Purchasing large quantities of fruit from orchards or distributors at reduced prices is a practice employed by various entities. This often involves acquiring produce directly from the source, bypassing typical retail channels. An example would be a grocery store chain contracting with an apple orchard to procure several tons of the fruit for distribution across its locations.
This method of acquisition presents notable advantages for both the buyer and seller. Buyers, such as food processing companies or large families, benefit from lower per-unit costs, leading to significant financial savings. Suppliers, on the other hand, are able to move substantial volumes of inventory quickly, reducing storage costs and minimizing potential spoilage. Historically, this type of direct trade has been a cornerstone of agricultural economics, fostering efficiency in the food supply chain.