what market information do producers need

what market information do producers need PowerPoint PPT Presentation


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Farmers incomes extremely sensitive to marketing issues i.e. price, quantity sold or switching to more profitable enterprises. 14000. 15400 10%. 18000 29 %. 5000 - 64 %. 23000 64%. . Money = Happiness, at least at the lower levels of income. . . Market IQ: Strategic; Longer Term. Identification of Support Services.

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6. What Market Information do producers need ? In Uttah Pradesh farmers priorities from information technology were: market prices, (on phones+ internet), transport arrangements (on phones), selling details (on phones), weather forecasts, (internet), technical queries (internet), And, input supply. (on phones),

7. The Marketing Information The Message Prices - typical range Volumes – supply/demand Locations –experience shows just few majors Mkts needed Timely – frequency product dependent The Lessons Accuracy – frequent criticisms of system Simple & relevant Local languages Less perishable crops - Initially most useful Comparable products - can be an issue in terms of weights, qualities and grades

8. Radio the most effective means for disseminating simple Market information

9. $ 40 mn for UP at 1 computer per 1200 families, 3.5 k radius or $ 5 @ Down load info, burn onto DVD/DC. Income play DVD, even virtual pilgrimages$ 40 mn for UP at 1 computer per 1200 families, 3.5 k radius or $ 5 @ Down load info, burn onto DVD/DC. Income play DVD, even virtual pilgrimages

10. The Cell phone the most powerful marketing tool. SMS Market Information is taking off

11. Potential for SMS income – apportioned, cover MIS service costs. 50:50 to 25: 75 split, Costs 20 Cents – to 1 US cents each. Large nos to cover costs. Govt intervention – regulator demands, pump prime, subsidized part of costs during start up phase. Service provider contract. Potential for SMS income – apportioned, cover MIS service costs. 50:50 to 25: 75 split, Costs 20 Cents – to 1 US cents each. Large nos to cover costs. Govt intervention – regulator demands, pump prime, subsidized part of costs during start up phase. Service provider contract.

12. Case Study : REUTERS – SMS in India, v positive test marketing results, now rolling out 5 States, seen as Social Investment

13. Farmers liked the REUTERS SMS service because: SMS perceived as an enhancing livelihood product the farmers feel empowered – greater control receiving the message in the field in local languages Weather info for crop activity planning, better yields & harvest timing Mkt info for decisions of when to store/sell & where to sell 90% of the farmers are willing to buy, No differences between crop & land holding size concern on authenticity of source/data – called Mkt to verify

14. Other examples: Bangladesh – prices patterns of leaf salads changing as phone calls made supply and demand much more in balance. Assam used by larger traders/truckers to buy directly in the Fields – in naturelle emerging primary wholesale market – now doing 50-100 K volumes. Cuts out multiple handling/intermédiaires, and traders Access real time market information and decide on the arbitrage opportunities on what to buy and where to sell. In Georgia – winter salad growers phone collegues in Moscow to pick up price data – they then have sufficent understanding of transport costs and marsgins to be able to negotiate from a postion of Knolwedge. Other examples: Bangladesh – prices patterns of leaf salads changing as phone calls made supply and demand much more in balance. Assam used by larger traders/truckers to buy directly in the Fields – in naturelle emerging primary wholesale market – now doing 50-100 K volumes. Cuts out multiple handling/intermédiaires, and traders Access real time market information and decide on the arbitrage opportunities on what to buy and where to sell. In Georgia – winter salad growers phone collegues in Moscow to pick up price data – they then have sufficent understanding of transport costs and marsgins to be able to negotiate from a postion of Knolwedge.

21. Market Intelligence: Strategic Information, Longer Terms Decisions Examples in South Africa downloading and use by Marketing Extension Officers/producers, Ghana for knowledge of export marketsExamples in South Africa downloading and use by Marketing Extension Officers/producers, Ghana for knowledge of export markets

23. PHASED PROCESS – Common themes Work thru groups – often with small task forces , Resource audit – existing products Market studies – product, players, Case Studies, Basic Economics Action Plan , Some support during early phases e.g. CDD India, 6 step ME process Bangladesh, ATMA India, CLUSA, CIAT – Rural Agro-Enterprise Dev Project PHASED PROCESS – Common themes Work thru groups – often with small task forces , Resource audit – existing products Market studies – product, players, Case Studies, Basic Economics Action Plan , Some support during early phases e.g. CDD India, 6 step ME process Bangladesh, ATMA India, CLUSA, CIAT – Rural Agro-Enterprise Dev Project

24. Tradenet – development phases

32. The ME course is a 6 step process, designed to empower villagers to identify market opportunities & plan how to exploit them. Not about passing on information or marketing theory, it is a process of self discovery and harnessing the collective wisdom of the FOs, it is designed to build knowledge, progress logically, pushes participants to plan next stepsNot about passing on information or marketing theory, it is a process of self discovery and harnessing the collective wisdom of the FOs, it is designed to build knowledge, progress logically, pushes participants to plan next steps

33. The ME course increased marketing knowledge amongst CBOs (i.e. 3x) and continued to improve with practice

34. The average additional cash income per group was in mainly in the range $ 2000 - $ 7000 and per involved CBO member is $ 200, but ranges from about $ 70 to $ 325.

35. The ME process has generated a diversity of businesses, the most important of which in terms of numbers involved are listed below

38. WB Team Leaders

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