Oversupply or Underdistributed?

[sleepfirefly]

recently, news of farmers dumping their produce (in this case, tomatoes) have been a topic. this isn’t actually a new topic because already for years this has been happening. the consumers are left confused because the produce they have been buying are so expensive so how is it that there’s an oversupply?

the answer simply is underdistribution. the overwhelming produce aren’t distributed properly to markets or to consumers. instead the imports are the ones prioritized and sold in markets. sometimes the middlemen also really rake up the prices.

imagine how cheap the groceries can be if the government focused on the right things..

[Cointxz]

the answer simply is underdistribution. the overwhelming produce aren’t distributed properly to markets or to consumers. instead the imports are the ones prioritized and sold in markets. sometimes the middlemen also really rake up the prices.

imagine how cheap the groceries can be if the government focused on the right things..

Logistics is always the problem for 3rd world countries like my country. I don’t know what country you are referring on your scenario but redistribution is indeed the main culprit why many produce doesn’t go to the market easily that creates a shortage on supply.

Farmers choose to dump their produce rather than sell it in bargain when there’s no logistics available so that other opportunistic businessman don’t intentionally cut the logistics just to purchase in cheap price.

Government should fund logistics from farm to market to bring lower cost of farm products.

[Fortify]

A topic where? Bangladesh farmers weekly? Please understand that this is a global forum but you might be seeing highly localized news. This supply and demand dynamic is what underpins capitalism or even human trading since the beginning of time. Consumers are in no way confused, they understand that if you buy food from a restaurant then you might pay a 100x mark up for all the facilities and skills to bring that to your plate, but supermarket prices will have a much smaller margin built in if you buy raw products there. This constant reorganization of priorities and pricing requires farmers to alter what they plant in their fields each year, because there are also production costs which must be covered. If there are too many tomatoes this year, then you might find some farmers move into peas or beans. Unless the government is subsidizing a certain crop then it has absolutely nothing to do with them what farmers get for their product, just like you wouldn't expect the government to price what the next pair of Nike running shoes cost.

[abhiseshakana]

You described phenomena also often happen in my country, farmer throw away their harvesting fruit or vegeratble as a protest to government which is considered to have failed to protect the welfare of farmers. This is not only government fail but mostly because seasonal glut due to over supply which cause local supply shock. There are social movement which buy farmer's declining price harvesting supply, after they buy in reasonable and
acceptable price, they share with community mostly in urban area.  Beside that, because of online market platform, farmer can sell directly to end user/customer with higher price than they sell to village collector. matter of fact online market platform cut long supply chain. Traditionally farmer sell to village collector which bring to large collector, after that they sell to urban distributor, bring to wholesale market, trader buy to sell to end user.

[summonerrk]

recently, news of farmers dumping their produce (in this case, tomatoes) have been a topic. this isn’t actually a new topic because already for years this has been happening. the consumers are left confused because the produce they have been buying are so expensive so how is it that there’s an oversupply?

the answer simply is underdistribution. the overwhelming produce aren’t distributed properly to markets or to consumers. instead the imports are the ones prioritized and sold in markets. sometimes the middlemen also really rake up the prices.

imagine how cheap the groceries can be if the government focused on the right things..

In the city where I lived, agricultural products such as cucumbers and tomatoes were also often destroyed, and I understood that this was done because they did not have time to sell them, and they would have further deteriorated on the way to supermarkets. They decided not to distribute them to people, so as not to bring down the prices of such products, but only quietly buried them in a pit, after which the governor found out about it and imposed fines on an enterprise that destroys agricultural products, which had spent a lot of effort instead of making the calculations correctly in advance.

[stompix]

imagine how cheap the groceries can be if the government focused on the right things..

Yeahhh
All we need is the government to intervene, it's all cheap and...I was going to say plentiful but...
Every single fucking time the government messed with the food chain, there has been a horror story
- Communism in Europe, the government trying to make food cheap and abundant? Ratios of bread!
- Communism in China? Mao trying to revitalize agriculture? 50 mllion death

A topic where? Bangladesh farmers weekly? Please understand that this is a global forum but you might be seeing highly localized news. This supply and demand dynamic is what underpins capitalism or even human trading since the beginning of time.

It happens in other countries too , like Spain. 
Joking aside, it does happen even in Europe, but not dumping but simply not picking them up from the fields, it's not like it's a normal thing and in case of tomatoes it happens way more rarely than potatoes or cabbages which are cheap crops by the kilo and are also prone to overproduction in a good year.
And yeah, you will not see them being dumped because the actual bottleneck price-wise is the harvesting.

[philipma1957]

imagine how cheap the groceries can be if the government focused on the right things..

Yeahhh
All we need is the government to intervene, it's all cheap and...I was going to say plentiful but...
Every single fucking time the government messed with the food chain, there has been a horror story
- Communism in Europe, the government trying to make food cheap and abundant? Ratios of bread!
- Communism in China? Mao trying to revitalize agriculture? 50 mllion death

A topic where? Bangladesh farmers weekly? Please understand that this is a global forum but you might be seeing highly localized news. This supply and demand dynamic is what underpins capitalism or even human trading since the beginning of time.

It happens in other countries too , like Spain. 
Joking aside, it does happen even in Europe, but not dumping but simply not picking them up from the fields, it's not like it's a normal thing and in case of tomatoes it happens way more rarely than potatoes or cabbages which are cheap crops by the kilo and are also prone to overproduction in a good year.
And yeah, you will not see them being dumped because the actual bottleneck price-wise is the harvesting.

yeah in the US and Europe crop pickers are not so cheap so letting the food rot in the fields happens from time to time.

[Agbamoni]

the answer simply is underdistribution. the overwhelming produce aren’t distributed properly to markets or to consumers. instead the imports are the ones prioritized and sold in markets. sometimes the middlemen also really rake up the prices.

imagine how cheap the groceries can be if the government focused on the right things..

The solution to our problem is to fix the minor issues in the country. Importing farm produce is costly when those products can be produced within the country. First, the citizens should learn to cherish what they can grow. Like, in my country, foreign products are more appreciated than local products because they do not value whatever is produced within the country. Once that mentality has changed, good roads and companies should be made for the goods to circulate.

[Roseline492]

recently, news of farmers dumping their produce (in this case, tomatoes) have been a topic. this isn’t actually a new topic because already for years this has been happening. the consumers are left confused because the produce they have been buying are so expensive so how is it that there’s an oversupply?

the answer simply is underdistribution. the overwhelming produce aren’t distributed properly to markets or to consumers. instead the imports are the ones prioritized and sold in markets. sometimes the middlemen also really rake up the prices.

imagine how cheap the groceries can be if the government focused on the right things..

Oversupply doesn't make the product too expensive because is usually something that is not in much cost on the market but however when is too costly is because the quantity they have been supplying is very small for everyone who wants it to buy so actually they would start selling it very high since they no that they could sell it at any price they want. In Tomatoes we have sufficient supply in my country and the price is something anybody can buy, although there are times it can also be a bit costly because of the season, there are season tomatoes are everywhere and nobody to buy but in some other season it will not be common.

[Lida93]

the answer simply is underdistribution. the overwhelming produce aren’t distributed properly to markets or to consumers. instead the imports are the ones prioritized and sold in markets. sometimes the middlemen also really rake up the prices.

imagine how cheap the groceries can be if the government focused on the right things..

Logistics is always the problem for 3rd world countries like my country. I don’t know what country you are referring on your scenario but redistribution is indeed the main culprit why many produce doesn’t go to the market easily that creates a shortage on supply.

This is an exact challenge facing some parts of my locality that are water surrounded which makes redistribution through logistics very difficult thereby impacting on supplying chain, causing shortage in supply. For the fewer goods that some marketers are capable of moving to these areas the prices are hiked from the normal price due to the extra cost of logistics to these locations which not every marketer dares to take their goods there, also due to insecurity on the waterways.

Farmers choose to dump their produce rather than sell it in bargain when there’s no logistics available so that other opportunistic businessman don’t intentionally cut the logistics just to purchase in cheap price.

In this interest and profit game it's the end users that bears the it eventually, because when the goods are dumped it causes high demand with low supply with unfair prices.

Government should fund logistics from farm to market to bring lower cost of farm products.

Who are the businessmen and who are the governments (politicians)? Same people that shakes hands.

[passwordnow]

The farmers will choose to dump it without anyone benefiting it with cheaper cost. Because that's against their ego and I think they have the right to do that since from the planting to harvesting, it's all their efforts that have been put into it. And that's their choice if they chose to destroy their agri products due to the abuse of the middlemen and businessmen. Instead of them benefiting from their own products, it's them that are the ones who's suffering due to the manipulation of these people who are greedy and don't think of their welfare.