Source: MICHIGAN STATE UNIV submitted to NRP
HORTICULTURE MARKETS IN ASIA
Sponsoring Institution
National Institute of Food and Agriculture
Project Status
COMPLETE
Funding Source
HATCH
Reporting Frequency
Annual
Accession No.
1002433
Grant No.
(N/A)
Cumulative Award Amt.
(N/A)
Proposal No.
(N/A)
Multistate No.
(N/A)
Project Start Date
Apr 1, 2014
Project End Date
Mar 31, 2019
Grant Year
(N/A)
Program Code
[(N/A)]- (N/A)
Recipient Organization
MICHIGAN STATE UNIV
(N/A)
EAST LANSING,MI 48824
Performing Department
Agricultural, Food, & Resource Economics
Non Technical Summary
The project undertakes careful field observation through detailed surveys and key informant interviews all along the supply chain for a series of horticultural products. We then analyze the data to examine how actors buy, make, and sell. From that we infer the degree of development of the chains. We also then assess the opportunities for US firms to sell into those chains or buy from them or to partner with actors in them like Asian agribusiness firms.
Animal Health Component
100%
Research Effort Categories
Basic
(N/A)
Applied
100%
Developmental
(N/A)
Classification

Knowledge Area (KA)Subject of Investigation (SOI)Field of Science (FOS)Percent
60462303010100%
Knowledge Area
604 - Marketing and Distribution Practices;

Subject Of Investigation
6230 - Marketing systems and sectors thereof;

Field Of Science
3010 - Economics;
Goals / Objectives
The research objectives are to understand the value chains for key fruits and vegetables (to be selected after key informant work in the field) in East and Southeast Asia and South Asia (with countries to be selected but at present the countries include China, Bangladesh, Cambodia, Indonesia, Myanmar, and potentially Vietnam. In each of these countries, I will use results from specific projects already started or in planning stage to derive information to inform the patterns, determinants, and effects of the development of rural-urban value chains for selected products.
Project Methods
The work will consist, for the purpose of informing Michigan and US stakeholders, of deriving from various ongoing and planned field research projects. Each of the latter involve "stacked surveys" of all the segments of each value chain, of input supplier, of farmers, of wholesalers, of processors, of retailers, and where applicable of exporters. In each case, the actors are surveyed about how they procure inputs (included imported products such as from the US), undertake production/service relevant to their stage, and market the output. Then the data are analyzed descriptively and econometrically.

Progress 04/01/14 to 03/31/19

Outputs
Target Audience:Michigan and US agribusiness and food industry firms dealing in fresh and processed horticulture products; state and federal agriculture agencies with foreign market promotion offices. US and international academia. Changes/Problems: Nothing Reported What opportunities for training and professional development has the project provided? Nothing Reported How have the results been disseminated to communities of interest?Via the articles and chapters noted and also speeches to local and professional audiences. What do you plan to do during the next reporting period to accomplish the goals? Nothing Reported

Impacts
What was accomplished under these goals? We derived information from rural-urban value chain studies (including farm surveys and surveys of off-farm components of the value chain including wholesalers, cold storages, agricultural service companies, and processers. The extensive survey information and ensuant publications provided fresh insights into the patterns, determinants, and effects of development of horticultural value chains on the local economies and supply to urban consumers, as well as farm household welfare. The products covered included a wide range of horticultural products and Bangladesh, China, India, Indonesia, as the focal points. We were also able to inform US audiences of agribusinesses and researchers and policymakers about the changes in, as well as opportunities and challenges to export and operate in, those countries for those horticultural markets.

Publications

  • Type: Journal Articles Status: Published Year Published: 2018 Citation: Awokuse, T., T. Reardon. 2018. Agrifood Foreign Direct Investment and Waves of Globalization of Emerging Markets: Lessons for U.S. Firms. Economic Review - Federal Reserve Bank of Kansas City. Special Issue 2018: Agriculture in a Global Economy, October: 75-96.
  • Type: Journal Articles Status: Published Year Published: 2018 Citation: Lu, L., T. Reardon. 2018. An Economic Model of the Evolution of Food Retail and Supply Chains from Traditional Shops to Supermarkets to e-Commerce. American Journal of Agricultural Economics, 100(5), October: 13201335. https://doi.org/10.1093/ajae/aay056
  • Type: Journal Articles Status: Published Year Published: 2018 Citation: Rao, N.C., R. Sutradhar, T. Reardon. 2018. "Inclusiveness, technology and profitability in supermarkets: SUR Model results from semi-arid region." Indian Journal of Agricultural Economics 43 (3), 293-308
  • Type: Book Chapters Status: Published Year Published: 2018 Citation: Reardon, T. and D. Zilberman. 2018. Climate Smart Food Supply Chains in Developing Countries in an Era of Rapid Dual Change in Agrifood Systems and the Climate, chapter in L. Lipper, N. McCarthy, D. Zilberman, S. Asfaw, G. Branca (eds.). Climate Smart Agriculture: Building Resilience to Climate Change. Amsterdam & Rome: Springer & FAO; pages 335-352. https://link.springer.com/chapter/10.1007%2F978-3-319-61194-5_15


Progress 10/01/17 to 09/30/18

Outputs
Target Audience: Nothing Reported Changes/Problems: Nothing Reported What opportunities for training and professional development has the project provided? Nothing Reported How have the results been disseminated to communities of interest?Via the articles and chapters noted and also speeches to local and international professional and policy audiences. For example, I gave a speech to an audience of 100's at the 2018 USDA Outlook Conference, treating the issue of how the changes in horticultural and other food markets in Asia present challenges and opportunities to American food industry and agribusiness. What do you plan to do during the next reporting period to accomplish the goals?We will focus on finalizing drafts toward publication on supermarkets' effects on traditional retail markets in horticultural products in the Philippines, on use of mango nursery services by farm households in Indonesia, and supply of those services by enterprise clusters in Indonesia, as well as finalizing a publication on cold storages for potatoes in Agra, India. We also plan to do an article in the dissemination journal Choices (of the AAEA) on the horticulture FDI paper we did this year.

Impacts
What was accomplished under these goals? We use data we collected in farm household and off-farm actors (outsource agriculture services suc as sprayer-trader services, and wholesalers and retailers) surveys in India, Indonesia, Myanmar, Bangladesh, the Philippines. We also examined Foreign direct investment (FDI) patterns of US and emerging market country agribusinesses in Asian horticulture, a new direction in the research. Moreover, we also added another new direction by examining the course of development of e-commerce in Asia (with application to horticulture). Further, we examined the way innovating firms design their value chains upstream and downstream in order to protect the profit from the innovation. Finally we made another foray into a new area by examining technology innovation along the segments of value chains.

Publications

  • Type: Journal Articles Status: Published Year Published: 2018 Citation: Awokuse, T., T. Reardon. 2018. Agrifood Foreign Direct Investment and Waves of Globalization of Emerging Markets: Lessons for U.S. Firms. Economic Review - Federal Reserve Bank of Kansas City. Special Issue 2018: Agriculture in a Global Economy, October: 75-96. https://www.kansascityfed.org/~/media/files/publicat/econrev/econrevarchive/2018/si18awokusereardon.pdf
  • Type: Book Chapters Status: Published Year Published: 2018 Citation: 2. Reardon, T. and D. Zilberman. 2018. Climate Smart Food Supply Chains in Developing Countries in an Era of Rapid Dual Change in Agrifood Systems and the Climate, chapter in L. Lipper, N. McCarthy, D. Zilberman, S. Asfaw, G. Branca (eds.). Climate Smart Agriculture: Building Resilience to Climate Change. Amsterdam & Rome: Springer & FAO; pages 335-352. https://link.springer.com/chapter/10.1007%2F978-3-319-61194-5_15 is URL of chapter
  • Type: Journal Articles Status: Published Year Published: 2017 Citation: Qanti, S.R., T. Reardon, A. Iswariyadi. 2017. Triangle of linkages among modernizing markets, sprayer traders, and mango-farming intensification in Indonesia. Bulletin of Indonesian Economic Studies. 53(2): 187-208. http://dx.doi.org/10.1080/00074918.2017.1299923
  • Type: Journal Articles Status: Published Year Published: 2018 Citation: Reardon, T., R. Echeverr�a, J. Berdegu�, B. Minten, S. Liverpool-Tasie, D. Tschirley, D. Zilberman. 2018. Rapid transformation of Food Systems in Developing Regions: Highlighting the role of agricultural research & innovations. Agricultural Systems. February 28 2018 published article-in-press. https://doi.org/10.1016/j.agsy.2018.01.022
  • Type: Journal Articles Status: Published Year Published: 2018 Citation: Lu, L., T. Reardon. 2018. An Economic Model of the Evolution of Food Retail and Supply Chains from Traditional Shops to Supermarkets to e-Commerce. American Journal of Agricultural Economics. Published online advance article, August: https://doi.org/10.1093/ajae/aay056
  • Type: Journal Articles Status: Published Year Published: 2017 Citation: Reardon, T., L. Lu, D. Zilberman. 2017. Links among innovation, food system transformation, and technology adoption, with implications for food policy: Overview of a Special Issue. Food Policy. In press. October. http://dx.doi.org/10.1016/j.foodpol.2017.10.003


Progress 10/01/16 to 09/30/17

Outputs
Target Audience:Michigan and US agribusiness and food industry firms dealing in fresh and processed horticulture products; state and federal agriculture agencies with foreign market promotion offices. US and international academia. Changes/Problems: Nothing Reported What opportunities for training and professional development has the project provided? Nothing Reported How have the results been disseminated to communities of interest?Via the articles and chapters noted and also speeches to local and professional audiences. What do you plan to do during the next reporting period to accomplish the goals?Continue rural-urban value chain studies on mango and shallots and chillies in Indonesia and overview of horticultural sector development in Southeast Asia and South Asia. Continue to research potato value chain development in India and vegetable value chains in Myanmar.

Impacts
What was accomplished under these goals? We derived information from rural-urban value chain studies in Indonesia on mangoes and Bangladesh and India on potatoes, and herbicides to horticulture crops, to inform the patterns, determinants, and effects of development of these chains on the local economies and supply to urban consumers, as well as farm household welfare.

Publications

  • Type: Journal Articles Status: Published Year Published: 2017 Citation: DasGupta, S., B. Minten, N.C. Rao, T. Reardon. 2017. The Rapid Diffusion of Herbicides in Farming in India: Patterns, Determinants, and Effects on Labor Productivity, European Journal of Development Research. 29(3), June. http://dx.doi.org/10.1057/s41287-017-0091-6
  • Type: Journal Articles Status: Published Year Published: 2017 Citation: Haggblade, S., B. Minten, C. Pray, T. Reardon, D. Zilberman. 2017. The Herbicide Revolution in Developing Countries: Patterns, Causes and Implications, European Journal of Development Research. 29(3), June: 1-27. http://dx.doi.org/10.1057/s41287-017-0090-7
  • Type: Journal Articles Status: Published Year Published: 2017 Citation: Zilberman, D., L. Lu, T. Reardon. 2017. Innovation-induced food supply chain design, Food Policy. http://dx.doi.org/10.1016/j.foodpol.2017.03.010
  • Type: Journal Articles Status: Published Year Published: 2017 Citation: Rao, N.C., R. Sutradhar, T. Reardon. 2017. Disruptive Innovations in Food Value Chains and Small Farmers in India. Indian Journal of Agricultural Economics. 72 (1) January-March: 24-48.
  • Type: Journal Articles Status: Published Year Published: 2017 Citation: Zhang, X., J. Yang, T. Reardon. 2017. Mechanization outsourcing clusters and division of labor in Chinese agriculture. China Economic Review. 43: 84195. http://dx.doi.org/10.1016/j.chieco. 2017.01.012
  • Type: Journal Articles Status: Published Year Published: 2017 Citation: Qanti, S.R., T. Reardon, A. Iswariyadi. 2017. Triangle of linkages among modernizing markets, emergence of sprayer-trader services, and technology intensification by mango farmers in Indonesia. Bulletin of Indonesian Economic Studies, 20 Mar 2017; pages 1-32. http://dx.doi.org/10.1080/00074918.2017.1299923
  • Type: Journal Articles Status: Published Year Published: 2016 Citation: Lu, L., T. Reardon, and D. Zilberman. 2016. Supply Chain Design and Adoption of Indivisible Technology, American Journal of Agricultural Economics, 98(5): 14191431; http://dx.doi.org/10.1093/ajae/aaw076
  • Type: Journal Articles Status: Published Year Published: 2016 Citation: Du, X., L. Lu, T. Reardon, and D. Zilberman. 2016. The economics of agricultural supply chain design: A portfolio selection approach, American Journal of Agricultural Economics, 98(5): 13771388; http://dx.doi.org/10.1093/ajae/aaw074
  • Type: Book Chapters Status: Published Year Published: 2017 Citation: Reardon, T. and D. Zilberman. 2017. Climate Smart Food Supply Chains in Developing Countries in an Era of Rapid Dual Change in Agrifood Systems and the Climate, chapter in L. Lipper, N. McCarthy, D. Zilberman, S. Asfaw, G. Branca (eds.). Climate Smart Agriculture: Building Resilience to Climate Change. Amsterdam & Rome: Springer & FAO; pages 335-352. http://www.fao.org/3/a-i7931e.pdf
  • Type: Book Chapters Status: Accepted Year Published: 2017 Citation: Minten, B., T. Reardon, K. Chen. 2017. Agricultural Value Chains: How Cities Reshape Food Systems. Chapter 5 in International Food Policy Research Institute. 2017. 2017 Global Food Policy Report. Washington DC: IFPRI; pages 42-49. URL of whole book is http://ebrary.ifpri.org/utils/getfile/collection/p15738coll2/id/131085/filename/131296.pdf


Progress 10/01/15 to 09/30/16

Outputs
Target Audience:Michigan and US agribusiness and food industry firms dealing in fresh and processed horticulture products; state and federal agriculture agencies with foreign market promotion offices. US and international academia. Changes/Problems: Nothing Reported What opportunities for training and professional development has the project provided? Nothing Reported How have the results been disseminated to communities of interest?Via the articles note and also speeches to local and professional audiences. What do you plan to do during the next reporting period to accomplish the goals?Continue rural-urban value chain studies on mango and citrus in Indonesia and overview of horticultural sector development in Southeast Asia and South Asia. Continue to research potato value chain development in India.

Impacts
What was accomplished under these goals? We derived information from rural-urban value chain studies in Indonesia on potatoes, tomatoes, and mangoes and Bangladesh and India on potatoes to inform the patterns, determinants, and effects of development of these chains on the local economies and supply to urban consumers, as well as farm household welfare.

Publications

  • Type: Journal Articles Status: Published Year Published: 2016 Citation: 1. Lu, L., T. Reardon, and D. Zilberman. 2016. Supply Chain Design and Adoption of Indivisible Technology, American Journal of Agricultural Economics, first published online September 15, 2016 doi:10.1093/ajae/aaw076.
  • Type: Journal Articles Status: Published Year Published: 2016 Citation: 2. Du, X., L. Lu, T. Reardon, and D. Zilberman. 2016. The economics of agricultural supply chain design: A portfolio selection approach, American Journal of Agricultural Economics, first published online September 15, 2016 doi:10.1093/ajae/aaw074
  • Type: Journal Articles Status: Published Year Published: 2016 Citation: 3. Richards, P, T. Reardon, D. Tschirley, T. Jayne, J. Oehmke, J. Oehmke, and D. Atwood. 2016. Cities and the future of agriculture and food security: a policy and programmatic roundtable, Food Security, Conference Report, 8(3), June. DOI 10.1007/s12571-016-0597-3.
  • Type: Journal Articles Status: Published Year Published: 2015 Citation: 4. Reardon, T., D. Boughton, D. Tschirley, S. Haggblade, M. Dolislager, B. Minten, and R. Hernandez. 2015. Urbanization, Diet Change, & Transformation of the Downstream and Midstream of the Agrifood System: Effects on the Poor in Africa and Asia, Faith and Economics, 66, Fall: 43-63.
  • Type: Journal Articles Status: Published Year Published: 2015 Citation: 5. Reardon, T., R. Stringer, C.P. Timmer, N. Minot, A. Daryanto. 2015 Transformation of the Indonesian Agrifood Sector and the Future beyond Rice: A Special Issue, Bulletin of Indonesian Economic Studies, (3) December: 369-373.
  • Type: Journal Articles Status: Published Year Published: 2015 Citation: 6. Yi, D. and T. Reardon. 2015. Allocative Efficiency of Agrifood Traders: Shrimp Traders in Indonesia, Bulletin of Indonesian Economic Studies, (3) December: 405-423.
  • Type: Journal Articles Status: Published Year Published: 2015 Citation: 8. Umberger, WJ, T. Reardon, R. Stringer, and C. Mueller Loose. 2015. Market Channel Choices of Indonesian Potato Farmers: A Best-Worst Scaling Experiment, Bulletin of Indonesian Economic Studies, (3) December: 461-477.
  • Type: Journal Articles Status: Published Year Published: 2015 Citation: 9. Wang, J., K.Z. Chen, Z. Huang, and T. Reardon. 2015. Land Productivity and Farm Size under Rapid Transformation: A Reappraisal from China, (In Chinese), Management World, (among top 3 management/economic journals in China); (9): 65-81.
  • Type: Journal Articles Status: Published Year Published: 2015 Citation: Hernandez, R.A., J.A. Berdegu�, and T. Reardon. 2015. Modernizing Wholesalers and Guava Farmers in Mexico, Agricultural Economics, 46(S), November: 4152, DOI: 10.1111/agec.12197.


Progress 10/01/14 to 09/30/15

Outputs
Target Audience:Michigan and US agribusiness and food industry firms dealing in fresh and processed horticulture products; state and federal agriculture agencies with foreign market promotion offices. US and international academia. Changes/Problems: Nothing Reported What opportunities for training and professional development has the project provided? Nothing Reported How have the results been disseminated to communities of interest?Via the articles and book chapters and conference proceedings papers noted and also verbal presentations to local and professional audiences. What do you plan to do during the next reporting period to accomplish the goals?I will undertake continued study of value chain data of potatoes in India and Bangladesh and mangoes in the Philippines and Indonesia.

Impacts
What was accomplished under these goals? We derived information from rural-urban value chain studies in India, Bangladesh, and China on potatoes, Indonesia on tomatoes and mangoes and potatoes, to inform the patterns, determinants, and effects of development of these chains on the local economies and supply to urban consumers, as well as farm household welfare.

Publications

  • Type: Journal Articles Status: Accepted Year Published: 2015 Citation: 1. Umberger, WJ, T. Reardon, R. Stringer, and C. Mueller Loose. 2015. "Exploring Indonesian Potato Farmers Market Channel Choice: A Best-Worst Scaling Approach," Bulletin of Indonesian Economic Studies, December (accepted August 2015).
  • Type: Journal Articles Status: Awaiting Publication Year Published: 2015 Citation: Wang, J., K.Z. Chen, Z. Huang, Z. and T. Reardon. Forthcoming 2015. Land Productivity and Farm Size under Rapid Transformation: A Reappraisal from China, Management World (accepted July 2015).
  • Type: Journal Articles Status: Awaiting Publication Year Published: 2015 Citation: Hernandez, R.A., T. Reardon, R. Natawidjaja, and S. Shetty. 2015. Tomato Farmers and Modernizing Value Chains In Indonesia, Bulletin of Indonesian Economic Studies, December (accepted July 2015).
  • Type: Journal Articles Status: Published Year Published: 2015 Citation: Reardon, T. 2015. The Hidden Middle: The Quiet Revolution in the Midstream of Agrifood Value Chains in Developing Countries, Oxford Review of Economic Policy, 31(1), Spring: 45-63.
  • Type: Journal Articles Status: Awaiting Publication Year Published: 2015 Citation: Hernandez, R.A., J.A. Berdegu�, and T. Reardon. 2015. Modernizing Wholesalers and Guava Farmers in Mexico, Agricultural Economics, 46(S), accepted April 2015.
  • Type: Journal Articles Status: Published Year Published: 2014 Citation: 8. Minten, B., T. Reardon, K.M. Singh, R. Sutradhar. 2014. The new and changing roles of cold storages in the potato supply chain in Bihar, Economic and Political Weekly, XLIX (52), December 27: 98-108.
  • Type: Book Chapters Status: Published Year Published: 2015 Citation: 1. Reardon, T., and C. P. Timmer. 2015. Transformation of the Agrifood Industry in Developing Countries. In The Oxford Handbook of Food, Politics and Society, edited by Ronald Herring. New York: Oxford University Press.
  • Type: Conference Papers and Presentations Status: Other Year Published: 2015 Citation: 3. Reardon, T., D. Boughton, D. Tschirley, and S. Haggblade. 2015. Agrifood system transformation in Africa and Asia: Implications for Poverty and Food Security. Paper presented at the conference The Economics of Global Poverty at Gordon College in Wenham, Massachusetts, January 5-7.


Progress 04/01/14 to 09/30/14

Outputs
Target Audience: Michigan and US agribusiness and food industry firms dealing in fresh and processed horticulture products; state and federal agriculture agencies with foreign market promotion offices. US and international academia. Changes/Problems: Nothing Reported What opportunities for training and professional development has the project provided? The project has provided Ph.D. and MS training to two graduate students at Michigan State University. How have the results been disseminated to communities of interest? The results have been disseminated in speeches to target audiences and via articles and emailed drafts of work in progress. What do you plan to do during the next reporting period to accomplish the goals? First, I will finalize several article drafts for submission, including one on mango in Indonesia and one on tomato in Indonesia, both papers on value chains, to the Bulletin of Indonesian Economic Studies in a special issue that I am guest editing. I will finalize a paper for submission to the Oxford Review of Economic Policy on supermarket diffusion in developing Asia with a focus on horticulture procurement. I will finish an invited paper on waste in value chains in Asia for the Global Food Security journal. I will finish and submit to Food Policy journal a paper on change in food consumption (rapid rise of consumption of fruits and vegetables) in Asia. I will finish and submit to Development Policy Review a paper on potato cold storage diffusion in western Uttar Pradesh in India. I will revise and resubmit a paper for Agricultural Economics on input use among farmers in India. I will revise and resubmit a paper on potato in Indonesia already submitted to Bulletin of Indonesian Economics Studies. I will launch fruit and vegetable value chain rapid reconnaissance studies in the field in Myanmar.

Impacts
What was accomplished under these goals? During the reporting period, I worked on potato value chains in China, Indonesia, India, and Myanmar, mango value chains in Indonesia, watermelon value chain in Myanmar, and changes in food consumption pertaining to fruits and vegetables compared with other products in Vietnam, Indonesia, and Bangladesh. the findings from these studies are in reports and articles drafted and under preparation for submission to journals in late 2014 and early 2015. I have distributed widely to individuals from the target audiences the drafts of these works in progress. I have also made two horticulture-product related publications (articles) in the period, one on Asian food system transformation (including fruits and vegetables), and one on potato cold storage in India.

Publications

  • Type: Journal Articles Status: Published Year Published: 2014 Citation: Reardon, T., KZ Chen, B. Minten, L. Adriano, TA Dao, J. Wang, S. Das Gupta. 2014. The Quiet Revolution in Asias Rice Value Chains, Annals of the New York Academy of Sciences, April. DOI: 10.1111/nyas.12391
  • Type: Journal Articles Status: Published Year Published: 2014 Citation: Reardon, T. and C.P. Timmer. 2014. Five Inter-Linked Transformations in the Asian Agrifood Economy: Food Security Implications, Global Food Security. 3(2): 108-117.
  • Type: Journal Articles Status: Accepted Year Published: 2014 Citation: Minten, B., T. Reardon, K.M. Singh, R. Sutradhar. 2014 accepted. The new and changing roles of cold storages in the potato supply chain in Bihar, Economic and Political Weekly. (India).