Marketing of betel leaves in Tumkur District, Karnataka-Economic analysis

Betel vine is a perennial climber grown mainly for its leaf. It is an important commercial crop in India. As most of the betel vine cultivators are small holders, marketing of betel leaf is a major problem. Price fluctuates violently and the solution to this is not yet a reality. It is true that efficient marketing system is of crucial importance for encouraging the growers. There was a significant difference observed in the total cost of marketing between the two selected talukas viz. Pavagada and Gubbi in Tumkur district. The marketing cost incurred per Pindi was high in Pavagada, the farmers got higher net price Rs.2413) than Gubbi taluka (Rs.1698). The price realized, as well as the cost incurred by the farmers in the distant market was high. But, net price realized was also high in distant market. Pavagada taluka farmers incurred higher marketing cost (Rs.160/P) than the Gubbi taluka farmers (Rs.83/P) which was mainly due to transportation cost and commission. Seasonality was observed in arrival and prices of betel-leaves in the market. Colour and season were the main factors influencing the price of the leaves.