The Impact of Intermediaries and Brokers on Food Prices is Growing
Data from the Union of Chambers of Agriculture of Turkey revealed that intermediaries and brokers multiply food prices during the process from farm to shelf, with the highest price difference observed in lemons.
August data from the Union of Chambers of Agriculture of Turkey highlighted the massive increases in food prices due to intermediaries and brokers in the process from farm to shelf. The price gap between the producer and the supermarket exceeded 748 percent.
The Price Gap from Farm to Shelf
One of the most fundamental reasons for the high food prices in Turkey is the widening price gap between the farm and the shelf. The products grown by farmers pass through many intermediaries before reaching the consumer.
Highest Difference in Lemons
According to data from the Union of Chambers of Agriculture of Turkey, the highest price difference between the producer and the supermarket was detected in lemons at a rate of 748.4 percent. Lemons that cost 10 liras at the producer were sold for 84 liras and 84 kurush in the supermarket.
Carrots and Other Products
Carrots, which cost 10 liras and 66 kurush per kilo at the producer, found buyers at 51 liras and 20 kurush in the supermarket. The price difference for this product reached 380.3 percent.
Legal Rates and Deductions
According to regulations, the commission rate that wholesale market brokers can charge cannot exceed 8 percent. However, producers claim that in some cases, this ceiling is exceeded and deductions are made under different names.
Logistics and Spoilage Costs
Losses incurred during the transportation, storage, and processing of the product, along with shipping expenses, increase costs. Spoilage rates in fresh fruits and vegetables are accepted to be around 30 percent.