Links between farmers, retailers to be strengthened

The Ministry of Commerce plans to continue its efforts to strengthen links between farmers and supermarkets to better promote the Chinese fruit market, particularly overseas and stabilize domestic fruit prices.

Fang Aiqing, assistant minister of commerce, said that better communication will benefit both farmers and retailers, as improved dialogue will secure a more stable supply for the supermarkets and improve farmers' income.

Farmers have suffered losses in recent years because of fluctuations in domestic fruit and vegetable prices.

To help sustain income growth in rural areas, the government has released a series of measures to help tackle the problem, and promoting direct purchases by supermarkets from farmers is a priority.

Fang also pointed out that encouraging overseas sales of Chinese products will also help improve the quality and safety of Chinese fruit.

"Chinese farmers and agricultural companies should cultivate a global vision and become stronger competitors in the global market," he said.

Fang was speaking in Ganzhou, Jiangxi province, at a ceremony celebrating the French retailer Carrefour's direct purchase of 300 metric tons of navel oranges from local farmers.

These oranges will be sold in Carrefour's stores across the Middle East and Southeast Asia.

Ganzhou boasts of having the world's largest growing area for navel oranges and is the world's third-largest producer by output, after Spain and the United States.

Thierry Garnier, chairman and CEO of Carrefour China, explained the company has been working closely with farmers, concentrating on improving quality through better management of agricultural pesticides and fertilizers.

Garnier said Carrefour has bought more than 300,000 tons of fruit and vegetables directly from more than a million Chinese farmers across the country at a total cost exceeding 1.5 billion yuan ($234 million), and it plans to extend its direct purchase policy to more farmers.

Chen Xianbo, general manager of the supplier and exporter Yuhuan Feilong Pomelo Co Ltd, said cooperation with multinational supermarkets has helped the business increase its income by 15 percent.

"We used to do business through traders, but that was too risky and proved difficult for us to expand our production and export volumes," said Chen, who has more than 20 years' experience in the fruit business,

He started working with Carrefour six month ago. The French retail giant has sent a team to his farms to advise him on how to better manage and monitor pesticides and fertilizers, as well as other issues such as packaging and branding.