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The COVID-19 Induced Disruptions across Groundnut Value Chain: Empirical Evidence from South India

Author

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  • Ravi Nandi

    (International Crops Research Institute for the Semi-Arid Tropics, Hyderabad 502324, India)

  • Swamikannu Nedumaran

    (International Crops Research Institute for the Semi-Arid Tropics, Hyderabad 502324, India)

  • Aravazhi Selvaraj

    (International Crops Research Institute for the Semi-Arid Tropics, Hyderabad 502324, India)

  • Saikat Datta Mazumdar

    (International Crops Research Institute for the Semi-Arid Tropics, Hyderabad 502324, India)

  • Shalander Kumar

    (International Crops Research Institute for the Semi-Arid Tropics, Hyderabad 502324, India)

Abstract

We study the effect of the COVID-19 pandemic on the groundnut value chain and all the actors involved in its value chain in Ananthapuramu district of Andhra Pradesh, a leading groundnut producing state in south India. The results revealed that the COVID-19 pandemic created a double burden on farmers by disrupting farm production on one side and decreased diet diversity on the other. Disruption in farm productions resulted in a decline in household income and increased consumer food prices. The effect on farmers snowballed to other actors in the value chain, and all the actors were affected variably. Availability of storage infrastructure would have saved the farmer’s household income to some extent during the pandemic. Supply of diverse nutrient foods through the existing public distribution system, which mostly provides wheat and rice, might have helped tackle the diet diversity issue amongst farmers. Farmer’s collectives were perceived to reduce the negative impact during natural disasters like the COVID-19 pandemic by helping to organise smallholder farmers, minimise transaction costs and increase their bargaining power. In addition, effective farm extension services, including market information, could have benefited farmers during the crisis.

Suggested Citation

  • Ravi Nandi & Swamikannu Nedumaran & Aravazhi Selvaraj & Saikat Datta Mazumdar & Shalander Kumar, 2021. "The COVID-19 Induced Disruptions across Groundnut Value Chain: Empirical Evidence from South India," Sustainability, MDPI, vol. 13(4), pages 1-21, February.
    • Handle: RePEc:gam:jsusta:v:13:y:2021:i:4:p:1707-:d:493802
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    References listed on IDEAS

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    1. Anjani Kumar & Arabinda K. Padhee & Shalander Kumar, 2020. "How Indian agriculture should change after COVID-19," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 12(4), pages 837-840, August.
    2. Jeremy Phillipson & Matthew Gorton & Roger Turner & Mark Shucksmith & Katie Aitken-McDermott & Francisco Areal & Paul Cowie & Carmen Hubbard & Sara Maioli & Ruth McAreavey & Diogo Souza-Monteiro & Rob, 2020. "The COVID-19 Pandemic and Its Implications for Rural Economies," Sustainability, MDPI, vol. 12(10), pages 1-9, May.
    3. Attila Jámbor & Péter Czine & Péter Balogh, 2020. "The Impact of the Coronavirus on Agriculture: First Evidence Based on Global Newspapers," Sustainability, MDPI, vol. 12(11), pages 1-10, June.
    4. Norman V. Loayza & Steven Pennings, 2020. "Macroeconomic Policy in the Time of COVID-19," World Bank Publications - Reports 33540, The World Bank Group.
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    2. Kumar, Anjani & Sonkar, Vinay K. & S., Aditya K., 2021. "Food Security – Status and Determinants – during the Covid-19 Lockdown: Evidence from Primary Survey in Eastern India," 2021 Conference, August 17-31, 2021, Virtual 315344, International Association of Agricultural Economists.
    3. 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.
    4. Kamal Vatta & Shruti Bhogal & Adam S. Green & Heena Sharma & Cameron A. Petrie & Sandeep Dixit, 2022. "COVID-19 Pandemic-Induced Disruptions and Implications for National Food Security and Farm Incomes: Farm-Level Evidence from Indian Punjab," Sustainability, MDPI, vol. 14(8), pages 1-13, April.

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