The Influence of Direct Market Access on Profit Margins, Supply Chain Efficiency, and Economic Resilience for Small-Scale Dairy

This study investigates the impact of Direct Market Access (DMA) on the economic outcomes of small-scale dairy farmers in Gujarat, India. Specifically, it explores how DMA influences profit margins (PM), supply chain efficiency (SSE), and economic resilience (ER), compared to traditional market access (TMA), which intermediaries dominate. A total of 248 small-scale dairy farmers participated in the study, with data collected through structured surveys and financial records. Descriptive and inferential statistical analyses, including t-tests, ANOVA, and multiple regression, were employed to assess the relationships between market access type and key economic indicators. The results show that farmers using DMA reported significantly higher PM (Mean = INR 29,123) than those using TMA (Mean = INR 26,347). The DMA is better SSE by reducing transportation costs, time to market, and product wastage, with a significant difference in efficiency scores (t = 4.02, p = 0.001). The farm size, education level, and years of experience considerably affect agricultural results. Large farms mean there are more scale efficiencies because a farm is a significant operation with many resources to utilize.
Education increases farmers' understanding, enhances new technologies, and encourages them to adopt performance management. This means that years of experience result in more effective decisions from practical knowledge, risk management, and adaptive strategy. All these factors
are consistent; for example, educated farmers with adequate experience and large farms have the best chance of adopting new methods and maximizing returns and productivity. These improvements create tenacity, sustainability, and effectiveness in farming businesses. DMA enhanced ER, enabling farmers to withstand market fluctuations better and maintain stable incomes. Key factors such as farm size, education level, and years of experience further influenced these outcomes, with larger and more educated farmers benefiting more from DMA. The study concludes that DMA is a viable strategy for improving the economic sustainability of Small-Scale Dairy Farming (SSDF). However, addressing gender disparities and providing education and capacity-building initiatives are essential for ensuring that all farmers
can fully benefit from DMA. These findings offer essential identifications for policymakers, farmer cooperatives, and development organizations focused on enhancing the livelihoods of SSDF