The farm gate value of a cultivated product in agriculture or aquaculture is the net value of the product when it leaves the farm, after marketing costs have been subtracted. Since many farms do not have significant marketing costs, it is often understood as the price of the product at which it is sold by the farm (the farm gate price).
The farm gate value is typically lower than the retail price consumers pay in a store as it does not include costs for shipping, handling, storage, marketing, and profit margins of the involved companies.
Famous quotes containing the words farm and/or gate:
“In common with other rural regions much of the Iowa farm lore concerns the coming of company. When the rooster crows in the doorway, or the cat licks his fur, company is on the way.”
—For the State of Iowa, U.S. public relief program (1935-1943)
“The approval of the public is to be avoided like the plague. It is absolutely essential to keep the public from entering if one wishes to avoid confusion. I must add that the public must be kept panting in expectation at the gate by a system of challenges and provocations.”
—André Breton (1896–1966)