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  • Category: Miscellaneous

    Vegetables from four to forty rupees at Vegetable market


    Vegetables being sold at 10 times prices at the Vegetable market! Is this a necessary evil? Is this a side effect of today's economy? Discuss the market strategies and market side effects over here.

    During my recent visit to a village I came across with some farmers and got to know several matters about farming. A few of them I want to share here. Farmers are doing lot of expenditure to get a little return. However, they never get a profit of more than 20-25% as per their expectations. I went to a brinjal farm; the farmer said they're applying various kinds of pesticides to control but can't get rid from the insects in their farm; due to which more than 70kg brinjals are damaged out of 100kg production. The rest 30kg they sold in market at Rs. 4/-; whereas we're buying the same at Rs. 40/-. I can't understand where the money goes. Is it really such a huge benefit to the mediators/vendors in vegetables?
  • #573765
    Yes Mr. Naresh Kumar Behera, it is a huge benefit to the mediators and vendors. This is the case not only for vegetables but also for many other products. My brother once went to a Coca Cola factory as a field trip and one man there said to him that the cost for making a bottle of drink is less than Rs. 5 but we are buying it for Rs. 35. Another example is potato chips etc,. We buy a chips packet for Rs. 10 or above but the chips inside are worth only about Rs. 2 for the company. In these two cases, nobody is getting cheated. But in the vegetables case, farmers are getting cheated. I think this is due to lack of education. If farmers are given some education, it would be very helpful to them.

    Let us continue learning.

  • #573774
    India is the second largest producer of vegetables and fruits in the world and the second biggest exporter of vegetables.
    In the traditional supply chain in India, there are many stakeholders like the farmer, local middlemen, commission agent/trader, transporter, wholesaler, retailer and finally the consumer.
    One of the reasons of cascading effects on the cost of the vegetables is its perishable nature and often a chunk of the product gets wasted during the supply chain.
    The farmers are forced to sell at throw away prices as the vegetable once grown has to be disposed of in any case failing which the same will get rotten and yield nothing.
    In developed countries, the farmers are able to get better prices as there is a well evolved mechanism to transfer the product from the farms to the shopping mall at much faster pace.
    I was awe struck on seeing the vegetable section in a big grocery mall in the US where there four different temperature zones to store the vegetables at optimum temperature. Also, I was told that they get supplies from all over the world and maintain strict quality control.

    Let us encourage each other in sharing knowledge.

  • #573775
    There is no surprise element in it. For that matter every product is very cheap at the manufacturing place and when it comes to the consumer it costs the hell. Take cars, eatables, phones or anything matters you, the cost price is very less and selling price is very high. Previously the profit benefit was given to the retailers because he holds the goods for long time before earning and that is now sidelined, the so called direct marketing companies have started reaping huge profit in the name of having direct contact with the producers. So days are not far away when on line companies would sell vegetables at five per kg as you revealed here.
    K Mohan
    I consider myself as the learner everyday

  • #573966
    In this case, why farmers don't sell the vegetables directly in market? Is there any possibility of direct marketing of vegetables as household items, cosmetics, health products, etc are going on in India?
    Regards,
    Naresh Kumar
    'Every bad situation will have something positive. Even a dead clock shows correct time twice a day.'

  • #573971
    It is a good thread. The price of vegetables are arising day by day. There are various reasons to increase price such as transporting charge, wage of seller etc
    Phagu
    Success occurs when opportunity and preparation meet.

  • #573976
    Yes farmers can directly sell their produces. In Hyderabad we have the arrangement called Rytu Bazar being established at many places across the city and thus the farmers get their fresh produce and sell to the customers without the involvement of middleman.
    K Mohan
    I consider myself as the learner everyday

  • #573992
    Vegetables sold in wholesale market is of one price but in the name of cleaning etc., some super stores are selling the same at the rate more than triple. Is it not unjust? How people are continuing to buy from such shops even by knowing well about this? Are they falling into the pit by knowingly? The day before yesterday the price of lady's finger was Rs.15 per kilo at wholesale market. The vendor selling by tricycle was selling at Rs.20 but the same was sold in the super store(only 4 kilometers from wholesale market) at Rs.48. As told by Mohan sir, We used to buy at rythu bazaar at Mehdipatnam (on the way to Moinabad from Nampalli Railway Station) whenever we come to Hyderabad for our satsang to prepare for our dishes in the house where we are staying. Vegetables are fresh and good normal price only. People should not encourage the sellers who sells the products at higher rate more than 1.5 times.


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