In Islam, should the dairy farmer sell the milk to a wholesale distributor at the farm, or directly to the clients in the city? (Case Study 1 – Part 1/3)
1. Write your view of what Islam prescribes in the comments below: “Wholesale Distributor” or “City Client”. Then read till the end for the answer.
Sahih Al-Bukhari Hadith 2158 (Was it allowed for a person living in the town to sell the goods on behalf of a desert dweller without taking commission. Should he help or advise him?):
Ibn Abbas (RAA) Narrated:
Allah’s Messenger (PBUH) stated, ‘It is not allowed to go to meet the caravans when they are on the way (having the intention to buy their goods without allowing them to find out the market price); a town dweller is not allowed to sell the desert dweller’s goods or on behalf of them.’ Ibn Abbas was questioned, ‘What is meant by not selling the desert dweller’s goods by a town dweller?’ He answered, ‘The town dweller should not become his broker.’ [Sahih Al-Bukhari Hadith 2158]
The Sahih Al-Bukhari Hadith 2158, shown above, prescribes that the caravan and the rural dwellers (e.g. farmers) are given the fundamental right to enter the city markets and discover the actual price of their goods and services. Further, the city dweller is forbidden to act as the desert dweller (farmers) broker. This ensures optimal setting of equilibrium prices and utilisation of resources.
Therefore in an Islamic Economy, the dairy farmer should be selling the milk directly to the clients in the city, and not be forced to sell the milk to the wholesale distributor at the farm.
The economic, health and environmental impacts of this decision will be reviewed in the following videos.
Do you want to know more of what is allowed and what is forbidden ? How should the economy and finance on the whole be structured?
The book “Islamic Finance and Trade: God’s Economic System”, is the culmination of over 25 years of research, to present the answer to the above question. You are kindly invited to Read, Review and Recommend the book. It is available at https://a.co/d/f1jTXvP and on all Amazon sites.