Potato Value Chain Analysis in Selected States: Tamil Nadu, Uttar Pradesh and Bihar

Abstract

Identifying value-adding opportunities and organizing them along the value chain framework are conceived as one of the strategies to achieve efficiency. This study examined the various stakeholders in potato production and marketing in three states, namely Tamil Nadu, Uttar Pradesh and Bihar. The data were collected from 270 potato farmers and from 120 market intermediaries (local traders, commission agents, wholesalers, retailers, processors and exporters). The study delineated the current practices of production and marketing of potato and measured production and marketing efficiencies. The credit gaps, potentials for value addition and the investment needed for an effective value chain were also assessed. The farmers’ organizations, processors, exporters and retail chain stores need to push the chain based on the demand from consumers. Commercialization of potato seed production and distribution, development of alternative market channels to achieve more value addition by providing finance and developing niche markets and also encouraging professionalism in sorting, grading, storage, processing, etc., creation of cold storage facilities at production centres and development of integrated value chains linking farm gate and consumption points and the capacity building for chain actors to bring professionalism and entrepreneurship are the specific recommendations emerged from the study.