IMF Working Papers

Agricultural Market Integration in India

By Michal Andrle, Patrick Blagrave

July 3, 2020

Download PDF

Preview Citation

Format: Chicago

Michal Andrle, and Patrick Blagrave. Agricultural Market Integration in India, (USA: International Monetary Fund, 2020) accessed December 21, 2024

Disclaimer: IMF Working Papers describe research in progress by the author(s) and are published to elicit comments and to encourage debate. The views expressed in IMF Working Papers are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management.

Summary

We assess the degree of cross-market price discrepancy (a proxy for market integration), its evolution over time, and proximate determinants, using monthly price data for 21 agricultural goods and 60 markets in India. Econometric analysis shows that cross-market price integration is positively associated with the level of transportation infrastructure, and distance between market pairs. There is no robust evidence that price integration has increased in recent years, suggesting that any positive effects of recent policy initiatives are either small, outweighed by the identified determinants of integration, or yet to come.

Subject: Agricultural commodities, Agricultural sector, Commodities, Economic sectors, Infrastructure, National accounts, Transportation

Keywords: Agricultural commodities, Agricultural sector, Cross-market dispersion, Cross-market markup, Cross-market trade, Cross-region price discrepancy, Global, India, Infrastructure, Market, Market integration, Markup, Markups vis-à-vis, Price dispersion, Price integration, Price transmission, Transportation, WP

Publication Details

  • Pages:

    20

  • Volume:

    ---

  • DOI:

    ---

  • Issue:

    ---

  • Series:

    Working Paper No. 2020/115

  • Stock No:

    WPIEA2020115

  • ISBN:

    9781513549163

  • ISSN:

    1018-5941

You May Also Be Interested In...

Industrialization and the Big Push: Theory and Evidence from South Korea

December 20, 2024

Size and Resilience of the Blue Economy in Pacific Island Economies

December 20, 2024

Islamic Republic of Mauritania: Selected Issues

December 20, 2024

Ecuador: 2024 Article IV Consultation and First Review Under the Extended Arrangement Under the Extended Fund Facility and Financing Assurances Review-Press Release; Staff Report; and Statement by the Executive Director for Ecuador

December 19, 2024