Evaluating the role of regulated markets in improving the marketing conditions for the farmers in Tamil Nadu

The study mainly focuses on assessing the present status of infrastructural facilities in regulated markets and examining the conditions for supporting better marketing practices to the farmers in Tamil Nadu state. The study was conducted at 12 districts’ market committees of Tamil Nadu covering all the regions of the state. From each district, ten markets were randomly selected. Five member and five non-member farmers in each of the districts were selected. A total sample of 500 farmers and 500 market intermediaries were surveyed for the study. The study revealed that the income of the majority of markets was largely arrived through Cess collected from the licensed traders. Of the selected markets, the average income per market was found to be higher at Madurai, Coimbatore, Villupuram and Ramanathapuram markets. On average about 55 to 200 no.of farmers per market per day were trading through regulated markets during lean and peak seasons respectively in the state. The average arrivals per market were found to be higher at Thanjavur, Virudhunagar, Villupuram, and Theni, markets. In Erode, Salem, Madurai and Theni markets value of commodities traded was more than the other markets. Thanjavur district markets provided more no.of pledge loans to the farmers. About 36.5 per cent of the sample farmers were in medium size category with 2-4 hectares of holdings and 32.31 per cent of respondents belong to small farmers with a size holding of 1-2 hectares trading through regulated markets . The difference in prices between regulated markets and other private mandis is found to be higher in coconut (25 per cent), ground nut (16.67 per cent) and gingelly (8.7 per cent) and paddy (8.57 per cent) . Transparency in price fixation , time saving, fair and better price realization, are the major benefits realized by farmers. Constraints in Regulated Market are inadequate staff members, poor infrastructure facilities- lack of adequate storage and drying yard facilities were observed, especially during peak seasons. Delay in sanctioning of pledge loans are the major constraints faced by sample farmers.