|Retailers in HCM City, including Big C and Saigon Co.op, are offering farmers in Lam Dong Province higher prices for tomatoes. — Photo thesaigontimes
HCM CITY (VNS)— Retailers in HCM City, including Big C and Saigon Co.op, are offering farmers in Lam Dong Province higher prices for tomatoes, which have plummeted in price to VND500-VND1,000 a kilo.
Since late last month, when the harvest season for tomatoes began, many farmers have incurred losses because of an oversupply.
An agricultural official in the province said the oversupply had been due to an increase in Chinese tomato imports and favourable weather conditions had allowed other areas to plant the vegetable.
Saigon Co.op, owner of the Co.opmart chain, is paying farmers VND6,000 a kilo, and has also transported tomatoes to the central and northern provinces for sale.
Nguyen Thanh Nhan, deputy general director of Saigon Co.op, said the move aimed to help famers to recover so they could continue the next crop.
An average of 12 tonnes of tomatoes are sold at the outlets every day, and the figure could reach 16 tonnes a day on the weekend.
As of yesterday, more than 300 tonnes of tomatoes had been sold via the Saigon Co.op retail chain.
Big C said it would buy150 tonnes of tomatoes from farmers and would sell the tomatoes at a cost price and pay the transport costs to the central and northern markets.
With such activities, the supermarket expects the volume of tomatoes sold at its 28 outlets to increase by five to six times.
However, such activities are only short-term measures, according to agricultural experts. To solve the problem of price drops on bumper crops, linkages between farmers and businesses in agricultural production should be enhanced, they said. — VNS