IDEAS home Printed from https://ideas.repec.org/a/bla/agecon/v57y2026i2ne70095.html

Nutritional Impacts of Direct Selling to Supermarkets: The Case of Farm Households in India

Author

Listed:
  • Chandra S. Nuthalapati
  • Ashok K. Mishra
  • Susanto K. Beero

Abstract

A growing body of literature examines the developmental impacts of smallholder participation in supermarket value chains in developing countries, yet evidence on the nutritional implications for farm households remains limited. This study investigates how direct sales to supermarkets influence household nutritional outcomes among vegetable growers in India. Using primary survey data and econometric techniques that address simultaneity and self‐selection bias, we find that farmers selling directly to supermarkets consume significantly higher amounts of vitamin A and zinc than their counterparts. These improvements are associated with a greater share of non‐cereal food consumption. They are supported by more stable and higher incomes generated through direct sales to supermarkets, staggered vegetable harvests, and reduced price volatility. The findings highlight the potential of supermarket expansion to enhance dietary quality and address micronutrient deficiencies for farm households in smallholder‐dominated agricultural systems.

Suggested Citation

  • Chandra S. Nuthalapati & Ashok K. Mishra & Susanto K. Beero, 2026. "Nutritional Impacts of Direct Selling to Supermarkets: The Case of Farm Households in India," Agricultural Economics, International Association of Agricultural Economists, vol. 57(2), March.
  • Handle: RePEc:bla:agecon:v:57:y:2026:i:2:n:e70095
    DOI: 10.1111/agec.70095
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/agec.70095
    Download Restriction: no

    File URL: https://libkey.io/10.1111/agec.70095?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Joshua D. Angrist & Alan B. Krueger, 2001. "Instrumental Variables and the Search for Identification: From Supply and Demand to Natural Experiments," Journal of Economic Perspectives, American Economic Association, vol. 15(4), pages 69-85, Fall.
    2. Winters, Paul & Davis, Benjamin & Carletto, Gero & Covarrubias, Katia & Quiñones, Esteban J. & Zezza, Alberto & Azzarri, Carlo & Stamoulis, Kostas, 2009. "Assets, Activities and Rural Income Generation: Evidence from a Multicountry Analysis," World Development, Elsevier, vol. 37(9), pages 1435-1452, September.
    3. Demmler, Kathrin M. & Ecker, Olivier & Qaim, Matin, 2018. "Supermarket Shopping and Nutritional Outcomes: A Panel Data Analysis for Urban Kenya," World Development, Elsevier, vol. 102(C), pages 292-303.
    4. Prabhu Pingali & Naveen Sunder, 2017. "Transitioning Toward Nutrition-Sensitive Food Systems in Developing Countries," Annual Review of Resource Economics, Annual Reviews, vol. 9(1), pages 439-459, October.
    5. Yun-Cih Chang & Min-Fang Wei & Yir-Hueih Luh, 2021. "Choice of Modern Food Distribution Channels and Its Welfare Effects: Empirical Evidence from Taiwan," Agriculture, MDPI, vol. 11(6), pages 1-13, May.
    6. Benjamin Davis & Leslie Lipper & Paul Winters, 2022. "Do not transform food systems on the backs of the rural poor," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 14(3), pages 729-740, June.
    7. John Hoddinott, 2006. "Shocks and their consequences across and within households in Rural Zimbabwe," Journal of Development Studies, Taylor & Francis Journals, vol. 42(2), pages 301-321.
    8. S. Trevis Certo & John R. Busenbark & Hyun‐soo Woo & Matthew Semadeni, 2016. "Sample selection bias and Heckman models in strategic management research," Strategic Management Journal, Wiley Blackwell, vol. 37(13), pages 2639-2657, December.
    9. Angus Deaton & Salman Zaidi, 2002. "Guidelines for Constructing Consumption Aggregates for Welfare Analysis," World Bank Publications, The World Bank, number 14101, April.
    10. Rao, Elizaphan J.O. & Qaim, Matin, 2011. "Supermarkets, Farm Household Income, and Poverty: Insights from Kenya," World Development, Elsevier, vol. 39(5), pages 784-796, May.
    11. Awudu Abdulai, 2023. "Information acquisition and the adoption of improved crop varieties," American Journal of Agricultural Economics, John Wiley & Sons, vol. 105(4), pages 1049-1062, August.
    12. Ochieng, Dennis O. & Ogutu, Sylvester O., 2022. "Supermarket contracts, opportunity cost and trade-offs, and farm household welfare: Panel data evidence from Kenya," World Development, Elsevier, vol. 149(C).
    13. Kalle Hirvonen & John Hoddinott, 2017. "Agricultural production and children's diets: evidence from rural Ethiopia," Agricultural Economics, International Association of Agricultural Economists, vol. 48(4), pages 469-480, July.
    14. Camilla I.M. Andersson & Christine G.K. Chege & Elizaphan J.O. Rao & Matin Qaim, 2015. "Following Up on Smallholder Farmers and Supermarkets in Kenya," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 97(4), pages 1247-1266.
    15. J. V. Meenakshi, 2016. "Trends and patterns in the triple burden of malnutrition in India," Agricultural Economics, International Association of Agricultural Economists, vol. 47(S1), pages 115-134, November.
    16. Alwin D'Souza & Ashok K. Mishra & Stefan Hirsch, 2020. "Enhancing food security through diet quality: The role of nonfarm work in rural India," Agricultural Economics, International Association of Agricultural Economists, vol. 51(1), pages 95-110, January.
    17. Stefan Dercon, 2002. "Income Risk, Coping Strategies, and Safety Nets," The World Bank Research Observer, World Bank, vol. 17(2), pages 141-166, September.
    18. Meenakshi, J.V. & Quisumbing, Agnes, 2025. "Diet quality and micronutrient intakes in nutritional value chains: A synthesis and suggestions for further research," Food Policy, Elsevier, vol. 130(C).
    19. Rajib Sutradhar & Chandra Sekhara Rao Nuthalapati & Marc F. Bellemare, 2019. "Whither the pin factory? Modern food supply chains and specialization in India," Agricultural Economics, International Association of Agricultural Economists, vol. 50(4), pages 395-405, July.
    20. Nuthalapati, Chandra S.R. & Sutradhar, Rajib & Reardon, Thomas & Qaim, Matin, 2020. "Supermarket procurement and farmgate prices in India," World Development, Elsevier, vol. 134(C).
    21. Wondimagegn Tesfaye & Gebrelibanos Gebremariam, 2020. "Consumption smoothing and price enhancement motives for grain storage: empirical perspectives from rural Ethiopia," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 8(1), pages 1-19, December.
    22. Marc F. Bellemare & Lindsey Novak, 2017. "Contract Farming and Food Security," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 99(2), pages 357-378.
    23. Senakpon F. A. Dedehouanou & Johan Swinnen & Miet Maertens, 2013. "Does Contracting Make Farmers Happy? Evidence from Senegal," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 59, pages 138-160, October.
    24. Barrett, Christopher B., 2008. "Smallholder market participation: Concepts and evidence from eastern and southern Africa," Food Policy, Elsevier, vol. 33(4), pages 299-317, August.
    25. Sylvester Ochieng Ogutu & Theda Gödecke & Matin Qaim, 2020. "Agricultural Commercialisation and Nutrition in Smallholder Farm Households," Journal of Agricultural Economics, Wiley Blackwell, vol. 71(2), pages 534-555, June.
    26. Jim Woodhill & Avinash Kishore & Jemimah Njuki & Kristal Jones & Saher Hasnain, 2022. "Food systems and rural wellbeing: challenges and opportunities," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 14(5), pages 1099-1121, October.
    27. Marcel Fafchamps & Ruth Vargas Hill, 2005. "Selling at the Farmgate or Traveling to Market," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 87(3), pages 717-734.
    28. repec:fth:prinin:455 is not listed on IDEAS
    29. Wendy J. Umberger & Xiaobo He & Nicholas Minot & Hery Toiba, 2015. "Examining the Relationship between the Use of Supermarkets and Over-nutrition in Indonesia," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 97(2), pages 510-525.
    30. Maestre, Mar & Poole, Nigel & Henson, Spencer, 2017. "Assessing food value chain pathways, linkages and impacts for better nutrition of vulnerable groups," Food Policy, Elsevier, vol. 68(C), pages 31-39.
    31. Prabhu Pingali & Naveen Sunder, 2017. "Transitioning Toward Nutrition-Sensitive Food Systems in Developing Countries," Annual Review of Economics, Annual Reviews, vol. 9(1), pages 439-459, October.
    32. Kumar, Praduman & Joshi, P.K., 2013. "Household Consumption Pattern and Nutritional Security among Poor Rural Households: Impact of MGNREGA," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 26(01), June.
    33. Deaton, A. & Zaidi, S., 1999. "Guidelines for Constructing Consumption Aggregates for Welfare Analysis," Papers 192, Princeton, Woodrow Wilson School - Development Studies.
    34. Rao, N. Chandrasekhara & Sutradhar, Rajib & Reardon, Thomas, 2017. "Disruptive Innovations in Food Value Chains and Small Farmers in India," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 72(01), March.
    35. Joshua Angrist & Alan Krueger, 2001. "Instrumental Variables and the Search for Identification: From Supply and Demand to Natural Experiments," Working Papers 834, Princeton University, Department of Economics, Industrial Relations Section..
    36. Bellemare, Marc F., 2012. "As You Sow, So Shall You Reap: The Welfare Impacts of Contract Farming," World Development, Elsevier, vol. 40(7), pages 1418-1434.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ogutu, Sylvester Ochieng & Ochieng, Dennis O. & Qaim, Matin, 2020. "Supermarket contracts and smallholder farmers: Implications for income and multidimensional poverty," Food Policy, Elsevier, vol. 95(C).
    2. Nuthalapati, Chandra S.R. & Sutradhar, Rajib & Reardon, Thomas & Qaim, Matin, 2020. "Supermarket procurement and farmgate prices in India," World Development, Elsevier, vol. 134(C).
    3. Awal Abdul‐Rahaman & Gazali Issahaku & Wanglin Ma, 2023. "Agrifood system participation and production efficiency among smallholder vegetable farmers in Northern Ghana," Agribusiness, John Wiley & Sons, Ltd., vol. 39(3), pages 812-835, July.
    4. Amrita Saha & Rachel Sabates-Wheeler & John Thompson, 2022. "Insights into smallholder capacity for agricultural commercialisation: Evidence from four African contexts," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(4), pages 1757-1802, August.
    5. Bethelhem Legesse Debela & Anette Ruml & Matin Qaim, 2022. "Effects of contract farming on diets and nutrition in Ghana," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 44(2), pages 911-929, June.
    6. Cazzuffi, Chiara & McKay, Andy & Perge, Emilie, 2020. "The impact of agricultural commercialisation on household welfare in rural Vietnam," Food Policy, Elsevier, vol. 94(C).
    7. Bellemare, Marc F. & Bloem, Jeffrey R., 2018. "Does contract farming improve welfare? A review," World Development, Elsevier, vol. 112(C), pages 259-271.
    8. Biggeri, Mario & Carraro, Alessandro & Ciani, Federico & Romano, Donato, 2022. "Disentangling the impact of a multiple-component project on SDG dimensions: The case of durum wheat value chain development in Oromia (Ethiopia)," World Development, Elsevier, vol. 153(C).
    9. Raoul Herrmann & Ephraim Nkonya & Anja Faße, 2018. "Food value chain linkages and household food security in Tanzania," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 10(4), pages 827-839, August.
    10. Pallavi Rajkhowa, 2024. "From subsistence to market-oriented farming: The role of groundwater irrigation in smallholder agriculture in eastern India," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 16(2), pages 353-369, April.
    11. Ochieng, Dennis O. & Veettil, Prakashan C. & Qaim, Matin, 2017. "Farmers’ preferences for supermarket contracts in Kenya," Food Policy, Elsevier, vol. 68(C), pages 100-111.
    12. Ayeduvor Selorm & D. B. S. Sarpong & Irene S. Egyir & Akwasi Mensah Bonsu & Henry An, 2023. "Does contract farming affect technical efficiency? Evidence from soybean farmers in Northern Ghana," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 11(1), pages 1-22, December.
    13. Nuhu, Ahmed Salim & Liverpool-Tasie, Lenis Saweda O. & Awokuse, Titus & Kabwe, Stephen, 2021. "Do benefits of expanded midstream activities in crop value chains accrue to smallholder farmers? Evidence from Zambia," World Development, Elsevier, vol. 143(C).
    14. Aiyar, Anaka & Rahman, Andaleeb & Pingali, Prabhu, 2021. "India’s rural transformation and rising obesity burden," World Development, Elsevier, vol. 138(C).
    15. Marco d’Errico & Rebecca Pietrelli, 2017. "Resilience and child malnutrition in Mali," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 9(2), pages 355-370, April.
    16. Muriithi, Beatrice W. & Matz, Julia Anna, 2015. "Welfare effects of vegetable commercialization: Evidence from smallholder producers in Kenya," Food Policy, Elsevier, vol. 50(C), pages 80-91.
    17. Simphiwe Innocentia Hlatshwayo & Rob Slotow & Mjabuliseni Simon Cloapas Ngidi, 2023. "The Role of Smallholder Farming on Rural Household Dietary Diversity," Agriculture, MDPI, vol. 13(3), pages 1-16, February.
    18. Tesfaye, Wondimagegn & Tirivayi, Nyasha, 2020. "Crop diversity, household welfare and consumption smoothing under risk: Evidence from rural Uganda," World Development, Elsevier, vol. 125(C).
    19. Ochieng, D., 2018. "Supermarket Contracts, Income, and Changing Diets of Farm Households: Panel Data Evidence from Kenya," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277423, International Association of Agricultural Economists.
    20. Sylvester Ochieng Ogutu & Theda Gödecke & Matin Qaim, 2020. "Agricultural Commercialisation and Nutrition in Smallholder Farm Households," Journal of Agricultural Economics, Wiley Blackwell, vol. 71(2), pages 534-555, June.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:agecon:v:57:y:2026:i:2:n:e70095. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/iaaeeea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.