Back to Course

JSS3: AGRICULTURAL SCIENCE - 1ST TERM

0% Complete
0/0 Steps
  1. Packaging Criteria I | Week 1
    2 Topics
  2. Packaging Criteria II | Week 2
    2 Topics
  3. Criteria for Selecting Materials for Packaging Agricultural Produce | Week 3
    4 Topics
    |
    2 Quizzes
  4. Pricing & Advertising | Week 4
    6 Topics
  5. Marketing in Agriculture | Week 5
    3 Topics
    |
    2 Quizzes
  6. Farm Records & Book Keeping | Week 6
    3 Topics
  7. Types of Farm Records | Week 7
    9 Topics
  8. Computer-Aided Farm Records and its Benefits | Week 8
    3 Topics
  9. Farm Accounting and Bookkeeping | Week 9
    6 Topics
    |
    1 Quiz



Lesson Progress
0% Complete

Topic Content:

  • Factors that Determine the Price of Agricultural Produce
  • Meaning of Demand and Supply
  • Evaluation Questions
Factors that Determine the Price of Agricultural Produce

The following factors determine the price of agricultural produce:

  • Cost of Production
  • Quality of Produce
  • Quantity of Produce
  • Forces of Demand and Supply
  • Market Price of Produce
  • Seasonality of Agricultural Produce
  • The Number of Producers
  • Government Policy

Let’s discuss these factors in more detail:

1. Cost of Production:

A lot of capital is involved in acquiring agricultural produce. Crop production involves land clearing, land reparation, farm input, harvest and crop preservation, etc.

Animal production also involves a lot of capital because of the factors involved.  If the cost of production is low, the price will be low, but when the cost of production is high, the price of such farm produce will be high.

2. Quality of Produce:

If agricultural produce has high quality, it attracts a better price at the market. Some products are sold at a higher price when they are fresh. But they attract low prices when they have spent a lot of time on display, or are affected by pests, like grains that perish or rot like fruits and vegetables.

 In summary, the higher the quality of agricultural farm produce, the better the price. 

3. Forces of Demand and Supply:

This determines the price of farm produce.

What is Demand?

Demand is the willingness and ability of a consumer, to consume or buy particular goods, or services, at a particular price.

What is Supply?

Supply is the quantity of goods and services, that the producer is willing to offer to the market, at a particular price, place, and time.

 

You are viewing an excerpt of this Topic. Subscribe Now to get Full Access to ALL this Subject's Topics and Quizzes for this Term!

Click on the button "Subscribe Now" below for Full Access!

Subscribe Now

Note: If you have Already Subscribed and you are seeing this message, it means you are logged out. Please Log In using the Login Button Below to Carry on Studying!

avataravatar

Responses

Your email address will not be published. Required fields are marked *

error: Alert: Content selection is disabled!!