However, there is little evidence on the magnitude of middlemen margins, and their deter-
minants. Our understanding of the market structure of middlemen and trading mechanisms is
also limited.2 Do farmers and traders bargain ex post, or do they enter into ex ante contracts?
Do farmers have less information than traders about price movements in downstream markets?
Would providing farmers with this price information reduce middleman margins and increase the
pass-through of retail prices to farmers?