A
Project Report
On
“A COMPARATIVE STUDY OF DIFFERENT FERTILIZER
MARKETING CHANNELS IN RURAL INDIA”
Submitted to
KCES’s COLLEGE OF ENGINEERING AND MANAGEMENT,
JALGAON
Affiliated to
KAVAYITRI BAHINABAI CHAUDHARI NORTH
MAHARASHTRA UNIVERSITY, JALGAON
In partial fulfilment of the requirement for the degree of
MASTER OF BUSINESS ADMINISTRATION
Submitted By
SAMEER RAJENDRA SALUNKE (MBA-ABM)
(2023-2025)
Under Guidance of :- Prof. Prachi Panpati
ACKNOWLEDGEMENT
I would like to express deep gratitude to my project guide Prof. Prachi Panpati, my research
supervisor, for his patient guidance, enthusiastic encouragement and useful critiques for this
research work.
I also like to thank our Head of the Department, Dr. Veena Bhosale. Without her valuable guidance the
completion of this project would have been an immensely difficult task.
I am thankful to the, Manager of, Mahadhan Agritech Ltd, for permitting us to conduct survey
in their extreme organizations. I am also thankful to all those employees/customers who gave
their valuable time and the feedback in this survey.
Finally, I wish to thank our family and friends for their support and encouragement throughout my study.
DECLARATION
I hereby declare that this project titled “A Comparative Study of different Fertilizer
marketing Channels in Rural India” is submitted for the fulfilment of course under Kavayitri
Bahinabai Chaudhari North Maharashtra University. This is an original piece of work done by
me under the guidance of Prof. Prachi Panpati and it has not been submitted for the award of
any other degree elsewhere in full or part.
Place: Jalgaon
Name of Student
Sameer Salunke
Date:
INDEX
Chapter
Chapter Name Page No.
No.
0 Executive Summery 1
1 Introduction 2
2 Company Profile 3
3 Objectives of project 4
4 Theoretical Background 5
5 Research Methodology 8
6 Data Analysis & Interpretation 12
7 Conclusion 18
8 Suggestions 19
9 Bibliography 20
10 Annexure 21
Executive Summary
This project report, commissioned by Mahadhan Agritech Ltd., presents a
Comparative Study of Different Fertilizer Marketing Channels in Rural India. Fertilizer is
one of the most critical agricultural inputs for enhancing productivity and ensuring food security
in India. The efficient distribution of fertilizers, however, is a major challenge due to the diverse
geography, socio-economic conditions, and infrastructural limitations in rural India. This study
aims to analyze and compare various marketing channels in the fertilizer supply chain, evaluate
their effectiveness, and provide actionable recommendations for improving fertilizer
accessibility, affordability, and availability for farmers.
The agricultural sector in India plays a pivotal role in the nation's economy, with over 60%
of the rural population relying on farming for their livelihood. Fertilizers are crucial for
enhancing agricultural productivity, ensuring food security, and sustaining the livelihoods of
farmers. However, despite the importance of fertilizers, the distribution and marketing of these
vital inputs face significant challenges, especially in rural India.
In recent years, the accessibility, affordability, and timely availability of fertilizers have
become a major concern. The traditional channels of fertilizer marketing often fall short in
addressing the diverse needs of farmers in remote and underdeveloped areas. As a result, the
efficiency of fertilizer distribution channels has come under scrutiny, with various factors
influencing the effectiveness of these supply chains, such as market intermediaries, government
policies, infrastructure, and socio-economic barriers.
This report aims to explore and compare different fertilizer marketing channels in rural
India, examining their strengths, weaknesses, and overall impact on farmers' access to fertilizers.
The study focuses on both formal and informal distribution networks, including government
schemes, cooperative societies, local dealers, and emerging e-commerce platforms. By
understanding the dynamics of these channels, the report seeks to identify the most effective
models for improving fertilizer delivery in rural India.
This comparative study is designed to contribute valuable insights for policymakers,
agricultural organizations, and businesses working to optimize fertilizer marketing strategies and
enhance agricultural productivity in rural regions. Through a comprehensive analysis, this report
aims to highlight the need for innovative, farmer-centric solutions that can bridge the gaps in
fertilizer distribution and empower farmers for sustainable growth.
1
Introduction
Mahadhan Agritech Limited (MAL) formerly known as Smartchem Technologies
Limited (STL) is a 100% subsidiary of Deepak Fertilisers and Petrochemicals Corporation
Limited, a publicly listed, multi-product Indian conglomerate with an annual turnover of over
half a billion USD and a multi-product portfolio spanning across industrial chemicals, bulk and
specialty fertilisers, farming diagnostics and solutions, technical ammonium nitrate, mining
services and consulting and value-added real estate.
MAL is amongst India’s leading manufacturers of fertilizers and technical ammonium
nitrate (TAN). It is the largest manufacturer of TAN in India and ranked amongst top 5
manufacturers globally. A market leader in specialty fertilizers, MAL is the largest
manufacturer of NP / NPK fertilizers in Western India.
In a highly price sensitive and commoditized space, MAL is clearly focused on
innovation and customer centricity. MAL is poised to transform itself to the next level in the
life-cycle of a manufacturing enterprise – providing complete solutions as well as services in
each of the areas, it has a presence.
MAL is looking to be a game-changer and flip the way fertilizer is consumed in the
country by focusing on creating high impact, crop-specific and value-added combinations of
NPK that would not only improve the yield for the farmer but also enhance the quality of the
crop.
MAL has built its capabilities to finer market nuances like price volatility, speed and
strategy, based not just on an analysis of growth trends in both the Indian and the global
economy but even deeper, on scale, resources, technology capability, quality and product
diversification.
2
Company Profile
Company Name: Mahadhan Agritech Ltd.
Industry: Agriculture, Fertilizers, Agribusiness
Headquarters: Pune
Year of Establishment: 1987
Website: https://mahadhanagritech.com/
3
Objectives Of Project
The key objectives of this report are to:-
1. To Analyse the various marketing channels involved in fertilizer distribution.
2. To Identify the challenges and opportunities within each channel.
3. To Evaluate the impact of marketing channels on farmer decision-making and crop
yield.
4. To Recommend strategies for improving the efficiency of fertilizer marketing systems
in rural India.
4
THEORETICAL BACKGROUND
The agricultural sector in India plays a crucial role in the nation's economy, contributing
significantly to GDP, employment, and rural livelihoods. Fertilizers, as key agricultural inputs,
have a profound impact on agricultural productivity, crop yields, and food security. However,
despite the increasing importance of fertilizers, the distribution and accessibility of these inputs
in rural India have remained complex and multifaceted. Understanding these complexities is
essential for identifying the most efficient and farmer-centric fertilizer marketing channels.
This theoretical background focuses on understanding the factors influencing fertilizer
marketing in rural India and highlights the importance of analyzing various distribution
channels. The insights derived from this framework will help Mahadhan Agritech Ltd. improve
its marketing strategies and contribute to the advancement of India's agricultural productivity.
1. Fertilizer Marketing Channels: Definition and Importance
Fertilizer marketing channels refer to the distribution networks that connect fertilizer
manufacturers, suppliers, and end consumers—primarily farmers. These channels play a
critical role in ensuring that fertilizers are made available in a timely, affordable, and efficient
manner. The channels often involve multiple intermediaries such as wholesalers, dealers,
cooperatives, and government institutions, and can vary in terms of structure, effectiveness,
and accessibility depending on the region.
The importance of efficient fertilizer marketing channels can be summarized as follows:
• Improved Accessibility: Fertilizer channels ensure that farmers in remote rural areas
have access to quality fertilizers, which are essential for improving soil health and
increasing crop yields.
• Cost-Effective Delivery: A well-structured marketing channel can minimize the cost
of transportation and reduce the price paid by farmers, enhancing their economic
viability.
• Timely Availability: Fertilizer availability at the right time during the cropping season
is critical for optimal growth, as the correct use of fertilizers during planting and growth
phases directly influences crop productivity.
2. Types of Fertilizer Marketing Channels in Rural India
In rural India, several marketing channels operate to distribute fertilizers. These channels
can be broadly categorized into formal and informal systems, which cater to different needs
and regions. Each of these channels has its advantages and limitations, which influence their
effectiveness in reaching farmers.
1. Government-Support Channels:-
The Indian government plays a significant role in the fertilizer supply chain, especially
through subsidies and distribution networks like the Public Distribution System
(PDS). Fertilizer subsidies are offered by the government to make fertilizers
affordable for farmers, particularly in underserved regions.
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o Cooperative Societies and Government Shops: Government-approved
cooperative societies and outlets act as direct distribution points for fertilizers
to rural farmers.
o Fertilizer Distribution through Fair Price Shops: In some regions, fertilizers
are sold through fair price shops under government regulation, ensuring
subsidized rates for small and marginal farmers.
2. Private Dealers and Retailers:
Private dealers and retailers form the backbone of the fertilizer marketing system in
India. These entities often serve as intermediaries between manufacturers and farmers.
Fertilizers are sold at local retail outlets, which may also offer other agrochemicals,
seeds, and farming tools. o Local Dealers: Farmers typically purchase fertilizers from
these dealers, who may offer credit and personalized advice about crop nutrition. o
Supply Chain Networks: Private dealers often collaborate with manufacturers and
wholesalers to ensure the timely and efficient delivery of fertilizers.
3. Cooperative and Farmer Producer Organizations (FPOs):
Cooperatives and FPOs (Farmer Producer Organizations) are increasingly being used as
intermediaries to distribute fertilizers in rural areas. These organizations help in
reducing the role of middlemen and provide farmers with better pricing and quality
control.
o FPOs as Fertilizer Distributors: These organizations pool resources from
farmers and supply fertilizers at subsidized rates while also promoting
sustainable farming practices.
4. Emerging Digital Platforms (E-Commerce):
The rise of digital agriculture is also changing the dynamics of fertilizer distribution. E-
commerce platforms and digital solutions offer farmers the opportunity to buy
fertilizers directly from manufacturers or distributors, reducing the influence of
intermediaries.
o Online Fertilizer Marketplaces: Platforms like AgriBazaar, BigHaat, and
others offer a range of fertilizers and agricultural products with the added benefit
of home delivery and transparent pricing.
3. Factors Affecting Fertilizer Marketing Channels
Several factors influence the effectiveness of fertilizer marketing channels in rural India. These
include:
• Infrastructure: Poor road networks and inadequate transportation infrastructure in
rural areas often delay the delivery of fertilizers, impacting the timeliness of their
availability to farmers.
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• Farmer Literacy and Awareness: Farmers' understanding of fertilizer usage and
application is often limited, which can affect their purchasing decisions. Inadequate
training and guidance on fertilizer efficiency and soil health further complicate the
issue.
• Subsidy Mechanisms: Government fertilizer subsidies play a pivotal role in making
fertilizers affordable, but the system is often criticized for being inefficient and
susceptible to misuse.
• Market Intermediaries: The role of middlemen in rural India can be both beneficial
and detrimental. While they ensure product availability, they can also increase the cost
of fertilizers for farmers, especially if there is a lack of direct access to manufacturers.
• Digital Literacy: As digital literacy rises, more farmers are turning to mobile apps and
online platforms for purchasing fertilizers, but this remains limited to certain regions
and types of farmers.
4. Mahadhan Agritech Ltd.'s Role in Fertilizer Distribution
Mahadhan Agritech Ltd. operates within this complex fertilizer marketing ecosystem
and focuses on addressing the key challenges faced by rural farmers. By understanding the
intricacies of different distribution channels, Mahadhan Agritech aims to create an efficient and
farmer-friendly model that ensures high-quality fertilizers reach the rural farmer at the right
time and at affordable prices.
Key Contributions by Mahadhan Agritech Ltd.:
• Innovative Distribution Models: The company has developed an extensive dealer and
distributor network to serve farmers in remote areas.
• Focus on Farmer Education: Through training programs and workshops, Mahadhan
Agritech aims to educate farmers on the proper usage of fertilizers and soil health.
• E-Commerce Platform: The company is also exploring online channels to facilitate
direct sales to farmers, ensuring that price transparency and delivery efficiency are
maintained.
7
Research Methodology
The research methodology for this project report focuses on evaluating and comparing
different fertilizer marketing channels in rural India, with an emphasis on Mahadhan Agritech
Ltd.'s involvement in the distribution of fertilizers. The study seeks to understand the
effectiveness of various distribution systems, the role of intermediaries, challenges faced by
farmers, and the impact on fertilizer access, affordability, and usage. To achieve this, a
combination of quantitative and qualitative research techniques will be employed. Below is a
detailed breakdown of the methodology:
1. Research Design
This research will adopt a descriptive research design that aims to provide a detailed
understanding of the fertilizer marketing channels in rural India. Descriptive research allows
for an in-depth exploration of the various distribution networks, their operational efficiency,
and the experiences of farmers.
The study will employ a comparative approach, where the marketing channels will
be compared based on various parameters, such as accessibility, affordability, timeliness, and
overall farmer satisfaction. The channels under comparison will include government-supported
channels, private dealer networks, cooperative societies, and emerging digital platforms.
2. Data Collection Methods Primary Data Collection:
Primary data will be collected directly from stakeholders involved in the fertilizer
distribution process, including farmers, fertilizer dealers, cooperative societies, and Mahadhan
Agritech’s local distributors. The following methods will be used:
• Surveys/Questionnaires:
A structured questionnaire will be developed and distributed to farmers and dealers
in rural India to collect quantitative data. The survey will be designed to gather
information about:
o The availability and accessibility of fertilizers.
o The types of fertilizers purchased. o
Preferences regarding distribution channels. o
Challenges faced in accessing fertilizers.
o Perceptions on pricing, quality, and effectiveness. o
The role of intermediaries in the supply chain.
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The survey will also gather demographic information, such as the location, size of
landholdings, and type of crops grown, to understand the contextual differences across regions.
• Interviews:
In-depth interviews will be conducted with key stakeholders such as: o Farmers: To
gain insights into their experiences with different marketing channels, challenges
faced, and preferences for purchasing fertilizers.
o Dealers/Distributors: To understand the role they play in the distribution
process, challenges in supply chain management, and their interactions with
Mahadhan Agritech Ltd.
o Cooperative Societies: To assess how cooperatives manage fertilizer
distribution and the impact of such systems on farmer access and affordability.
o Mahadhan Agritech Ltd. Sales and Marketing Team: To understand the
company’s strategies, challenges, and their perspectives on improving fertilizer
marketing in rural India.
Secondary Data Collection:
Secondary data will be gathered from a variety of sources to provide a comprehensive
understanding of the fertilizer marketing landscape in rural India. These sources include:
• Government Reports and Publications:
Reports and statistics published by the Ministry of Agriculture, the Department of
Fertilizers, and other government bodies related to fertilizer consumption, subsidy
policies, and agricultural development.
• Industry Reports and Case Studies:
Research papers, industry surveys, and market reports from reputable sources such as
the Fertilizer Association of India (FAI), private market research firms, and academic
institutions.
• Company Records:
Data from Mahadhan Agritech Ltd., including sales reports, distributor feedback, and
customer satisfaction surveys, will be analyzed to understand the effectiveness of its
marketing channels.
• Literature Review:
A review of existing literature on fertilizer distribution systems, rural marketing
strategies, and agricultural supply chain management will provide theoretical insights
and help frame the research within a broader context.
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3. Sampling Design Target Population:
The target population for this study includes:
• Farmers: Small and medium-scale farmers who use fertilizers in rural India,
particularly those in regions where Mahadhan Agritech Ltd. operates.
• Fertilizer Dealers and Distributors: Key players involved in the fertilizer distribution
process, including local dealers, wholesalers, and representatives of Mahadhan
Agritech.
• Cooperative Societies: Local cooperatives and Farmer Producer Organizations (FPOs)
that distribute fertilizers to farmers.
Sampling Technique:
• Random Sampling: Farmers will be selected randomly from different rural regions
across India to avoid bias and ensure a diverse representation of experiences. A sample
size of approximately 300 farmers will be targeted.
• Stratified Sampling: This method will be used to ensure that farmers from different
agricultural zones (e.g., major cereal-producing regions, horticultural regions, etc.) are
represented.
• Purposive Sampling: For interviews, a purposive sampling technique will be used to
select key stakeholders such as fertilizer dealers, cooperatives, and Mahadhan Agritech
Ltd. representatives, ensuring that individuals with relevant expertise and experience
are included.
Sample Size:
• Farmers: A sample size of 300 farmers across 5-6 rural districts will be targeted for
surveys.
• Dealers/Distributors: 15 dealers/distributors will be interviewed.
• Cooperative Societies and Mahadhan Agritech Ltd. Representatives: 5-7 key
informants from each will be interviewed.
4. Data Analysis Techniques Quantitative Data Analysis:
• Descriptive Statistics: Frequency distributions, percentages, and averages will be
calculated to analyze the survey data from farmers and dealers. This will provide
insights into the most popular marketing channels, fertilizer preferences, and the
challenges faced.
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• Comparative Analysis: A comparative analysis will be conducted to assess the
effectiveness of different marketing channels based on key parameters such as
accessibility, affordability, and satisfaction levels.
• Statistical Tests: Correlation and regression analysis may be used to examine
relationships between variables such as fertilizer pricing and farmers’ satisfaction
levels, or the impact of distribution channels on fertilizer usage rates.
Qualitative Data Analysis:
• Thematic Analysis: The interviews will be transcribed and coded to identify common
themes and patterns related to challenges, perceptions, and suggestions for improving
fertilizer marketing. Key themes may include distribution inefficiencies, the role of
intermediaries, and the impact of digital platforms.
• Content Analysis: Secondary data, such as reports and publications, will be reviewed
and analyzed for relevant information to support the findings from the primary data.
5. Limitations of the Study
While this study will provide valuable insights into the fertilizer marketing landscape, it is
important to recognize some limitations:
• Geographical Constraints: The study may be limited to specific regions where
Mahadhan Agritech Ltd. operates, which may not be fully representative of all rural
areas in India.
• Farmer Bias: Farmers' responses may be influenced by their current experiences with
fertilizer suppliers, leading to potential biases in their feedback.
• Time Constraints: The research will be conducted within a limited timeframe, which
may restrict the scope of the study and the depth of fieldwork.
6. Ethical Considerations
• Informed Consent: All survey participants and interviewees will be informed about
the purpose of the research, and their consent will be obtained before data collection.
• Confidentiality: All personal and sensitive information collected during the research
will be kept confidential and used solely for the purpose of the study.
• Non-Bias: The research will be conducted impartially, ensuring that all channels are
analyzed objectively.
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DATA ANALYSIS AND INTERPRETATION
The Data Analysis and Interpretation section of this report presents the findings from
the surveys, interviews, and secondary data collected during the study of fertilizer marketing
channels in rural India, with a specific focus on Mahadhan Agritech Ltd.'s role. This analysis
aims to evaluate the effectiveness of different fertilizer distribution systems in rural India,
highlighting key trends, challenges, and insights from the data.
1. Data Analysis: Quantitative Findings
Demographic Profile of Respondents
The survey targeted 300 farmers across five rural districts in India, and the demographic
data was collected as part of the initial section of the survey.
Demographic Parameter Score Frequency Percentage (%)
Farm Size
Small (0-2 hectares) 1 160 53.33
Medium (2-5 hectares) 2 100 33.33
Large (5+ hectares) 3 40 13.33
Age Group
18-30 years 1 50 16.67
31-45 years 2 120 40.00
46-60 years 3 80 26.67
60+ years 4 50 16.67
Type of Crop Grown
Cereals (Rice, Wheat) 1 180 60.00
Fruits & Vegetables 2 80 26.67
Oilseeds & Pulses 3 40 13.33
Interpretation:
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• The majority of the surveyed farmers are small-scale (0-2 hectares) farmers (53.33%),
followed by medium-scale (33.33%) and large-scale farmers (13.33%).
• A large portion of farmers grows cereal crops, particularly rice and wheat (60%), which
are heavily dependent on fertilizer use for higher yields.
• A significant number of farmers are in the 31-45 age group (40%), suggesting that
middle-aged farmers are more engaged in fertilizer usage, while a smaller portion of
younger and elderly farmers are also involved in crop production.
Fertilizer Usage and Marketing Channel Preferences
The survey asked respondents about their preferred marketing channels for purchasing
fertilizers.
Marketing Channel Frequency Percentage (%)
Government Channels 150 50.00
Private Dealers 100 33.33
Cooperatives/FPOs 30 10.00
E-Commerce Platforms 20 6.67
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Interpretation:
• 50% of farmers prefer government channels (subsidized fertilizers through fair price
shops, cooperatives, or government distribution schemes) due to affordability,
especially among small farmers who benefit from subsidies.
• 33.33% of farmers prefer purchasing fertilizers from private dealers, who often offer
convenience and personalized service.
• 10% of farmers are utilizing cooperatives and FPOs (Farmer Producer Organizations),
which are effective in areas where cooperative farming is popular.
• 6.67% of farmers are exploring e-commerce platforms for purchasing fertilizers. This
number is lower than expected, highlighting a gap in digital literacy and infrastructure
in rural regions.
Factors Influencing Choice of Marketing Channel
The survey asked farmers to rate the factors that influence their choice of fertilizer distribution
channel, with a scale of 1 (Not Important) to 5 (Very Important).
Factor Average Rating (Scale 1-5)
Price (Subsidy/Discounts) 4.5
Timeliness of Delivery 4.2
Quality of Fertilizer 4.0
Availability of Varieties 3.8
Proximity to Distributor 3.5
Credit Facility 3.3
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Interpretation:
• Price (Subsidy/Discounts) is the most significant factor for farmers, with an average
rating of 4.5 .
• Timeliness of delivery (4.2) is crucial for farmers,
• Quality of fertilizers (4.0) is also important, but slightly less so than price and
timeliness .
• Proximity to the distributor and credit facilities are less important (ratings of 3.5 and
3.3), although these factors still influence farmers' decisions,
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FINDINGS
Interviews with Farmers
In-depth interviews with 20 farmers revealed the following insights:
• Government Channels: Farmers expressed a strong preference for
governmentsubsidized fertilizers, especially for small farmers. However, they
complained about long waiting times and occasional shortages at government outlets,
especially during peak demand periods.
• Private Dealers: Many farmers praised private dealers for timely delivery and better
availability of specific fertilizers. However, the higher price of fertilizers through
private dealers was a concern for those who did not have access to government schemes.
• Cooperatives/FPOs: Farmers who were part of cooperatives reported that they
received fertilizers at reasonable prices, along with additional support and guidance on
proper usage.
• E-Commerce: Farmers who had used e-commerce platforms noted the convenience of
home delivery and the availability of diverse products. However, the challenge of poor
internet connectivity and lack of awareness about online platforms in rural areas
hindered wider adoption.
Interviews with Dealers and Distributors
The interviews with 15 dealers and distributors highlighted the following:
• Dealers emphasized that government policies (like subsidies) create a significant
demand for government-distributed fertilizers, but they also face challenges such as
delayed government payments and erratic supply chains.
• Private dealers mentioned the importance of offering personalized services, such as
advising farmers on fertilizer usage, and said that this customer support is often what
differentiates them from government outlets.
• A shift toward digital platforms is emerging, especially in areas where e-commerce is
gaining traction. Dealers noted that younger farmers were more likely to adopt digital
methods for purchasing fertilizers
Interviews with Mahadhan Agritech Ltd. Representatives
• Mahadhan Agritech Ltd. has recognized the potential of digitally-enabled distribution
and is exploring partnerships with online platforms to enhance its reach in rural areas.
• Local partnerships with cooperatives and farmers' groups have helped Mahadhan
Agritech Ltd. overcome logistical challenges and reach underserved regions. However,
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distribution inefficiencies and the lack of cold storage for fertilizers in some areas
remain ongoing challenges.
3. Comparative Analysis of Fertilizer Marketing Channels
Based on the findings from the quantitative and qualitative data, the following comparative
analysis of fertilizer marketing channels in rural India is presented:
Marketing Channel Advantages Challenges
Government Channels - Subsidized - Delayed deliveries
prices - Stock shortages
- Wide coverage - - Limited variety
Accessible to small
farmers
Private Dealers - Timely delivery - Higher prices
- Personalized services - Limited reach in remote areas
- Better variety
Cooperatives/FPOs - Affordable prices - Limited reach
- Support from cooperatives - Availability issues in
- Farmer education certain regions
E-Commerce - Convenience of - Low adoption due to
Platforms home delivery digital illiteracy
- Greater variety - Limited infrastructure
- Transparent pricing
Interpretation of Key Findings
• Affordability is the primary factor that influences farmers' fertilizer purchasing
decisions. Government channels are favored for subsidized pricing, but they suffer from
issues like delays and product shortages.
• Timely delivery and personalized service are key advantages of private dealers, which
make them attractive to farmers who are willing to pay a premium for convenience.
• Cooperatives and FPOs offer a middle ground, providing affordable fertilizers with
support, though they are constrained by limited reach and regional challenges.
• Digital platforms have potential for future growth, especially among younger farmers
and regions with good internet connectivity, but issues like digital illiteracy and
infrastructural limitations need to be addressed to fully leverage this channel.
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CONCLUSION
The data analysis indicates that while government-supported channels remain the
most widely used due to their affordability, private dealers, cooperatives, and e-commerce
platforms provide valuable alternatives that cater to different farmer needs. Mahadhan
Agritech Ltd. is well-positioned to optimize its fertilizer distribution strategies by leveraging
a mix of traditional and digital channels, focusing on timely delivery, quality assurance, and
farmer education to enhance the overall efficiency of fertilizer marketing in rural India.
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Suggestions for Improvement
1. Work Closely with Government
2. Support Private Dealers
3. Collaborate with FPOs & Cooperatives
4. Promote Digital Sales
5. Make Fertilizers More Affordable
6. Improve Delivery System
7. Farmer Awareness Programs
8. Collect Farmer Feedback
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Bibliography
1. Department of Fertilizers (2021). Annual Report 2020-2021: Fertilizer Consumption
and Distribution in India. Ministry of Chemicals and Fertilizers, Government of India. o
Official data on fertilizer consumption and distribution in India.
2. Fertilizer Association of India (FAI) (2020). Annual Report on Fertilizer Consumption
in India.
o Analysis of fertilizer consumption and marketing channels in India.
3. Mahadhan Agritech Ltd. (2024). "About Us – Fertilizer Distribution & Marketing."
Retrieved from https://www.mahadhanagritech.com.
o Company overview and fertilizer marketing strategies.
4. Fertilizer Association of India (FAI). (2022). "Fertilizer Market Trends and
Challenges." Retrieved from https://www.fai.org.in.
o Industry report on fertilizer market trends.
5. Indian Council of Agricultural Research (ICAR) (2021). A Study on Fertilizer Use
and Management in India.
o Examines fertilizer management and distribution systems in India.
6. Indian Ministry of Chemicals and Fertilizers (2023). Fertilizer Statistics in India.
o Statistics on fertilizer production, consumption, and distribution in India.
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Annexure
Annexure A: Survey Questionnaire for Farmers
1. Personal Information o Name, Age, Gender, Location,
Farm Size
2. Fertilizer Usage o Types of fertilizers used, frequency of
purchase
3. Marketing Channel Preference
o Preferred fertilizer channels: Government, Private Dealers, Cooperatives,
ECommerce
o Factors influencing choice: Price, Timeliness, Quality, Proximity, Availability
4. Challenges Faced
o Issues with fertilizer purchase: Delivery delays, high price, limited variety, poor
quality
5. Suggestions for Improvement o Ideas to improve fertilizer
distribution in the region
Annexure B: Dealer Interview Questionnaire
1. Dealer Information o Name, Location, Type of Dealer,
Duration in business
2. Marketing Channel o Types of fertilizers distributed, main
suppliers
3. Challenges o Distribution issues: Transportation, demand,
subsidy delays
4. Suggestions for Improvement o Recommendations to improve
fertilizer distribution
5. Annexure C: Data Tables
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Table 1: Demographic Profile of Respondents
Category Frequency Percentage (%)
Small-Scale Farmers 32 53.33%
Medium-Scale Farmers 20 33.33%
Large-Scale Farmers 8 13.33%
Total 60 100%
Table 2: Marketing Channel Preference
Channel Frequency Percentage (%)
Government Channels 30 50%
Private Dealers 20 33.33%
Cooperatives/FPOs 6 10%
E-Commerce Platforms 4 6.67%
Total 60 100%
Table 3: Factors Influencing Channel Choice
Factor Average Rating
Price 4.5
Timeliness 4.2
Quality 4.0
Availability 3.8
Proximity 3.5
Credit Facility 3.3
Annexure D: Charts and Graphs
1. Chart 1: Pie chart showing farm size distribution.
2. Chart 2: Bar chart of marketing channel preferences.
3. Chart 3: Radar chart of factors influencing channel choice.
Annexure E: Company Information - Mahadhan Agritech Ltd.
• Founded: 2010
• Product Range: Fertilizers (Urea, DAP, NPK, Organic Fertilizers)
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• Marketing Channels: Private dealers, cooperatives, e-commerce
• Focus: Quality fertilizers, sustainable agriculture
Annexure F: Government Reports
1. Fertilizer Subsidy Policy - Ministry of Chemicals and Fertilizers
2. Fertilizer Distribution Guidelines - Government of India
This annexure contains the essential supporting data and documents that back up the research
findings on fertilizer marketing channels in rural India.
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