Food retailers are working with farmers to create shorter supply chains

In the agri-food sector, both complexity and risks have increased significantly. According to Professor Roel Gevaers of the University of Antwerp, there is one thing companies can do: shorten their supply chains. At the FoodChain Forward conference, held in the Netherlands, it emerged that supermarket chains Jumbo and Lidl have already started doing this. The fact that they are making direct agreements with farmers is making all the difference. ‘‘The real breakthrough came when we sent all our commercial staff home.’’

Mangoes harvested in Peru or Brazil take a few weeks to reach Europe via reefer containers. Here, they are stored in ripening chambers until it is time to transport them to supermarkets. These days, however, plastic punnets containing fresh mango pieces are also on sale there. ‘‘That supply chain looks completely different,’’ explains Gevaers. ‘‘Those punnets come from Ghana, where the mangoes are peeled, sliced and packed on site. They are then flown to Europe overnight. Within 36 to 48 hours of being harvested, the mango pieces are on our supermarket shelves. So a single product can have two completely different supply chains.’’

This story was originally published by Supply Chain Movement. Read the full story at Supply Chain Movement →