Thanks to mobile phones, rural vegetable growers now know the price of their produce in city markets. Farmers and small traders at the northern trading hub of Mohasthan, Bogra, say that they now come to the market with a realistic idea of prices.
Information about the prices of commodities flows freely thanks to mobile phones. Producers say this has enhanced their bargaining power though the prices ultimately depend on supply and demand.
Studies cited in development literature suggest that mobile connectivity significantly reduces the cost of searching for information. Vegetable growers now often use voice calls and SMS services to contact buyers before harvesting.
Md Aminul Islam (36), a farmer of Rahmotbala village in Bogra Sadar upazila, has grown radish, gourd, pumpkin and yard-long bean on one acre of land. On 2 October, he brought radish to Mohasthan vegetable market. "I knew the price of each maund (40 kilograms) was about Tk 1,000 three days ago, but today it has fallen to Tk 500-600 per maund. This is because of higher supply, and because the quality of this vegetable is sometimes not good when grown in hot weather,” he explained. "Farmers cannot unite to fix the price. Farmers and traders have mobile phones, so both can get information about supply and demand.”
Rabbi Molla (25), hailing from Utholi, Shibganj, who cultivated an early variety of cauliflower on about 50 decimals of land, said they get an idea of the likely prices of vegetables before harvesting by talking to other farmers and traders. "I sold some cauliflowers from the field. I come here (to Mohasthan) hoping for a higher price. Prices go up, prices go down. When the demand for vegetables in Dhaka or other cities increases, that is when wholesalers and traders offer us better prices," he pointed out.
Reading the price situation, many paikars (traders) buy seasonal vegetables from farmers and sell them to Mohasthan-based arotdars (wholesalers) who sell commodities in bulk to their counterparts in Dhaka and other cities. One such trader, Masum Islam (27) of Bichok, Shibganj, said, "I bought bitter gourd for Tk 1,600 per maund from farmers today, expecting to sell at Tk 1,800. I am struggling to get it because we don't know the exact price in advance," he said.
Wholesalers at Mohasthan buy vegetables depending on orders from wholesalers in cities, and also depending on the supply. Cucumbers, auburgines, sponge gourds, pumpkins, yard-long beans and olive are abundant at present. "The higher the supply, the higher the profitability for us. But when there is higher demand in Dhaka, the farmers also ask higher prices. Everybody keeps track of demand and supply, via phone or Facebook. Farmers now get a share of any price-hike," said Abdul Hamid Pramanik (48) of Lahiripara, Bogra, who has been operating in the wholesale market for about a decade.
The Mohasthan trading hub supplies vegetables to different cities. About 200 traders and 70 wholesalers (owners of trading houses) operate here. Al-Mamun (40) is the owner of one such arot (trading house). Maisha Traders. He observed that the use of mobile phones by farmers and small traders has revolutionized farming, ensuring farmers a fair price. "This has increased the competition in the business. You no longer see a huge difference between the price paid at the farm and the wholesale price. Of course any price-hike affects consumers, but farmers benefit," he added.
Hefzul Bari Fakir (40), a representative of Bishal Bhandar wholesale trading house in Mirpur, Dhaka, was at Mohasthan. He said, "I get orders with the likely price from Dhaka via mobile phone. I buy vegetables from farmers and small traders and transport them to Dhaka. Farmers have access to market information, and try to sell to whoever offers them a better price. If production falls, or if there is a problem in communication, vegetable prices go up."
Vegetables are perishable and spoil quickly. Experts have estimated that 30% of the vegetables harvested spoil before reaching consumers. As farmers and traders are now able to get price information quickly, this should help them to sell their vegetables quickly. It is hoped that this will reduce spoilage.
