Agriculture Reference
In-Depth Information
3.2.6 Limitations in marketing
The short production period of some indigenous fruit trees results in the
simultaneous ripening of all fruits, thereby causing a glut in the market and low
prices, followed by relative scarcity and high prices. A major problem of
homestead farmers is the capacity to market fresh produce and the loss in quality
during storage and transportation to the final market. Farmers often have to wait
for traders before harvesting, which presents a particular problem during peak
production periods and results in losses throughout the market chain. Another
problem facing the marketing of indigenous fruits is a consequence of their being
wild or semi-domesticated; this leads to very substantial tree-to-tree variation in
fruit characteristics and thus to a lack of uniformity in quality. As a result, the
wholesalers will not pay a good price because a basket of fruits is sourced from
many different trees (Leakey
et al
., 2002). However, many indigenous fruit trees
produce fruits out of season, and this creates the opportunity for the development
of cultivars which will extend the season. The 'Noel' cultivar of
Dacryodes edulis
in Cameroon (Leakey
et al.
, 2002) is a good example.
The promotion of commercially viable processing industries for indigenous
fruits requires the availability of raw materials (i.e. a regular and reliable supply),
product uniformity and consistently good quality, marketability of products,
availability of technology to meet processing and market requirements, necessary
machinery and equipment, and adequate and easy access to the necessary
information and support services, including credit (Wilson, 1998).
Most fruits are sold by farmers immediately after harvest because of lack of
storage facilities and the growers' need for cash. The majority of farmers sell
their products in weekly markets for food, medicinal, religious and other
cultural purposes, although some sell them in daily markets. However, the price
received by farmers will depend on whether they take the fruits to market
themselves, or sell to an intermediary. The main advantage of the latter
practice for farmers is that they receive payment in bulk and also cut down on
labour and transport costs. However, the practice does not allow for price
setting according to supply and demand. There is usually a large price gap
between the grower and the end consumer. In general, households tend to
practice this form of selling in response to difficulties with cash flow and are
therefore usually in a weak position to negotiate prices. The intermediary may
pay a fixed (usually low) price for fruit trees, sometimes approaching the farmer
at preharvest, negotiating a price for the tree and paying 50% in advance to
the farmer. The intermediary then takes responsibility for the crop and will
dictate the harvesting time. This usually coincides with a time when the market
price for the fruit is high, rather than according to the maturity index, leading to
the sale of poor-quality fruits. However, the role of the intermediary is often
very significant in assisting the grower to market the produce. In some
countries, such as Nepal, most indigenous fruits are collected from the wild
throughout the season and used locally or taken in small quantities to the local
market, with only a very few reaching the wholesale markets. This is due
primarily to problems of transportation where rural communities are a long way
from urban centres.
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