Cooperative Marketing

02-SEP-2014 16:55

    Cooperative marketing is any agreement to coalesce marketing efforts, & therefore it can emerge in many forms. Complementary companies, and direct competitors, can generate efficient & equally advantageous supportive marketing campaigns.

    The advantages of cooperative marketing for farmers are diverse. Some of them are:

    1. Augments bargaining force of farmers
    2. Unswerving dealings with ultimate buyers
    3. Provision of credit

    The marketing cooperative societies offer credit to farmers to keep them away from the stipulation of selling their produce instantly after harvesting. This guarantees enhanced returns to farmers. 

    4. Easier & cheaper transport
    5. Storage facilities
    6. Grading and standardization
    7. Market intelligence
    8. Influencing market prices

    While formerly the market prices were determined by the merchants and intermediaries & the dependent farmers were mere spectators forced to believe whatever was presented to them, the cooperative societies have changed the complete complexion of the game.

    9. Provision of inputs and consumer goods

    The Cooperative marketing societies can effortlessly assemble for mass purchase of agricultural inputs like manures, seeds, pesticides, fertilizers, etc., & consumer goods at comparatively lower prices & can then allocate them to the members.

    10. Processing of agricultural produce

    The Cooperative societies can assume processing activities like ginning & pressing of cotton, crushing oil seeds, etc.

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