Comparison of supply chain model in urban food production
Growing concerns for health and the environment have renewed an interest in urban and periurban food production and a local food movement has developed since the 1980s. This has
seen the development of many small urban projects, most of which have not fully addressed
or considered their long term economic viability. The purpose of the suggested projects is to
support such considerations. (Bakker, M., Dubbeling et al 2006) The vegetable cultivation
and animal husbandry for the poor families can provide the supplemental food and income.
More than 40 percent population in African cities and more than 50 percent in Latin
American cities are involved in urban food production. Some countries and cities such as
Taipei, Taiwan, Ethiopia, Vietnam, Quito, Argentina, Accra, Beijing, Brasilia, Zimbabwe,
Cuba, India, and Kenya (IFPRI, 2011).
The existing supply chain model is not suitable to fulfil the need of the consumers in the
urban areas. The food ecosystem is not superior because of the rural and urban linkages.
Disparities in income, transport, physical access to retail outlets, and varying levels of retail
outlet exposure may make it difficult for some people to easily access Food and stay healthy.
One Victorian study showed that increased variety of fast food outlets within a 3 km road
network distance from individual respondent’s homes is linked with likely purchasing of fast
The main objectives of this research proposal are:
Study of comparative plan of supply chain model of urban and peri-urban food
production in order to determine the conditions for sustainability of different
Analysis and investigation of the different forms of ownership and markets, including
farm co-operatives; privately-owned multi-crop arable farms selling to wholesalers;
small-scale enterprises selling fruit and vegetables direct to the public; privatelyowned organic dairies selling direct to retail outlets.
Researching the potential for intensive crop returns for urban and peri-urban food
production with limited input capacity.
Identify suitable management structures for urban and peri-urban food production on
the basis of multi but fragmented plot layouts enterprises.
The effectiveness of the urban agriculture in the economic development and food
supplement need to the urban population.
Finding out the balance in the production and consumption of the food in the
urban/pre urban areas.
Analysis of a variety of purchasing solutions for small scale food production in urban
and pre urban areas.
Current existing supply chain model and future possibilities of the supply chain for
the urban and pre urban cities for better ecosystem and economic development.
The objectives as mentioned above have been chosen because of the gap in the supply chain
in urban food production and the ecosystem of food supply chain need to analyze for the
better integration of the supply chain model. The project plan is based on the basics of the
supply chain model and its impacts on the urban population and link with the rural agriculture
food production. Literature reviews have been performed for the past research to know more
what model has been implemented and what is the impact or benefit of that model in the
urban and peri-urban areas.
The structure of the paper is as follows. In the following section, we present a simplified
conceptual framework for understanding the changes in the food supply chain between rural
producers and urban consumers. Next, we describe the rural-urban food supply chain and the
changes in urban food demand that are occurring in India. Then, we discuss the benefits and
drawbacks of the traditional marketing channel based on the results of a small primary survey
that we conducted with farmers and traders who use this traditional channel for the marketing
of vegetables. We examine the modern marketing channels in the urban areas in next part.
We provide our conclusions and suggestions for further research in final part.
Agriculture in urban areas is not that much as in rural areas so there is need of the food in the
urban areas. The world urban population is expected to double in 30 years leading to a
growing number of urban poor. The urban population expansion is more pronounced in
developing countries as result of the immigration from rural areas, as people flock to the
cities in search of food, employment and security. The trend is accelerating, and by the year
2030, it is expected that about 60% of the world’s population will be living in cities (Van
After several years of declining research interest, there seems to be a renewed focus on urban
food production amongst researchers and policymakers. Schnitzler, W.H (1999) in his
research sated that this is a positive development, as the urban food security context of today
is not the same as it was in the 1980s and 1990s. Towns and cities have grown considerably
since then and continue to increase rapidly in size through migration and natural increase.
Competition for resources, including land, has intensified. In many cities, water delivery has
been privatized, making one of the key inputs for urban agriculture considerably more
expensive. This paper asks what role urban production currently plays in the food security of
the residents of Southern Africa rapidly urbanizing towns and cities and how this role can be
further enhanced. Studies in Atteridgeville near Pretoria, for example, have found that 88% of
households were recent migrants from the countryside and that 54% were actively involved
in some form of food production. However, the average monthly income obtained from
household production was only about R6 which represented less than 1% of total monthly
household income. A survey of 19 Melbourne local government authorities showed that
people in low and middle socioeconomic areas were more likely to be exposed to fast food
outlets than those in high socioeconomic areas (Stephan M et al, 2006).
Kenya has been described as a success story in export oriented “extended horticulture”
(fruits, vegetables, flowers) based on contract farming. Exports have grown to over USD 150
million in 1999, equivalent to 17 percent of agricultural exports. Small farmers proved
effective suppliers for products like French beans or avocados; large farms have turned more
to the cultivation of other crops (Stephan M. Wagner et al, 2006). Approximately 85 to 110
thousand people are employed in the sector as farm labourers and industry workers; and
about 35 to 40 thousand smallholders, on a part-time basis, are concerned by horticultural
exports. Growth in export horticulture in Kenya has declined from 17% during the 1974-1983
periods, to 4% per year over the last period, due to new competitors and to new quality
standards which act as technical barriers to trade. Lowering the certification cost requires
recognition and competition between local certifying bodies.
There seem to have different supply chain models for the urban and pre urban food
production. The important thing is to know how the data can be collected for the thesis
research and the how they obtained result can be validated. Methodologies are the activities
that are used to determine and analyze the current scenario of food supply chain and the
improvement done, future technologies that can make it better and its impact on the societies,
firms, and farmers. There are number of things that need to consider while making research
detailed project plan covering the period of the project.
1. Bakker, M., Dubbeling, M., Sabel-Koschella, U., Zeeuw, H. (editors), 2000, Growing
Cities Growing Food: Urban Agriculture on the Policy Agenda. DSE, Feldafing,
2. FAO/WHO. 1992, International Conference on Nutrition. Rome: Food and
Agricultural Organization of the United Nations
3. Holmer, R.J., Potutan, G. E., Schnitzler, W. H., 1999, "Urban horticulture in the
Philippines: Its impact on food security, health, gender and urban environment", in
Proceedings of the FAO Sub-Regional Workshop on Constraints and Opportunities
for the Development of Urban and Peri-Urban Horticulture in South-East Asia,
October 16-19, 1999, Kunming, Yunnan, China
4. Schnitzler, W.H., Holmer R.J., 1999, Strategies for urban horticulture in developing
countries. Acta Horticulturae No. 495:331-335
5. C. Rogerson, “Feeding Africa’s Cities: The Role and Potential for Urban Agriculture”
Africa Insight 22(1992): 229-34.
6. Van Veenhuizen and Danso, 2009 “Profitability and Sustainability of Urban and PeriUrban Agriculture,” p. 43.
7. M. Zarei, M.B. Fakhrzad, M. Jamali Paghaleh, Journal of Food Engineering, Volume
102, Issue 1, January 2011, Pages 25-33
8. Stephan M. Wagner, Christoph Bode, Journal of Purchasing and Supply Management,
Volume 12, Issue 6, November 2006, Pages 301-312
9. International Food Policy Research Institute, Annual Report 2012-06-22
10. Redwood Empire Food Bank report 2008, http://www.refb.org/
Questions to ask
1. What does this firm actually do for the livelihood of the localities?
2. What edible plants are produced in the firm?
3. What kinds of animals are being kept here and what products are obtained from the
4. Does this food obtained from animal and plants transport to urban areas?
5. How much percentage of the requirement it fulfils for the population around?
6. Is the supply chain process for the delivery of the food suitable?
7. How many employees are working in the organization?
8. What other activities the firm do for the food production?
9. The plants that are produced here, from where they are taken or seeded in the firm
10. What kinds of technologies are being used for the production of the plant and animal
11. Is this food production process links to rural to urban cities?
12. Are these all plants edible or not? If not, for what purpose other plants are used and
13. For how much time the meat of goat and pig is safe?
14. What you feed these animals for more milk and meat production?