Agricultural marketing can best be defined as series of services involved in moving a product from the point of production to the point of consumption. Thus agricultural marketing is a series of inter-connected activities involving: planning production, growing and harvesting, grading, packing, transport, storage, agro- and food processing, distribution and sale. Such activities cannot take place without the exchange of information and are often heavily dependent on the availability of suitable finance. Marketing systems are dynamic. They are competitive and involve continuous change and improvement. Businesses that have lower costs, are more efficient and can deliver quality products are those that prosper. Those who have high costs, do not adapt to changes in market demand and provide poorer quality are often forced out of business. Marketing has to be customer oriented and has to provide the farmer, transporter, trader, processor, etc. with a profit. This requires those involved in marketing chains to understand buyer requirements, both in terms of product and business conditions.
Several organizations provide support to developing countries to develop their agricultural marketing systems, including FAO's agricultural marketing unitand various donor organizations. There has also recently been considerable interest by NGOs to carry out activities to link farmers to markets. Improvement of marketing systems necessitates a strong private sector backed up by appropriate policy and legislative frameworks and effective government support services. Such services can include provision of market infrastructure, supply of market information, and agricultural extension services able to advise farmers on marketing. Training in marketing at all levels is also needed. One of many problems faced in agricultural marketing in developing countries is the latent hostility to the private sector and the lack of understanding of the role of the intermediary. “Middleman” has become very much a pejorative word.
Several organizations provide support to developing countries to develop their agricultural marketing systems, including FAO's agricultural marketing unitand various donor organizations. There has also recently been considerable interest by NGOs to carry out activities to link farmers to markets. Improvement of marketing systems necessitates a strong private sector backed up by appropriate policy and legislative frameworks and effective government support services. Such services can include provision of market infrastructure, supply of market information, and agricultural extension services able to advise farmers on marketing. Training in marketing at all levels is also needed. One of many problems faced in agricultural marketing in developing countries is the latent hostility to the private sector and the lack of understanding of the role of the intermediary. “Middleman” has become very much a pejorative word.