Importance of Agriculture Marketing:
3. Agriculture marketing stimulates diversification and value addition in agricultural products in
response to increasing and changing market demand.
For example: To maintain balance of agricultural products in national and international markets,
agriculture market plays a vital role in this aspect. For example the increasing and changing
market demand of rice can cause harm to the market balance. So the agriculture market
framework of rice response to it as a system to stimulate diversification through researching or
discovering new seeds or breeds of rice. Editing or erasing value from rice according to time,
demand and situation etc.
4. Agriculture marketing system promote adherence to quality, standards and grade in
agricultural and international market requirements.
For example: The agriculture marketing system of potato promote adherence to potatoes can
cope with the demanded standard in national and international market. To promote the quality the
researchers operate research to innovate new breeds and develop the present breeds by
biogenetic engineering. Some research institutions also work to upgrade the cultivation system of
potato by analyzing the harvest system and influencing the marketing facility by creating report
on the market economy.
5. Sources of income: In Bangladesh, the main occupation of our working population is
agriculture and 80 % of our population lives on agriculture. In advanced countries this ratio is
very small being 5% in United Kingdom, 4% in Australia, 14% in France, 21% in Japan and 32%
in Russia. So agricultural activities are very much common occupation of our people to
contribute to the national economy and for promoting it agriculture marketing is essential.
6. Contribution to national income: According to national income committee and so in 1960-61,
52% of national income was contributed by agriculture occupation. In 1976-77 this section
contributed 42.2% while in 1981-82, its contribution was to the tune of 41.8% . In 2001-02 it
contributed about 32.4% of national income. This was further reduced to 28% in 1999-2000.
Contrary to this the proportion of agriculture in United Kingdom is only 3.1% , 6% in Japan. So
the more developed country the smaller is the contribution of agriculture in national output. As
Bangladesh is developing country agriculture marketing shares a big space in national economy
to contribute the national economic system through agricultural products.
7. Importance in international trade: Agricultural products like tea, sugar, rice, tobacco ,spices etc
constitute the main items of exports in Bangladesh. Thus it helps to reduce the adverse balance of
payments and save our foreign exchange. Agriculture marketing stimulates the development
process of agriculture and as a result it increases export and so in.
8. Importance in transport : Agriculture is the main support for railways and roadways which
transport bulk of agricultural products from farm to the mandates and factories . Internal trade is
mostly in agricultural products. To protect the market of agriculture, agriculture market is
obvious.
9. Contribution to foreign exchange resources: Agricultural commodities like jute , tobacco ,
oilseeds, spices for about 18% of the total value exports in India . To continue or increase the
percentage of foreign exchange agriculture market is necessary.
10. Sources of saving: Agriculture marketing promotes the improvement in agriculture. As a
result, improvement in agriculture can go a long way for increasing savings. It is seen that the
rice farmers have started savings especially after the green revolution in the country. This surplus
amount can be invested in agriculture sector for further development of the sector.
11. Vast employment opportunities: Agricultural marketing provides greater employment
opportunities in the construction of irrigation project ,drainage system and other such activities .
With the fast growing population and disguised unemployment in backward countries, it is only
agriculture marketing which provides more employment chances to the labor force.
12. Marketable Surplus : The development of agricultural sector leads to marketable surplus . As
agriculture development takes place, production increases and marketable surplus expand. This
can be sold to other countries. The development of Japan and other countries were made possible
by the surplus of agriculture. There is no reason why this could not be done in our own case.
Agriculture marketing plays a vital role in the development of agriculture and thus promote
marketable surplus.
