The document summarizes a student's report on their placement in the Solomon Islands exploring the role of agribusiness marketing practices in influencing diets and health. It finds that the consumption of imported processed foods high in calories and low in nutrients is increasing rapidly and contributing to high rates of non-communicable diseases. The marketing of these foods is influenced by both their low price compared to local produce and also their convenience. The student analyzes factors impacting the prices of local versus imported foods like agricultural efficiency, pests/diseases, logistics challenges, and lack of financial literacy among vendors. Understanding these marketing factors is key to addressing the nation's health crisis.

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Exploring the role of agribusiness marketing practices in influencing
the changing diets and health of the Solomon Islands.
By Ashley Rootsey
3rd
year, B. Food and Agribusiness
Abstract/Summary
The Solomon Islands is an archipelagic country locatedin the South Pacific, who in recent times has
beenburdenedwithrapidlyincreasingratesof non-communicable diseasessuchasdiabetes,cancer,
and cardio-respiratory diseases. These diseasesare affecting a population who already suffers from
highlevelsof stuntingandmalnutrition,meaningthatlocal healthservicesare beingstrained beyond
belief. This report looks to link the increasing consumption of imported high-calorie food products,
such as two-minute noodles, with the exploding rates of lifestyle/diet-related illnesses. More
specifically, this report documents the thoughts and observations from one University of Sydney
student who participated in a three-week placement to Honiara in July 2016.
The reportstarts witha backgroundintothe currenthealthstatusof the SolomonIslands population
and then into the existing marketing chains for food within the country. The three primary chains,
subsistenceagriculture,cashcropmarkets,andretailshops,are importanttoconsiderwhenanalysing
local marketing, due to the types of foods that are available from each; i.e. fresh produce can be
obtained from subsistence gardens and markets,as opposed to rice, noodlesand tinned goods that
are sourced from the increasingly popular street stores.
Following,a rapidliterature review isconductedonthe recenttheoriesandsurveys from academics
whoattempttounderstandthe keymarketingfactorsthatinfluence the SolomonIslandlocals,aswell
as membersof the widerPacificregion.Many publicationsinthese fieldstendtocite the price of the
imported goods as the key driver of their growing demand, explaining that the low-incomes of the
local residents is the motivator behind the purchasing of these processed foods. There are others
howeverthatprovide a counter-argument, citingthe convenience of these foods asappealingtothe
culture of the local communities. Hence, this report then aims to explore these two factors of
marketing and analyses their influence of consumer behaviour across the country. The two chosen
aspectsof price andconvenienceare brokendownintotheircore determinants,throughrelatingfirst-

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hand encounters of the placementwithacademicliterature of the local foodsystems inthe Solomon
Islands.

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Introduction / The current health status of the Solomon Islands
As the worldheadsdeeperanddeeperintothe 21st
century,foodsupplychainsaroundthe globe are
beginningtoface harshstressors,suchasclimate changeandpopulationgrowth,thatare testingeven
the most well-establishedfoodindustriesof nationssuchas the US and Australia.Where then,does
thisleave thechancesof small islandnationssuchasthe SolomonIslands? Well,witharapidlygrowing
population, ageographyconsistingof hundredsof ruralisedislands,andthe lowestincome percapita
in the region (Andersen et al. 2013), Solomon Islands is certainly a country facing vast challenges.
Arguablythe mostfocal challenge inthe SolomonIslandsisthatof the wide-spreadincidence of non-
communicable diseases (NCDs). NCD’sare described by Ghaffar, Reddy and Singhi (2004) to include
conditions such as cardiovascular diseases, diabetes, and chronic pulmonary diseases that have
primarilylifestyle-relatedriskfactors.The burdenof these diseasesisgenerallynotjusthealth-based,
but also may significantlyimpactthe economicprosperity,cultural wellbeingandsocial stabilityof a
population (Boutayeb and Boutayeb 2005). According to a report by the World Health Organisation
(2015), the incidence of diet-related health risk factors in the Solomon Islands is the highest in the
widerPacificregion;depictedinFigure 1 below.This isa regionthat includes neighbouringcountries
such as Samoa, Fiji and Papua New Guinea, all of which have expressedtheir own current health
predicamentsashitting‘crisislevel’(Parry2010);so withthe SolomonIslandsdemonstratingratesof
obesitymore thanfive timesthatof the regionaverage,the needfordrastictransformation isalmost
beyond words.
Figure 1. The incidence of NCD-related risk factors in the Solomon Islands, based on most recently available data, when
compared to the Pacific Island region average. Source: World Health Organisation (2015).
Upon investigation,itappearedthatone of the key reasons forthisworseningstate of nutrition, cited
bybothgovernmentandnon-governmentsources (e.g.Andersenetal.2013;Genovaetal.2010), was
the shifting of diets from traditional, locally-sourced fresh produce towards heavily-processed food
alternativesthathave beenintroducedasa resultof increasing trade practiceswith Asia.These new
diets that heavily rely on the low-cost, mass-produced foods such as instant noodles and packaged
rice are creating double burdens of malnutrition and obesityacross the Islands, due to their calorie-
dense energy compositions and minimal macro- and micro-nutrient values. The core drivers of this
shifting diet among the islandpopulations is a topic still to be fully clarified by academics, however
the two most common arguments are toward the roles of price and convenience of these foods.

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It is the aim of this report, which is based on the experiences and investigations of one university
student over a three-week visit to the Solomon Islands, to explore the roles that agribusiness
marketing plays in shaping national food consumption patterns. Through firstly gaining an
appreciationof the primary marketingchainsand a review of relevantliterature,thisreportlooksto
combine real-world experience with academic theory in assessing the current state of two key
marketing factors within the Solomon Islands.
A background into the existing marketing channels for food in the Solomon Islands
Currently in the Solomon Islands there are generally three primary sources of food procurement for
the majority of the population. These include:
The production of subsistence crops within rural families or communities.
The most traditional form of food procurement in the Solomon Islands, most common in rural
communitiesaccordingtoYen(1993),isthatof subsistence agriculture.Thisisthe practiceof Islanders
growingtheirownfood,predominantlyfruitsandvegetables,tofeedthemselvesandtheirfamiliesin
a process of self-sufficiency. After talking with lecturers from Solomon Islands National University
(SINU), it was identified that the growing of root vegetables such as sweet potato and cassava is
particularlyprominentamongsubsistence farmersinSolomonIslandsduetothe ability of these crops
to growquicklyinthe local conditions.Howeverthe supplementarygrowingof fruits(suchasbananas
or watermelons), legumes (such as beans) or occasionally animal products (primarily chickens) was
also described.
Image 1. A demonstration plot of a typical subsistence “back-yard” farm in the Solomon Islands.
The exchangeof excess subsistencecrop production orsale of cash crops at local or central markets.
Typicallyif thereisanyexcessfoodproducedfromrural subsistencefarmingorif localfarmerspartake
inthe increasinglypopularproductionof cashcrops (excl.those producedforexport),itwill be taken
to market to be sold.The markets act as a busymeetingplace forbuyersand sellers,some of whom
will be trading on behalf of their neighbours or communities as well as themselves.

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Image 2. A row of table stalls at the Honiara Central Market.
Purchase of packaged/tinned foods at independent (or occasionally chain) supermarkets or stalls.
The final option for regularly obtaining food in the Solomon Islands is through the purchase of
packaged or tinned products, the three most common being rice, noodles and tuna. As identified in
the introduction, thisis becoming an increasingly popular optionamong the local population, which
is one of the keydriversof the current national healthcrisis.There are oftendiscountpromotionsin
some of the larger,Chinese-ownedshopswith deals such as “buy a box for 20% off” as an example.
Image 3. Shelves stacked with packaged and tinned goods at one of the larger Honiara shops.

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A review of available literature into drivers of local consumer behaviours.
Given the growing international attentionthat the diet-relatedhealth crisis in the Pacific region has
received, a number of academics have attempted to describe the underlying reasons behind the
changing diets among these developing populations. The conclusions from these sources however
have been somewhat inconsistent.
The most predominantly argued cause contributing to the greater consumption of imported food
products is that of favourable price-differentials compared to fresh produce, and the local socio-
economic environment. Researcherssuch as Estimé, Lutz and Strobel (2014) are among many citing
the link between (1) the minimal disposable incomes in developing countries, (2) the comparatively
lower cost of imported foods on a per calorie basis, and (3) the consequent consumption of these
energy dense processed foods, leadingto obesityand malnutritionoutcomes. This economic notion
was further described by Campbell (2009) as the ‘food from nowhere’ rather than ‘food from
somewhere’ phenomenon. This was the idea that consumers who are burdened by socio-economic
pressures,whichischaracteristicof almostallthe SolomonIslandpopulation,will habituallypurchase
andconsume foodbasedonprice,regardlessof secondaryfactorssuchasnutritional valueorcountry-
of-origin,etc. The specificapplicationof these price-basedtheories tothe SolomonIslands hasbeen
conductedby academicssuchas Andersen,ThilsteadandSchwartz(2013),whocite the comparatively
higher prices of local produce as the driver of food insecurity across the nation.
However,thissimple conclusionisnotsharedby all. Hawkesetal (2013) and Genovaet al (2010) are
among those who position themselves toward a view of greater complexity in deconstructing
consumerbehaviour.Theserespectiveresearchers touchonthe importanceof additionaldriverssuch
as accessibilityandsocietal-acceptabilityof foodsinshapinglong-termeatingpatterns,indicatingthat
a more holistic approach is necessary for the solution to the diet-related health crisis. In fact this
notion was exemplified by the Secretariat of the Pacific Community (2011) through their
demonstration of the changing prices of fresh and processed fish across the Pacific nations (incl.
Solomon Islands). Their presentation of findings, shown below in Table 1, depicts that despite
observation of volatile fluctuations in the prices of the imported product, the demand continuedto
grow even in times when canned prices were almost double those of fresh tuna per kilo.
Table 1. The comparative prices of fresh vs tinned fish across the Pacific region at times of survey over a five -year period.
Source: SPC (2011)
The consequent summation after considering these elements is that there are indeed multiple
marketingfactorsthathave a significantimpactonthe foodchoicesmade bySolomonIslanders.This
ideawas largely reaffirmed basedon my own experiences inHoniara.In my observational researchI
wasparticularlyable toidentifythe strongrolethatconvenience playedalongsidepriceindrivingfood
purchasing, hence it was these two factors that were selected to be explored further.

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Determinants of local vs imported food prices in the Solomon Islands
Efficiency in production
A topic that was exploredheavily bymy peerson the tour, there are many elementscontributingto
the sub-optimal agricultural practices that are implemented across all nine provinces of Solomon
Islands. The traditional,subsistence nature of agriculture inthe country meansthat there are always
goingtobe large economiesof scaletrade-offscomparedtomodern,large-scale systemsof developed
nations (Connell 2014). Also, given the local legal and cultural complexities of local land-rights, a
reformof local productionscalesseemsveryunrealisticinthe short-term.Thisultimately meansthat
in order for supply to increase, which would moderate the prices of local produce based on market
principles, an increase in the efficiency of local production practices is required, predominantly
through better farmer education. Education is a huge nation-wide issue that is largely beyond the
scope of this report, however the work of NGO’s such as Kastom Garden Association who provide
workshops to rural farmers and present demonstration plots to illustrate the benefitsof practices
including crop rotation, minimum-till, etc. cannot be overstated. This is particularly critical giventhe
ever-growingefficiencyof processingplantsinAsia,whoare now generatingfoodonproductionlines
with unparalleled speed and organisation; enabling foreign prices to be lower than ever.
However more immediately, one of the growing threats to both subsistence and cash-crop farming
alike isthe growingincidence of pestsanddiseasesinthe SolomonIslands.Thisisone factorthat isa
verydirectissue tothe longevityof local productionsystems,andhence mustbe one thatisgiventhe
utmosturgencyin treatment.The twomajorpeststhat were describedsynonymouslyamongalmost
everyorganisationinvolvedinlocal productionwerethe Rhinocerosbeetleand the GiantAfricanSnail.
These pests are specifically detrimental to some of the major sources of income for the local,
agriculture-driven,economyincludingcoconutand palm-oiltreessomustbe continuedtobe treated
as a national crisis,withsupportand informationforfarmersbeinga necessity (Hamilton2011).Our
meetingwithSIBiosecuritywasproductivein understandingthe initialworktoraise the issueof these
pests among farmers through brochures and booklets. However lessons from other organisations
suggest that a more direct and personal method may be far more effective in connecting with rural
producers to implement preventative safeguard practices.
Logistics management
One of the unique challenges for agricultural productionand food distribution in Solomon Islands is
the logistical challenges thatacountry withhundredsof islandsdividedintonine provincesposeona
day-to-day basis. The transport infrastructure that is usedon the island is typicallya minimumof 20
yearsout-datedduetothe local industriesonlybeingtofinanciallyaffordsecond-handships,generally
sourcedfrom Japan accordingto leadingKGA memberMoses.The flow-oneffectof thisis that all of
the moderntechnologiesincluding refrigerationandpackagingare very foreigntolocal Islanders,so
the transport of perishable goods such as fresh produce is verydifficult from island-to-island, hence
dramaticallyincreasingthe price of foodproducts that are rarelygrownin a particular province.This
provides a barrier for rural farmers in participating in the growing cash crop trend that works to
improve the profitabilityof agricultural productionacrossthe islands(Laueretal 2013). The inability
of rural farmers to access markets is key driver of the poverty trap in the SolomonIslands according
to PHAMA,an independentorganisationworkingtodecrease barrierstotrade forlocal producers,so
must be treated as an investment priority by local governments and organisations.
These challengesintransporting logistics are nullified forprocessedimportedgoodsdue to theirlong
shelf-life;whichisattainedviathe additionof preservatives andthe physical robustness of theirsolid
packaging.This meansthat there is little tono effectof shipping of these foods,hence creatinga far
lower price elasticity when sold in domestic markets.

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Image 4. A look inside the storage compartment of a ship being loadedfor its trip to a neighbouringisland;note the huge
piles of boxed foods and packets of rice.
Lack of financial literacy among vendors
Whilst the first two factors that have been identified are physical barriers to effective marketing of
local foodproducts,there isamajorunderlyingsocialbarrierthathasthe powertonullifyanypositive
improvementsthatare made to the productionchainof local foods; thatbeingeducation.The ability
of producers and market vendors to operate effectively and profitably in the Solomon Islands will
ultimatelybe determinedbytheircapacitytounderstandthe costsinvolvedintheirsupplychain,and
seta price that deliversanappropriate profitmargin (Lusardi andMitchell 2014). This isa skill thatis
largely taken for granted in developed nations such as Australia, but was found to be a huge huge
issue whenIwasable tocommunicate withmanyvendorssellingtheirfamily’s(ortheircommunity’s)
produce as the Honiara Central Market.
AsIwasguidedaroundthe marketsbySINUlecturerDorothyTavoa,shewasabletoactasatranslator
forme,so thatI couldaskquestionsof the menandwomensellingtheirfoodproductsatthe nation’s
largest marketplace. When I questionedthem regarding how they set their prices, I was (perhaps
naively) baffled when they simply replied with a subtle look of confusion and a point of the finger
towards whoevernearbywassellingthe same fruitsor vegetablesasthem.In fact there were many
timeswhere aftermovingtoasellerwhohadbeenpointedat,theysimplyrepliedbymotioningright
backat the vendorwhoIhadjustcame from.Thissystem,knownas‘copy-pricing’,isone ofthe biggest
threatstothe longevityof local agriculturalproductionintheSolomonIslands,andiscertainlyanissue
that will become more andmore pronouncedwiththe increasedglobalisationof foodtrade (Glewwe
2002). For food producers to potentially be selling their food at a price lower than production cost
withoutevenrealisingitisnothinglessthancatastrophicforthe future of local food industries inthe
country. The need for education, particularlybusiness-related education, to advance at a rate faster
than that of the urbanisation of food systems is critical for the future of the Solomon Islands.
Otherwise they risk falling further and further behind the rest of the developed(capitalist) world,
particularly given their growing involvement in trade; so rapid intervention, whether it be
government-, private-, or NGO-sourced, is needed ASAP.

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Determinants of convenience of food in the Solomon Islands
Role of intermediaries in distributing food
The first determinant that I observed to be a key distinguisher between the convenience of local vs
imported food products was the role that intermediaries played in the supply chains of these
commodities.One of the greateststrengthsof importedfoodssuchasrice andnoodlesistheirsystem
of distribution through very clearly defined stages of utility-adding in delivering their product to
consumers.Firstlytheyare shippedintothe countryinbulkbylarge(oftenChinese-owned)shops that
are predominantly based out of Honiara, where the major port is located. They are then stocked in
shops in large boxes which are typically bought in bulkby individuals or families who then transport
the products to smaller stalls scattered throughout the islands.
The most interesting thing however, is that this ‘transport’ was observed to potentiallybe as simple
as crossingthe road.In the mainhubof Honiara surroundingthe HCMthere isa large Chinese-owned
shop that stocks boxes upon boxes of processed foods, however also makes the products such as
tinned tuna and 2-minute noodles available for sale in small quantities. Interested in the true dollar
value that localsplace on convenience,Iwentto purchase a 250g tinof SolomonBlue tunafrom the
Chinese shop, thencompare it to one boughtfrom across the road at a smallerstall situatednextto
the central marketplace.The price paidfor the tin in the Chinese shopwas$6.80, and the price paid
inthe stall was$8.00 (inSolomonDollars).Thismeansthatforeverysale the merchantsare gaininga
profitof $1.20, a marginthat seemsincrediblegiventhe approximate30stepsittookto getfromone
stall tothe other.However,thisfindingwasveryeffectiveinillustratingthe valuethatthe localsplace
in geographical convenience.
Image 5. Row of independent stalls situated alongside vendors of the Honiara Central Market.

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In order for local production systems to similarly benefit from the evidently valuable role of
intermediaries, one of the biggest hurdles to overcome will be the lack of leadership that has been
innate in local agriculture for many years. After discussing the idea of establishing co-operative
intermediaries in the Islands with figures such as Lawrence Atu from SINU and members from the
Rural Development Council,they explained that all previous attempts at establishing collaborative
efforts amongst farmers to achieve synonymous production benefits had fallen through. This was
described as an outcome of the ingrained culture of Islanders, particularlyafter the civil-unrest in
2003, where many were now hesitant to trust other farmers as they perceive them as competitors.
The need to overcome these perceptions is a further major challenge for the local food system.
Ability to store unprocessed (local) foods vs imported products
A second factor contributing to the increasing uptake of calorie-dense processed foods is their
integration of chemical preservatives and sturdy physical packaging that mean that they far outlast
local freshproduce in termsof shelf-life.Thispointwastouchedonearlier, inthe abilityof thesefoods
to be resilienttothe logistical challengesof the SolomonIslandspre-purchase,butthey alsohave an
important impact post-purchase. The traditional roles of women across the country as the primary
providersof foodfor the familymeansthattheyare commonlythe oneseitherharvestingfoodfrom
the garden,or purchasingfoodfromthe marketsor shops. For the 80% of familiesthatare identified
as livinginrurallyby Schwarzetal (2011), the jobof travellingtomarketisgenerally made difficultby
the reducedfrequency of thesemarketsasyoumove furtheroutof the mainhubof eachprovince,as
well asthe suboptimal roadinfrastructure of rural villages.Foryearsandyears, the membersof rural
communitieshave hadtoendure the longtravel toacquire foodonpotentiallyadailybasis.However
the introductionof importedfoodsthatare abletobe keptforweekswithoutdeteriorationhasmeant
thatthe frequency of these tripscanbe massivelyreduced.So consequentially therural demandthese
foods has skyrocketed as a function of their storage convenience; leading to the aforementioned
malnutrition and obesity crisis of rural Solomon Islanders.
Conclusions
Through briefly exploringsome of the differentfactorsthat are contributingtothe growingdemand
forimportedfoodsinthe SolomonIslands,IfeelasthoughIwasalsoable togainan insightintosome
of the deeper underlying issues affecting the country’s food system. The challenges that local
producersface throughoutthe foodsupplychainare largelyindicativeof manyof the challengesthat
the country faces as a whole; for example in areas such as infrastructure, education and gender
equality.The introductionof these underlying social andcultural issuesthroughoutthisreportaimed
to depictthe true complexitiesinobtainingsolutionstosucha broad, all-encompassingissuesuchas
national health and food security.
However,the needtoovercome these complexitiesfaroutweighsthe size of theirchallenge. Beinga
developingnation,SolomonIslandsplaces avery high dependence onagriculture botheconomically
and socially, so achieving resilience in local food production is an immediate objective. One of the
vehicles for development is research,so there is no doubting the massive role that institutions such
as SolomonIslandsNationalUniversityandKastomGardenAssociationhave toplayinforgingchange
intothe nextgenerationof agriculturalists.Mymany encounterswiththese twoorganisationswhilst
overinHoniarawere hugelyencouraging,andIwishthemthe mostsuccessinchangingthe waytheir
nation approaches food. I hope also that this report may act as a brief introduction for some of my
fellow members of the Universityof Sydney intothe challenges that the Solomon Islandsare facing,
and I implore as many people as possible to embrace these challenges and get actively involved.

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