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Small-scale farmer participation in new agri-food supply chains: Case of the supermarket supply chain for fruit and vegetables in Honduras

Author

Listed:
  • Jose Blandon

    (University of Guelph, Ontario, Canada)

  • Spencer Henson

    (University of Guelph, Ontario, Canada)

  • John Cranfield

    (University of Guelph, Ontario, Canada)

Abstract

This paper explores the role of transaction costs and collective action in shaping small-scale farmer participation in the fresh fruit and vegetable (FFV) supply chain to supermarkets (SSC) in Honduras. Transaction costs and collective action are found to be significant in determining farmer participation in the SSC. Contrary to the findings of other studies, human capital and farm characteristic variables are not significant, suggesting that small-scale farmers can be included in new supply chains under certain conditions, especially if incentives to farmers, trust-based relationships between buyers and sellers, risk reduction practices and new forms of collective action are put in place. Copyright © 2008 John Wiley & Sons, Ltd.

Suggested Citation

  • Jose Blandon & Spencer Henson & John Cranfield, 2009. "Small-scale farmer participation in new agri-food supply chains: Case of the supermarket supply chain for fruit and vegetables in Honduras," Journal of International Development, John Wiley & Sons, Ltd., vol. 21(7), pages 971-984.
  • Handle: RePEc:wly:jintdv:v:21:y:2009:i:7:p:971-984
    DOI: 10.1002/jid.1490
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    File URL: http://hdl.handle.net/10.1002/jid.1490
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    References listed on IDEAS

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    1. Nigel Key & Elisabeth Sadoulet & Alain De Janvry, 2000. "Transactions Costs and Agricultural Household Supply Response," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 82(2), pages 245-259.
    2. Stanton, Julie V., 2000. "The Role Of Agribusiness In Development: Replacing The Diminished Role Of The Government In Raising Rural Incomes," Journal of Agribusiness, Agricultural Economics Association of Georgia, vol. 18(2).
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    4. Sukhpal Singh, 2002. "Multi-national corporations and agricultural development: a study of contract farming in the Indian Punjab," Journal of International Development, John Wiley & Sons, Ltd., vol. 14(2), pages 181-194.
    5. Fairbairn, Brett, 2003. "The Role Of Farmers In The Future Economy," Miscellaneous Publications 31752, University of Saskatchewan, Centre for the Study of Co-operatives.
    6. Per Pinstrup-Andersen, 2002. "Food and Agricultural Policy for a Globalizing World: Preparing for the Future," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(5), pages 1201-1214.
    7. Masakure, Oliver & Henson, Spencer, 2005. "Why do small-scale producers choose to produce under contract? Lessons from nontraditional vegetable exports from Zimbabwe," World Development, Elsevier, vol. 33(10), pages 1721-1733, October.
    8. Peterson, H. Christopher & Wysocki, Allen F. & Harsh, Stephen B., 2001. "Strategic Choice Along The Vertical Coordination Continuum," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association (IFAMA), vol. 4(02).
    9. Colin Poulton & Jonathan Kydd & Andrew Dorward, 2006. "Overcoming Market Constraints on Pro-Poor Agricultural Growth in Sub-Saharan Africa," Development Policy Review, Overseas Development Institute, vol. 24(3), pages 243-277, May.
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    Citations

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    Cited by:

    1. Bijman, Jos & Hu, Dinghuan, 2011. "The Rise of New Farmer Cooperatives in China: Evidence from Hubei Province," Journal of Rural Cooperation, Hebrew University, Center for Agricultural Economic Research, vol. 39(2).
    2. 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.
    3. Wanglin Ma & Awudu Abdulai, 2016. "Linking apple farmers to markets: Determinants and impacts of marketing contracts in China," China Agricultural Economic Review, Emerald Group Publishing, vol. 8(1), pages 2-21, February.
    4. Andersson, Camilla I.M. & Kiria, Christine G. & Qaim, Matin & Rao, Elizaphan J.O., 2013. "Following up on smallholder farmers and supermarkets," Discussion Papers 158142, Georg-August-Universitaet Goettingen, GlobalFood, Department of Agricultural Economics and Rural Development.
    5. Hernandez, Ricardo & Reardon, Thomas, 2012. "Tomato Farmers and Modern Markets in Nicaragua: a Duration Analysis," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124587, Agricultural and Applied Economics Association.
    6. repec:bla:afrdev:v:29:y:2017:i:2:p:259-271 is not listed on IDEAS
    7. Herforth, Nico & Theuvsen, Ludwig & Vásquez, Wilson & Wollni, Meike, 2015. "Understanding participation in modern supply chains under a social network perspective – evidence from blackberry farmers in the Ecuadorian Andes," Discussion Papers 197709, Georg-August-Universitaet Goettingen, GlobalFood, Department of Agricultural Economics and Rural Development.
    8. Bijman, Jos & Hu, Dinghuan, 2011. "The Rise of New Farmer Cooperatives in China; Evidence from Hubei Province," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114252, European Association of Agricultural Economists.
    9. Deng, Hengshan & Huang, Jikun & Xu, Zhigang & Rozelle, Scott, 2010. "Policy support and emerging farmer professional cooperatives in rural China," China Economic Review, Elsevier, vol. 21(4), pages 495-507, December.
    10. Abebe Ejigu Alemu & Miet Maertens & Jozef Deckers & Hans Bauer & Erik Mathijs, 2016. "Impact of supply chain coordination on honey farmers’ income in Tigray, Northern Ethiopia," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 4(1), pages 1-21, December.

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