date:Aug 29, 2012
e are savings on transportation. Commission agents charge farmers a good 5% to 7%, while transportation costs add up to another 5% to 10%, depending on the condition. By removing intermediaries like middlemen, companies ensure quality and consistent supply of produce apart from bringing costs down.
Another incentive for farmers is that they get spot payments and assured cheque payments reach them within two to three days. Besides, corporates give farmers immediate price updates, transparent weig