Identifying and Analysing Constraints in the Branded Rice Market: A Comprehensive Study of Stakeholders in Kerala, India

Abstract

The study assessed the various constraints faced by the stakeholders in branded rice market in Kerala. These stakeholders include farmers, exporters, non-exporting private rice manufacturers, co-operative society, wholesalers, retailers and consumers. By examining the constraints across the branded rice market from production to consumption, the study aimed to identify the critical issues like, production constraints, procurement constraints, marketing constraints, institutional constraints export constraint and financial constraints. A sample of 30 farmers and one agent, five exporters and 10 non-exporters 20 wholesalers and 30 retailers and 120 consumers from Ernakulam and Palakkad districts were selected for the study. The study identified the major problems faced by the stakeholders of branded rice market by using Garret’s ranking method. Farmers were facing difficulties in rice production due to high input costs, high labour costs and untimely availability of water. Delay in procurement from SUPPLYCO and adequate facilities for drying and cleaning compel them to sell their produce in the open market. There was a communication gap between institutions and farmers. Lack of transportation facilities, high maintenance cost of machinery and financial difficulties were the major constraints faced by PADDICO. High transportation cost, high international trade barriers and price volatility were the major constraints faced by private manufacturers of branded rice. Heavy documentation & procedures was the major constraint faced by exporters. Lack of demand of branded rice was the major constraint faced by resellers. High price was the major constraint faced by the consumers. The high cost of production faced by farmers can be reduced by improved mechanisation in the rice cultivation. The study also recommended the suggestions for the constraints of other market stakeholders of branded rice market.