Marketing of Inland fish

Fresh water or sweet water fish production is referred to as "Inland" fish production as it is carried out in non-coastal areas. It is a culture type of fishery. Fishes are raised in rivers, natural reservoirs, irrigation dam reservoirs, tanks and fish ponds specially constructed for the purpose. Except big rivers, in other water bodies, fish seed or fingerlings of desired (species) are released in the waters, they are fed with artificial feeds and cared for by controlling environmental parameters such temperature, oxygen, etc. to optimum levels by following scientific management practices. Several technologies and management practices have been developed through research on inland fishery during the last 4-5 decades. In addition to rivers and natural reservoirs, several water bodies have been created by way of dam-reservoirs, tanks and fishponds. Some enterprising persons have chosen fresh water fishery as their occupation by constructing fish ponds on commercial scale and are managing them scientifically and gainfully. As a result of all these developments inland fishery has made rapid progress during the last four decades. It is progressing faster than the marine fishery. The contribution of inland fishery to total fish production has gone up from 29% to 42% in recent years. The value of total fish-inland and marine-captured, cultured or harvested in India increased from Rs. 1480 crores in 1984-85 to Rs. 10,150 crores in 1995-96. Inland fishery is carried out in almost all the states of India to a smaller or greater extent, including those states, which have sea coast. At national level, Maharashtra is the first in fresh water fishery followed by Gujarat, Assam and Kerala.

Marketing inland fish more problematic

Inland fishery is carried out at specific locations where water bodies are available. Such locations may be in the interior areas and scattered, away from towns and cities where consumer markets exist. Fish being highly perishable commodity, its marketing assumes special significance. It needs-

1. Good roads and quick transport facilities

2. Suitable container, ice,cold storage to keep fish fresh for longer time

3. Suitable agency (or agencies) as fishermen are poor, unorganized and cannot reach consumers.

These facilities are generally not available upto desired expectations and the fishermen face more problems than the fishermen are engaged in marine fishery. Because marine fishery is carried out in relatively concentrated or localised area where infrastructure facilities are provided in a better manner.

Methods of marketing

Marketing of inland fish in different states, though has some common features, differs in many ways. In Haryana, majority of the fish farmers (63%) sold their produce at Delhi wholesales market followed by direct sale to consumers (32%). Two marketing channels were observed

In Channel I, total marketing cost was Rs. 403 per Q. in which market commission was about 41% and transportation 21%. Other major costs were packing (11%), spoilage (10%) and cold storage charges (9%). In this channel, producer’s share in consumer’s rupee was 57.3%.

In Channel II, which was direct sale to consumers (local market), producer’s share in consumer’s rupee was as high as 83.3 per cent. But local demand for fish being very limited, marketing at wholesale market in Delhi has to be adopted.

The consumers of Channel I (Delhi) had to pay higher price (Rs. 36.50 per kg) than consumers of Channel II (Local) Rs. 33.37 per kg. When production is more, local marketing has limitations and distant markets need to be searched out.

In Himachal Pradesh, inland fishing was carried out in Govindsagar reservoir of 15000 hectare. The reservoir was given on lease by the State Fisheries Department to fishermen’s co-operative society. Fishes were sold grade wise at the fishermen level. ‘A’ grade included Rohu, Katla and Singhara, whereas remaining species were included in ‘B’ grade. On an average, a fisherman could catch 1260 kg of fish per annum, earning an income of Rs. 14706 (per kg price of Rs. 11.60). The break-even fish catch was only 57% of actual fish catch, showing that the fishing in the reservoir was a viable activity. Winter prices were higher (Rs. 34 per kg) than summer season prices (Rs. 27 per kg) for both the grades due to low demand in summer. There was only one marketing channel, viz. Fisherman – Co.operative Society – Fisheries Department – Commission agent – Retailer – Consumer.

The fisherman’s share in consumer’s rupee was only 41% and 43% during summer and winter seasons respectively. Fisherman’s share was low due to high market costs and market margins due to more number of intermediaries.

In Maharashtra (Chandrapur district) three channels of distribution were identified in the channels of distribution were identified in the marketing of inland fish.

Channel I Producer – Consumer
Channel II Producer – Retailer – Consumer
Channel III Produce – Wholesaler – Retailer – Consumer

In Channel I, gross price received by the producer was Rs. 3500 per consumer’s price. He incurred cost of Rs. 300/- and received net price of Rs. 3200 per Q. Therefore, his share in consumer’s price was as high as 91.42%.

In Channel II, the price paid by the consumer was Rs. 3600 per Q. and the price received by the producer was Rs. 2900 per Q. Thus the share of producer was 80.55%. The cost of marketing was Rs. 700 per Q. (19.45%). This included 4.49% market cost and 14.96% retailer’s margin.

In Channel III, the price paid by consumer was Rs. 400 per Q and the price received by the producer was Rs. 2850 per Q, which came to 71.25%. The remaining was marketing cost (11.37%), wholesaler’s margin (5.13%) and retailer’s margin (12.25%). This clearly showed that when there are more intermediaries, produce becomes costlier to the consumer while the share of producer is greatly reduced.

In Madhya Pradesh, entire fish production comes from inland fishery. Average fish production per farm was about 14 Q and per hectare 10.55 Q. This indicated that the average size of farm was 1.32 ha. With average net sale price of Rs. 10 per kg, annual income per farmer came to Rs. 14,000, which was quite small. As regards disposal, 93.5% was sold out as marketed surplus. There were four channels of marketing –

Channel I – Producer – Consumer (Local Market)
Channel II – Producer – Consumer (Door to door sale)
Channel III – Producer – Wholesaler – Retailer – Consumer
Channel IV – Producer – Contractor

Nearly 26.30% produce was sold in the local market, 8.86% door to door, 36.30% to wholesaler and 28.54% to contractor. Most of the marginal and small farmers sold their produce to contractors only, semi-medium and medium farmers sold to both wholesalers as well as contractors. Only landless and marginal farmers sold their fish door to door. Final prices paid by consumers varied from Rs. 30 to 35 per kg. The marketing was simple and local, not involving much cost.

Co-operative fish marketing

Since the inland fishermen are scattered and unorganized there is lot of exploitation of them by the middle agencies. Most of the market research studies, not only in fisheries but also in fruits and vegetables, have suggested that the producers should get themselves organised into co-operative societies and market their produce through these societies. There is one success story of co-operative marketing of fish in Himachal Pradesh. Fishing is carried out in Govindsagar reservoir of 15000 ha belonging to the State Department of fisheries. Reservoir is given on lease to fishermen’s co.op.societies. The numbers of co-operatives have increased from three in 1976-77 to 12 in 1993-94 and the revenue to the Govt. has increased from Rs. One lakh to Rs. 19.89 lakhs.

Other factors include-

1. denying licences beyond saturation level to maintain fish stock naturally and avoid overfishing.

2. Enforcing rules and regulations pertaining to fish size, mesh size and disallowing fishing through wasteful methods

3. Stocking and proper breeding policy by way of observing closing the season for fishing on commencing monsoon season from 16^th June to 15^th August which is the breeding season of fishes.

4. Releasing adequate fingerlings (seed) of desired species

5. Establishing of fish seed farms near the reservoir

The farmers and fishermen else where may take lesson and guidance from this successful co-operative model and market their produce through their own co-operative societies.

Problems of fish marketing and remedies

Following problems are faced by fishermen in marketing inland fish.

1. Lack of suitable agency: All the fish produce cannot be disposed off in the local markets directly to the consumers. Distant and bigger markets have to be searched out. This needs efficient agency with minimum number of middlemen. The present system involves many intermediaries such as contractor, wholesaler, auctioneer, retailer, vendor etc. In some markets retailers have monopolistic methods of control over the markets. There are no market regulations. Therefore, fishermen get very low prices. This needs to be checked by introducing market regulations. Existing co-operatives of fishermen need tobe strengthened and new societies should be formed where they are not existing.

2. There is considerable damage of fish during transport from the producing centres to the retail centres. Good roads and quick transport vehicles including insulated vans needs to be provided.

3. Fish being perishable, cold storage facilities need to be provided at the production as well as consuming centres. At present, there is acute shortage or even absence of this facility. If the fishermen can organise their co-operative societies, the societies can provide insulated vans for transport and cold storages.

4. Fresh water fish farms and rural markets are not properly integrated. There is lack of communication regarding current or upto date prices, demand supply situation and so on. Poor market integration indicates uncompetitiveness of the markets. The markets should have good communication system so that price and other changes in one market can be quickly transmitted to other markets and market operations can be improved accordingly, benefiting both fishermen and consumers.