Tamil Nadu Agricultural University, Coimbatore-641003, Tamil Nadu
Online published on 5 December, 2018.
Marketing of perishable horticulture products presents more problems compared to other durable agricultural products. The present study explores the integration of vegetable markets in India. Few selected markets and the monthly average wholesale prices (in Rs/100 kg) of five vegetables have been analysed. The result of Pedroni test confirms that there was a long run equilibrium relationship between markets, the direction of relationship is studied using the Granger Causality tests. The results revealed that there exists bidirectional relationship among Bhopal- Ahmedabad market for vegetables- okra, chillies, tomato. One major challenge in India is seasonal spike in prices of perishables that pushes up food inflation. The market integration helps to reduce the loss of produce at the farm level itself, thereby increasing farmers’ income.