Trade Practices in Direct Trading of Fresh Produce

Compliance Based on Requests by Retail Companies

Abstract

Abstract:In this paper, we confirm the efforts in direct trading of fresh produce by agricultural cooperatives and farm corporations in a producing area, revealing the requests, compliance and evaluation on the trade practices from retail companies. Direct trading of fresh produce between agricultural cooperatives or farm companies and retail companies has increased with the increased numbers of cooperatives and companies. However the trade practices of fresh produce are limited to the discount request for special sales and the fee for distribution center compared with that between food processing companies and retail companies. As background, discount for special sales is considered because it is an inherent practice for transactions compared with the fee for distribution center that is an extrinsic practice for transactions. Comparing the agricultural cooperatives and agricultural production corporations, the latter has more requests regarding trading practices, and it has been some sort of correspondences, however they don’t view it as a significant burden on trade practices.