Farmers who sell their agricultural commodities collectively tend to receive higher prices than individual farm-gate sales. Following the collapse of agricultural cooperatives in many African countries in the last several decades, collective marketing has declined drastically.

The process of reestablishing community trust to store and sell commodities together, as well as ensuring uniform crop quality involves well organized training. Recommendations on your specific needs can be provided to encourage bulk marketing, and thereby increase farm income.

Mr. Murphy managed agricultural extension programs in Uganda that assisted farmers to bulk commodities for sale in urban and regional markets, and assisted farmers to participate in World Food Program’s Smallholder Purchase Program for food distribution in Uganda and neighboring countries. Farmers bulk commodity in rural, community-run warehouses. In 2004, farmers worked collectively to sell 2,000 MT of grain commodity, resulting in significantly higher prices for their commodities.

He also launched a pilot warehouse receipts program in collaboration with a local NGO and Standard Chartered Bank Uganda using rural warehouses. Farmers received loans using stored grain as collateral with a verified warehouse receipt prior to marketing grain, normally a 2-3 month process.