Price-spread of Potato Marketing in the Post- APMC Era in Bihar: A Study from Muzaffarpur

Abstract

The cultivation of vegetables in a densely populated state like Bihar where approximately 97 percent of farmers have small holdings (less than two hectares), plays a crucial role in socio-economic development of that category of farmers. Cultivating vegetables on small holdings is more profitable as it utilises family labour effectively and ensures employment, income and nutrition security throughout the year (Ryan & Spencer, 2001; Singh et al, 2002; Mahapatra et al, 2017). It is very appealing to small and marginal farmers as it offers higher economic returns compared to traditional crops (Sidhu et al, 2009). In Bihar, vegetables are produced on nearly 12 percent of gross sown area. The growth of area and production of vegetables in the state has been encouraging due to support of government policy, fertile soil and diverse agro-climatic conditions. As of 2022-23, the state produced 163.43 lakh tonnes of vegetables, cultivated on 8.9 lakh hectares (Economic Survey of Bihar, 2023-24) whereas in 2005-06, the area was 4.96 lakh hectares and production 72.62 lakh tonnes (Economic Survey of Bihar, 201011). The major vegetables produced during 2020-21 to 2022-23 were potato (87.78 lakh tonnes), onion (13.21 lakh tonnes), brinjal (12.14 lakh tonnes), tomato (11.67 lakh tonnes), and cauliflower (11.01 lakh tonnes) whereas in 2008-09, potato (50.34 lakh tonnes), onion (9.47 lakh tonnes), brinjal (11.86 lakh tonnes), tomato (10.37 lakh tonnes), and cauliflower (10.44 lakh tonnes). The comparison of these data establishes that the area and production of the vegetables in the state is showing upward trend. However, the trend will sustain only if the vegetable growers get remunerative prices for their produces that will be possible only if the marketing system for the same is efficient.