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Food Supply Chains and Covid‐19: Impacts and Policy Lessons

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  • Koen Deconinck
  • Ellie Avery
  • Lee Ann Jackson

Abstract

Covid‐19 placed unprecedented stresses on food supply chains. Farms faced bottlenecks for some inputs, notably seasonal labour. Processing was disrupted by labour shortages and shutdowns, especially in meat processing. Air freight, important for fruits and vegetables, was severely disrupted. Demand from restaurants and food service collapsed, while retail food demand surged. Yet supply chains in the developed world have been remarkably resilient to date. Store shelves were replenished as stockpiling behaviour subsided and as supply chain actors expanded operating hours, increased staff, simplified the product range and found alternative suppliers. This rapid recovery was facilitated by policy decisions to reduce border waiting times, to streamline certification procedures and to relax regulations on trade in food. Importantly, policymakers have so far mostly avoided a repeat of the mistakes of the 2007–2008 food price crisis, which was greatly exacerbated by export bans. Some bottlenecks remain, and there may be new supply risks as Covid‐19 spreads in Latin America. Overall, the biggest risk to food security is not food availability, but consumers’ loss of income. Safety nets and food assistance are essential to avoid an increase in hunger, especially in developing countries. La pandémie de Covid‐19 a exercé des pressions sans précédent sur les chaînes d'approvisionnement alimentaire. Les exploitations agricoles ont été confrontées à des goulots d'étranglement pour certains intrants, notamment la main‐d'œuvre saisonnière. La transformation a été perturbée par des pénuries de main‐d'œuvre et des fermetures, en particulier dans la transformation de la viande. Le fret aérien, important pour les fruits et légumes, a été gravement perturbé. La demande des restaurants et des services alimentaires s'est effondrée, tandis que la demande de produits alimentaires a bondi au niveau du détail. Pourtant, les chaînes d'approvisionnement des pays développés ont été remarquablement résilientes à ce jour. Les étagères des magasins ont été réapprovisionnées à mesure que le comportement de stockage diminuait et que les acteurs de la chaîne d'approvisionnement allongeaient les heures d'ouverture, augmentaient le personnel, simplifiaient la gamme de produits et trouvaient des fournisseurs alternatifs. Cette reprise rapide a été facilitée par des décisions gouvernementales visant à réduire les temps d'attente aux frontières, à rationaliser les procédures de certification et à assouplir les réglementations sur le commerce des denrées alimentaires. Il est important de noter que les décideurs de l’action publique ont jusqu'à présent évité la plupart du temps une répétition des erreurs de la crise des prix alimentaires de 2007–2008, qui a été grandement exacerbée par les interdictions d'exportation. Certains goulots d'étranglement subsistent et il peut y avoir de nouveaux risques d'approvisionnement alors que la Covid‐19 se propage en Amérique latine. Dans l’ensemble, le plus grand risque pour la sécurité alimentaire n’est pas la disponibilité de la nourriture, mais la perte de revenus des consommateurs. Les filets de sécurité et l'assistance alimentaire sont essentiels pour éviter une augmentation de la faim, en particulier dans les pays en développement. Die Covid‐19‐Pandemie stellte eine noch nie dagewesene Belastung für die Lebensmittellieferketten dar. Die landwirtschaftlichen Betriebe sahen sich mit Engpässen im Bereich einiger betriebswirtschaftlicher Input‐Faktoren konfrontiert, insbesondere im Bereich der Saisonarbeitskräfte. Auch die Verarbeitung der landwirtschaftlichen Produkte wurde durch Arbeitskräftemangel und Betriebsstilllegungen, insbesondere in der Fleischverarbeitung, unterbrochen. Der Warenverkehr per Luftfracht, der für Obst und Gemüse wichtig ist, war ernsthaft gestört. Die Nachfrage der Restaurants und der Gastronomie brach ein, während die Nachfrage des Einzelhandels nach Lebensmitteln stark anstieg. Dennoch haben sich die Lieferketten in den Industrieländern bis heute als bemerkenswert widerstandsfähig erwiesen. Die Regale des Lebensmitteleinzelhandels konnten wieder aufgefüllt werden, weil das Horten von Produkten nachließ und weil die Zulieferbetriebe ihre Arbeitszeiten ausgeweitet hatten. Darüber hinaus stockte der Lebensmitteleinzelhandel Personal auf, vereinfachte die Produktpalette und fand alternative Zulieferbetriebe. Diese rasche Erholung wurde durch politische Entscheidungen zur Verkürzung der Wartezeiten an den Grenzen, zur Straffung der Zertifizierungsverfahren und zur Lockerung der Vorschriften für den Handel mit Lebensmitteln erleichtert. Besonders bemerkenswert ist dabei, dass die politischen Entscheidungstragenden bislang eine Wiederholung der Fehler der Lebensmittelpreiskrise von 2007–2008, die durch Exportverbote damals erheblich verschärft wurde, weitgehend vermieden haben. Einige Engpässe bestehen aber nach wie vor und mit der Ausbreitung von Covid‐19 in Lateinamerika könnten sich neue Versorgungsrisiken ergeben. Das insgesamt größte Risiko für die Ernährungssicherheit besteht allerdings nicht in der Verfügbarkeit von Nahrungsmitteln, sondern in den Einkommensverlusten der Verbraucherinnen und Verbraucher. Sicherheitsnetze und Nahrungsmittelhilfen sind daher unerlässlich, um einen Anstieg des Hungers, insbesondere in den Entwicklungsländern, zu verhindern.

Suggested Citation

  • Koen Deconinck & Ellie Avery & Lee Ann Jackson, 2020. "Food Supply Chains and Covid‐19: Impacts and Policy Lessons," EuroChoices, The Agricultural Economics Society, vol. 19(3), pages 34-39, December.
  • Handle: RePEc:bla:eurcho:v:19:y:2020:i:3:p:34-39
    DOI: 10.1111/1746-692X.12297
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    1. Chetna Chauhan & Manzoor Ul Akram & Diptanshu Gaur, 2021. "Technology-Driven Responsiveness in Times of COVID-19: A Fuzzy Delphi and Fuzzy AHP-Based Approach," International Journal of Global Business and Competitiveness, Springer, vol. 16(1), pages 48-61, December.
    2. Brenda Cardoso & Luiza Cunha & Adriana Leiras & Paulo Gonçalves & Hugo Yoshizaki & Irineu de Brito Junior & Frederico Pedroso, 2021. "Causal Impacts of Epidemics and Pandemics on Food Supply Chains: A Systematic Review," Sustainability, MDPI, vol. 13(17), pages 1-28, August.
    3. Bina, Justin D. & Tonsor, Glynn T. & Schulz, Lee L. & Hahn, William F., 2022. "Regional and plant-size impacts of COVID-19 on beef processing," Food Policy, Elsevier, vol. 108(C).
    4. Y. Zhao & C. Huang & J. Luo, 2022. "How to Prepare for the Next Pandemic -- Investigation of Correlation Between Food Prices and COVID-19 From Global and Local Perspectives," Papers 2211.15515, arXiv.org.
    5. Christopher M. Durugbo & Zainab Al-Balushi, 2023. "Supply chain management in times of crisis: a systematic review," Management Review Quarterly, Springer, vol. 73(3), pages 1179-1235, September.
    6. Chalita Jainonthee & Sinh Dang-Xuan & Hung Nguyen-Viet & Fred Unger & Warangkhana Chaisowwong, 2022. "Impacts of the Pandemic, Animal Source Food Retailers’ and Consumers’ Knowledge and Attitudes toward COVID-19, and Their Food Safety Practices in Chiang Mai, Thailand," IJERPH, MDPI, vol. 19(16), pages 1-24, August.
    7. Balezentis, Tomas & Zickiene, Agne & Volkov, Artiom & Streimikiene, Dalia & Morkunas, Mangirdas & Dabkiene, Vida & Ribasauskiene, Erika, 2023. "Measures for the viable agri-food supply chains: A multi-criteria approach," Journal of Business Research, Elsevier, vol. 155(PA).

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