India is basically an agrarian society where sole
dependence has been on agriculture since time
immemorial. In the olden days, the agricultural
produce was fundamentally barter by nature where
farmers exchanged goods for goods and also against
services. Gradually the scenario changed with the
changing times and agriculture produce began being
sold with an element of commercial value. Trading
of agriculture produce began for exchange of money.
And from trading to marketing of agricultural produce
began although mostly it is a way of traditional selling.
The marketing as a term is broader than traditional
trading. And agricultural marketing as a concept is
still evolving in the Indian agrarian society.
In India, there are network of cooperatives at the
local, regional, state and national levels that assist in
agricultural marketing. The commodities that are
mostly handled are food grains, jute, cotton, sugar,
milk and areca nuts.
Currently large enterprises, such as cooperative Indian
sugar factories, spinning mills, and solvent-extraction
plants mostly handle their own marketing operations
independently. Medium- and small-sized enterprises,
such as rice mills, oil mills, cotton ginning and pressing
units, and jute baling units, mostly are affiliated with
cooperative marketing societies.