this is my M.Sc seminar topic, department of agricultural extension, UAS, bangalore

1. Welcome
TO
SECOND SEMINAR
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2. SEMINAR TOPIC
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3. INTRODUCTION
 During last 50 years emphasis was given on
PRODUCTION-LED EXTENSION (PLE)
 India become self reliant on food production.
 But the farmers at individual level are not realizing
remunerative prices for their produce
 They prone to sell their produce “AS IS WHERE” basis.
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4.  Globalization of the market demanded for paradigm shift
i.e. from production to market led production.
 There are different changes took place at global level
which stress the need for opting market-led extension in
a large scale
 Globalization/Economic liberalization
 Changed consumer preference
 Revolution in ICT
 New trade opportunities within and outside the country
 Export opportunities
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5. To meet these
challenges........
 Farmers need to transform themselves from mere
producers-sellers in the domestic market to producers
cum sellers in a wider market.
To achieve this, The questions confronting the farmers are
What to produce ?
When to produce ?
How much to produce?
When and where to sell ?
At what price to sell?
In what form to sell?
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6. NEED FOR EXTENSION
Conversion of P-L-E into M-L-E
Orientation of extension system with knowledge and skills
related to the market.
Minimization of production cost.
Introduction of export oriented product.
Modernization of wholesale markets or new markets with
new Agricultural policy.
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7. Need of market led extension in India
 90% of effort is Production oriented
 Only 10% on Marketing/Post harvest phases
 Single intervention that can enhance income by 20-
30%
 Farmer share in consumer price is 25-30%
source : Ministry of Agriculture, Government of India, 2001 ( Draft )

8. OBJECTIVES OF SEMINAR
• To understand the concept of Market-Led extension
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• To understand the objectives of Market-Led extension.
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• To study the evolution of Market-Led extension
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• To review the case studies related to Market-Led extension.
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9. Market-led Extension
Kaleel, 2007
Market led Extension is the market ward orientation
of agriculture through extension includes agriculture &
economics is the perfect blend for reaching at the door
steps of farming community with the help of appropriate
technology.
Market-led
Identification of customer needs and wants before
offering a service
(Text book )Market-Led Extension-Dimensions and Tools 9

10. Need of crisis in extension
1. Knowledge input crisis
2. Efficacy crisis
3. Credibility crisis
4. Reorganization crisis
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11. Superiority of latter over the former
ASPECTS PLE MLE
1. Purpose Transfer of Technology Optimum returns out of the
Investment
2. Expected results Adoption of POP High returns to investment
3. Famer viewed Producer Agripreneur
4. Focus Seed to Seed Rupee to Rupee
5. Linkages R-E-F R-E-F extended by market
linkages
6. Importance of Not important Important
maintaining
record
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12. Dimensions of market-led extension
 Marketing mix
 Marketing plan
 Market oriented production
 Market Intelligence
 Use of Technology
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13. MARKETING MIX FOR AGRICULTURE
PLACE
PRODUCT
PRICE
MARKETING
MIX
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14. MARKETING PLAN FOR AGRICULTURE
PROFIT
TARGET
MARKETING
PLAN
PRODUCTION MARKET
PLANNING PRICES
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15. OBJECTIVES OF MARKET LED EXTENSION.
 Conversion of Agriculture sector into profit oriented
business
 Strengthening R-E-F linkages – between various
departments at various levels.
 Strengthening market linkages to farmers – IT
application in Agricultural marketing.
 Wider use of electronic mass media for Agricultural
Extension.
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16. Conversion of Agriculture sector into profit
oriented business
 Private trade is 80% marketed surplus
 Direct marketing “farmer – consumer “ is negligible
 Due to lack of proper handling at farm gate lead to 30 %
F&V, 7% grains, 10% spices loss before reaching market
 Rs 50,000 crores /year lost due to poor marketing chain
source : Ministry of Agriculture, Government of India, 2001 ( Draft ) 16

17. PRODUCER SHARE IN AGRICULTURE
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18. F u n c t i o n o f MLE for converting Agriculture
sector into profit oriented business
 Market intelligence
 Financing
 Facilitating Functions
Grading
Standardization
Processing
Storage of farm produce
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19. Market intelligence
The process of collecting, interpreting, and
disseminating information relevant to marketing
decisions is known as market intelligence
Why we need MI in agriculture
 Reduce the level of risk in decision-making
 Seller finds out what the customer needs and wants
 What products are right for the market
 What will be the price
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20. Need of IT application in Extension
 Over 50% of farmers do not have access to extension
information.
 44% have some access.
22% has access through media
(Radio 13% and TV 9%).
 Lack of information hinders transfer of technology.
 Only 40% of the Indian farmers are reached by extension
service providers.
Source: National Sample Survey Organization (NSSO) , 2005/7 20

21. Sources of marketing
information
 Notice boards of APMCs
 News paper
 Magazine
 Periodicals
 Special bulletins
 Post
 Radio
 Television
 Telephone
 Telegram
 Fax
 Email
 Website
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22. Websites for market information
1. Agrisurf
Market
2. NETVET informatio
n
3. Agriwatch
4. Commodity India
5. Agfind
6. Agmarknet
7. Hortiindia
8. APEDA
9. NCDEX
10. e- CHOUPAL
11. Commodity Board
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23. Required information to extension
system and farmers
Suitability of land to various crops/enterprises
Crops in demand in near future
Market prices of crops
Availability of inputs
Credit facilities
Desired qualities of the products by consumers
Market price differences
Production technologies
WTO regulations
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24. Role of Electronic mass media in MLE
 Capacity building through programs
 Telecast of success stories of farmers
 Capacity building program for professionals of private
TV channels and print media organize
 Community radio stations in villages linking KVKs
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25. Role of extension personnel in light of
MLE
1. Doing SWOT analysis.
2. Organization of Farmer Interest Group(FIG).
3. Enhancing the Capabilities of local established groups.
4. Enhancing the communication skills of farmers.
5. Establishing market linkages between farmers groups,
markets and processors.
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26. Role of extension personnel in light of
MLE
6. Helping in production and marketing plan.
7. Educating farmers to establish agriculture as enterprise
8. Educating farmers about direct marketing
9. Capacity building of FIGs
10. Expose the farmers to acquire complete market
intelligence.
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27. EVOLUTION OF CONCEPT OF
MARKET LED EXTENSION
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28. EVOLUTION OF CONCEPT OF MARKET
LED EXTENSION
The transition from Legiitimizer-led extension to
Market-Led extension is quiet eventful in the country
Legitimiser–led extension
State-led extension
Farmer/Group-Led extension
Market-led extension
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29. Legitimiser–led extension (before independence)
Focussed mainly on rural development
Some of the attempts include
 Scheme of Rural reconstruction- Daniel Hamilton -
1903
 Sevagram attempt – Mahatma Gandhiji -
1920
 Shriniketan - Rabindranath Tagore -
1921
 Marthandam project - Spencer Hatch -
1921
 Etawah pilot project - Albert Mayor -
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30. State-led extension (after independence)
Central and State governments took responsibility
 Grow more food campaign................................... 1947
 Community Development Programme.............. 1952
 National Extension Service...................................
1953
 Intensive Agriculture Development Programme....1965
 Intensive Agriculture Area Programme............... 1965
 High Yielding Varieties Programme.......................
1967
 Drought Prone Area Programme......................... 1971
 Broad based extension programme...................... 1991
 Agriculture Technology Management Agency..... 2000
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31. Farmer /Group-led extension
Reasons for emergence of location specific Group-led
extension
 Disenchantment with government officials dominance
 Executive led institutional set up
 Unsustainability of public fund
 Executive led extension programme
Examples.
 Cooperative farming
 Self Help Group
 Mahila Mandal
 Farmer Field Schools
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32. Market-led extension
 Started in Kerala in the year 1993
 As an experiment by combining SHGs and market oriented
production.
 The GOI in collaboration with MANAGE Hyderabad as
successfully pilot tested MLE with ATMA in 7 states and 28
districts
Some of the developments are
 FIACs
 AEZ,
 FIGS
 Collective marketing
 AGMARKNET
 Rythu Bazaars (Rythara Santhe)
 RKVY
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33. 33

34. Case study I. Market-led Extension, an
Experience with Rubber board in India
 The companies were importing rubber from other
countries due to high quality and low price
 Local producers were in trouble
 Factories was operating at low capacity utilization
Capacity was 40 tonnes/day
Were operating at 10 tonnes/day
KRISHNA KUMAR, A.K., 2004, Market-Led Extension-An experience with Rubber Board, Paper
Presented in work shop on Market-Led extension, MANAGE, Hyderabad, 1-21 December.2004 34

35. To tackle this situation,,,,,,,,,,,,,,
 Established Rubber Producer Societies (RPS)
 Linking gross root level organization like SHGs to
processing factories
 Trained the producers on producing high quality rubber
 Created infrastructure facility.
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36. Result....................
 Productivity increased Upto 40%
 70% of rubber is processing now
 20-30% increase in farmer income
 Farmers realizing 90% of terminal market price
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37. Case study 2. Market-led extension
strategies for promoting vegetable
cultivation in Uttarkhand
PROBLEM
 Low price for produce
 Marketing was uncertain
STRATEGY
 The local government modified the extension strategy.
 Provided information regarding marketing.
 Trained farmers regarding marketing.
SHAILESH KUMAR., AND SHARMA, G., 2007, Market-Led Extension strategies for Promoting
Vegetable cultivation in Uttarkhand, Agricultural Extension Review 3(1&2):137-139 37

38. OUTCOME
Area (000 ha), Production(000 mt), Productivity (t/ha) of
vegetables
1992- 1993- 1994- 199- 199- 199- 1998- %
93 94 95 96 97 98 99 CHANGE
AREA 79.59 84.00 86.50 88.09 88.90 91.03 91.50 60.36
PRODUCTION 687.0 717.6 774.4 790.5 807.8 792.2 840.2 36.12
PRODUCTIVI-
-TY 10.82 8.63 8.55 8.95 8.97 9.00 9.19 -15.15
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39. Case study 3.Market-led partnership -
FIGs and Chitoor Poultry Association.
 Groundnut is the main crop in Chitoor
 ATMA made diversification of the farmers into maize
cultivation.
 Poultry association and FIGs were linked with buyback
arrangements.
 ATMA conducted 22 awareness camps and 6 exposure
visits to Karnataka.
 Poultry association provided 2 MT of poultry manure to
networked farmers free of cost.
CHARYULU, A.S., 2007, Private-Public relation in Market-Led extension: Case studies. Academic
Publication, National Institute of Agricultural Extension Management, Hyderabad 39

40. Result................
 Crop diversification.
 Area expanded to 1150 hectares from 60 hectares.
 The average income from maize was raised to 20000 rupees
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41. CONCLUSION
The focus of the extension functionaries need to
be extended beyond production. Farmers should be
sensitized on various aspects on quality, consumer’s
preference, market intelligence, processing and value
addition and other marketing information. This
would certainly promote and motivates farming
community towards profitable agriculture.
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42. The world has changed..
So as We..
Then Why not ..
agriculture..??
THANK YOU 42

44. FIG
 A group of small and marginal farmers combined
together as a producer group in order to reduce the
production cost, better adoption of technology,
marketing of the produce
Examples
 Nasik for Grapes
 Nagpur for Mandarins
 Kullu for Apple
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45. MARKETED SURPLUS
Marketed surplus =Marketable Surplus - Household
Consumption
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46. SWOT of marketing
Strengths = Demand of products, High Marketability, Good priced
markets
Weakness = Low demand products. Less marketability areas,
less priced markets.
Opportunities = Export opportunities, Appropriate time of selling
Threats = imports, Perishability of products
Home
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47. Increasing Farmers Income
 90% of effort is Production oriented
 Only 10% on Marketing/Post harvest
phases
 Single intervention that can enhance
income by 20-30%
source : Ministry of Agriculture, Government of India, 2001 ( Draft )

48.  Efficacy
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