Farmers rely on community links

  • 2009-06-04
  • By Adam Mullett

FRONTLINE FARMING: Consumers are increasingly rejecting supermarket chains in favor of their local mini-market.

VILNIUS - The European Union has thrown billions of litas at the Lithuanian farming industry buying farmers new machinery to streamline the food production process.
In the fallout many farms have been consolidated and some people now find themselves out of work.
Do these big farms mean better produce and better prices for consumers though? If actions speak louder than words, then the answer is "no."

Mini-markets are popping up all over the country in an organized protest to the monopolies held by the supermarket chains in the country. Instead of selling large quantities of produce to intermediaries and factories for a pittance, farmers are producing their own products and selling them direct to customers.

"Little farmer's markets are starting in all major Lithuanian towns where they sell ecological production. These are attended by many people. Buyers prefer these to the supermarket, because we can find Lithuanian produce, not imported," Ruta Bicuviene, representative of the Lithuanian Chamber of Agriculture told The Baltic Times.

"The prices are the same as in supermarkets 's supermarkets in Lithuania are monopolies and the money that goes to the farmer is very low," she said.
Due to the structure of the Lithuanian retail market 's with Maxima, Rimi and Iki commanding most retail space in the country 's farmers have little bargaining power when they sell their goods on to supermarkets or to other manufacturers.
Smaller farmers, which have less sway, receive even less than larger farms, many of which have benefited from EU funding schemes.

"When the farmer goes into an agreement they must agree to sell certain quantities for set prices and if their conditions aren't met, even small ones, there are high fees for that and it is very difficult to observe that 's farming is not predictable," Bicuviene said.
Farmers complain to the agricultural chamber saying they can't meet all the criteria which they say is too strict.

"Delivery, packaging 's farmers complain that they must obey them. They say you sell a lot of products for small money and actually it means less money because you have bad prices," she said.

MINIMARKETS

Some farmers have had enough and are resorting to more creative methods of selling their products. Many are finding that selling them directly to customers is better, with all the profits going to them.
Some farmers have even resorted to visiting neighboring towns to go door knocking to find direct sale clients in their area.

Customers also enjoy the markets, which sell products at the same price or cheaper than the supermarket. The quality of the products is usually better and without preservatives and artificial ingredients 's something Lithuanian consumers take very seriously.
Julija Smiskal, the rotating president of VivaSol, an organization of farmers who take their products directly to market, told TBT that small "flash markets" are better for both the producer and "the eater" [the customer].

"The main idea of our market is to bring the producers and clients closer 's we have organized a place where they can exchange not only their products, but their way of life and how the product is produced and how it is cooked," she said.
Smiskal said that these markets let the traditional family farm continue to exist.

"The essential point is that the farmer has an opportunity to sell because he has no other place to meet the eaters 's no other possibilities to sell his product. Not to supermarkets because of the quantity and appearance of the product 's it is not in the right packaging," she said.
Audrius Jokubauskas owns a small farm and sells his cheese at VivaSol's markets in Vilnius once a week. He told TBT that he can earn 10 times as much working and selling his own product than if he sold it on to cheese factories.

"The idea of these markets is that from the very beginning to the end 's the farmer must be with the product. With the modern economy in the supermarket, you have a huge chain of mediators between consumers and producers. The biggest part of the price goes to the in-betweens. The producer usually gets less than, but will never get more than, 30 percent," Jokubauskas said.
"When you take the place of the producer, the owner of the animals and the seller 's it is all yours 's you keep the money. The commercial interest for farmers to sell is good. You get a good price. You can get 10 times more than if you sold your raw products," he said.

Jokubauskas said cheese factories buy milk from most farmers for 35 centai (10 euro cents) per liter. From larger farms, it could be as much as 70 centai per liter, but in the market, milk sells for 2.00 or 2.50 litas per liter.
Milk in a supermarket can cost more than 3 litas per liter.
"From one market I earn about 600 litas profit and you could do even more. It depends on how you construct the price. I take the expenses 's one liter of milk 's and I count how much money I need to get for this liter."

"Food for animals, electricity and plenty of things connected to the animal life 's this gives the price for the milk. I multiply this by three. So one litas goes to expenses and the rest goes to me," Jokubauskas said.

CONSUMER COMMUNITY

The farming community says that they are bringing consumers a better product and they are supporting local production.
"The good thing is you get the product from the first hand. You don't need to look at the label to check everything is OK. You have the face of the farmer in front of you and you can ask," Jokubauskas said.

"This develops trust 's you buy the product and you are happy with it. The price also 's in some cases, you get a better product that is cheaper than the supermarket. Of course there are some farmers who believe their product is better than in the supermarket so it should be more expensive."
The criteria for joining the VivaSol markets are fairly strict, Smiskal said.
"The criteria are that it must be a direct sale, the producer and his method should be transparent [and] tell how they are making the product and what is in it. They should not be using any chemicals, also trying to use recyclable packages and those that customers can bring back for re-use," she said.

Smiskal, who also operates a restaurant where one of the markets is held, encouraged people to look for their own solutions in finding good food in their area, rather than waiting for someone else to start a market.
"Our ideal model is the eaters should take the initiative to invite farmers to the spaces where they live. I am in VivaSol, but I am also an eater 's I have a space and I will organize the meeting with the customers," she said.

"Other social centers or libraries or places could invite the farmers. It is not for us to organize the markets. For example, the Tymo Turgus was the realization of this idea - it was organized by the Uzupis community."

The rewards of starting such a market will be more than just the good food, she added.
"The idea of the markets is that it's not only buying, but it's a social space 's they [customers] are meeting the producers, their neighbors and their friends 's if you come every time, you will see the people are more or less the same. That is the most beautiful thing."