Following the successful establishment of 5,500 acres of vegetable farming bases last year and an additional 1,800 acres in Q1 2024, Shouheng City—with support from Xiaogan’s Agricultural Bureau—has further expanded its partnerships with local farms. This initiative strengthens direct farm-to-market supply chains, ensuring fresher produce for consumers while increasing farmers’ profits.
The Impact of Direct Sourcing on Farmers and Markets
According to Shouheng City’s Deputy General Manager Dong Guoyou, direct procurement from contracted farms has significantly improved supply chain efficiency and stability. Farmers now adjust production based on real-time market data, reducing waste and increasing earnings.
“Before, we had to rely on middlemen, which increased losses and lowered prices. Now, with direct sales, pricing is transparent, and we no longer worry about unsold produce,” said Li Zhigang, head of a local cooperative.
Data-Driven Farming Reduces Waste, Increases Yields
With Shouheng’s big data platform, farmers receive instant sales feedback, allowing them to optimize crop selection and align with consumer demand. This “produce-to-sell” model minimizes overproduction—a critical factor in a world where 30-40% of food is lost in supply chains (FAO, 2023).
Economic and Supply Chain Benefits
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Lower Costs: Eliminating intermediaries cuts logistics expenses by 15-20% (World Bank, 2023).
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Price Stability: Direct sourcing helps stabilize vegetable prices, benefiting both farmers and consumers.
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Sustainable Growth: Expanding this model to other crops—plus integrating cold storage and community distribution—could further enhance rural economic development.
A Win-Win for Farmers and Consumers
The success of Shouheng’s farming partnerships demonstrates how integrated supply chains can reduce waste, improve incomes, and ensure fresher produce. As this model scales, it could become a blueprint for agricultural efficiency nationwide.
