How are vegetable prices determined?
Vegetable producers, especially small landholders, depend on intermediaries to sell their produce. As vegetables find their way to the market, the cost of packaging, grading, transporting and fees, besides the margins of the middlemen, are some of the elements that determine the final price the consumer has to bear.
What are the market forms of vegetables?
Terms in this set (10)
- Fresh (desirable qualities) Crisp, bright color, firm, absence of decay.
- Fresh (storage) store in fridge.
- Canned (Advantages) Precooked, Convenient.
- Canned (Disadvantages) Higher in sodium, Possibly mushy texture.
- Frozen (benefits)
- Canned (storage)
- Frozen (storage)
- Dried.
How is price determined in agriculture market?
Much will depend upon the type and number of users of these commodities. In other words, the elasticity of demand for these products will determine their respective prices. A commodity which is coveted more or of which demand is intense (inelastic demand) will command a higher price.
What are the determinants of pricing of agricultural produce?
The following factors, determine the price of agricultural produce;
- Cost of Production:
- Quality of Produce:
- Quantity of Produce:
- Forces of Demand and Supply:
- Market Price of Produce:
- Seasonality of Agricultural Produce:
- The Number of Producers:
- Government Policy:
Who controls the price of vegetables in India?
The trouble with vegetable prices is that official policy precludes a proper market for vegetables. The Agricultural Produce Marketing Committee Act restricts the number of authorised buyers of farm produce. This gives them the ability to hoard and beat down the prices the farmers get.
Who will decide vegetable price in India?
Before the harvest during each Rabi / Kharif Crop season, the Government of India announces the minimum support prices (MSP) for procurement on the basis of the recommendation of the Commission of Agricultural Costs and Prices (CACP) which along with other factors, takes into consideration the cost of various …
What market form of vegetables are those that have undergone or no processing from the time they were harvested to the time they were sold?
Fresh. Fresh vegetables are those that have undergone little or no processing from the time they were harvested to the time they were marketed or sold.
What are price determinants?
There are many factors influencing pricing decisions. The common ones are group into four as follows: customers, competitors, the quality of the product, product costs, as well as profit maximization.
Who decides onion price?
The national onion price index is determined by two factors, the total onion supply and total onion demand. Since markets are integrated without large price difference, it is assumed that prices in local markets (here Lasalgaon) move as per the national onion price index.
How can we control the price of vegetables?
The most urgent step the government needs to take is to convene a meeting of all chief ministers and get them to agree to scrap the APMC Act in their states or, at the least, exempt perishable produce from its ambit. This would allow a larger number and variety of buyers to source directly from farmers.
What determines the general price level of agricultural commodities?
The general price level of an agricultural commodity, whether at a major terminal, port, or commodity futures exchange, is influenced by a variety of market forces that can alter the current or expected balance between supply and demand.
Are agricultural product prices more volatile than non-agricultural product prices?
However, certain characteristics of agricultural product markets set them apart from most non-agricultural products and tend to make agricultural product prices more volatile than are the prices of most nonfarm goods and services.
What are the different types of vegetables available in market?
Vegetables available in the market can be fresh, frozen, dried, or canned. 3. 1. FRESH Fresh vegetables are vegetables that have undergone little or no processing from the time they were harvested to the time they were marketed or sold. In general, they remain in the same state as when they were harvested.
What are the characteristics of agricultural product markets?
In general, certain characteristics of agricultural product markets set them apart from most non-agricultural product markets and tend to make agricultural product prices more volatile than are the prices of most nonfarm goods and services.