Economic Analysis, Marketing and Purchasing Behaviour of Summer Sesame Seeds in Tapi District, Gujarat

Author:

Yogeshkumar A. Lad1* and   Ankit M. Chotaliya2

Journal Name: Biological Forum, 17(10): 78-86, 2025

Address:

1Professor & Head, Department of HRD & Personnel Management, International Agribusiness Management Institute, Anand Agricultural University, Anand (Gujarat), India.

2PG Schlor, International Agribusiness Management Institute, 

Anand Agricultural University, Anand (Gujarat), India.

(Corresponding author: Yogeshkumar A. Lad*)

DOI: https://doi.org/10.65041/BiologicalForum.2025.17.10.12

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Abstract

This study examines the socio-economic profile, purchasing behavior, production economics, and marketing efficiency of summer sesame (Sesamum indicum L.) cultivation in the Tapi district of South Gujarat. A total of 150 farmers from the Vyara, Songadh, and Valod talukas were surveyed, along with 20 marketing functionaries. The socio-economic analysis revealed that most farmers are middle-aged (35–50 years), moderately educated, and operate small landholdings. Most respondents had less than five years of experience in sesame cultivation, indicating a relatively recent adoption of the crop. The purchasing behavior analysis, using the Garrett Ranking method, showed that farmers are primarily influenced by the opinions of progressive farmers, past seed performance, and crop yield, while brand name, advertisements, and packaging had minimal impact. The cost-return analysis, conducted using the CACP approach, confirmed the profitability of summer sesame cultivation, with an average net return of ₹64,264/ha and a benefit-cost ratio of 1.39. The marketing analysis revealed that the village trader channel (Channel-II) was more efficient (1.45) than the APMC channel (1.25), providing better producer prices and lower price spreads. The study concludes that summer sesame is a viable and profitable crop for small and medium farmers in South Gujarat, and its potential can be further enhanced through targeted interventions in seed supply, farmer awareness, and efficient market linkages.

Keywords

Economic analysis of summer sesame, marketing cost, purchasing behaviour

Introduction

Sesame (Sesamum indicum L.) is the oldest native oilseed crop, boasting the longest cultivation history in India. Commonly known as gingelli, it is referred to as til in Hindi, Punjabi, Assamese, Bengali, and Marathi; tal in Gujarati; nuvvulu and manchi nuvvulu in Telugu; ellu in Tamil, Malayalam, and Kannada; tila or pitratarpana in Sanskrit; and rasi in Odia across different regions of India. Evidence suggests that sesame cultivation dates back over 3,000 years, originating in Africa but spreading widely in the Indian subcontinent and other tropical and subtropical areas. Primarily grown during the kharif (rainy season), sesame is also cultivated in some regions during the rabi and summer seasons. Major sesame-producing countries include India, Myanmar, China, and Sudan. This crop is regarded as a "cash crop" due to high domestic and international demand, with India being a leading exporter.

The area dedicated to sesame farming in India peaked at 20. 83 million hectares in 2010-11, but decreased to 15. 31 million hectares in 2022-23. Production was 84. 7 million tonnes, yielding an average of 553 kg/ha. From 1997-98 to 2022-23, the compound annual growth rates (CAGR) for area and production were 1. 25% and 2. 65%, respectively (Indiastate, 2024). Yield rose from 342 kg/ha to 553 kg/ha during this period, albeit with some fluctuations. Uttar Pradesh had the largest cultivated area is at 5.11 lakh ha, while West Bengal, with a smaller area of  2.58 lakh ha, led in production at 2.61 lakh tonnes due to the highest yield of 1.01 t/ha. Other high-yielding states included Telangana (0.75 t/ha), Gujarat (0.73 t/ha), and Meghalaya (0.94 t/ha), whereas Uttar Pradesh (0.24 t/ha) and Maharashtra (0.22 t/ha) showed low productivity (DEASAGRI 2024).

In Gujarat, summer sesame was grown on 1,239.76. 76 hectares, with Junagadh having the most significant area (293.61 ha), followed by Surendranagar (265.73 ha) and Amreli (144.76 ha). Total production reached 1,069.82. 82 MT, with Junagadh leading at 328. 328.84 MT. The average yield was 862. 93 kg/ha, with the highest yields in Rajkot (1,369 kg/ha), Gir Somnath (1,125 kg/ha), and Junagadh (1,120 kg/ha). In contrast, the lowest yields were noted in Narmada (385 kg/ha) and Chhota Udepur (410 kg/ha) (Directorate of Agriculture, 2023).

Objective

1. To study the socio-economic profile of summer sesame farmers

2. To understand the purchasing behaviour of farmers toward summer sesame seeds

3. To study the cost and return of summer sesame production

4. To identify the marketing of summer sesame in the Tapi district, Gujarat.

Material & Methods

Selection of area, respondents and marketing functionaries

From three talukas of Tapi district in South Gujarat, namely Vyara, Songadh, and Valod, a sample of 150 farmers and 20 functionaries of each type associated with the cultivation and marketing of summer sesame was selected. These functionaries were spread across the two main markets in the study area: Vyara and Songadh. The study aims to examine the cost and return, the marketing cost, the margin, and the price spread. It is conducted in 2025. The descriptive statistics were used to study this objective. The Henry Garrett Ranking method was used to study purchasing behaviour.

Garrett’s ranking technique: Garrett’s ranking technique was used to rank the preferences indicated by the respondents across different factors. According to this method, respondents were asked to assign ranks to all factors, and the outcomes of this ranking were converted into score values using the following formula:

Percentage position = 100 (𝑅𝑖𝑗−0.5)

                                              𝑁𝑗

Where Rij = Rank given for the ith variable by jth respondents Nj = Number of variables ranked by jth respondents

With the help of Garrett’s Table, the per cent position is estimated and converted into scores. Then, for each factor, the scores of each individual will be added, and then the total value of scores and the mean values of the scores are calculated. The factors having the highest mean value will be considered to be the most important factor.

Cost and return analysis

The CACP approach was used for computation of cost of production such as Cost A, Cost B, Cost C1, and Cost C2 (Reddy et al., 2018). Cost A included the cost of hiring human labour, tractor charges, seeds/plantlets, manure and fertilizers, insecticides and pesticides, irrigation charges, other paid out expenses, if any, depreciation on farm buildings and small farm tools, the rental value of leased land, interest on working capital, miscellaneous expenses including land revenue, transport charges, etc. Cost B includes Cost A + Rental value of owned land + Interest on fixed capital. Cost C1 = Cost B + Imputed value of family labour and Cost C2 = Cost C1 + Managerial charges (Management charges were calculated at the rate of 10 per cent of Cost C1). The following income measures were calculated for gross income The value of gross income was calculated by considering the total production and price of product. Farm business income = Gross income – Cost A, Family labour income = Gross income – Cost B, Farm investment income = Net income + Rental value of owned land +Interest on own fixed capital, Net income = Gross income – Cost C2, Benefit Cost Ratio = Gross income /Cost C2

Marketing costs, margins and price- spread

To work out the marketing efficiency, modified method of marketing efficiency suggested by Acharya (Acharya and Agarwal 2014) was used.

MME =     FP

                                            (MC + MM)

Marketing cost

Where,

MME= Modified measures of marketing efficiency FP = Price received by farmer

MC = Total marketing cost

The marketing cost was estimated by using following formula:

C = Cf+ Cm1+ Cm2+ Cm3+ + Cmi

Where,

C = Total cost of marketing of the commodity;

Cf = Cost paid by the producer from the time when produce leaves the farm till sells

Cmi = Cost incurred by the ith middleman in the process of buying and selling of the product

Marketing margin

The marketing margin was estimated by using the following formula:

formula: Ami = PRi – (Ppi + Cmi)

Where,

PRi = Sales price Ppi= Purchase price

Cmi=Cost incurred in marketing

Price spread

Price spread refers to the difference between the price paid by the consumer and the price received by the commodity's producer.

PS = RP – PNP

Where,

PS = Price spread

RP = Retailers selling price PNP = Producers' net price

Hypothesis of Study

H0: Summer sesame cultivation is not profitable. H1: Summer sesame cultivation is profitable.


Limitation of the Study

The key limitation of this study was the duration of the research, which lasted for 90 days. A limited number of farmers and intermediaries were selected for the study, so the results may not be replicated in a wider area.

Results & Discussion

Socio economic profile of summer sesame

The data outlines the demographic and socio-economic characteristics of 150 farmers. Most farmers are middle-aged, between 35 to 50 years old, representing 46.67%. This is followed by older farmers, over 50 years old, at 38.66%, and a smaller group of young farmers, up to 35 years old, at 14.67%. This highlights a predominance of experienced individuals in farming. In terms of education, a majority of respondents possess either primary education (33.33%) or secondary education (30%). Only a small percentage have completed higher education, with both graduation and post-graduation combined making up just 8.01%, while 13.33% are illiterate. When it comes to occupation, 40.67% rely solely on farming, and 30% combine it with animal husbandry. A smaller fraction engages in diverse activities, such as business and services, indicating limited occupational variety. As for land ownership, small farmers comprise 55.33%, medium farmers account for 30.67%, and large farmers represent only 14%, indicating a focus on marginal farming. 

Experience-wise, 41.33% have cultivated for up to 2 years, 39.34% for 2 to 5 years, and only 19.33% for more than 5 years, suggesting a relatively new generation of farmers or a recent reliance on the crop or activity in question. Overall, the profile reveals a moderately educated farming community that largely depends on small-scale farming, with a notable number of recent entrants into agriculture.

Average land holding of farmer and average area under summer sesame cultivation

The data outlines the average landholding sizes and areas designated for sesame cultivation among various categories of farmers. Small farmers typically have an average landholding of 1.26 hectares, with about 0.97 hectares devoted to sesame, reflecting a substantial commitment to this crop despite their limited resources. Medium farmers, on average, possess 3.05 hectares and cultivate sesame on 2.84 hectares, demonstrating an even stronger dedication to sesame production. Meanwhile, large farmers, averaging 5.81 hectares, allocate 4.83 hectares to sesame cultivation.

Table 1: Socio economic profile of summer sesame.


Parameter

(n =150)

Frequency (f)

Percentage (%)


Age

Young (up to 35)

22

14.67

Middle (35 to 50)

70

46.67

Old (above 50)

58

38.66




Education

Illiterate

20

13.33

Primary

50

33.33

Secondary

45

30.00

Higher Secondary

23

15.33

Graduation

10

6.67

Post-Graduation

2

1.34




Occupation

Farming

61

40.67

Farming + AH

45

30.00

Farming + AH + Business

4

2.67

Farming + AH + Service

9

6.00

Farming + Business

3

2.00

Farming + Service

28

18.66


Land holding

Small

83

55.33

Medium

46

30.67

Large

21

14.00

Experience of cultivation

Up to 2 years

62

41.33

2 to 5 years

59

39.34

More than 5 years

29

19.33

Table 2: Average land holding of farmer and average area under summer sesame cultivation.



Category


Average Land Holding (ha)

Average Area under summer

Sesame Cultivation (ha)

Small

1.26

0.97

Medium

3.05

2.84

Large

5.81

4.83

Understand the purchasing behavior of farmer toward summer sesame seeds. Table 3 analyzes farmers’ purchasing behavior using the Garrett Ranking method. The insights of progressive farmers were identified as the primary influence on seed purchasing decisions, receiving the highest score, which indicates that farmers prioritize the experiences and recommendations of successful progressive farmers. Following this, the past performance and yield of the seed were also crucial in the decision-making process. Seed quality emerged as another important aspect. Other factors influencing decisions included dealer recommendations, brand reputation, and product pricing, which had a moderate impact. In contrast, elements like timely availability, advertising, and packaging were rated lower, implying they exerted less influence on farmers’ seed purchasing choices.

Table 3: Factors affecting the Purchasing behavior of farmers toward summer sesame seeds.


Particular

Garrett Score

Rank

Opinion of progressive farmers

68.20

1

Past performance

66.40

2

Yield of crop

63.96

3

Quality of seed

55.93

4

Opinion of the field officer

50.69

5

Timely availability

45.12

6


Price of the product

42.92

7

Brand name

38.60

8

Advertisement of a product

35.87

9

Packaging size

30.08

10


Level of input used by farmers

Labour usage differs based on farm size. Medium and large farms utilize significantly more hired labor (47. 28 and 47. 80 man- days, respectively) than small farms (39. 44 man- days). Conversely, family labor contributions diminish with increasing farm size, decreasing from 15. 84 man- days on small farms to 11. 96 man- days on large farms. This trend suggests that smaller farms depend more on family labor, whereas larger farms outsource more work. The average figures show 44. 84 man- days for hired labor and 13.56 for family labor. Regarding mechanization, tractor usage (in hours per hectare) shows a slight increase with farm size, rising from 5. 07 hours/ha on small farms to 6. 10 hours/ha on large farms, indicating that larger holdings engage in more intensive mechanized operations. The overall average for tractor use is 5. 69 hours/ha. Seed consumption remains steady across all farm sizes at around 6. 01 kg, demonstrating a consistent seed rate regardless of land size. Manure application, on the other hand, increases with farm size: small farms apply 2948.60. 60 kg, while large farms use 3166.46. 46 kg, leading to an overall average of 3032.62. 62 kg. Fertilizer usage patterns are varied. The application of nitrogen (N) declines with larger farm sizes, with small farms applying 179. 76 kg compared to 150.63. 63 kg on large farms, possibly indicating efficiency in application or differences in soil nutrients. However, phosphorus (P) application increases from 80. 44 kg on small farms to 99. 88 kg on large ones. No potassium (K) is applied on any farm size, suggesting it may not be necessary for the crops. Sulphur (S) is only applied in medium and large farms (~19. 9 kg), with small farms reporting none, likely due to lack of awareness. 

Table 4: Level of input used by farmers (Per ha).

Particular

Small

Medium

Large

Overall

Hired Labour (Man Days)

39.44

47.28

47.80

44.84

Family Labour (Man Days)

15.84

12.88

11.96

13.56

Tractor (hrs/ha)

5.07

5.90

6.10

5.69

Seed (kg)

6.02

6.01

6.01

6.01

Manure (kg)

2948.60

2982.79

3166.46

3032.62


N

179.76

159.16

150.63

163.18

Fertilizer (kg)

P

80.44

99.87

99.88

93.39


K

0.00

0.00

0.00

0.00


S

0.00

19.89

19.95

19.92

Irrigation (No)

6.99

7.02

7.10

7.03

Plant Protection Chemical (Litre)

1.68

1.86

2.12

1.89

Irrigation frequency remains fairly consistent across sizes, rising slightly from 6. 99 to 7. 10 instances, averaging 7. 03 irrigations overall, indicating that irrigation scheduling is largely unaffected by farm size. Lastly, the use of plant protection chemicals increases with farm size, from 1. 68 liters on small farms to 2. 12 liters on large farms, suggesting larger farms may be more proactive or better equipped for pest and disease management.

In summary, larger farms exhibit greater reliance on external inputs (hired labor, machinery, phosphorus, sulphur, and chemicals) and less dependence on family labor, reflecting a more commercial and resource- intensive production approach. In contrast, small farms rely more on family labor and utilize fewer external inputs, likely due to financial limitations or a subsistence- oriented strategy.

Cost of cultivation of summer sesame

The cost structure table provides a comparative analysis of input costs for small, medium, and large farms, along with overall averages. Hired labour is the largest cost component across all farm sizes, accounting for approximately 19–20% of total expenses, followed by tractor fees at around 15%, indicating a significant reliance on both manual and mechanical operations. Seed costs are consistent across all sizes at about 4.5%, implying standardised seed rates irrespective of farm scale. Manure and chemical fertilisers each represent about 8–10%, reflecting the moderate nutrient demands of the crops. Irrigation expenses maintain a steady range of 7.5–8% throughout all sizes, while plant protection chemicals remain just below 5%. Notably, miscellaneous costs rise with farm size, increasing from 2. 86% in small farms to 4. 37% in large ones, potentially due to higher administrative or incidental expenses. Depreciation and fixed capital interest contribute minimally to overall costs (less than 0. 5%), suggesting limited investment in long- term assets. Regarding cost concepts, Cost A (basic variable cost) is highest in large farms at 78. 17% and lowest in small farms at 74. 90%. Cost B, which includes the rental value of owned land and fixed capital interest, comprises about 85% across all categories. Family labor input decreases with farm size 7. 38% for small farms compared to 92% for large ones highlighting the greater dependence on hired labor in larger operations. Cost C1 and C2, which represent imputed family labor and management costs, respectively, consistently account for over 90% of total costs across all farm sizes, underscoring the importance of these implicit costs in overall farm budgeting. Overall, the total cultivation cost rises with farm size: ₹ 42,906 for small farms, ₹ 46,860 for medium farms, and ₹ 48, 573 for large farms. This indicates that while larger operations may introduce certain efficiencies, they also incur proportionately higher absolute costs.

Return measures and benefit cost ratio of summer sesame cultivation

Gross return, net return, and benefit-cost ratio for sesame cultivation are presented in Table 6. The average yield of the main product was 9.03 q/ha for sesame farmers. The highest yield was found in large farms (9.60 q/ha), followed by medium farms (9.17 q/ha) and small farms (8.33 q/ha). Higher yield levels on large farms can be attributed to their optimal level of input utilization, along with the selection and application of appropriate inputs. The average price of the main product was ₹12,219.13 per quintal. Large farmers reported higher prices (₹12,714.29/q), followed by medium farmers (₹12,241.30/q) and small farmers (₹11701.81/q), as they often prefer to sell their produce in nearby APMC markets.

Table 5: Cost of cultivation of summer sesame (₹/ha).


Particulars

Small

Medium

Large

Overall

Value

Percent

Value

Percent

Value

Percent

Value

Percent

Hired Labour

7887.85

18.38

9456.21

20.18

9560.54

19.68

8968.2

19.45

Tractor charges

6233.77

14.53

6985.09

14.91

7515.66

15.47

6911.51

14.99

Seed

2114.8

4.93

2118.93

4.52

2123.55

4.37

2119.09

4.6

Manure

3624.92

8.45

3853.15

8.22

4214.55

8.68

3897.54

8.45

Chemical Fertilizer

4154.02

9.68

4945.43

10.55

4941.92

10.17

4680.46

10.15

Irrigation

3472.9

8.09

3589.93

7.66

3648.77

7.51

3570.53

7.74

Plant Protection Chemical Cost


2124.44


4.95


2171.27


4.63


2501.65


5.15


2265.79


4.91

Miscellaneous Cost

1226.17

2.86

1736.9

3.71

2121.82

4.37

1694.97

3.68

Depreciation

193.46

0.45

204.5

0.44

59.04

0.12

152.33

0.33

Interest on Working Capital


1107.67


2.58


1235.31


2.64


1288.15


2.65


1210.38


2.62

Cost - A

32140.00

74.90

36296.72

77.46

37975.65

78.17

35470.80

76.92

Rent on Own Land

3604.04

8.4

3625.2

7.74

3648.35

7.51

3625.86

7.86


Interest on Fixed Capital

93.48

0.22

102.25

0.22

142.51

0.29

112.75

0.24

Cost - B

35837.52

83.52

40024.17

85.42

41766.51

85.97

39209.41

85.02

Family Labour

3167.6

7.38

2575.91

5.5

2391.12

4.92

2711.54

5.88

Cost - C1

39005.12

90.90

42600.08

90.92

44157.63

90.89

41920.95

90.90

Management Cost

3900.51

9.09

4260.01

9.09

4415.76

9.09

4192.09

9.09

Total Cost (C2)

42905.63

100

46860.09

100

48573.39

100

46113.04

100

The gross return was highest for large farms (₹1,22,057.14/ha), followed by medium farms (₹1,12,287.64/ha) and small farms (₹97,434.86/ha). A similar trend was observed in net returns, with large farms reporting ₹73,483.73/ha, medium farms ₹65,427.54/ha, and small farms ₹54,529.23/ha. The farm business income, family labor income, and farm investment income were ₹74,905.97/ha, 71167.36 ₹/ha, and ₹68,002.33/ha, respectively. The net income over Cost A, Cost B, Cost C1, and Cost C2 were ₹74,905.97/ha, ₹71,167.36/ha, ₹68,455.81/ha, and 64263.72 ₹/ha. The income over Cost A, Cost B, Cost C1, and Cost C2 was higher for large farms and showed a decreasing trend for medium and small farms. The benefit-cost ratio over gross profit exhibited an increasing trend with larger farm sizes, recorded at 2.27, 2.40, and 2.65, respectively. For all the sample farmers, it was 2.39. The benefit-cost ratio over net profit also demonstrated an upward trend with larger farm sizes, showing values of 1.27, 1.40, and 1.51 for small, medium, and large farms, respectively. The cost of production over Cost A, Cost B, Cost C1, and Cost C2 were 3926.75 ₹/q, 4340.63 ₹/q, 4640.81 ₹/q, and 5104.89 ₹/q, respectively. Cost C2 for small, medium, and large farms was 5152.91 ₹/q, 5108.56 ₹/q, and 5059.73 ₹/q, respectively. According to the cost and return analysis of sesame cultivation, the estimated gross and net returns were ₹1,10,376.76/ha and ₹64,263.72/ha, respectively, and the gross benefit ratio and net benefit ratio were 2.39 and 1.39, respectively. Hence, the null hypothesis that summer sesame cultivation is not profitable was rejected.

Table 6: Return measures and benefit cost ratio of summer sesame cultivation.


Particular

Small

Medium

Large

Overall

Average yield of main product (q/ha)

8.33

9.17

9.6

9.03

Average price of main product (₹/q)

11701.81

12241.3

12714.29

12219.13

Gross return (₹/ha)

97434.86

112287.6

122057.1

110376.8

Net return (₹/ha)

54529.23

65427.54

73483.73

64263.72

Farm business income (₹/ha)

65294.86

75990.91

84081.48

74905.97

Family labour income (₹/ha)

61597.34

72263.46

80290.62

71167.36

Farm investment income (₹/ha)

58226.75

69154.99

77274.59

68002.33

Net return over different cost (₹/ha)


Cost A

65294.86

75990.91

84081.48

74905.97

Cost B

61597.34

72263.46

80290.62

71167.36

Cost C1

58429.74

69687.55

77899.5

68455.81

Cost C2

54529.23

65427.54

73483.73

64263.72

Benefit cost ratio

Gross return

2.27

2.40

2.65

2.39

Net Return

1.27

1.40

1.51

1.39

Cost of Productions (₹/q)

Cost A

3859.97

3956.97

3955.8

3926.75

Cost B

4304.04

4363.33

4350.68

4340.63

Cost C1

4684.47

4644.15

4599.75

4640.81

Cost C2

5152.91

5108.56

5059.73

5104.89

Marketing channel of summer sesame

Table 7 shows the farmers' preferences for selling sesame. Among them, 140 farmers sold their produce to traders at the nearby APMC market, while 10 farmers sold their produce to the village trader. The quantity sold to the APMC trader and the village trader was 2269.4 q and 489.5 q respectively. The average price received by farmers from the APMC trader was 11690 ₹, and from the village trader was 12180 ₹.

Table 7: Preference of farmer for selling summer sesame.


Particular

No of farmers

Percentage

Quantity (q)

Price (₹/q)

APMC Trader

140

93.33

2269.4

11690.00

Village Trader

10

6.67

489.5

12180.00

Marketing cost, margin and price spread

Marketing is a very important activity of agricultural commodities as the efficient marketing system will serve the best price to the producer. In the study area, there are two marketing channels were found for marketing of summer sesame.

The marketing channels identified for fresh turmeric in study area were as follows Channel – I: Producer - APMC trader - Wholesaler – Retailer- Consumer Channel – II: Producer - Village trader - Retailer – Consumer

Marketing cost, margin and price spread of sesame is furnished in Table 8.

Table 8: Marketing cost, margin and price spread of summer sesame.



Particular

Channel- I

Channel- II

Cost

(₹/q)

% to consumer price

Cost

(₹/q)

% to consumer price

Net price received by producer

11690.00

55.67

12180.00

59.13

Cost incurred by producer

Loading

7.5

0.04

-

-

Packaging material

148.07

0.71

-

-

Transportation

246

1.17

-

-

Loss

80.3

0.38

-

-

Total cost

481.87

2.29

-

-

Sale price of producer/ Purchase price of APMC trader/Village trader

12171.87

57.96

12180.00

59.13

Cost incurred by APMC trader

Sorting

150.00

0.71

-

-

Loading/unloading

49.40

0.24

-

-

Packaging material

145.20

0.69

-

-

Weighing

11.50

0.05

-

-

Storage

31.80

0.15

-

-

Transportation

499.80

2.38

-

-

Market fee

58.46

0.28

-

-

Commission

175.35

0.84

-

-

Spoilage

234.14

1.11

-

-

Marketing cost

1355.65

6.46

-

-

Marketing margin

595.35

2.84

-

-

Sale price of APMC trader/ Purchase price of wholesaler

14122.87

67.25

-

-


Cost incurred by Village trader

Sorting

-

-

750.00

3.64

Loading/unloading

-

-

50.50

0.25

Packaging material

-

-

243.75

1.18

Weighing

-

-

10.63

0.05

Storage

-

-

39.25

0.19

Transportation

-

-

675.00

3.28

Commission

-

-

175.35

0.85

Spoilage

-

-

341.38

1.66

Marketing cost

-

-

2285.85

11.10

Marketing margin

-

-

2297.00

11.15

Sale price of village trader/ Purchase price of Retailer

-

-

16762.85

81.37

Cost incurred by wholesaler

Loading/unloading

52.40

0.25

-

-

Packaging material

150.00

0.71

-

-

Weighing

15.40

0.07

-

-

Storage

44.00

0.21

-

-

Transportation

529.80

2.52

-

-

Spoilage

234.14

1.11

-

-

Marketing cost

1025.74

4.88

-

-

Marketing margin

2379.26

11.33

-

-

Sale price of wholesaler/ Purchase price of retailer

17527.87

83.47

-

-

Cost incurred by Retailer

Loading/unloading

49.40

0.24

49.40

0.24

Packaging material

195.00

0.93

196.25

0.95

Weighing

15.40

0.07

15.40

0.07

Transportation

499.80

2.38

512.25

2.49

Spoilage

234.14

1.11

207.41

1.01

Total cost

993.74

4.73

980.71

4.76

Marketing margin

2578.66

12.28

2858.08

13.87

Price paid by consumer

21000.00

100.00

20600.00

100.00

Net price received by producer

11690.00

55.67

12180.00

59.13

Total marketing cost

3857.00

18.37

3266.57

15.86

Total marketing margin

5553.27

26.44

5155.08

25.02

Price spread

9310.00

44.33

8420.00

40.87

The comparative analysis highlights key costs, margins, and price efficiency differences between the two channels.

In Channel I, the net price received by the producer was ₹11,690 per quintal, which accounted for 55.67% of the consumer price (₹21,000). The producer incurred a marketing cost of ₹481.87 per quintal (2.29%), which included loading, packaging, transportation, and minor losses. The APMC trader faced additional marketing costs of ₹1,355.65 per quintal (6.46%) for activities such as sorting, weighing, transportation, and market fees. The trader also earned a marketing margin of ₹595.35 per quintal (2.84%). The wholesaler, who further managed the product, incurred marketing costs of ₹1,025.74 per quintal (4.88%) and earned a substantial margin of ₹2,379.26 per quintal (11.33%). At the final level, the retailer incurred a marketing cost of ₹993.74 per quintal (4.73%) and secured the highest margin of ₹2,578.66 per quintal, accounting for 12.28% of the consumer price. The total marketing cost in this channel amounted to ₹3,857 per quintal (18.37%), while the total marketing margin was ₹5,553.27 per quintal (26.44%). The price spread, or difference between the consumer price and the producer’s net income, stood at ₹9,310 per quintal (44.33%), indicating that a significant portion of the consumer price was absorbed by intermediaries.

Conversely, Channel II exhibited a more streamlined and efficient marketing structure. The producer received ₹12,180 per quintal, representing 59.13% of the consumer price (₹20,600), which was higher than in Channel I. In this channel, the producer did not incur direct marketing costs. The village trader, functioning as a combined intermediary, incurred a marketing cost of ₹2,285.85 per quintal (11.10%) and earned a marketing margin of ₹2,297 per quintal (11.15%). The retailer’s cost was ₹980.71 per quintal (4.76%) with a margin of ₹2,858.08 per quintal (13.87%). The total marketing cost in Channel II was lower at ₹3,266.57 per quintal (15.86%), and the total marketing margin was ₹5,155.08 per quintal (25.02%). The price spread was also lower than in Channel I, at ₹8,420 per quintal (40.87%).

Marketing efficiency and price spread of the different marketing channels of summer sesame

Marketing efficiency was determined using Acharya Modified Measures (Acharya and Agrawal, 2014). Marketing efficiency reflects the performance of marketing channels. The marketing efficiency of sesame has been presented differently based on its end-use product.

Marketing efficiency and price spread of different channels are compared in Table 9.

Table 9: Marketing efficiency and price spread of different marketing channels of summer sesame.

Particular

Channel-I

Channel-II

Net price received by producer (₹/q)

11690.00

12180.00

Price paid by consumer (₹/q)

21000.00

20600.00

Total marketing cost (₹/q)

3857.00

3266.57

Total marketing margin (₹/q)

5553.27

5155.08

Price spread (₹/q)

9310.00

8420.00

Producer's share in consumer rupee (%)

55.67

59.13

Marketing efficiency

1.25

1.45

Table 9 reveals the marketing efficiency of channel I and II. The net price received by the producer and the net price paid by the consumer in channel I were 11690.00 ₹/q and 21000.00 ₹/q, respectively, while in channel II they were 12180.00 ₹/q and 20600.00 ₹/q. Marketing efficiencies for channel I and channel II were 1.25 and 1.45, respectively. Large farmers having food negotiation power due to large quantities at single place. So, efficiency of channel-II is more. In channel-I is large no of farmer with small quantity so there is less negotiation power.

Conclusion

The study of summer sesame cultivation in Tapi district, Gujarat, reveals that the crop is a viable and profitable option for farmers across all landholding categories. The majority of the farmers involved are middle-aged and moderately educated, with many operating on small farms and relatively new to sesame cultivation. Despite resource limitations, farmers show a strong commitment to the crop, dedicating a significant portion of their land to it. Key factors driving seed purchasing decisions include trust in progressive farmers and the historical performance of seeds, emphasizing the importance of peer guidance and performance-based choices. Input usage patterns show that larger farms adopt a more commercial approach, using more hired labor, fertilizers, and mechanization, while smaller farms remain more dependent on family labor and traditional inputs. The average yield achieved was 9.03 quintals per hectare, with large farmers attaining the highest yield of 9.60 q/ha. The average market price received was ₹12,219.13 per quintal, resulting in a gross return of ₹1,10,376.80 per hectare and a net return of ₹64,263.72 per hectare across all farm sizes. The benefit-cost ratio stood at 2.39 based on gross return and 1.39 based on net return, confirming substantial profitability. Marketing analysis further supported this profitability; although 93.33% of farmers preferred selling through APMC traders, the village trader channel proved more efficient, offering a higher producer share (59.13%) and marketing efficiency (1.45). These findings strongly validate the hypothesis that summer sesame cultivation is profitable and demonstrate that better input management and marketing choices can significantly enhance farmer income. Overall, summer sesame not only supports farmers economically but also has potential for further development through improved marketing channels and input management strategies. The future scope of this study includes expanding the research on minor crops during the summer season to different districts and seasons, assessing the impact of government interventions, and integrating digital marketing platforms to enhance farmer awareness, and marketing linkages.

References

Acharya, S. S., & Agarwal, N. L. (2014). Agricultural Marketing in India (5th ed.). New Delhi, India: Oxford and IBH Publishing Co. Pvt. Ltd.

DEASAGRI (2024). State-wise area, production, and yield of summer sesame. 

Government of Gujarat (2023). District-wise area, production, and yield of important food & nonfood crops in Gujarat state. Director of Agriculture Krishibhavan, Sector-10 A, Gandhinagar, 53-54.

Indiastate (2024). Area production and yield of summer sesame over the years in India.

Reddy, S. S., Ram, P. R., Sastry, T. N., & Devi, I. B. (2018). Agricultural economics. (2nd ed.). New Delhi, India: Oxford & IBH Publishing Company Pvt. Limited.

How to cite this article

Yogeshkumar A. Lad and Ankit M. Chotaliya (2025). Economic Analysis, Marketing and Purchasing Behaviour of Summer Sesame Seeds in Tapi District, Gujarat. Biological Forum, 17(10): 78-86.