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Salt price increases, middlemen benefit

The price of salt has risen this year but middlemen, rather than farmers, have benefited.
Salt price increases, middlemen benefit ảnh 1Illustrative image (Source: VNA)

HCM City (VNA)
- The price of salt has risen this year butmiddlemen, rather than farmers, have benefited.

According to Bac Lieu province’sAgriculture and Rural Development Department, the price of salt has doubled incomparison with early this year.

However, farmers are notenjoying profits from the price increase because 43,000 tonnes of salt arebeing kept at dealers’ stores.

Nguyen Van Khoi, a saltmaker in Dien Hai commune, Dong Hai district said: “Dealers bought all the saltright after harvesting. We have recognised that they bought at a lower pricethan the market, but we needed money to live and had nowhere to keep the salt.”

The price gap is estimatedat around 30 percent.

There are few salt makerswho have a big enough storage and enough money to be able to keep their saltafter harvesting. Most produce on a small plot of land, have no place tostore salt and therefore often have to accept a low price offered by thedealers.

The price of saltfluctuates and is often not enough for the farmers to live on. Many householdshave to do other jobs besides making salt.

Nguyen Truong Han, head ofthe Dong Hai district’s Agriculture and Rural Development Sub-departmentexplained that the salt price has increased because Bac Lieu province decidedto reduce the salt making area.

“Only dealers benefit fromthe price hike,” he said.

The price hike alsohappened in the southern province of Ninh Thuan, the biggest salt maker in theregion with 3,600ha in cultivation.

For the last few months,unusual rains have reduced the supply of salt and increased the price. Dealerswho recognised the situation bought at a low price and now earn a big profit.

In Ninh Thuan, salt makerscan produce 50 tonnes for each hectare if the weather is favourable.-VNA
VNA

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