Food System Dynamics (E-Journals)
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Exploring digitalization and sustainable practices in African agribusinesses and food supply chains: A literature review
Full text linkThe Covid-19 pandemic, global trends, and technological advancements lead to the perception that digitalization is about the most sustainable means of growing Africa’s agribusiness and food supply chains. Many global agribusinesses have successfully integrated digital technologies to enhance operational efficiencies and business relations with their upstream and downstream actors. However, evidence is scant on the uptake of digital technologies among small and medium agribusiness firms in sub-Saharan Africa (SSA). Against this backdrop, this review paper identifies research gaps regarding the adoption and implication of digitalization in building sustainable food systems for African economies. Our preliminary finds show some sustainable practices in the SSA food supply chains by adopting specific technologies related to production, grain storage, food waste management, and warehouse management but very low adoption of food processing technologies and digital marketing platforms. Most importantly, the application of the Internet of Things, Big data, Artificial Intelligence, Blockchain and/or Business Analytics is very rare. Most of the digitalization process tends to be mobile-based
Cost Structure and Comparative Advantage of Export Supply Chain of Chu-Mango in the Mekong Delta, Vietnam
Full text linkThis study aims at identifying the production cost structure of the main actors in the Chu-mango supply chain at the market price, and the comparative advantage of the export supply chain at the social price. The comparative advantage of the Chu-mango trade system is measured by the domestic resource cost per shadow exchange rate (DRC/SER ratio) based on a systematic supply chain management approach. It is based on 603 observations among main actors in the Mekong Delta, Vietnam. The results indicate that the export supply chain of Chu-mango in the Mekong Delta has three main channels. The total production cost of export channel 1 triples that of export channels 2 and 3. The main reason for this disparity is Chu-mango grade 1 and high test and transport costs (airplane), whereas channel 2 is mango grades 3 and 4 (shipping line), and channel 3 is mango grade 2 (roadway). The result was three export channels of the Chu-mango trade system to obtain EE with a DRC/SER ratio of less than one. In export channel 1, the DRC/SER ratios are 0.52, 0.53, and 0.49 for seasons 1, 2, and 3, respectively. In export channel 2, these numbers were 0.66, 0.67, and 0.62 for seasons 1, 2, and 3, respectively. In export channel 3, the DRC/SER ratios are 0.49, 0.53, and 0.42 for seasons 1, 2, and 3, respectively. Policymakers and governments need export business incentives based on better exploitation of the comparative advantage to contribute to the sustainable development and economic growth of Chu-mango. The findings of this study contribute to the literature on comparative advantage analysis of export supply chains for other tropical fruits and vegetables, and confirm that the right value of the Ricardian model in international trade is valid and applicable to the real world
Sustainability assessment of palm oil by means of expert interviews and the Analytic Hierarchy Process
Full text linkPalm oil is one of the most important plant oils worldwide and of particular importance for the food industry. In 2017, palm oil accounted for 35 % of the global plant oil production. The area used for palm oil production increased from 6 million hectares in 1990 to 19 million hectares in 2017. Also, the production volume increased from 11 million tons of oil to 63 million tons. Until 2025, it is estimated that the demand for palm oil will rise to 250 million tons. The strong increase is due to a number of factors: The oil palm has a significant higher yield per hectare compared to other oil seeds, the production of palm oil is relatively cheap, palm oil is highly versatile and has excellent manufacturing characteristics. However, the industrial production of palm oil has serious ecological and social impacts, amongst others, deforestation due to significantly increasing large-scale monoculture plantations, drainage of peat forests, loss of habitats, decrease in biodiversity, increase in greenhouse gas emissions and decline in soil, water and air quality. Moreover, land expropriation of indigenous people, poor working conditions as well as forced and child labor are linked to the industrial palm oil production. Therefore, an increase of sustainability in this industry is of utmost importance. In order to achieve this goal, the assessment of sustainability is considered as an efficient tool. However, research about the sustainability of palm oil is usually focusing on the environmental pillar of sustainability only. For this reason, the present study—which was finished in September 2020—presents results from a comprehensive sustainability assessment of palm oil, considering economic, environmental, and social criteria simultaneously. During qualitative expert interviews, various stakeholders of the supply chain assessed the sustainability criteria of the palm oil production and application using the Analytical Hierarchy Process (AHP), a decision support tool by which it was possible to include qualitative and quantitative criteria as well. The determination of the subjective assessments generates a deep understanding of the stakeholders’ opinions. Further action that possibly increase the sustainability of the palm oil industry were identified, leading to reliable recommendations for action in the food industry and in politics
Securing Coconut Availability in Indonesia
Full text linkCoconut shortage has been a concerning issue in Indonesia for the past few years. Using a system dynamics (SD) approach and the supply and demand ratio (S/D ratio), this study aims to build a simulation model for the sustainability of coconut supply in Indonesia. The result shows that the S/D ratio will fall below 1 by 2023, indicating that the supply will no longer meet the demands. The model suggests that the most effective policy is doubling the coconut plantations areas and increasing the yield up to 2 tons/ha of copra
Surviving as an Argentine Farmer: Factors that Influence Risk Management Strategies
Full text linkAgricultural production is a challenging business in Argentina due to output variability, unfavorable government policies, and the absence of public risk management programs. Based on probit modeling and information surveyed from producers farming in the Humid Pampa, this paper studies the influence of (a) risk attitudes, (b) risk perceptions, and (c) socioeconomic factors on the probability of choosing five different risk management strategies. Besides confirming that some results previously found in the literature apply to the Argentine case, we find that local farmers have a particular understanding of specific risk management strategies. Some strategies usually applied to reduce risks, such as the use of futures markets or vertical integration are perceived by Argentine farmers as risk-increasing. Cost control is thepreferred strategy for risk-averse farmers. Policymakers and companies providing services should take into consideration the particular way in which Argentine farmers perceive and manage risks to build a commonlanguage
Caught between trilemma and dilemma – farmers’ perspective - objectives of farmers’ challenges in enhancing biodiversity: an assessment within German Nature-Protected Areas
Full text linkThe aim of this paper is to assess the objectives of farmers’ challenges in enhancing biodiversity. The so-called “trilemma” (WBGU 2021) of land use stems from the multiple demands made on land for the benefit of mitigating climate change, securing food and maintaining biodiversity. The agricultural sector is accused of maladministration: it is blamed for causing soil contamination, animal cruelty, bee mortality and climate change. That is why farmers are seen as key actors at all levels. They are, however, also key players when it comes to overcoming the problems of the future. Their supportive role is urgently needed, but farmers find themselves caught between a “rock” and a ”hard place”. Consumers are calling for sustainable, environmentally friendly production and inexpensive food products that do not contain pesticide residues, demanding enough food for all. Farmers are restricted by the wants and needs of consumers who are influenced by interest groups and are exposed to direct and indirect influencing factors and their interdependencies. They are also tasked with balancing the scrutiny of the critical public on the one hand, and the control exercised by eager authorities on the other.As part of the DINA (Diversity of Insects in Nature protected Areas) project, a trans- and interdisciplinary research study, we collected and surveyed the data of farmers who are farming within or close to the 21 selected nature protected areas included in the DINA project. Data was collected as part of a mixed method approach using a semi-structured questionnaire. The methodological and strategic approach and interdependencies of issues demonstrate the complexity of today’s problems. To investigate this, we first used the data collection method using questionnaires with closed and open questions. The conflicts and obstacles farmers face were evaluated, and the results show farmers’ willingness and the importance of appreciation shown to farmers for implementation of biodiversity measures. The paper proposes some follow-up activities (quantitative study) to verify the objectives. The results will later lead to recommendations for policymakers and farmers in all German nature protected areas
Development of Innovative Risk Management Tool – Agricultural Risk Metrics Platform
Full text linkAgriculture in Croatia is greatly threatened by multiple risks, including market, value chain, price and institutional risks, but for a great part also climate change risks. Due to climate change impact on the characteristics of weather extreme events, farmers are suffering more frequently from the consequences of crop losses. Currently, there is an information gap to properly respond to these increasing risks with adaptation measures. Farmers need to gain the information they require in an understandable and practice-oriented way.The paper describes the entrepreneurial process of developing cloud-based software that provides a holistic view of natural risks, their impact on agricultural yield, and risk management. The process encompasses start-ups tools like business model canvas, workshops with stakeholders (farmers, agribusiness managers, policy makers and researchers) and surveys. The ultimate goal is the development of cost-effective service but highly suited to enable farmers to turn their agricultural enterprise into a data-driven business that can adapt more quickly and efficiently to climate risks.Agricultural Risk Metrics is a tool primarily developed by Genillard&Co for the purpose of the insurance industry. The University of Zagreb Faculty of Agriculture teamed up with Genillard&Co, for the development of Agriculture Risk Metrics (ARM) for farmers. The project, funded by EIT Climate KIC, finished by the end of 2021.The ARM for Farmers’ project results will contribute to more efficient decision-making on the farm level. The use in research and policy analysis will be possible too. The Agricultural Risk Metrics have been designed to help the user to self-visualize the available climate risk data into intuitive graphs, diagrams and maps, thereby allowing any inexperienced or unskilled user to understand the information relevant to her. By making farmers aware of and giving them access to decision-enabling information about one of the greatest risks threatening their sustainability, this project will contribute to making the agricultural sector in Croatia Climate Smart
Optimizing Vendor-Buyer Inventory Model with Exponential Quality Degradation for Food Product Using Grey Wolf Optimizer
Full text linkInventory is an essential factor in the supply chain. Inventory problems are increasingly complex for perishable products such as food. This study proposes a Single Vendor-Single Buyer (SVSB) model for food products by considering exponential quality degradation. The objective function of this problem is to maximize the Joint Total Profit (JTP) of the SVSB system. The frequency of ordering raw materials (m), the frequency of delivery of the finished product (n), and the time of the inventory cycle (T) were the three (3) decision variables introduced in the study. This study proposes the Grey Wolf Optimizer (GWO) algorithm as an optimization tool for SVSB problems. A case study was conducted on a food company in Indonesia. Sensitivity analysis on costs, revenue, and JTP was also presented. The results showed that raw materials' quality degradation level affected JTP. The results also suggested that the GWO algorithm performs better than the Genetic Algorithm (GA) to optimize the SVSB inventory model
Sustainable Frozen Food Facility Location Selection under Pandemic Era
Full text linkConsumption of frozen food has increased significantly in many countries experiencing total closure due to epidemics. In order to meet this increase in demand, companies apply different strategies in both production and logistics processes. In particular, warehouse locations need to be closer to consumers so as not to disrupt the increasing demand and the cold chain. Considering the sustainable position in the frozen food industry, it is essential to focus on both commercial and economic impacts. However, especially the environmental and sustainable criteria have always been neglected in terms of planning the country and the city. Therefore, this study has three main research questions; (1) identify key criteria for sustainability-focused frozen food facility location, (2) understand the relationship between these criteria, and (3) develop a hierarchical sustainable location roadmap for practitioners. Initially, a literature review was conducted to find the answers to these questions and reveal suitable criteria. Secondly, PROMETHEE was used to determine the relative importance of the data-driven performance of the main and sub-criteria. Therefore, this study gives the reader a comprehensive insight into how sustainable data-driven performance criteria are applied in frozen food storage facility locations. Finally, the proposed model used real-life data to select a developing country's sustainable frozen food storage location
Institutional Settings Surrounding Agriculture and Biodiversity: Challenges, Potentials and Obstacles of a Contract-based Nature Protection Scheme in the Rhine-Sieg District of Germany
Full text linkContract-based nature protection schemes are a voluntary mechanism, with a limited contract duration, that aim to raise the acceptance of biodiversity conservation practices in agriculture among farmers and other land users. The purpose of this paper is to analyse the institutional settings of contract-based nature protection based on the– “Institutions of Sustainability” (IoS) framework in the German Rhine-Sieg district, and to outline the way in which policy measures should be designed to encourage farmers to participate in contract-based nature protection programmes. This was achieved by answering research questions to identify the challenges, potentials and obstacles of a contract-based nature protection scheme in different “sub-arenas” as defined in the IoS framework. Qualitative research methods were used as the methodology. The analysis shows that main constraints for sufficient implementation of contract-based nature protection schemes are the limited consideration of the impact of climate change during the contract period, the limited consideration of regional conditions as regards the measures taken on the ground and an inflexible contract duration