The Agri-food chains cuts across providers of inputs and services, processing, transportation, industrialization, and other support services (technology).
However the concept of value chain is to help create a broader perspective of value added in product as it travels along the supply chain via an efficient economic process and dependable networks.
The sequences of the Agri-food supply chain conventionally starts with the following scheme ; Farmers to the processors, down to the distributors( retailers and wholesalers) and ultimately to the end consumers.
There are relatively fewer numbers of actors in processing and retailing. This phase which is best considered as the “supplier-retailer interface” is where the potential for highest value addition thrives and hence almost nearly populated with small or big business enterprises, for instance, in 2018, the top 30 global retailers accounts for over 30% of the world supermarkets.
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A sustainable food chain centers around three-dimensional spheres;
- Environment: Accounts for the use of natural resources, pollution prevention and environmental management;
- Social: Accounts for standard of living, Education, community, inclusiveness, and equality;
- Economic: Accounts for profits, cost, savings, economic growth, research and development.
Putting adequate infrastructures to these dimensional spheres and considering the interests of all stakeholders concerned in the production would make food chain more sustainable. And this means not just Product innovation, but also organizational innovations should be considered.
