How do marketing channel choices affect the welfare of paddy growers in Punjab and Haryana

The marketing channel choices of paddy growers and their subsequent effect on welfare (indicated by quantity, return and prices) are empirically estimated in the study, conducted in the states of Punjab and Haryana.Using data from the third Situation Assessment Survey, the study focuses on households engaged in paddy cultivation.Results reveal that the local market is still the most prominent marketing channel in rural Punjab and Haryana.Around 46% of produce is disposed of through it, and more than 50% of growers opt for the same.There are significant variations in awareness of the minimum support price and the price realized after selling paddy across different categories of land ownership.Government assistance is a major factor in shaping the marketing channel choices.The findings in the study indicate a strong link between marketing channel choices and the welfare of paddy growers.It provides valuable insights into the dynamics of agricultural marketing in India and underscores the need for tailored policy interventions to improve the welfare farmers.