Thomas Assefa, Girum Abebe, Indra Lamoot and Bart Minten
Despite the large interest in urban food markets, there are, however still relatively few good studies that have empirically documented the functioning of retail markets in…
Abstract
Purpose
Despite the large interest in urban food markets, there are, however still relatively few good studies that have empirically documented the functioning of retail markets in developing countries, especially in Africa. The purpose of this paper is to look in particular at the case of Addis Ababa, a city of more than four million people and the capital of Ethiopia, one of the most populous countries in Sub-Saharan Africa. To better understand urban food retail, the authors rely on a large primary survey.
Design/methodology/approach
To better understand urban food retail, the authors rely on a large primary survey. Based on a stratified sampling scheme representative for the city as a whole, 1,226 urban food retail outlets were interviewed in March and April 2012.
Findings
The authors find increasing differentiation in food retail markets in recent years. Despite the prohibition of foreign direct investment in food retail, a domestic modern private retail sector is quickly emerging. However, its share is still very small and, in contrast to roll-outs of modern retail in other countries, it has not yet entered the cereal sector, which remains in the hands of local flour mills, cereal shops, and cooperative retail outlets. The importance of cooperative retail is growing even more rapidly. It is especially important for those products where supply chains are controlled by the government. On the high-end, domestic private modern retail outlets deliver high-quality products at significantly higher prices, ceteris paribus. At the other side, the authors see cooperative retail that delivers food at significantly lower – and subsidized – prices. However, the latter shops are characterized by typical price control problems, reflected in regular lack of supplies and queuing.
Research limitations/implications
The study is limited to the city of Addis Ababa and it seems useful if similar studies could be conducted in other cities in Africa.
Originality/value
Despite the large interest in urban food markets, there are still relatively few good studies that have empirically documented the functioning of retail markets in developing countries, especially in Africa. The paper therefore contributes to fill this lacuna by studying urban food retail markets using new and unique data for Africa.
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Bart Minten, Thomas Reardon, Sunipa Das Gupta, Dinghuan Hu and K. A. S. Murshid
Wastage and post-harvest losses in food value chains are becoming increasingly debated and policies are being increasingly designed to reduce food wastages. Despite its presumed…
Abstract
Purpose
Wastage and post-harvest losses in food value chains are becoming increasingly debated and policies are being increasingly designed to reduce food wastages. Despite its presumed importance, there is large variation in the importance and type of food losses and wastage. We identify the levels of food wastage at various levels of the potato food chain for three Asian countries.
Methodology/approach
Surveys were fielded to better measure the important variation between value chain agents, to capture wastage at each level, to analyze the structure of the value chain, and to evaluate wastage over the whole value chain (except for consumption). We generate data on an important staple in these countries and analyze the importance of waste in domestic rural-urban food value chains, often the most important value chain in these countries.
Findings
We find total quantities of potatoes wasted are equal to 5.2% in the harvest period and 6.4% in the off-season of all quantities that enter the value chain for Bangladesh. Even lower numbers are obtained in India (3.2% and 3.3%, respectively). These wastage levels are higher in China, possibly because of the significantly longer distances that potatoes are shipped.
Practical implications
The use of cold storage facilities can minimize the level of wastage in the potato distribution chain. Studies of this type of storage for other countries and commodities can identify opportunities in which adoption of cold storage can provide the greatest contributions toward the elimination of food wastage.
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Thomas Reardon and Bart Minten
The purpose of this paper is to analyze the patterns and dynamics of the diffusion of modern food retail in India.
Abstract
Purpose
The purpose of this paper is to analyze the patterns and dynamics of the diffusion of modern food retail in India.
Design/methodology/approach
The paper is based on detailed sales data from retail chains in India, short case studies of retail chains, and review of literature.
Findings
The article presents three surprises concerning modern food retail diffusion in India. First, modern retail has developed in three “waves”, with the first wave, government retail chains, starting in the 1960s/1970s, cooperative retail chains starting in the 1970s/1980s, and private retail chains in the 1990s/2000s. All three were substantial, and internationally uniquely, all three coexist in the 2000s as segments of modern retail. Second, the rise of modern private retail in India in the past six years has been among the fastest in the world, growing at 49 percent a year on average over that period, and bouncing back to growth after a dip from the recent recession. The great majority of modern private retail has arisen in 2007‐2010. Third, beside the uniqueness of the coexistence of three types of retail noted above, Indian private retail chain development has unique or rare characteristics: driven by domestic capital investment, “early” (in terms of usual international patterns) diversification into small formats, “early” penetration of small cities and even rural towns, of the food markets of the poor and lower‐middle class, and of fresh produce retail. These unique factors have helped to propel it quickly.
Originality/value
For the first time in the literature, the paper presents an analysis of: the three waves in Indian retail; detailed sales data for all leading chains; and its uniqueness.
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Florence Nakazi, Losira Nasirumbi Sanya and Johnny Mugisha
The coronavirus disease (COVID-19) pandemic continues to impact economic systems, with devastating consequences on livelihoods. Anecdotal evidence has predicted the adverse…
Abstract
Purpose
The coronavirus disease (COVID-19) pandemic continues to impact economic systems, with devastating consequences on livelihoods. Anecdotal evidence has predicted the adverse effects of COVID-19 on the livelihood of food system actors. Uganda experienced two lockdowns in March 2020 and June 2021 with varying government containment measures. During the first lockdown, fresh food market vending was deemed essential to meet urban food demand, and was consequently exempted from a total shutdown despite the ban on public and private transport. Thus, this study sought to examine the effect of COVID-19 containment measures on fresh food market vending businesses in Uganda.
Design/methodology/approach
Using primary data collected from fresh food market vendors, this study applied a pooled time-series estimation to examine the effect of the first lockdown COVID-19 containment measures on fresh food vendors' welfare.
Findings
The study revealed that COVID-19 had a significant negative impact on the income of fresh food vendors, with female vendors being the most affected. COVID-19 containment measures reduced the diversity of buyers, individual customers and the number of commodities traded in causing a greater impact on vendors' income.
Research limitations/implications
The unavailability of data for vendors who did not return to the market at the time of data collection limits the scope of the study. Additionally, the absence of data for the second lockdown limited the analysis to only March 2020 lockdown period.
Originality/value
The empirical analysis highlights how vulnerabilities of different gender categories could be exacerbated by crises. The study provides empirical evidence of various market distortions caused by the COVID-19 pandemic and the disproportionate impact on women and men market vendors which calls for the need to integrate women's perspectives in future planning for market systems as well as advocating for gender-sensitive recovery responses.