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date: 24 August 2019

Abstract and Keywords

Over the past 30 years, the agrifood industry in developing countries has been undergoing rapid transformation in structure and behavior. These changes have been driven by both market forces and government policy, particularly foreign direct investment, and have the potential to affect farmers and consumers; the former via increased incomes and modernized technologies, and the latter via cheaper and safer food. This article examines the transformation of the agrifood industry in developing countries, focusing on the sector’s three segments: retail, wholesale, and processing. It first looks at the factors that drive the transformation of the industry and its procurement systems/supply chains that are shared across the segments. It then considers the “symbioses” among the three segments, highlighting how they reinforce each other and enter preferred supplier relations with one another. It also discusses emerging impacts of the above transformations on farmers as well as small and medium enterprises. Finally, it describes programs that promote linkages for a faster, more integrated, and more inclusive growth path for these transformations over the next decade.

Keywords: agrifood industry, developing countries, farmers, consumers, retail, wholesale, processing, procurement, supply chains, small and medium enterprises

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