1Department of Agricultural Economics, University of Agricultural Sciences, GKVK, Bangalore-563 065, Karnataka, India
Department of Agricultural Marketing, Cooperation and Business Management, University of Agricultural Sciences, GKVK, Bangalore-563 065, Karnataka, India
*emails: syedrizwanahmed831kolar@gmail.com
Online published on 30 November, 2016.
Indian agriculture is said to be gambling with monsoon. Production of crops fluctuates between seasons depending on the uncertainty of monsoon and markets. The world area, production and productivity in terms of CAGR during reference period was 0.93, 3.70 and 1.80 per cent respectively. While in India it was-0.45, 0.80 and 1.10 per cent. Further in Karnataka state the CAGR was 1.19, 1.57, and 1.18 per cent and Kolar district CAGR indicates-7.10, 9.80, -2.30, per cent respectively. Thus implies that there is negative growth rate in Kolar district (Table1). This instability in area, production and productivity causes fluctuation in market supply. A fluctuating supply with more or less steady demand for goods, result in wide fluctuations in prices of agricultural commodities. During the reference period 2000–01 to 2012–13, the study analysed the area, production and productivity of paddy in Bangarpet taluk has continuously decreased at a growth rate of 0.94, 0.80, and-0.14 per cent respectively. The analysis shows decreasing trend. The quantity of market arrivals of paddy in APMC Bangarpet has increased at a growth rate of 41.6 per cent in which analysis shows increasing trend. However there is less production of paddy in Karnataka as deficit state particularly Bangarpet taluk of Kolar district. If interstate movement of paddy is allowed that brings about efficiency in processing as well as competition in the market, effecting reduction in price of the paddy. There by enhances high level of consumption and demand.
Instability in production, Demand and Supply