The Kerala government will soon start the direct purchase of products from Tenkasi (Tamil Nadu) farmers, removing the role of middlemen. The Kerala State Horticultural Products Development Corporation (Horticorp) together with 6 Farmer Producer Organisations (FPOs) from Tamil Nadu will sign an agreement on December 8 in Tenkasi to start direct trading of vegetables.
It thus ensures the supply of vegetables to Kerala consumers at a fair price. The deal is also beneficial for Tamil Nadu farmers as they are provided to sell their products to FPOs, which will then reach Horticorp thus eliminating the middlemen from Tamil Nadu and Kerala.
For instance, if a farmer sells his crops for Rs. 1000 and has expenses in commission and transportation costs, the middlemen sell it on Rs. 1300 to the middlemen of Kerala, who further increases the price and at markets, it will be available at a price of Rs. 1800 or Rs. 2000.
It is proposed that the Horticorp will directly purchase vegetables from six FPOs in Tenkasi, following the prices fixed by the Uzhavar Santhai. They will sell it to consumers in Kerala without any involvement of middlemen.