Marketing efficiency and channel dynamics of tribal turmeric FPOs in Andhra Pradesh

The present study was carried out in the Alluri Sitharama Raju (ASR) district of Andhra Pradesh during 2022–2024. A purposive sampling method was employed to select 15 Farmer Producer Organizations (FPOs) engaged in turmeric value addition. From each FPO, five respondents were randomly chosen, along with five officials, resulting in a total sample size of 80. Acharya’s modified method was applied to evaluate the efficiency of the identified marketing channels. The study identified four major marketing channels. The Producer-Consumer channel, though utilized by only 5 % of participants, recorded the highest producer share (67.4 %) and highest marketing efficiency (2.07) due to the direct sale mechanism. Conversely, the Village Trader-Wholesaler-Retailer-Consumer channel, which had the highest adoption rate (65 %), exhibited the lowest efficiency of 0.21, indicating significant intermediary margins and reduced returns for farmers. The FPO-led channel showed moderate efficiency, ranging from 0.26 to 1.18, suggesting that with stronger institutional support from Dr YSRH University, ITDA, ANGRAU and line departments could provide more balanced benefits. The GCC-based cooperative channel, primarily followed in tribal areas, demonstrated efficiency values between 0.33 and 0.56. This indicates that while the channel is cost-effective, it offers limited potential for value addition. This evidence-based analysis offers a clearer understanding of the income potential and efficiency across marketing channels, while highlighting the practical factors influencing farmers’ choices. Turmeric marketing is crucial for enhancing farm income, reducing post-harvest losses and improving value chain efficiency, especially in key producing regions like ASR district. Strengthening marketing systems supports the livelihoods of small and tribal farmers, promotes rural entrepreneurship and ensures better price realization. The study provides essential insights for stakeholders, including farmers, FPOs and policymakers to identify and strengthen appropriate marketing strategies for turmeric.