Agricultural Market Linkages and Income Security: A Comparative Assessment of Punjab and Rajasthan

Agricultural market linkages significantly determine farmers’ income security in India’s diverse agrarian landscape. This cross-state study compares the strength of market linkages and their influence on income security among farmers in Punjab and Rajasthan-two states with contrasting agricultural ecosystems.

A multistage sampling design was used to select 120 farmers (60 from each state). Component-wise indices for market access, information flow, storage and transport, price realization, digital connectivity and institutional linkages were developed using unit score standardization. Principal Component Analysis (PCA) was conducted to identify dominant components contributing to income security, while Garrett’s ranking technique was applied to determine key marketing constraints.

Results indicate that Punjab farmers possess comparatively stronger market linkages, primarily due to structured procurement networks and cooperative mechanisms, leading to higher income security. Rajasthan farmers show moderate to weak linkages due to dependence on intermediaries, price volatility and limited institutional support. The study proposes a dual-level intervention framework combining farmer capacity-building and market system reforms. Strengthened linkages, improved infrastructure and digital market integration can substantially enhance income security across both states.