This slide was prepared after studying local market ( lionschowk sabji mandi ) located at the heart of narayanghat, Nepal. Viewers can get quick information about market channel, price spread, marketing efficiency and about market forces of Nepal's market after glancing this slide

1. THE PRESENTATION ON MARKET
STUDY.
prepared by Nisha Paneru

2. INTRODUCTION
 Market is too complex and dynamic to search in web
and to study in theories
 Market is the particular place where different
commodities are bought and sold in a single place and
within which the forces of demand and the supply
coverage to establish single price
 Agricultural marketing deals with the transaction of
agricultural products
 It is too complex as agricultural prices are subjected to
considerable fluctuation and uncertainties even in few
instances
 In today’s world, Agricultural marketing is must for
eliminating hunger, food insecurity and malnutrition

3. OBJECTIVES
 To study about the market forces or price
determining forces i.e. demand and supply of
different agricultural commodities
 To know about the marketing channel that exists for
different agricultural commodities
 To be acquainted with pricing trends, price fixing
mechanism and Price spread of agricultural goods
 To be familiar with marketing strategy and market
structure exist in our locality

4. BACKGROUND OF THE STUDY AREA
 District: Chitwan
 Location : lionschowk Shabji mandi, lionschowk and
Bhatbhateni Super Market
 Shabji mandi was established 35 years back and is
running under metropolitan city of Bharatpur
 This market was taken under study because of
- agricultural commodities are transacted in the
large scale
- large amount of market intermediaries
- large number of customer follow up
- proximity to reach for us

5. METHODOLOGY
 We were assigned to study about the market by Asst.
prof Ankit koirala
 Thus, we in the group of seven went to lionschowk
Shabji mandi for detailed study as far as our
objectives
 There we interviewed with many market
intermediaries, one of the member of “ fruit and
vegetable association” and retailer of bhatbhateni
super market
 We tried to cover many diversified individual as
possible

6. FINDING
A. FRUIT AND VEGETABLE ASSOCIATION
 This organization was established 30 years back in
motive of management of the stalls
 There are about 150-200 stalls
 In the late 4 months 4200 tons of vegetables were
transacted which is equivalent to 16 crore rupees
 Vegetables of this mandi are mostly exported to
Gorkha, Tanahun, Lamjung, Makwanpur, Dhading,
Nawalparasi and imported mostly from India, Palung .

8. B. MAA DURGA FRUIT CENTRE
• On season as well as offseason fruits are sold
• It is commission cum wholesales shop
• Nowadays orange, grapes, sweet orange,
pomegranate are mostly transacted
• About 70% of fruit in this shop are imported from India
( Nasik, Kashmir )
• Fruits arrived there by road, its takes about
- 3 days from Nasik ( grapes, anar )
- 8 days from Kashmir ( apple)
• No marketing strategy
• About 7% commission is taken from every sell
• They usually prefer domestic product over Indian
product, as relatively cheaper

9.  But Indian parties are more easier to deal with, as they provide
credit
 Marketing channel:
channel of grapes and pomegranate
•
channel of orange
Producer (Nasik)
Local trader
(India)
Wholesaler 1st (
Butwal)
Wholesaler +
commission
agent ( chit
wan/
makwanpur)
Retailer ( chit
wan/
makwanpur)
Consumer
Producer (
Gorkha/
Lamjung/
kaski)
Wholesaler +
commission
agent (
Chitwan)
Retailer
(chitwan)
Consumer

10. Channel of Apple
• Expenses of the shop
- Rs 25,000/month
- 3 staff wages
 Annual profit of shop = (7% of 1,50,000) ×12
= 157500
 Price spread in this shop,
Orange= (65 – 25) ÷ 65 × 100 = 61. 53 %
pomegranate = ( 220- 40) ÷ 220 × 100 = 81.8 %
apple = ( 130 – 60) ÷ 130 × 100 = 53.84 %
Producer
(jumla /
humla/
Mustang)
Wholesaler
1st ( pokhara
)
Wholesaler +
commission
agent ( Chit
wan)
Retailer ( chit
wan)
Consumer

12. C. VISHAL VEGETABLE SUPPLIERS
 Established 30 years back
 During these days vegetables like pumpkin, tomato, bottle
gourd and Cole crops are transacted
 In On season there is no need to export vegetables from
others district and India, Chitwan supply are sufficient to
feed in and out district
 In offseason vegetable are mostly bought from India
 Anybody can access him to sell their products
 Nowadays three is the moderate Market price neither high
nor low
 He (owner) himself will determine the price of the
vegetables by observing supply from India and west chit
wan and demand of consumers

13.  There is the existence of the perfect competition between the
shops
 Market channel of
Channel of the pumpkin
Channel of cucumber
Producer (
West –
Chitwan)
Wholesaler
+
commission
agent
(chitwan,
lionchowk)
Wholesaler
2nd
(Kathmandu)
Retailer (
Kathmandu)
Consumer
(ktm)
Retailer
(Chitwan)
Consum
er
(Chitwan
)
Producer (
India)
Wholesaler +
commission
agent
(chitwan)
Retailer (
chitwan)
Consumer

14.  Price spread of this shop
pumpkin= ( 20 – 8) ÷20 × 100 = 60 %
tomato = ( 60 – 16) ÷ 60 × 100 = 73.34 %
onion = ( 120 – 45 ) ÷120 × 100 = 62.5%
 If remain unsold, get decayed; losses goes to farmers as
they are only commission agents

16. D. JAY MAA SABJI BHANDAR
 It is wholesaler cum retailer shop
 Vegetables are imported from India( Nasik) only
 Import taxes paid on
onion = 48% (durable)
potato= 12%
Vegetables = 10%
 On any uncertainties, like decaying, strike losses are taken by
them, won’t be headache to the parties in boarder
 monthly transaction
= 81,000kg of vegetable to ktm and pokhara
= 3,000 sacks of potato/ onion to ktm and pokara
 Selling in retailed would be more profitable than wholesales as
in wholesale profit per sack= Rs 20
in retail profit per sack = Rs 2500- 3000

17.  Channel of vegetables in this shop
 Price spread of
potato : ( 25- 10 )÷ 25 ×100 % = 60 % / kg
Producer (
India ,
Nasik)
Local trader
( India)
Merchant (
Border)
Wholesaler
( Chitwan)
Wholesaler
(
kathmandu/
pokhara)
Retailer(
Chitwan)
Consume
r
Retailer
(ktm/
pokara)
Consumer(
ktm/
pokhara)

18. E. BHATBHATENI SUPERMARKET
 It is the retailer
 Banana and vegetables is bought from the Kathmandu,
others fruits are from India, Thailand and Kathmandu
 They take 20% margin in every agricultural products as a
expense of packaging
 price of certain commodities:
banana: Rs126-135/dozen
apple : Rs 350/ kg
pumpkin : Rs 40/kg
onion : Rs 100/kg
 Unsold vegetables and fruits are utilized in the Canteen

19. CONCLUSION
 Market price of Nepal mostly depend on the supply of
India i.e. Nepal market is highly interfered by the India
 Price is determined by the wholesaler cum commission
agents / wholesaler by observing the market forces i.e.
demand of the consumer and supply from the India and
Nepal
 There might be the daily variation in the market price
 As vegetables and the fruits are not the luxurious good ,
is basic so no need of marketing strategy
 this mandi is a free market
 They don’t have standard selling price for the fruits and
vegetables