Monday, September 12, 2011

Middle men in agriculture market

This incident shows how middle men in agriculture distort the market. The farmers never get the true price for their agriculture products. Moreover, most of the subsidized agricultural inputs get routed by agents.

The Sapahi farmers are also demanding that the government find market for their produces and punish people creating artificial shortage of chemical fertilizers, seeds and pesticides.

How can you not find market for agriculture produce when in fact the market is seeing food prices? Incentives structure (price) is failing to work here.