A Comparative Study on Profitability of Supply Chain Formats in Vegetable Marketing in Karnataka

Abstract

Supply chain management is more important in the sector of agribusiness because most of the agricultural products are perishable and have a very short shelf life. Mainly three models of supply chain techniques were selected, traditional, cooperative and modern supply chain. Among the sample farmers highest marketing cost was incurred by farmers in traditional format of the supply chain as compared to cooperative and modern supply chain. But, the net return for one kg of vegetables was highest for cooperative retail format followed by modern and traditional retail format. The index of marketing efficiency was found out to be highest with modern supply chain format. With highest marketing cost incurred by farmers in traditional supply chain as compared to cooperative and modern supply chain. At the same time modern and cooperative supply chain is having the smallest price spread. Hence these are found out to be efficient when compared to that of traditional supply chain which is having highest price spread. Based on a literature review the constructs were identified. A six step approach to developing and implementing a sustainable green supply chain strategy has been described. Practical implications for operations strategists are also discussed.

Keywords: Vegetable Marketing, Cooperative Supply Chain

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