Cooperative is an important tool of economic development in rural India, when it comes to cooperative marketing in India, it gives an idea of collective efforts to achieve specific objective to carry out marketing strategy for agricultural products. The cooperative marketing arises due to the prevalence of many defects in the private and open marketing system. This concept was first introduced in the European countries. It is defined as form of organization, where in person voluntarily associate together as human beings, on the basis of equality for the promotion if economic interests of themselves.
Benefits of cooperative marketing in India:
The advantages that cooperative marketing can confer on the farmer are multifarious, some of which are listed below:
Progress of Cooperative Marketing in India
Two types of cooperative marketing structures are found in India. Under the first type, there is a two-tier system with primary societies at the base and the State society at the apex. Under the second type, there is a three- tier system with primary societies at the village level, Central marketing societies at the district level, and the State marketing society at the apex.
At present, the cooperative marketing structure comprises 2,633 general purpose primary cooperative marketing societies at the Mandi level, covering all the important mandies in the country, 3,290 specialised primary marketing societies for oilseeds, etc., 172 district Central Federations and the National Agricultural Cooperative Marketing Federation of India Ltd., (NAFED) at the national level. NAFED is the apex cooperative marketing organisation dealing in procurement, distribution, export and import of selected agricultural commodities.
Conclusion: It can be concluded that cooperative marketing is very essential in promoting the Agriculture produce because cooperative marketing reduces the cost of marketing and arranges good price to the participants of cooperative marketing.
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