Vegetable enterprise in the valley of Kashmir holds tremendous significance as it ensures the nutritional requirements of the population, enhances the profitability of the farming sector, and has enormous employability potential in this predominantly agrarian economy. The present study explores the logistics of vegetable enterprises, primarily focusing on the spatial spread of market centers, their functioning, role, and efficiency of supply chains, postharvest losses, and constraints. The study used Nearest Neighbor Analysis, Location Quotient, and Rao's Sphere of Influence method to demarcate the Trade Area. It was found that there is a random distribution of vegetable markets with the Rn value of 1.12 across the region, with the largest trade area (27 sq km) in the second‐order market center at Srinagar. From the Boxall postharvest loss method, it was found that between 20% and 25% of the vegetables are lost along the entire supply chain on account of inadequate infrastructure and a lack of technology and awareness. The efficiency analysis reveals that shorter supply chains exhibit higher efficiency as compared to extended supply chains. However, despite lesser efficiency, these extended supply chains comprised of producers, preharvest contractors, wholesalers, retailers, and consumers are more prevalent (51%) on account of small farm size, low income, and quantity of produce, which is validated from the results of Chi‐square and Analysis of Variance tests at the (p < 0.05) level of significance. From the constraint analysis, it was revealed that numerous intermediaries, small farm sizes, inadequate counseling and training, an improper support system, and a lack of market information are the main obstacles in this enterprise. Policy interventions for the upgradation of infrastructure, strengthening farmer's cooperative societies, easy access to finance, training, and awareness are needed for streamlining operations, reducing wastage, and improving efficiency and productivity to ensure the long‐term sustainability of this enterprise.