Marketing costs, margins and price spread of wheat in Banaskantha district of Gujarat state

The present study aimed to examine and compute the marketing costs, margins and price spread of wheat and to analyse the movement of wheat prices and arrivals. It is based on data collected from 108 farmers selected from six randomly selected villages and 60 market functionaries in two market areas of Banaskantha district of Gujarat State. The percentage of marketable and marketed surplus increased with increase in size of holdings. The small farmers sold their produce more than marketable surplus either due to distress sale or due to failure of farmers in prediction on-farm requirement. Most of the farmers sold their produce in peak period i.e., April to July. They did not hold stock to lean period because lack of storage facilities and poor financial position of the farmers. Among all the channels, channel-I (Producer-Wholesaler-Retailer-Consumer) was found more efficient to the farmers, because of 94.79 per cent of the produce sold to this channel. Net price received by the grower was Rs.1115 per quintal, which accounted for 73.36 per cent producer's share in consumer's rupees.