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Smallholder Dairy Farmers’ Access to Modern Milk Marketing Chains in India

Author

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  • Kumar, Anjani
  • Staal, Steven J.
  • Singh, Dhiraj Kumar

Abstract

The smallholder dairy farmers’ access to modern milk marketing chain has been assessed in India by collecting data at the farm level in two states, viz. Bihar and Punjab. These states are among the largest milk producing states of the country but depict stark variations in terms of milk productivity and per capita milk availability. Another significant feature is the emergences of modern milk marketing chains in both the states. The study has shown that in spite of the growing presence of modern milk supply chains, the traditional milk supply chain is still dominant in the Indian milk market. Its presence is even more pronounced in less-developed states like Bihar. However, the traditional milk supply chain is being replaced, albeit slowly, with the commercialization of dairying. The structure of the milk marketing in Punjab has depicted this conclusion. The study has concluded that the modern milk supply chain seems to have an inclusive structure and the resource-poor dairy farmers are not excluded from the modern milk supply chain. The study has argued that the traceability and food safety issues will further strengthen the modern milk supply chain. The scalability of the modern milk supply chain will depend on the development of milk collection and transportation facilities and incentive pricing for a quality produce.

Suggested Citation

  • Kumar, Anjani & Staal, Steven J. & Singh, Dhiraj Kumar, 2011. "Smallholder Dairy Farmers’ Access to Modern Milk Marketing Chains in India," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 24(2).
  • Handle: RePEc:ags:aerrae:118232
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    File URL: http://purl.umn.edu/118232
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    References listed on IDEAS

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    1. Birthal, Pratap S. & Joshi, P. K. & Gulati, Ashok, 2005. "Vertical coordination in high-value commodities," MTID discussion papers 85, International Food Policy Research Institute (IFPRI).
    2. Birthal, Pratap S., 2008. "Linking Smallholder Livestock Producers to Markets: Issues and Approaches," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 63(1).
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    Cited by:

    1. Kumar, Anjani & Saroj, Sunil & Takeshima, Hiroyuki & Joshi, Pramod Kumar, 2018. "Does cooperative membership improve household welfare? Evidence from a panel data analysis of smallholder dairy farmers in Bihar, India:," IFPRI discussion papers 1703, International Food Policy Research Institute (IFPRI).
    2. Jan Fałkowski & Agata Malak-Rawlikowska & Dominika Milczarek-Andrzejewska, 2013. "Determinants and Consequences of Participating in a Restructured Supply Chain: the Experience of the Dairy Sector in Poland," Ekonomia journal, Faculty of Economic Sciences, University of Warsaw, vol. 34.
    3. Kumar, Anjani & Shinoj, P. & Jee, Shiv, 2013. "Do Dairy Co-operatives Enhance Milk Production, Productivity and Quality? Evidences from the Indo-Gangetic Plain of India," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 68(3).
    4. repec:eee:jfpoli:v:75:y:2018:i:c:p:24-36 is not listed on IDEAS

    More about this item

    Keywords

    Milk marketing chain; Smallholders; Dairy farmers; Modern milk marketing chain; Bihar; Punjab; Agricultural and Food Policy; Q12; Q13;

    JEL classification:

    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness

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