Agricultural marketing
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II-Year-II-Sem Agri-Marketing ANGRAU 20.04.2020
3. Creation of Employment: The transport function provides emp loyment to a
large number of persons through the construction of roads, loading and unloading, plying of the means of transportation, etc. 4. Facilitation of Specialized Farming: Different areas of the country are suitable for different crops, depending on their soil and agroclimatic conditions. Farmers can go in for specialization in the commodity most suitable to their area, and exchange the goods required by them from other areas at a cheaper price than their own production cost. 5. Transformation of the Economy: Transportation helps in the transformation of the economy from the subsistence stage to the developed commercial stage. Industrial growth is stimulated by being fed with the raw material produced in rural areas. Manufactured goods from industries to village or rural areas, too, can be moved. 6. Mobility of the Factors of Production: Transport helps in increasing the mobility of capital and labour from one area to another. Entrepreneurs get opportunities for the investment of their capital in newly opened areas of the country, where the prospects of profit are very bright. Moreover, transportation helps in the migration of people in search of better remunerative jobs. Transportation Cost: The transportation cost accounts for about 50 percent of the total cost of marketing. It is higher when the produce is transported by bullock carts than when it is carried by other means. The efficiency of transportation depends on the speed and the care with which goods move from one place to another, the extent of the facilities provided, and the degree of care with which goods are handled en route and at terminal stations. However, there is a need for reducing the cost of transportation. Download 402.85 Kb. Do'stlaringiz bilan baham: |
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