Spillovers from modern supply chains to traditional markets: product innovation and adoption by smallholders
研究了泰国甜椒从现代供应链向传统市场扩散的溢出效应,发现种植甜椒显著提高农户收入,但参与现代供应链并未比传统市场带来更高收入,且早期采用受土地、基础设施和信息获取限制。
Abstract There is an emerging body of literature analyzing how smallholder farmers in developing countries can benefit from modern supply chains. However, most of the available studies concentrate on export markets and fail to capture spillover effects that modern supply chains may have on local markets. Here, we analyze the case of sweet pepper in Thailand, which was initially introduced as a product innovation in modern supply chains, but which is now widely traded also in more traditional markets. Using survey data from smallholder farmers and econometric techniques, we show that sweet pepper cultivation contributes significantly to higher household incomes. Strikingly, at this stage, participation in modern supply chains does not lead to higher incomes than supplying sweet pepper to traditional markets. However, the results also indicate that missing land titles, weak infrastructure conditions, and limited access to information constituted serious constraints during the early phases of sweet pepper adoption. Such constraints need to be overcome, so that smallholder farmers are better prepared for the prompt reactions needed under rapidly changing market conditions.