At a time when Indian farmers are suffering losses due to poor achievements and wastage, it is the deployment of modern management practices that is supposed to fill the existing gaps in agricultural trade, management experts believe.
Highlighting the main problems of farmers such as income reduction and exploitation through intermediaries, agricultural economist Satish Deodhar expressed the need to recruit qualified professionals and management experts to meet this niche market of agro-industry and management.
âIf a farmer gets 30 paisa of a rupee for his produce and the remaining 70 paisa only goes to the merchant’s margins, then that is inefficiency. like added value. This ultimately helps increase farmers’ incomes, âsaid Deodhar, chair of the Postgraduate Program in Food and Agri-Food Management (FABM) at Indian Institute of Management – Ahmedabad.
IIM-A trains agro-industrial space management professionals to be effective managers for this niche market. The PGP-FABM batch size of IIM-A is currently 47 students, with a significant portion coming from the hinterland.
In order to bridge the gap between agriculture and the management profession, academic programs such as FABM play an important role in bringing rural families closer to urban centers. âOur graduates are the ambassadors of management ideas when they enter the market,â he added.
Suggesting modern management solutions such as vertical integration for agriculture in addition to business engagement through agriculture and business processes, Deodhar said, âBusinesses want good delivery to the world. good time with good quality. It is therefore in their interest to provide farmers with good prices. “
Once the markets were opened to farmers, there would be market discipline and price discovery would become transparent. Farmers can choose to sell where the prices are higher. This competitiveness ensures remunerative prices for farmers.
âUnder the new agricultural laws, the government has not waived the minimum support price (MSP). So, under the market mechanism, if nothing is going in favor of the farmers, then he can certainly go to the government and sell to the MSP. With this mechanism, both the final stakeholders – producers and consumers should get a greater share of the benefits and the middlemen should disappear, âsaid Deodhar, stressing the need to provide farmers with credible and actionable information on the benefits. price, weather conditions and the market.
This opens up opportunities for entrepreneurship in the areas of climate information dissemination.
Besides general management, agricultural supply chain management and other programs, there are also programs on entrepreneurship.
Trained professionals and management experts can therefore better serve this niche market and agricultural management. IIM-A FABM alumni lead several agribusiness companies and startups.
“Although agriculture’s share is declining, it is becoming the solid fulcrum around which balanced growth of industry and services must take shape,” Deodhar added.