Vol. 12, Issue 4 (2023)

Author(s):
Venkatesa Palanichamy N, Arunachalam A, Kalpana M and Santhosh Kumar M

Abstract:
Mushroom cultivation diversifies farming, providing quality food and addressing health and environmental concerns. Mushrooms, being diverse organisms, have played an important role in human welfare since ancient times. This study examines the price spread and marketing efficiency of mushroom enterprises in the western region of Tamil Nadu. The research focuses on the Coimbatore and Erode districts, which are major mushroom-producing areas, and involves a sample of 40 mushroom farmers from various scales of production. Data were collected through face-to-face interviews with farmers, wholesalers, and retailers. The results reveal different marketing channels and their impact on price spread and efficiency. Direct sales channels, such as selling directly to consumers, offer the highest marketing efficiency, allowing farmers to retain a greater share of the consumer price. Channels involving wholesalers and retailers have higher costs but provide broader market reach. A notable finding is the considerable variation in marketing costs, margins, and efficiencies across different channels. The study highlights the potential of optimizing marketing strategies and practices to improve profitability and sustainability in the mushroom industry. Recommendations include enhancing supply availability, streamlining loan processes, and boosting market support to raise awareness of mushrooms' nutritional benefits. Addressing challenges such as production inconsistencies and short shelf life will further enhance the industry's prospects.