Cargills Build Links to Sri Lankan Farmers

From Zambia Workshop

Janaki K., Director of Strategic Planning for Cargills, gave a wonderful opening presentation this moring on Cargills's farmer support system. Cargills is the largest supermarket chain in Sri Lanka. They provide agricultural information support and above local market prices to the farmers. They can offer higher prices because they remove the middlemen from the value chain.

Cargills helps the local farmers produce high-quality produce by sending out Cargills employees who help the farmers with information on the best crop varieties and the farming techniques required to produce at the international standards required by Cargills. Up to this point, Sri Lankan farmers were at the mercy of local middlemen. Because they did not know the right crops to plant the right time to go to market, they frequently ended up with little or no profit to show for their efforts. In some cases, they would simply dump their produce rather than haul their food to the wholesale market when they know they will lose money there.

Cargills offers an interesting way that the private sector can help local farmers to the benefit of both sides.


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