“The Impact of Agro-Processing Units on the Financial Condition of Farmers: A Case Study of Sataras District, Maharashtra”.

Abstract

This study investigates the impact of agro-processing units on the financial condition of farmers in Satara District, a prominent agricultural region in Maharashtra, India. The district is known for its production of fruits (especially grapes and strawberries), sugarcane, and dairy, supported by a network of processing units like sugar factories, dairy cooperatives, and wineries. The primary objective was to analyze the effect of these linkages on farmers' income, price stability, and overall financial risk. A descriptive research design was employed, collecting primary data from 40 farmers through a structured questionnaire. Secondary data was gathered from district agricultural offices and published reports. Findings indicate that farmers linked with agro-processing units experience significantly higher and more stable incomes, better access to inputs and credit, and reduced market risks compared to their non-linked counterparts. However, challenges such as delayed payments and quality standards persist. The study concludes that agro-processing unit’s play a vital role in enhancing farmers' financial conditions and recommends policy interventions to strengthen these linkages further.