Structure and conduct of paddy seeds market - A study in Mandya district of Karnataka state

Abstract

The present study was conducted in Mandya district, which is one of the major paddy producing belts of Karnataka state. The study analysed the structure and conduct of paddy seeds market in Mandya district. For the study, data was collected both from primary and secondary sources. Multi-stage random sampling method was adopted to draw 25 farmers each from two talukas of the district, resulting in a total sample size of 50 farmers. The paddy seeds market was found to be oligopolistic in nature. Among the various seed agencies / companies prevalent in the study area, Karnataka State Seeds Corporation Limited (KSSC) was the dominant player with an average market share of about 78 per cent for the reference period (2006-07 to 2013-14) followed by National Seeds Corporation (NSC) with around 10 per cent. The Theil's Entropy Index was found to be 0.09, indicating that the paddy seeds market was highly concentrated. The overall growth rate of sales of paddy seeds by all the seed agencies (Government as well as private) operating in Mandya district was found to be negative (-0.95 %), indicating that the paddy seeds market was saturated. For majority (74 %) of the farmers, good quality of seeds was the most important factor which influenced their loyalty towards a particular brand.

The Market Share Growth of the Paddy Seed in Bhoodan Pochampally Market of Yadadri Bhuvangiri District in Telangana

“…Before Independence in 1925, the Royal Commission on Agriculture was involved in the production and distribution of seeds, and quality, improved seeds were imported from Australia, the UK, USA, Germany, etc., until 1939. But from the 1950s, several private companies emerged and involved in the production and distribution of quality seeds for various crops [1][2][3][4][5]. In 1960, the Indian Council of Agricultural Research set up a committee that paved a way for the establishment of central and state seed agencies for the production of foundation seed, for the development of seed certification agencies, for the enactment of the national seed acts, and for stimulating the development of the private seed industry.…”