Marketing Efficiency of Major Spices in Madhya Pradesh with Special References to Farmer Producer Organization (FPOs)

Small Farmers’ Agribusiness Consortium (SFAC) and NABARD are providing technical & financial support for promotion of FPOs. The Kutir Agri Producer Company Limited, Betul is basically a corporate body registered as a Producer Company under Companies Act, 1956. The total spices grower members 214 of FPO and by using proportionate (5:1) random sampling method subjected to minimum 50 sample respondents were selected. Marketing cost, producer’s share, price spread and marketing efficiency were analyzed. The Farmers sell their spices product to FPO at the rate of garam masala (₹29814.40), red chili (₹9674.42), coriander (₹8843.32) and turmeric (₹ 6639.25) per quintal respectively. The marketing cost is high on garam masala (₹4816.17), red chili (1859.47), coriander (₹1743.62) & turmeric (₹1645.66) Rs per quintal and absolute market margin on garam masala (₹4533.85), Red chili (₹1474.97), coriander (₹1350.81) and turmeric (₹1037.16) Rs quintal respectively. Producer share in consumer’s rupees 71.22 to 76.13 per cent in spices. The maximum profit is obtained by FPO in garam masala (₹2298.37), red chili (₹738.32), Coriander (₹675.24) and turmeric (₹512.11). Government of India and NABARD should be providing market platform and procure of processed spices to FPOs. Government should be available machineries at subsidized rate for processing of their spices.