By FWi staff
FARMERS are set to benefit from cost savings and improved efficiencies when buying and selling products, claim the backers of a new internet trading exchange.
Globalfarmers.com will be launched on 22 January, when farmers will be able to trade real farm inputs and outputs.
Products on offer include seed, fertiliser, agrochemicals, machinery parts, animal health products, computing and telecommunications packages, and cars.
“Both buyer and supplier can make savings through a more efficient sales process and reduced administration costs,” says Jonathon Land, Globalfarmers chief executive.
“But not all savings will be seen in the purchase price. They come from faster, more effective communication and greater choice.”
Globalfarmers already has 80 suppliers signed up and over 4000 registered farmers.
“A wide range of products will be available when the site launches, but we envisage that this will start to expand quite rapidly.
“We hope to be making a profit by November 2002,” says Mr Land.
There is no charge to access information or to place a product on the site.
Globalfarmers will generate its income by receiving a commission of between 0.5% to 2.5% on all transactions made on the exchange.
“The present crisis in the farming sector means farmers are having to change, and we are convinced that the internet is the way forward,” says Mr Land.
“But its not just about driving the price down.
“What is crucial is having a choice, and having access to up-to-date, free information where farmers and suppliers can share knowledge – all on one site.
“This will lead to improved decision making and reduced costs, as well as saving time and money on administration.”