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Full warehouses, empty wallets - this is the current situation of Polish farmers

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Polish farmers have been hit twice this year - by droughts and flooding ☀🌧

Although, in the spring, there was talk of a harvest close to 35 million tonnes of cereals, it is now clear that it will be lower. Unfortunately, this does not mean that prices will rise and farmers will get more money for their work.

📣"Prices are shaped by the global situation and many other factors that farmers have no influence on. The method of risk management available to them is to store grain and wait for a price adequate to the incurred costs. However, this does not solve the liquidity problem - the Polish farmer has a full warehouse and an empty wallet. He saves himself with loans, but it may turn out to be a trap if the crop is lost the following year due to, for example, drought or hail.

There is no other way for the sector to join forces, to create producer groups in order to balance the position of intermediaries". - Dr Krzysztof Łyskawa from the Poznań University of Economics tells Interia Biznes.

The article appeared on @biznes.interia.pl:12 August 2023. We invite you to read the full version:" In parts of Poland, the harvest has passed the halfway point. It is already possible to assess what it will be like
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