The agricultural produce supply chain is a critical component of the agricultural sector, ensuring the efficient movement of goods from producers to consumers. An effective understanding of existing marketing channels is crucial for streamlining the supply chain network. Previous research has made significant strides in this area. Thakur et al. (2023c) conducted a comprehensive study on marketing costs and price spreads of vegetable crops in India. Their research sheds light on the various channels through which produce flows, the associated costs and the economic implications for farmers, whereas Panda and Sreekumar (2012) highlight the impact of intermediaries and the advantages of direct sales. Their study provides practical considerations for improving marketing practices in the agricultural sector. As the number of intermediaries increases, the producer’s share in the consumer’s price tends to decrease (Chand et al. 2020). This finding resonates with the existing literature on supply chain dynamics, where excessive intermediation can lead to reduced returns for primary producers. The study underscores the advantage of direct sales channels for producers. When producers have the ability to sell their produce directly to consumers or retailers, they tend to receive higher net returns (Mishra et al. 2014).

Furthermore, the studies by Kumar et al. (2004) and Sidhu et al. (2010) applied metrics like marketing cost, price spread and market margin to assess the market performance of vegetable crops. Their research offers a foundational understanding of the metrics used to gauge marketing performance, which can be directly applied to the context of capsicum cultivation. Acharya’s approach, outlined in Acharya and Agarwal (2016), offers a valuable framework for evaluating marketing efficiency in agricultural produce. This approach has been successfully applied in studies focused on diverse Indian crops, providing a proven tool for assessing capsicum’s marketing efficiency. Additionally, Thakur et al. (2023a) applied Acharya’s approach to assess marketing performance in agricultural supply chains. Their study showcases the applicability and efficacy of this framework in evaluating marketing performance, providing a relevant precedent for capsicum cultivation, whereas Aliyi et al. (2021) provide a comprehensive and insightful analysis of smallholder vegetable production in Ethiopia. By addressing profitability, market performance and constraints, the study not only contributes valuable empirical evidence but also offers pertinent policy recommendations for advancing the vegetable sector and promoting rural economic growth and poverty reduction. This research used various techniques such as marketing cost, price spread and marketing efficiency to study the market performance of marketing channels. Moreover, the study conducted by Mgale and Yunxian (2020) offers critical insights into the dynamics of rice marketing among smallholder farmers in rural Tanzania. They used Acharya and Agarwal’s method to evaluate marketing efficiency, which is a robust approach. This method provides a comprehensive view of the efficiency levels across different marketing channels, enabling evidence-based policy interventions (Acharya 2016). Simultaneously, Chand et al. (2020), focusing on the marketing efficiency of vegetables in Rajasthan, India, provide critical insights into the challenges faced by farmers in the vegetable supply chain. The research contributes significantly to the discourse on agricultural marketing in developing economies. The comprehensive methodology employed, involving data collection from farmers, wholesalers and retailers, ensures a well-rounded analysis of the vegetable supply chain (Thakur et al. 2023b). The researchers used the Acharya approach to study marketing efficiency. Further, research revealed that the assessment of the farmer’s share in consumer expenditure is a key indicator of the distribution of benefits along the supply chain, whereas the calculation of the marketing efficiency serves as a critical metric for evaluating the effectiveness of the marketing system. Moreover, analysing market constraints is essential for identifying and prioritizing challenges within the supply chain network. The research conducted by Kumari and Chauhan (2021) employed Garrett’s ranking to identify and prioritize constraints in cash crop marketing. Their work provides a methodological precedent for the analysis of marketing constraints in the capsicum supply chain in Himachal Pradesh. Further, a study conducted by Kumar et al. (2019) provides valuable insights into the constraints faced by farmers in vegetable marketing. Their research contributes to the broader discourse on agricultural development and highlights the need for targeted interventions to address the specific constraints faced by stakeholders in the vegetable supply chain.