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Where is the value ended up in the Chain ? (test)

Since 2010, Inflation in China has significantly pushed up the prices of foodstuff at the consumer end, however at the producers' end, farmers were unable to sell out their products even at the price below the production cost. Where has the large profit margin between farm gate price and consumer price ended up with ?  An indepth look would tell how the different stakeholders are profiteering from the payment of consumers at the sacrifice of farmer producers. Without adequately engaged in the chain and have their say, poor farmers easily go bankrupting. A vegetable growning farmer in Shandong province even comitted suicide due to the failed price on his crops... Something is wrong somewhere in the chain....

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This is a something that we hear about again and again. The farmer is the last one to benefit even when consumer prices sky-rocket. In many projects there are arrangements for collective marketing. I wonder if we have evidence that these groups do better when food shortages drive up consumer proces.

Posted on 6/17/11 2:29 PM.

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