Wal-Mart has set up its first vegetable direct procurement depot in the Guiyang Qingzhen Green Vegetable depot, Guizhou Province.
Lin Jinghua, vice president for the procurement department of the Wal-Mart (China) Investment Company, said that the vegetable direct procurement depot helped to realize direct supply chain between agricultural products and supermarkets, which reduced intermediate steps, reduced transit time, and cut costs while ensuring the freshness of the vegetables. It would enable the customers to buy safe and high-quality agricultural products at low prices. In addition, the vegetable base would be able to stimulate farmers around the area to adjust their business model and increase their income.
Lv Zhongxian, president of the Guiyang Yudong Agriculture Development Company, told local media since it was founded in 2007, the Guiyang Qingzhen Green Vegetable depot had been focusing on the plant and sales of vegetables. On the establishment of Wal-Mart's direct procurement depot, the vegetable base would provide organic green vegetables to the 17 Wal-Mart stores in China's southwestern areas.