Contract Farming Resource Centre

Modern Market Information System boosts incomes of Ukraine's small & medium sized growers

Organization USAID-funded Ukraine Agricultural Marketing Project implemented by Land O'Lakes,
Year 2007

The Market Information System (MIS) created by the Agricultural Marketing Project (AMP) jointly with its Ukrainian subcontractor APK-Inform helped boost sales and profits of small and medium sized growers, and attracted significant investments. It resulted in about $20 in additional benefits to farmers for each $ spent and became self-sufficient in 3 years from its launch. Although 95% of farmers did not have access to the Internet, thanks to AMP experts they managed to sale most of their produce with higher profits through publications and web-portal created by AMP. The portal itself quickly became the largest virtual wholesale market in the Eastern Europe, significantly (by 100-200 times) reducing transaction costs for all market players: growers, traders, processors, input suppliers and supermarkets. Based on the market information received through the numerous contacts with market players as well as official statistics, AMP analysts have created a flow of analytical information, making horticultural market of the country more transparent and predictable. It, in turn, has lead to the increased amount of investments into the industry, helped create additional production, trade and processing opportunities, create new jobs and increase incomes of rural population