Short urban food chains in developing countries: signs of the past or of the future?

The paper investigates the role and future of short food chains supplying cities in developing countries. It is based on a conceptual framework on proximity (mostly used in developed countries and tested here in developing contexts), surveys in Vietnam on the organisation of vegetable chains supplying urban markets, as well as surveys in Africa and secondary empirical data. In line with the predictions of spatial economics, short food chains are dominant in the supply of perishable produce, e.g. leafy vegetables in Vietnam, as in a number of cities of Africa and Asia. There are instances where farmers and consumers are active in taking advantage of regular interactions, especially to promote food quality and safety, in a context of growing concerns on the part of consumers for their health. The paper concludes with some features of short food chains in Asia and Africa. (Résumé d'auteur

Designing sustainable cold chains for long-range food distribution: Energy-effective corridors on the Silk Road Belt

Modern food production-distribution processes represent a critical stressor for the environment and for natural ecosystems. The rising flows of food across growing and consumption areas couple with the higher expectations of consumers for the quality of products and compel the intensive use of refrigerated rooms and transport means throughout the food supply chain. In order to aid the design of sustainable cold chains that incorporate such aspects, this paper proposes a mixed integer linear programming model to minimize the total energy consumption associated with the cold operations experienced by perishable products. This model is intended for food traders, logistics practitioners, retail managers, and importers collaboratively called to design and plan a cost and environmentally effective supply strategy, physical channels, and infrastructures for cold chains. The proposed model is validated with a case study inspired by the distribution of two example food products, namely fresh apples and ice cream, along the New Silk Road connecting Europe and China. The illustrated analysis investigates the effect of alternative routes and transport modes on the sustainability of the cold chain. It is found that the most energy-efficient route for ice cream is via rail over a northern route and, for apples, is via a southern maritime route, and, for these two routes, the ratios of the total energy consumed to the energy content of the food are 760 and 913, respectively. By incorporating the energy lost due to the food quality decay, the model identifies the optimal route to adopt in accordance with the shelf life and the conservation temperature of each product

Consumer-driven innovation networks and e-business management systems

This paper examines the use of consumer-driven innovation networks within the UK food-retailing industry using qualitative interview-based research analysed within an economic framework. This perspective revealed that, by exploiting information gathered directly from their customers at point-of-sale and data mining, supermarkets are able to identify consumer preferences and co-ordinate new product development via innovation networks. This has been made possible through their information control of the supply-chain established through the use of transparent inventory management systems. As a result, supermarkets’ e-business systems have established new competitive processes in the UK food-processing and retailing industry and are an example of consumer-driven innovation networks. The informant-based qualitative approach also revealed that trust-based transacting relationships operated differently from those previously described in the literature

Response of Fresh Food Suppliers to Sustainable Supply Chain Management of Large European Retailers

This article analyses new supply chain management (SCM) strategies of the largest retail distribution chains in Europe within the context of differing sustainability concepts and approaches. An analysis is carried out of the strategic plans of such retailers, as well as recent developments in the sector. We begin by identifying the priority actions of retailers and then evaluating, by means of a survey, how small horticultural marketing firms (mainly cooperatives) in southeast Spain respond to the needs of these retailers. Subsequently, an analysis is carried out on these small marketing firm exporters to identify the relative weight which they assign to the variables assessed, while also considering the existing relationships between said weighted variables and business profits. Our results show that retailers tend to establish more simplified supply chains (that is, shorter and more vertical), essentially demonstrating their interpretation of a sustainable supply chain. In contrast, horticultural marketing firms have concentrated more on tactical and operational issues, thereby neglecting environmental, social and logistics management. Thus, their success rate in meeting the sustainability demands of their customers can be considered medium-low, requiring a more proactive attitude. Improved and collaborative relations, and the integration of sustainability concepts between suppliers (marketing firms) and their clients could contribute to successfully meeting sustainability demands. From the point of view of the consumer, close supplier–retail relationships have solved food safety issues, but the implementation of sustainability in other supply chain activities and processes is a pending issue. We propose strategic approximation and collaboration to bridge the gap between the varying sustainability demands in the supplier–retail relationship within perishable supply chains. Although this article specifically addresses fresh vegetable supply chains, the results may be extrapolated to other agri-food chains with a similar structure

The Value of RFID Technology Enabled Information to Manage Perishables

We address the value of RFID technology enabled information to manage perishables in the context of a supplier that sells a random lifetime product subject to stochastic demand and lost sales. The product's lifetime is largely determined by the time and temperature history in the supply chain. We compare two information cases to a Base case in which the product's time and temperature history is unknown and therefore its shelf life is uncertain. In the first information case, the time and temperature history is known and therefore the remaining shelf life is also known at the time of receipt. The second information case builds on the first case such that the supplier now has visibility up the supply chain to know the remaining shelf life of inventory available for replenishment. We formulate these three different cases as Markov decision processes, introduce well performing heuristics of more practical relevance, and evaluate the value of information through an extensive simulation using representative, real world supply chain parameters.simulation;value of information;RFID;perishable inventory

E-logistics of agribusiness organisations

Logistics is one of the most important agribusiness functions due to the idiosyncrasy of food products and the structure of food supply chain. Companies in the food sector typically operate with poor production forecasting, inefficient inventory management, lack of coordination with supply partners. Further, markets are characterised by stern competition, increasing consumer demands and stringent regulation for food quality and safety. Large agribusiness corporations have already turned to e-logistics solutions as a means to sustain competitive advantage and meet consumer demands. There are four types of e-logistics applications: (a) Vertical alliances where supply partners forge long-term strategic alliances based on electronic sharing of critical logistics information such as sales forecasts and inventory volume. Vertical alliances often apply supply chain management (SCM) which is concerned with the relationship between a company and its suppliers and customers. The prime characteristic of SCM is interorganizational coordination: agribusiness companies working jointly with their customers and suppliers to integrate activities along the supply chain to effectively supply food products to customers. E-logistics solutions engender the systematic integration among supply partners by allowing more efficient and automatic information flow. (b) e-tailing, in which retailers give consumers the ability to order food such as groceries from home electronically i.e. using the Internet and the subsequent delivery of those ordered goods at home. (c) Efficient Foodservice Response (EFR), which is a strategy designed to enable foodservice industry to achieve profitable growth by looking at ways to save money for each level of the supply chain by eliminating inefficient practices. EFR provides solutions to common logistics problems, such as transactional inefficiency, inefficient plant scheduling, out-of-stocks, and expedited transportation. (d) Contracting, a means of coordinating procurement of food, beverages and their associated supplies. Many markets and supply chains in agriculture are buyer-driven where the buyers in the market tend to set prices and terms of trade. Those terms can include the use of electronic means of communication to support automatic replenishment of goods, management of supply and inventory. The results of the current applications of e-logistics in food sector are encouraging for Greek agribusiness. Companies need to become aware of and evaluate the value-added by those applications which are a sustainable competitive advantage, optimisation of supply chain flows, and meeting consumer demands and food safety regulations. E-business diffusion has shown that typically first-movers gain a significant competitive advantage and the rest companies either eventually adopt the new systems or see a significant decline in their trading partners and perish. E-logistics solutions typically require huge investments in hardware and software and skilled personnel, which is an overt barrier for most Greek companies. Large companies typically are first-movers but small and medium enterprises (SMEs) need institutional support in order to become aware that e-logistics systems can be fruitful for them as well

Freight logistics services for rural economies : User needs and future challenges

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