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contact@cosamb.org
ABOUT COSAMB
Marketing of agricultural produce is gaining importance all across the world in general and developing world in particular. Agricultural marketing policy in India has been characterized by State participation in production activities; state intervention in procurement and distribution of food grains; directing agricultural economy through regulatory mechanism such as licensing and control on movement, storage; creation of facilitating centers in the form of regulated markets; encouraging co-operative marketing; creation of supporting infrastructure like storage and warehousing; and construction of link roads, market information network, marketing extension, etc. Over the years, to achieve an efficient system of buying, selling, storage and processing of agricultural commodities most of the State Governments enacted Legislations (Agricultural Produce Marketing (Regulation & Development) Act’s to provide the regulation for marketing and establishment of infrastructure for agricultural produce. The establishment of regulated wholesale markets has helped in creating orderly and transparent market conditions and also in increasing the access of farmers to such orderly markets.
The government of India supports organized marketing and as such physical markets are meant to make sure that the farmers get reasonable profits by creating an atmosphere of fair play. The fairness is with regard to the forces of supply and demand as well as regulation of market practices and transparency in transactions. Wholesale market is a unique place for buying, selling and value addition for food grains and fruits and vegetables, which are centrally located in cities. This is the place where genuine price of farmer’s produce is determined and exchange of goods with services take place. The main function of wholesale market is to facilitate the break up of the large quantities of perishables supplied to the city into assortments, which meet the requirements of different retailers and end users. But apart from this a wholesale market can itself be an integrated business center for various other commercial activities.
Currently, there are more than 7,000 such markets in the country. Most of these regulated markets are wholesale markets. Other than these markets are 27738 rural periodical markets of which 15% function under the ambit of regulation. The rest 85% are managed by local self government institutions or government departments.
Whereas the different institutions have been promoted for undertaking marketing functions on behalf of the farmers structure consisting of :
- Directorate of marketing and inspection
- National Institute of Agricultural Marketing
- National council of state agricultural marketing boards
- State agricultural marketing boards
- Agricultural produce marketing committees
Role of such institutions in promotion of agricultural marketing has been and well recognized in India since independence. The state agricultural marketing boards under the control of provincial Governments are implementing respective schemes and programmes for development of market infrastructure including wholesale markets. The National level autonomous body acting as association of State Agricultural Marketing Boards, popularly known as COSAMB (National Council of State Agricultural Marketing Boards) is actively engaged in coordinating activities and mutual sharing of meaningful information between member Boards. It has the mandate of coordination with international agencies, inviting technologies and systems for improving agricultural marketing in the country.
Now we are on threshold of re defining our roles and restructuring ourselves to meet the fast changing dynamics of agri business world and the rising expectation of the modern farming practices. Today we seek to help our farmer to get maximum benefit by providing latest market information in prices and particularly trade practices. It is the need of the day to respond to the changing trends in agriculture at global level.
COSAMB/SAMB’s lay focus on bringing professionalism in management of wholesale markets and encouraging investments in the sector. The focus in recent times has been on improvement of modern marketing infrastructure in general and modern wholesale market yards including terminal markets in particular. Recently, the Government of India has opened up this sector de-monopolizing the Government owned agencies and inviting private investment in development and owning of wholesale markets. The COSAMB/SAMB’s has been playing catalytic role to achieve this endeavor. As per recent reforms brought in by Government of India, the role of State Marketing Board has been envisaged as “Regulator” instead of an enforcement agency. This would provide a level playing field for private and government investment. In such circumstances, the role of COSAMB would be evolved much more at the National level to coordinate between various agencies in the interest of member Boards. The National status of COSAMB is now well recognized and member states are taking part in day to day activities more aggressively.
National Council of State Agricultural Marketing Boards (COSAMB),established in 1988.
OUR INTRODUCTION
The agricultural situation in India has undergone a rapid change after independence. Investment in the agricultural sector both public and private, has risen with the result that agricultural production at national level has achieved a better growth rate as compared with other developed countries. Now-a-days there is primarily a need to accelerate the growth rate and minimize the fluctuations in agricultural production. The production is responsive to process being offered for agricultural produce and availability of inputs and machinery in the open market. On the other hand consumers also have a right to expect availability of goods at reasonable prices and as per their choice. For achieving these apparently conflicting objective, agricultural marketing system plays pivotal role. To satisfy the production requirements as well as consumer needs and satisfaction, the role of various sections of society farmers, labourers, traders, consumers, processors, researchers, sociologists, administrators, planners affects the system and structure. Hence the marketing in agricultural sector need to be given a major thrust and be taken as top priority on the nation’s agenda. It is not very difficult to produce a commodity, much more difficult is to market it satisfactorily, so as to ensure that the farmers long labour is compensated properly (remunerative prices and timely payments).
An efficient marketing system is that which minimizes the costs (especially of handling), provides quality product and satisfies the consumer requirements which keep on changing from time to time. This can be best achieved when the middle functionaries between producer and consumer are reduced. In these days, the availability of quality and variety produce in the market and reduction of handing costs be given a major thrust, otherwise, one cannot compete at international level, resulting in collapse of agricultural system at any movement.
The marketing of agricultural produce is a big challenge these days for the economic viability of the farmers due to the era of liberalization. In this sector, providing basic infrastructure for wholesale and retail markets is the major challenge besides motivating farmers to produce more with quality as well ensuring them for remunerative prices of their produces. The Governments at the State level intervened actively to frame and amend suitably agricultural marketing Laws for creating a self-sustaining system for the marketing of agricultural produce by which sale and purchase of agricultural produce is to be regulated and the required marketing infrastructure are to be provided.
OUR PURPOSE
National Council of State Agricultural Marketing Boards (COSAMB), a forum at national level, to co-ordinate among all the State Agricultural Marketing Boards/Departments for efficient agricultural marketing system in the country was established in 1988 with the following objectives as provided in the regulations of COSAMB.
REGULATIONS OF COSAMB
- To form a national level body and provide common forum to all the member State Agricultural Marketing Boards and Departments of Agriculture to discuss the problems and issues relating to development of Agricultural Marketing.
- To co-ordinate with the various departments and organizations of Government of India and State Governments, in the interest of members, producers, traders and consumers and also to encourage healthy growth of a agricultural marketing system.
- To promote national and international exchange of information on agricultural marketing system and modern infrastructure for improving efficiency in the field of agricultural marketing, its organizational structure and administration.
- To advice and guide for the business challenges of wholesale and retail markets, as well as agriculture production markets or markets at point of origin.
- To exchange experience, skills, knowledge and expertise between members for the overall improvements in the agricultural marketing system and infrastructure required thereof.
- To bring about uniformity in the system of agricultural marketing all over the country aiming at uniform adoption of the best of the proven practice picked up form various regions of the country, where a particular system or technology finds favor for adoption in other areas.
- To organize seminars, workshops and exhibitions in order to analyze problems in the system of agricultural marketing and to provide new vision to promoters of agricultural marketing infrastructure.
- To organize interstate visit of members, producers, traders and officials of the Boards and departments in order to encourage exchange of ideas and sharing of experiences for improvement in agricultural marketing and also general interest.
- To undertake professional, technical, managerial and infrastructural consultancy services for the benefits of members.
- To undertake studies, surveys, seminars, workshops and other research projects in India or abroad to improve the economic efficiency and mobilize resources, disseminate information and distribute material for the benefit of the members.
- To coordinate with other similar bodies, institutions and associations in India and abroad with area of common interest for furthering the cause of agricultural marketing by way of mutual affiliation.
- To seek representation of the association and individual members in various committees, bodies, delegation, teams etc. set up by the Central Government or State Governments or other public bodies on the subjects or projects where Agricultural Marketing has to play a role in the economic growth.
- To establish contact and relation with farmer organizations, trade organizations, chambers of commerce or any other related organizations in India and abroad to avail the opportunities to sponsor study teams or individual officials or non-officials functionaries of the Agricultural Marketing Boards or other institutions related there with in India or abroad to educate them and broaden their vision.
- To generate further information in the course of achieving the above objectives and to find other areas of service which may be useful for promoting the cause of streamlining the working and system of Agricultural Marketing.
- To setup a common library(s) in order to mobilize the best of books and updated literature for the benefit of members.
- To setup common laboratories for grading, standardization, packing and processing of different agricultural produce helping the farmers of agriculture to sell the produce in a better way.
- To guide and assist the agricultural marketing functionaries to pack and sell the produce in a way that the producers should fetch the competitive price of the produce he sold and the consumers get the best produce for which he has paid.
- To help the producers, traders to sell the produce in the consumable and hygienic packs to upkeep the health of consumers.
- To guide for the alternative marketing channels, processing techniques to enhance the economic efficiency in the agricultural marketing sector.
- To advice the farmer organizations to adopt the economic subsidiary occupation related with agricultural and allied activities to use the lean period to earn higher income in order to increase the economic growth of farmers.
- Any other area related with agricultural marketing system and infrastructure required for significant economic efficiency in the agricultural sector.
- To work for National and International integration and unity and to work for social welfare of world community without discrimination of nation, religion, caste, colour or creed and create awareness for hygienic living through campaigns for epidemic, vaccination and other projects initiative/ recommended by UNICEF and WHO etc. to create and help blood bank, eye donation campaigns and National blindness eradication programes.
- To work upon health and family welfare, nutrition, mother and child welfare projects and to organize camps and open dispensaries based on ayurvedic homeopathic, unani and acupressure treatment.
- To make programes for awarding, prizes, stipends, scholarship, fellowships and other forms of assistance to create healthy and hygienic competition in agricultural markets and encourage like minded bodies and members to start similar programes.
- To provide help to members that farmers to work for organic farming under new agricultural policy, increase productivity by utilizing rural resources e.g. land, labour, catlle, vegetarian, forest land, fishery, horticulture, dairy farming, sericulture etc. and provide help for development of wastelands, wetlands, mangroves, barren lands and steps for the restoration of ecologically degraded areas and to help find ways to use waste water and to develop water and soil conservation and develop social gardens, agriculture and kitchens gardens.
- To receive and collect subscription, contribution and donations either in cash or acquire by any other lawful ways and means and spend the same for fulfillment of all or any of its purposes and objects.
- The income and the property shall be applied solely for promotion of its purposes and objects provided if any donor intends that the contribution or donation shall be used to attain any particular object of the society.
- To acquire, purchase, sell, lease, hire and hold any immovable or movable property. The title or right or privilege that may be deemed necessary or useful for the achievements of its purposes and objects shall vest with the society.
- All the income, earning, movable and immovable property shall be solely utilized and applied towards the promotion and achievement of its purposes and objects only as said forth in the memorandum of association.
- All the income, earning, movable and immovable property shall be solely utilized and applied towards the promotion and achievement of its purposes and objects only as said forth in the memorandum of association.
- No member shall have any personal claim on any movable or immovable property or on profits whatsoever by virtue of membership.
Regulated Markets
The regulation for the sale and purchase of agricultural marketing had been taken as an important task after the independence. Prior to the independence a few number regulated markets were established. The productivity is increased significantly with the optimum use of resources and adoption of technology which ultimately forced to develop the infrastructure to cop up with the increased market surplus. Prior to 1939, there were only 57 regulated markets, later on witht eh passage of time and also due to increased surpluses, the number of regulated market increased to 1777 in 1974 and 7566 in the year of 2006.
Prior to 1939
End of 1940
Prior to 1950
March,1961
March,1974
March,1985
March,1990
March,2000
March, 2005
March, 2006
*Represents only principal markets. Source: D.M.I. Faridabad.
The different States in the country have developed 2429 principal market yards and 5137 sub market yards. The maximum market yards are 890 in the State of Andhra Pradesh, followed by 684 in West Bengal, 585 in Uttar Pradesh, 495 in Karnataka, 489 in Madhya Pradesh and so on. The state-wise details of these yards is provided in Annexure II.
These regulated markets established under the Laws of respective State covers different areas as shown in the table at annexure III. But it seems that still there is requirement of markets to be established at some places. The minimum area covered is in Pondicherry, followed by Chandigarh, Delhi, Punjab, West Bengal and so on. In the State of Punjab, Haryana, Jharkhand, Andhra Pradesh each market serves the population of 55582, 74236, 84092, 85183 respectively. The rest of the States serves a large number of population as shown in the table attached at Annexure III.
Click here to View / Download Annexure III
In the present era of liberalization, the agricultural marketing Laws must be liberalized to create an opportunity for the alternative marketing channels for selling the agricultural produce to the produces. Private companies, co-operatives or any legal entity be allowed to establish and operate the agricultural marketing infrastructure and supporting services as a competitive measures with the markets established by APMCs. Direct purchase of agricultural produce from the farmers field by individuals as well as companies, societies, co-operatives be encouraged to reduce the number of intermediaries thereby providing opportunity in increasing the share of farmer in consumer rupee. Producer or Consumer markets be established for the direct sale to the processors or consumers. Contract farming be popularized for the assured sale at the predetermined price before sowing. Specialized market yards for special commodities also be developed to provide a commodity specific modern market infrastructure for the particular crops grown in a particular area. Public-Private participation for establishment and management of markets for agricultural produce to encourage the private investment and professionalism in agricultural marketing including post harvest handling of agricultural produce and encouraging value addition to share the burden and provide healthy competition with APMC’s. e-market, e-marketing, and e-trading for speedy and distance transactions also be established. Market Stabalization fund be created at State level to safeguard the interests of the producers in the wake of sudden and anticipated fall in the prices of agricultural produce. Marketing extension cell be established for market driven extension service to farmers to adopt the improved practices of marketing to fetch the better price. Agricultural Produce Marketing Standards Bureau also be set up for grading, standardization and quality certifications of all the agricultural produce. The producer be helped and provided all technologies to produce hygienic and provided all better qualities for export to other countries to fetch better prices. The States must initiate the steps for farmers organizations to produce in collective manner for reduction in the production costs by pooling the resources, assemble produce at one point to sell in bulk to the main buyer on spot payment and also to use the free time for other earning activities created by those farmer organizations. The other areas related to agriculture and horticulture as such animal husbandry and products of live stocks, forestry, apiculture and sericulture also be well equipped and provided a suitable platform to increase the farm income as a subsidiary occupation.