Veggie prices driven up due to transport cost

Veggie prices driven up due to transport costSoaring transport costs have driven up almost all prices for vegetables. Fuel, toll fees, labor for loading, parking and refrigeration. For 20 tons of vegetables transported from Yunnan Province to Shenzhen by truck is estimated to reach nearly 15,000 yuan. ($2,311)

The recent decline in prices roused vegetable farmers to empty out their produce. Soaring costs and falling prices on veggies pushed a resident farmer of Jinan, capital of Shandong Province, to commit suicide on April 16 after experiencing heavy losses on his cabbage farm. Retail prices of vegetables are still high in supermarkets and in convenience stores. Even with the average wholesale prices having dropped  by 20 percent in the Buji Farm Produce Wholesale Market early this month.

Residents have argued that farmers have been selling vegetables .2 yuan per kilogram less, so why do they have to pay such a high price. Experts say that costs in bringing the vegetables from the farm, to wholesalers to grocers and consumers are considered, that is why the supermarket are selling them at such high prices. Shops have to pay for the transport costs, rent and employee wages, forcing them to sell vegetables for 6 yuan more than average farmers.

Supermarkets say that vegetables that are coming from other provinces to Shenzhen adds around .8 yuan to the prices of vegatables that are sold on the market shelves. Supermarket officials say that its normal for any retail prices to double when it reaches their doors.

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