Marketing channels of raw cotton in Maharashtra

Agriculture is the backbone of the Indian economy. India is called agricultural country by its contribution. Nearly one third population of India depends on the agricultural sector directly and indirectly. The Green Revolution brought development in this sector by new varieties of crops, use of chemical fertilizers, advanced pesticides, modern irrigation systems and infrastructure facilities to make agriculture as a commercial activity. The infrastructure development such as means of transport and storage facilities motivated farmers to consider marketing as an integral part of agriculture activity. Farmers started producing those crops which fetch good prices in the market. There is an increase in awareness among farmers to invest enough to produce market demanding crops.

Cotton is one of the principal cash crops of India and plays animportant role in the economic growth of the country. India is the second largest producer of cotton in the world. The cotton cultivation sector engages large population of India directly and indirectly.. In India cotton is cultivated in three distinct agro-ecological zones. 1) North zone (Punjab, Haryana and Rajasthan), 2) Central zone (Madhya Pradesh, Maharashtra and Gujarat) and 3) South zone (Andhra Pradesh, Karnataka and Tamil Nadu). In India Maharashtra is the second largest producer of cotton. Cotton plays important role in socio economic development of the state population. The cotton producing regions of Maharashtra are 1) Vidarbha region2)Marathwada region 3) Khandesh region 4) Deccan Canal area. Khandesh is the second largest producer of cotton in Maharashtra. In Maharashtra raw cotton production was sold through Government Marketing Channels (Agencies) and Private Marketing Channels (Agencies).

The present research was conducted in Khandesh Region of Maharashtra to study the marketing channels selection of cotton growing farmers and which various factors forced them to select the specific marketing channel for their raw cotton production. The study was concentrated on which marketing channel was selected by maximum cotton growing farmers of Khandesh Region and is this selection associated with their income level.

The cotton growing farmers of Khandesh Region selected Private Traders as a Marketing Channels to sale their raw cotton production. In marketing channel selection Immediate Payment is the most considered factor by cotton growing farmers of Khandesh Region. The selection of Private Traders as a Marketing Channel is associated with the income level of Cotton Growing Farmers of Khandesh Region.