Food Supply and Distribution Systems to Cities in Developing Countries and Countries in Transition a local food systems approach

Olivio Argenti FAO

KEY ELEMENTS

1. Considerations on urbanization;2. food systems meeting urban food

needs;3. digital technology applications;4. FAO project “Meeting urban food

needs”;5. partnerships opportunities.

!!! complex topics …. 30 minutes !!!

(presentation will be emailed to you)

URBANIZATION: CHALLENGES (1)

Number of consumers increases; number of families close to/below poverty

increases (?); slums and areas with few/no services/food retail

outlets; distances between home and work increase; socio-economic charateristics of urban districts

change (food deserts); more people in search for jobs – particularly youth.

URBANIZATION: CHALLENGES (2)

More food products and food-services are required; more people depending on markets for accessing food; dietary patterns (urban lifestlyes, income changes, junk food

preferences) change; growing numbers of food-loaded trucks in/out of cities; market infrastructure becomes congested and its use

generates additional costs; difficult to have norms and regulations respected; greater incidence of food contamination; food losses and waste increase - environmental pollution; food productive land to different uses; water shortages for agriculture; health and dietary issues: (obesity and Non Communicable

Diseases).

EXTERNAL FACTORS

International food markets highly and increasingly competitive.

Growing consumers’preference for locally produced food: change in preferences; increasing costs of food transport; environmental impact of food transport;

Climate change. Decentralization of responsibilities to local government

authorities. Changing power-relations between local government

authorities and ministries (Peru). Local interventions will complement/reinforce impact of

national food security and poverty alleviation strategies. Time to reconsider agricultural and rural development

strategies.

URBANIZATION: OPPORTUNITIES

Expanding domestic food demand including public procurements: economies of scale (risk of oligopolies); higher efficiency levels possible - need for logistics, technology,

infrastructure, services, regulations compliance and managerial skills; (self) enterprises and income opportunities for fresh and processed food

products and food-services (youth) -> (reduce rural-urban migration); for small farmers’ direct linkages with urban markets; for PPPs and more private investments in market infrastructure; set up groups, cooperatives and associations; develop a vibrant and biodiverse food production to satisfy growing and

varying middle classes’ food preferences (organic, locally produced) -> (reduce rural-urban migration).

Turning problems into income generating opportunities: reutilization of food waste and losses; through food-related services to make avalable healthy, nutritious and

affordable processed food; …

KEY QUESTIONS (1)

What quantities of fresh and processed food products are consumed in my city and where do they originate from? How and where are they sold?

How are urban families– and those living close to, or below, the poverty line - accessing food? Where do they buy them? At what total cost? What food products are accessible to them and what are their conditions?

What proportion of urban families spend most of their available income on food and are therefore likely to severely suffer from price volatility? Is their number going to increase in the next ten year? What can be done to improve their access to safe and nutritious food?

How is the urban food demand expected to increase in the following ten years, how will its structure change and what are the major implications of such increase?

Which groups of urban consumers have difficulties in accessing food retail outlets and why?

How can urban dynamics, socio-economic forces, services and facilities impact on food access and nutritional status of urban dwellers (e.g.: food deserts)?

What are the current main sources of inefficiency within the system which increase costs - and thus the prices paid by urban consumers - and decrease revenues to producers?

What food-related services are required within the urban space?

KEY QUESTIONS (2)

What is the economic and social significance of informal food sector activities and how can they be supported while reducing problems and risks caused to society?

How can the negative impact of food systems activities on the environment and natural resources be reduced?

What role can technology and technological, developments play in improving the efficiency, dynamism, inclusiveness and sustainability of food systems ?

What can local government authorities do to increase the efficiency, dynamism, inclusiveness and sustainability of the food system feeding my city? Which policies, strategies and interventions are required in the short and mid-terms?

Role of stakeholders platforms (e.g. food councils). How can conditions be enabled to stimulate private investments in line with current

national legislation and norms as well as international standards? What income opportunities can be generated particularly for youth within a dynamic

food systems and what can be done to create the necessary conditions? What are the implications of migratory flows on urban food demand and security? What are the role, limits and opportunities of decentralized cooperation for urban food

security? Interrelating food access with social and political stability Buying strategies for public food procurements - nutritional implications (schools

feeding).

WHAT IS A MUFN SYSTEM?

… a combination of related elements organized into a complex whole;

.… a set of interdependent, vertically and horizontally interrelated, groups of people, technology, infrastructure, relations and rules intended to produce, process, supply and distribute food products and services to urban consumers: production depends on markets and marketing linkages marketing is related to processing etc.

STATIC FSD SYSTEM

FSD SYSTEMS

Components: Urban food demand Food supply to cities Food distribution within cities

ANALYTICAL APPROACH

TODAY How is the local food system structured, functioning and performing (from

various disciplinary, spatial and stakeholders’ perspectives)? What are the interrelations between the systems? Who are the actors of the system and their relative share of benefits? Which and where are the constraints? How to select primary interventions

hubs within the system to address current constraints? Who is/should be doing what?

10 YEARS AHEAD What may happen to the urban space, poverty and food demand in ten

years ahead? How is the food system likely to evolve in the following ten years with no

further interventions by the authorities? What policy objectives should be considered for the following ten years? How to select primary intervention hubs to accompany its development of

the system? What should be done/promoted - over the following 3-5 years - to enable

the food system meet the policy objectives?

CRITERIA (1)

Efficiency – use of available resources: which are today the main sources of

unnecessary costs? how can unit costs be reduced today? what efficiency opportunities does an

expanding urban food demand offer?

Dynamism – innovation capacity, investments, management skills, new resources, ….

CRITERIA (2)

Sustainability

environmental water: contamination from food production, organic

waste from slaughterhouses and food markets;

land: contamination from chemicals; protection from urban

expansion; air: pollution from food vehicular traffic,

decomposing organic waste, …

economic opportunity costs: local v. international prices; food losses and waste (production, handling, storage,

transport, …)

CRITERIA (3)

Inclusiveness low income households (urban deserts, Mexico City,

…); wider spectrum of small/medium commercial

farmers linked to urban markets; food informal actors; unemployed (youth) through income opportunities.

Resilience – system’s adjustment to external shocks (climate change).

METHODOLOGY

Aragrande, M. & Argenti, O. 1999.

Studying Food Supply and Distribution Systems

to Cities in Developing Countries.

Methodological and Operational Guide.

“Food into Cities” Collection, DT/36-01E. Rome, FAO

From: ftp://ftp.fao.org/docrep/fao/003/x6996e/x6996e00.pdf

to : ftp://ftp.fao.org/docrep/fao/003/x6996e/x6996e10.pdf

METHODOLOGY (under review)

Complex systems dynamics perspective – redefinition of responsibilities, linkages, resistances, unintended consequences, powerful intervention hubs, strategies and criteria (efficiency, sustainability, inclusiveness, .…);

comparative analysis of complex systemic v. value chains approaches;

territorial planning (urban, metropolitan and district/region);

FSD indicators in relation to different territorial levels;

key thematic research questions (check lists); good practices and lessons learnt bibliography; building scenarios (statistical/digital mapping

tool).

DIGITAL TECHNOLOGY APPLICATIONS (1)

1. From problem analysis to policy design, implementation and monitoring impact;

2. Food system performance enhancement;

3. Scaling up of alternative food networks and short supply chains;

4. Development of (micro-small) agro-food enterprises.

DIGITAL TECHNOLOGY APPLICATIONS (2)

FROM PROBLEM ANALYSIS TO POLICY DESIGN, IMPLEMENTATION AND MONITORING IMPACT• Facilitate the analysis of complex food systems (structure,

conduct and performance);• map expanding urban areas, poverty and food outlets

(wholesale and retail, public distribution arrangements, food banks, …);

• map informal food sector activities within urban areas;• monitoring inter-city and intra-city food transport flows and use

of facilities, including lorry access/departure time to markets – and their growth;

• monitoring use of energy throughout food systems;• tracking food losses and food waste at urban household,

markets, caterers, restaurants levels.

DIGITAL TECHNOLOGY APPLICATIONS (3)

FOOD SYSTEM PERFORMANCE improve location and management of market infrastructure and logistics

with GPS systems (now more for production and food safety): assembly, wholesale and retail municipal markets and slaughterhouses

(in urban and non-urban areas) including food import logistics; logistic costs estimation: (e.g. energy, impact on food shelf life for

movement of food between rural and urban at particular points of time);

Food product traceability (with radio frequency identification); Increase competitiveness of food transactions through better logistics; Improve food quality and safety through better logistics; Wireless control of processes (current research seems to be focused more

about the efficient use of production/processing technology).

SCALING-UP OF ALTERNATIVE FOOD NETWORKS AND SHORT SUPPLY CHAINS Virtual markets for group buying by small food shops in low income urban

areas; Food banks networks.

DIGITAL TECHNOLOGY APPLICATIONS (4)

DEVELOPMENT OF (MICRO-SMALL) AGRO-FOOD ENTERPRISES Dissemination of, as well as access to and use of, information on food markets,

business opportunities and agro-industrial technology:• among informal food sector operators (small processors and traders); • among youth and small farmers (particularly those in remote areas) through

phones rather than computers; • among all actors in the local agri-food system through social networks and

cellular phones;• INPhO: facilitate wider availability/access to data bases by global users,

improve/monitor use of data;• promote entrepreneurial opportunities for youth out of food losses and waste.

Self/distance learning methodologies and tools for micro/small enterprise management and development:• by informal food sector operators (small processors and traders); • by youth and small farmers (particularly those in remote areas);

Consumers buying groups and social networks for food security.

MEETING URBAN FOOD NEEDS

STRATEGIC OBJECTIVE 4ENABLE MORE INCLUSIVE AND EFFICIENT FOOD AND AGRICULTURAL SYSTEMS AT LOCAL, NATIONAL AND INTERNATIONAL LEVELS

A project “with” and not “for” FAO

PROJECT APPROACH

Continuation of work started by FAO in 1997; food systems rather than specific value chains; all groups of food products – fresh and processed –

and food-related services; interdisciplinary methodology spanning rural, peri-

urban and urban areas, to statically and dynamically identify factors constraining systems efficiency, dynamism, inclusiveness, sustainability and resilience;

governance issues from the perspective of local government authorities (municipal, provincial and/or regional);

effective and meaningful partnerships with research and training institutes, civil society organizations as well as development agencies.

WHAT WE PLAN TO DO Normative level

1. Promote research and calls-for-papers through academic partnerships and disseminate outcomes through joint publications;

2. disseminate sensitization material, good practices & policy briefs;

3. develop tools to support policy making and monitoring;

4. disseminate updated methodology to analyze complex food systems MUFN;

5. guidelines to integrate FSD aspects into territorial development plans;

6. hold expert meetings;

7. conduct sensitization events & an international conference “Meeting urban food needs” in 2016 (external funds permitting).

Topics for research and calls for papers

Call for papers 1/2014 “Understanding complex food systems meeting urban food needs: methodological approaches and disciplinary contributions”ftp://ext-ftp.fao.org/AG/Data/AGS/MUFN/MUFN_Callpapers1.pdf

 Call for papers 2/2014 “Improvements of food-related infrastructure at wholesale and retail levels” :ftp://ext-ftp.fao.org/AG/Data/AGS/MUFN/MUFN_Callpapers2.pdf

Topics for research and calls for papers: ftp://ext-ftp.fao.org/AG/Data/AGS/MUFN/MUFN_topics.pdf

 Call for papers conditions:ftp://ext-ftp.fao.org/AG/Data/AGS/MUFN/MUFN_Callpapers_conditions.pdf

 Good practices templates:ftp://ext-ftp.fao.org/AG/Data/AGS/MUFN/GoodPractices_templates.pdf

DISCUSSION PAPER

on selected topic

EXPERT MEETING at FAO-Rome

SUMMARY NOTES FOR

POLICY MAKERSon selected topic

FINALIZEDDOCUMENTS

INTERNATIONAL CONFERENCE

2016

WHAT WE PLAN TO DO Field level (1)

To assist local government authorities: Low income consumers have better food Small/medium commercial farmers have better

market opportunities and increased incomes also in the context of spreading/aggressive large surfaces

Reduce unnecessary costs – thus reduce prices to consumers and returns to producers

Reduce food contamination risks and improve nutritional status

Reduce externalities

WHAT WE PLAN TO DO Field level (2)

1. Project field activities will target urban areas of any size where the genuine interest, engagement and support of local policy makers are confirmed;

2. technical assistance to local government authorities:

case studies enabling policies and strategies investment and action plans FSD aspects into territorial development plans capacity building

3. funds for field-level technical assistance activities need to be forthcoming from external sources to be identified.

Support technical documents

Expert meetings reports

INTERNATIONAL CONFERENCE“Meeting urban food needs” 2016

Conference discussion

papersPolicy briefs, information & sensitization

material

ACADEMIC PARTNERSHIPS

External funds

Sessions leadersResearch

papers, good practices &

case studies

VIP speakers

Sessions participants

PARTNERSHIPS OPPORTUNITIES

If your institute: wants to have its research efforts reach as wide an

audience as possible; takes pride when its research efforts influence decision-

makers in developing countries and countries in transition; considers it important that its students are confronted with

real problems and trained to identify concrete solutions; is in a position to fund its own activities under this

partnership,

then let us work together!

ftp://ext-ftp.fao.org/AG/Data/AGS/MUFN/MUFN_partnerships.pdf

MUFN Honorary Recognitions (1)

“Best MUFN Academic Partner” in previous biennium

“Best MUFN Academic Contributor” in previous biennium

“Distinguished MUFN Partner” (runners up to the “Best MUFN Academic Partner” recognition)

Honorary Recognitions will be granted only if justified.

MUFN Honorary Recognitions (2)All: official notification letter with certificate; one suitably qualified post-graduate student will be hired as

“volunteer” or “intern” under the MUFN project.

“Best MUFN Academic Partner”: Appointment of official representative of the Partner Institute to

the Chair of the “Honorary Advisor Panel” for subsequent biennium;

“Best MUFN Individual Contributor”: Appointment as member of the MUFN “Honorary Advisor Panel”

for subsequent biennium.

MUFN Honorary Advisory Panel5-7 members: chaired by official representative of “Best

Academic Partner” in previous biennium; winner of the “Best Individual Contributor” in

previous biennium; senior academics among MUFN partners invited

ad personam; other members selected ad persona. 

MUFN Honorary Advisory PanelFunctions: Provide guidance on thematic and strategic

orientations of the MUFN project; Act as members of the “Honorary recognitions”

committee; Promote networking and academic partnerships; Collaborate in fund-raising for selected events and

major activities.

HAP members act until the end of biennium, maybe re-appointed and can be replaced (resignation or failure to honor functions).

Our partners (30/06/14)

International institutes International Institute of Refrigeration (IIR) World Union of Wholesale Markets (WUWM)

National institutes University of Harvard, Food Law and Policy Clinic (FLPC) Cardiff University (UK), Cardiff School of Planning and

Geography Imperial College London (UK), Imperial College Business

School University of Turin (Italy), Department of Psychology USAID ACDI/VOCA (Ethiopia)

THANK YOU FOR YOUR ATTENTION

Olivio ArgentiCoordinator

Project “Meeting urban food needs”B613 – AGS

FAO - Rome – ItalyE: MUFN@fao.orgSkype: FAO-MUFN