In the previous issue, Pheng Kim kheang had shared his problem about the unbalanced profit between farmers and dealers. What should be done to make their relationship fair ?
CADAC President Dr. Yang Saing Koma has responded to the problem, pointing out that profit-making is part of the game.
"It is normal that in doing business, the dealer must think of their profit first. But the farmers themselves should calculate the operating expenses and whether or not it fits with the selling price, which includes the expenses from seed, manure, water, labor as well as the duration of planting.”
He added that farmers should not think of the advantages of the dealer; in contrast, they should think of the hardships of the dealer, such as when they sell lettuce to the customers or the expenses on the transportation. If we calculate their costs, we can see that the profit the dealer earns is similar to the farmers."
If the price charged by dealers is truly unfair, Koma said there are steps that the farmers can take.
“If the farmers do not want to do business with the dealer, they should sell their lettuce directly to the customers, or they can cooperate with the other lettuce planters to sell the products. It helps reduce expenses on transportation.”
Marketing problem are so complicated that they demand flexibility based on the situation, and the farmers themselves need to consider them and make the right decisions.