Walmart eyes fast growth of its ‘direct farm program’in China
Posted Mar 10 2011 12:00am
by Suhit Anantula
He said Walmart leases farmers’ land, and contracts them to grow farm produce and purchases the products. Contracted farmers can expect an income of 165,000 yuan ($24,302) per hectare a year, compared with the average income from individual farming of 15,000 yuan.
Walmart can use its logistics and transportation system to ensure the produce reaches its supermarkets fresh, he said.
Fu said Walmart has been supported by Chinese government departments and farmers’ cooperatives in developing the purchase bases.