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Huge Drop in Tomato Prices:
  Written By: Hasan Al-Zaidi 
  Article Date: January 7, 2008 

 

Agriculture takes up an important place in Yemen's economy and 70 percent of Yemenis work in this sector which secures jobs and income for the unemployed people.

Over the recent time, the country's agricultural production has increased and varied, allowing farmers to cover up for the national demand and to export considerable quantities to the neighboring countries and other world markets.

However, this production still faces many problems, mainly because of the lack of storage facilities and the absence of marketing policies to store vegetables and fruits during the season and to allow consumers to have their choices all the year-round at competitive prices in a way that benefits both producer and consumer.

Unlike previous seasons, tomato farmers have been inflicted with unprecedented losses after the prices fell markedly, pushing most of them to throw them in roads and farms. Other farmers headed to the Presidential Palace with their tomato-loaded cars, demanding solutions to their crisis.

Yemen Post met numerous farmers and consumers to know their views on the current collapse of vegetables prices, mainly tomatoes. 

Farmer Mohamed Sa'eed from Mareb mentions that he brought his crop to Sana'a hoping he can find better prices, but in vain.

"I spent over YR 1.5 million until I brought the crop to Sana'a; however, I was shocked by the plunging prices. A basket of tomatoes weighing 20 kg is sold against YR 300, while each basket costs about YR 100 for picking workers and the same amount for transport, let alone the other costs entailed since planting the trees. What am I going to do?" cried Sa'eed.

Sa'eed enquired who will guarantee his rights and hinted there is no system to rule the country and the only victim is the farmer.

"I could not settle my debts and I have no choice left but to leave the country and illegally infiltrate into Saudi Arabia to settle my debts incurred by the farm," added he.

Farmer Abdu Qasim Omar from Lahj pointed out their tomatoes price have become cheaper than water as a basket of Marebi tomato is sold at YR 300 while theirs [Lahji tomato] is sold against YR 200, maintaining it is a government policy aiming to prevent from gaining profits.

Omar added he used to sell in the past at prices that cover for their losses with a small margin of profit, but no now the market price is unbearable and hinted he will return to his home to join the protestors.

Middleman Abdu Al-Rimi assures that there had been a demand over tomato by Saudi Arabia in the past and this kept prices at a good level; however, this year's prices are too low to profit none: farmers, middlemen or traders.

Al-Rimi added a farmer was to about to commit suicide when he failed to sell his commodity, while others felt ill because of the cold weather and the long time they spent waiting for good prices.

 

From where do these tomato quantities come?

We asked the previous question one of those interested in vegetable markets and he replied that most of these quantities come from Mareb, some areas in Sana'a and Lahj.

He noted that price will plunge more when other governorates will bring their yields, hinting it could be given later for free.

A farmer cried "what is the task of the President? We don't want him! They should open us new markets in Gulf countries wherein all make profits. It seems all are conspiring against us! Look! Our yields are of the finest quality, why does not state build factories for packing or storing facilities?"

He added that storing tomatoes and other vegetables will make prices stable and noted there would be no fluctuation in their prices, hinting a basket of tomato was sold in Ramadan at YR 6,000.

Another farmer stated that there are dubious dealings between the government and the officials especially those who import sauce from China and other countries.

"The government is a partner in destroying the citizens and farmers. They want none to plant cereals or vegetables. Had an official had a tomato farm, he would have sold the basket at YR 3,000. Still, he will complain of low prices and make state export them to Gulf States," said he.

Manager of Agricultural Marketing at Agriculture Ministry Farouq Qasim stresses that state should work on lessening production costs and supporting the technical methods of production particularly with vegetables and fruits which are prone to perish quickly, maintaining the losses incurred upon farmers will cause a drop in production of these crops.

Qasim went on to say that state should provide a solid infrastructure for agricultural marketing and make studies to know all the factors relating to the product, the harvesting process, marketing outlets inside and outside and specify their needs, together with creating alternative markets in case domestic market was plunging and expanding the storing facilities to contain the surplus.

He further points out that the country lacks in the developed means for making high quality products along with the methods for decreasing the costs of production and marketing, maintaining the lack of clear policies and bylaws that regulate the marketing process and the lack of knowledge and marketing skills among farmers are directly responsible for the current crisis.

"State should study the situation and work for making comprehensive marketing studies and work for reducing after-harvest losses reaching 30 percent especially while producing vegetables," asserted he.

So far, the lack of clear policies by state and the cooperative societies, together with the absence of counseling services for farmers are directly responsible for the plunging prices and market instability which passively affect both farmers and consumers.