Integration of Cluster Beans Markets in Rajasthan State of India Bannor Richard Kwasi*, Dhaka Surjeet Institute of Agribusiness Management, SK Rajasthan Agricultural University, Bikaner, India *Corresponding author: etwienana@gmail.com/bannor46@yahoo.com
Online published on 3 December, 2015. Abstract The study assessed integration between cluster beans markets pairs in Rajasthan state of India using monthly cluster bean price series of six (4) markets from 2003–2015. The results show high volatility in cluster beans prices ranging from 115.38 percent to 123.93 percent over the said period. Prices of cluster beans peak between March and May. The prices are also high during November and December. The growth rates of cluster bean prices per annum in all the selected four markets are minimal. The results indicate a long run relationship between Sri Ganganagar and Hanumangarh; Anoopgarh and Sikar and Hanumangarh and Sikar markets. The highest speed of adjustment running was from Anoopgarh to Sikar towards long run equilibrium at a rate of 117.1 percent. The second highest speed of adjustment is at rate of 97.1 percent running from Sri Ganganagar to Anoopgarh market towards long run equilibrium Furthermore, there is high speed of adjustment running from Sri Ganganagar to Hanumangarh towards long run equilibrium at a rate of 92.7 percent. The results indicate short run bidirectional and unidirectional causality among market pairs. In addition, the results show within a period of one (1) year or twelve (12) months, the response influence of shocks from Sri Ganganagar to Anoopgarh, Hanumangarh and Sikar cluster bean wholesale market prices will be permanent. Top Keywords Cluster beans, ECM, VAR, Co-integration analysis, seasonality indices, Rajasthan, Speed of Adjustment, volatility, market integration. Top |