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Marketing of Bittergourd by Intermediaries in Selected Areas of Bangladesh

M. A. Hossain
Scientific Officer
Agricultural Economics Division, BARI, Gazipur 1701, Bangladesh

M. S. Hussain
Chief Scientific Officer
Agricultural Economics Division, BARI, Gazipur 1701, Bangladesh

M. A. Monayem
Scientific Officer
Agricultural Economics Division, BARI, Gazipur 1701, Bangladesh

A. K. M. Habibul Haq
Senior Scientific Officer
Agricultural Economics Division, BARI, Gazipur 1701, Bangladesh

Abstract/ Executive Summary:

The study highlighted mainly some basic informations pertinent to marketing cost, margin, price spread and marketing problems at different intermediaries' level and suggest necessary measures. It was found that intermediaries like Faria, Bepari, Arathdar, and retailer were involved in bitter gourd marketing. Per ton marketing cost of Faria, Bepari, and retailer were TK 26, TK 132, and TK 63, respectively. Cost of transportation and damage were the two major cost items comprising 34% and 19% of the total marketing cost. Marketing margins for Faria, Bepari, and retailer were TK 40, TK 192 and TK 159, respectively. The study indicated that the longer the marketing channel, lesser the farmers' share and consumers' welfare. The intermediaries faced various problems like price instability, lack of storage facilities, weight loss and damage, high transport cost, and lack of marketing information during bitter gourd marketing.

Keywords: Marketing, Intermediaries, Selected areas, Bottergourd

Location: Jessore Sadar, Ranirhat, and Mithapukur under Jessore, Chittagong, and Rangpur district

Start Date: 00-12-1994

End Date: 00-01-1995

Program Area: Socio-economic and Policy

Commodity: Bitter gourd

Objectives:

a. Identifying the different marketing channels and intermediaries involved III bittergourd marketing.

b. Assessing marketing margins and analyze price spread of bitter gourd from producers to consumers.

C. Finding out the marketing problems faced by different intermediaries.

Methodology:

Three thanas, namely Jessore Sadar, Ranirhat, and Mithapukur under Jessore, Chittagong, and Rangpur district, respectively, have been purposively selected for this study. The rationale behind selection of these particular areas lies in the fact that bitter gourd is widely and commercially cultivated in these areas. Besides, one primary (village level) and one secondary market (thana/district level) have been identified and selected as the major bitter gourd producers and 105 traders, taking 20 farmers from each area and 35 traders (10 Farias, 10 Beparis, 10 retailers and 5 Arathdars) from both types of market were randomly selected for the study. Data have been collected by interviewing the individual respondents with a pre-tested survey schedule. Information obtained is related to the period from December 1994 to January 1995. Calculation on Arathdars' margin and profit were ignored here because they are in fact a commission agent receiving commission at a fixed rate (5-10%) from traders and farmers.

Source of Information: Bangladesh J. Agril. Res. 21(2) : 261-269, December 1996

Article Link (Online Journal):

Funding Source:

Total Budget (Tk.) :

Achievement/Findings:

From the foregoing discussion, it is revealed that trading of bitter gourd is a profitable venture which can contribute greatly to the intermediaries to raise their income level. But they faced different problems during its marketing. Nevertheless, longer the marketing channel, the lesser the farmers' share and consumers' welfare which meant that involvement of large number of intermediaries made the marketing system inefficient. Therefore, it may be concluded that the efficiency of the marketing system may be improved by adopting the following measures aimed at removing! reducing the existing bottlenecks. a. Institutional credit facilities should be made locally available to intermediaries with easy terms and conditions to solve inadequate capital problem. b. In the case of bitter gourd marketing, cooperative marketing system may be developed so that farmers can sell their produce direct to the retailers or consumers through shorter channel and can be economically benefited. c. Market infrastructure should be developed in terms of quick transportation, proper storage and other physical facilities to reduce spoilage and damage, high transport cost, and price instability.

Knowledge Management: Journal