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Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

Dec 25, 2015

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Page 1: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

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Page 2: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

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Introduction

The tomato (Solanum lycopersicum) is the second most important and

popular vegetable crop after potatoes in South Africa. It is not only cultivated

commercially but also commonly grown by subsistence, resource poor

farmers and home gardeners.

It contributed approximately 19% (excluding potatoes) to the gross value of

vegetable production .

Page 3: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

Perishable nature of produce.

Bulk and weight–cotton, fodders are bulky but light

in weight.

Storage facilities.

Weak or strong marketing agency.

Distance between producer and consumer.

Factors affecting marketing channel

Marketing Channel For Tomato

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Page 4: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

Direct Marketing Channel

PRODUCERPRODUCER CONSUMERCONSUMER

Local Marketing Channel

RETAILERRETAILERPRODUCERPRODUCER CONSUMERCONSUMER

DISTANCE SALE - Marketing Channel I

PRODUCERPRODUCER

CONSUMERCONSUMER

RETAILERRETAILER TRADER TRADER COMMISION AGENT

COMMISION AGENT

Marketing Channel For Tomato

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Page 5: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

Marketing Channel II

PRODUCERPRODUCER CONSUMERCONSUMERRETAILERRETAILERTRADER TRADER

Marketing Channel III

PRIMARY WHOLE SALERPRIMARY WHOLE SALER

SECONDARY WHOLE SALERSECONDARY WHOLE SALERPRODUCERPRODUCER

CONSUMERCONSUMER

RETAILERRETAILER

Marketing Channel IV

RURAL ASSEMBLERRURAL ASSEMBLERPRODUCERPRODUCER CONSUMERCONSUMERRETAILERRETAILER

Marketing Channel For Tomato

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Page 6: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

Contract Marketing Channel

PROCUREMENT AGENCYPROCUREMENT AGENCY RETAIL OUTLETRETAIL OUTLETPRODUCERPRODUCER CONSUMERCONSUMER

Some of the retail industries procure directly from farm field and seal it through own retail outlets.

It helps consumers to get fresh products and also quality commodities

Marketing Channel For Tomato

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Page 7: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

Marketing channel for processed tomato products

The demand for tomato processing usually arises from a need to preserve the product for cooking purposes (inclusion in stews, soups, curries etc) out of season or to add value for extra income. Traditionally, the most important methods used are concentration (to a paste or purée) and drying either fruit pieces or to a powder.These remain the most suitable processes for many people to use and form the bulk of this brief. It should be noted that high quality 'salad' tomatoes have the highest value when sold fresh and in good condition. These would not normally be used for processing, unless for home use to save excess at the height of the season. 

Processing Market Channel

CONTRACTING AGENCYCONTRACTING AGENCY

PROCESSING UNITPROCESSING UNIT

PROCESSED PRODUCTS (PICKLES,

SAUCE)

PROCESSED PRODUCTS (PICKLES,

SAUCE)

PRODUCERPRODUCER

RETAILERRETAILER CONSUMERCONSUMER

Marketing Channel For Tomato

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Page 8: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

Institutional Marketing Channel

FARMERS MARKET/ RITHU BAZARSFARMERS MARKET/ RITHU BAZARS CONSUMERCONSUMERPRODUCERPRODUCER

To facilitate direct contact between the farmers and public state government implemented farmers market scheme to without any interference of middlemen.

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Marketing Channel For Tomato

Page 9: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

Objectives of Farmers market

To facilitate direct contact between the farmers and public.

To provide fresh vegetables and fruits at reasonable price daily without any

interference of middlemen.

To provide correct measurement to the consumers.

To give full satisfaction to the farmers and public.

To aim for providing higher price than that of wholesale price to the farmers for

their vegetables and fruits.

To provide the fresh fruits and vegetables at the lesser price than that of retail

price to consumers. The Uzhavar Santhai also functions as a Technical

Information Centre to the farmers

Seeds and Other Inputs are also provided in some Uzhavar Sandhai.

Marketing Channel For Tomato

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Page 10: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

Photo Identity Card

Transport Facility

Allotment of stalls

Prices Fixation

Public Address System

consumers as well as farmers.

Supply of weighing scales

Facilities provided in farmer market

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Page 11: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

Marketing problems

Unfair price quotation

Low pricing was reported at peak supply periods that were not based on the actual supply and demand interaction but information collusion created by buying actors.The intermediaries used to decide on the price of products particularly onion products.The benefit of Wholesalers overweighs than others and they control the market chain.

Lack of standards

Repeated weight cheating and lack of price discrimination were common problem practiced by wholesaler and brokers’ Due to this problem there were no clear and well known quality and grade.

Marketing Channel For Tomato

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Page 12: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

Lack of strong cooperatives

Although there are many multipurpose, irrigation and one union cooperatives which were established to safeguard farmers’ and rights over their marketable produces, farmers were exposed to baseless traders, ultimately sell their produce at low price.

Marketing Channel For Tomato

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Page 13: Marketing Channel For Tomato NextEnd. PreviousNextEnd Introduction The tomato (Solanum lycopersicum) is the second most important and popular vegetable.

Let us Sum up

The tomato is the second most important and popular vegetable crop after

potatoes.

50% of the supply of fresh tomatoes especially small growers in the peak

season selling directly aim is to obtain the highest margin for their product.

The demand for tomato processing usually arises from a need to preserve the

product for cooking purposes out of season or to add value for extra income.

To facilitate direct contact between the farmers and public state government

implemented farmers market scheme to without any interference of middlemen.

Marketing Channel For Tomato

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