Navsari Agricultural University
Structure of Agri-business:
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Agri-business sector provides crucial backward and forward linkages.

 Horizontal integration: If one firm assumes the functions of other firm is called the horizontal integration Ex: Co-operative marketing societies, Co-operative farming societies.
 Vertical integration: If one firm assumes other functions which are having close relationship.
a. If one firm assumes other functions (succeeding) related to consumption function is called forward integration.
Ex: A wholesaler firm assuming the function of a retailer.
b. If one firm assumes the other functions (proceeding) related to the production function is called backward integration.
Ex: A wholesaler firm assumes the functions such as assembling, processing, packing etc.,
 Conglomerate integration: If one firm assumes several functions which do not have any relationship. Ex: Hindustan Lever Ltd.

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