Contracts and market agreements could help local food producers manage the risk of increasing production while guaranteeing supplies for potential purchasers.
How can the risk associated with expanding production of produce to meet demands of bigger or new markets be managed or shared?
A risk management strategy used in commodity and large-scale produce production is marketing agreements. Establishing marketing agreements provides a guaranteed market and pricing structure that allows for more accurate pre-season financial and production planning.
Jason D. Ellis
Year of Grant Completion
Ellis, Jason D., "Using contracts to expand produce market opportunities" (2007). Leopold Center Completed Grant Reports. 286.