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Perspectives on Agricultural Marketing in 2008: Voices from the Rural Areas

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Working Papers & Briefs
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Market / Trade
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Risk assessment
Agricultural Market Information System (SIMA), Department of Statistics,Technical Team
Michigan State University, Department of Agricultural, Food, and Resource Economics

This flash presents the perspectives of economic agents active in agricultural marketing of the 2007/2008 crop year compared to previous years. According to the agents interviewed, the current marketing season can be characterized by the following: 1) poor production and low yields for maize, beans, and other crops; 2) early start to the marketing season ; 3) very high prices at the beginning and increases during the period when prices usually decline; 4) strong competition between the formal and informal private sector agents particularly in areas with cell phone coverage; 5) active markets along the routes with best access and with good communication and transport networks; and 6) new economic agents (animal ration industry growing; new maize mills, new export alternatives, local purchase for food aid). With these observations, the agents predict high prices into the future.