Question -
Answer -
For improving the system of agricultural marketing, the government came up with variety of measures which are as follows:
1. Regulated markets organisation.
2. Minimum Support Price Policy
3. Development of cold storage, warehouses
4. Agriculture themed programs which were aired on radio and television
After all these initiatives, the system was successful in parts. Following are some of the obstacles that prevented a successful agricultural marketing system:
1. Farmers do not have a knowledge of market prices and market conditions that leads to sale of produce at a price lower than expected.
2. Insufficient storage spaces making farmers sell their produce at low rates
3. Lack of availability of transportation makes farmers unable to reach new markets
4. Large number of intermediaries are involved which reduces customer interaction and farmers get paid less
5. Farmers become easy targets of false weighing techniques
6. Lack of institutional credit forces farmers to borrow from moneylenders at high interest rate.