Will rising food prices benefit farmers? The large-scale beneficiaries will be the large grain growers
Preface: In recent years, there has been an increasing number of topics related to food prices** and increasing farmers' incomes. Some people think that rising food prices will increase farmers' profits, but is this really the case? The article is right"Whether the price of grain** can make farmers richer"This topic is analyzed in depth, and the main factors influencing the problem are analyzed.
Farmers' food reserves are limited.
China is a large country with a large population and relatively scarce land resources, and the average farmer has very limited land and grain reserves. Even if the farmer works hard, the food produced can only barely meet the daily needs, and there is rarely enough food to spare**. In particular, mountainous and mountainous areas lack arable land, making it difficult to achieve prosperity by selling grain. Even higher food prices will not fundamentally change the poverty situation of ordinary smallholder farmers.
Expansion: Most farmers have limited land and food storage, and even if they work hard, they rarely have a surplus of food**. Especially in resource-poor places such as mountains and mountains, they are facing more serious survival problems. Even if food prices rise, it will be difficult for smallholder farmers to make their fortunes selling cereals. Therefore, neither the price of food nor the price of food will bring significant economic changes to most farmers.
Large grain traders benefit from food prices**.
There is a large income gap between large-scale farmers and ordinary farmers. Large grain producers usually control hundreds to thousands of acres of land, and their annual grain output is considerable. So, when food prices rise, the returns of large grain producers also increase, resulting in significant gains. And the merchants made more profits through a large amount of food, which also led to the fluctuation of food prices and had a great impact on their interests. In stark contrast, the average smallholder farmer has very limited benefits from food***, and their path to prosperity is not smooth.
Expansion: Large farmers have more land and higher food production than the average smallholder farmer, so they can benefit from rising food prices**. When food prices fluctuate, farmers can increase their profits through flexible strategic choices. Grain stores, on the other hand, trade between urban and rural areas, and the transaction amount is huge, and if the price of grain rises, the income they get from it will also be greatly increased. However, for ordinary peasant households, although grain prices have risen, the increase in income is still not large, and the road to prosperity is not an easy road.
The impact of high food prices on the industrial chain.
Grain is an important industrial raw material, and its price increase will directly affect the price of other industrial products. Food products such as flour, steamed buns, noodles, and industrial products such as wine and fibre products will all be affected. Especially in today's world, due to the increasingly close connection between various industries, the most important changes in food will have a greater impact on the industrial chain and transmit it to farmers. So, while some people hope that the constant supply of food will create more wealth, the fact is that the increase in prices often makes people's living costs continue to rise, and it does not benefit the people at all.
Expansion: The sharp rise in food prices will not only have a huge impact on domestic food prices, but also have a knock-on effect on the entire industrial chain. Food products, such as flour, steamed buns, noodles, as well as industrial products, such as alcohol and textile raw materials, are affected by food fluctuations. In modern economic development, various industries are interrelated, so changes in food will inevitably cause fluctuations in related commodities. Moreover, the cost of ** will force the industrial sector to adjust prices accordingly, and the fluctuations in prices will also affect the common people, including the farmers. Therefore, for ordinary farmers, the rise in food prices is not an easy thing for them.
The conclusion is that, in short, while some people believe that rising food prices will make farmers richer, in reality, only large, grain merchants will benefit, and small and medium-sized farmers will rarely benefit. Due to the complexity of the food market, rising food prices not only do not increase the income of farmers, but also increase the cost of living for residents. Therefore, it is necessary to explore ways to increase the income of rural households from multiple perspectives, and not just rely on fluctuations in food prices.