Sui Xuechao and Hu Lingxiao: Decentralizing Origin Markets for Farm Products

Suixue Chao Hu Lingxiao

school of Economics, Hefei University of Technology; Institute of Rural Development, Chinese Academy of Social Sciences

abstract

in view of the practical proposition of the construction of the market system of the agricultural product origin in the agricultural industry agglomeration area, the theoretical research and policy design both show a tendency to take the large-scale centralized wholesale market as the leading factor, but the field survey found that some agricultural industry agglomeration areas have the phenomenon of decentralization of the market system of the agricultural product origin. Based on the case of Anhui Province and County, this paper analyzes how the distributed field market gradually replaces the large-scale centralized wholesale market and forms a decentralized origin market system. According to the framework of transaction cost analysis, this paper analyzes the internal logic of the decentralization of the market system of origin, and reveals the mechanism of the two-way cooked noodles transaction led by the origin broker to promote the decentralization of passenger flow, the scale and professional development of the field market to promote the decentralization of logistics, and the wide application of modern communication tools to promote the decentralization of information flow. From the perspective of trading order, this paper analyzes the performance of the market system of origin after decentralization, and finds that competitive market structure, embedded trading and agency brokerage model jointly shape the new trading order, effectively maintain the relationship of competition, stability and coordination between market subjects, and ensure the continuous and effective operation of the market. The construction of a market system for the origin of agricultural products should be based on local conditions and classified policies. In agricultural industrial agglomeration areas with specific conditions, the policy focus can be moderately tilted to the construction of the field market.

Source: China Rural Observation, No. 4, 2026, pp. 86-105.