being developed, e.g. through Contract farming or group marketing. The growth of supermarkets, particularly in Latin America and East and South East Asia, is having a significant impact on marketing channels for horticultural, dairy and livestock products. Nevertheless, “spot” markets will continue to be important for many years, necessitating attention to infrastructure improvement such as wholesale markets.
References
Abbott, J.C.; Marketing Improvement in the Developing World. FAO, Rome, 1984
Dixie, G.; Horticultural Marketing. FAO, Rome, 2005
Kaynak, E., editor; World Food Marketing Systems, Butterworths, London, 1984
Padberg, E., Ritson, C. and Albisu, L.M., editors; Agro-food Marketing, CAB International, 1997.
Shepherd, A.; Approaches to Linking Producers to Markets. FAO, Rome, 2007