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Explain the impact of UK retailers' increased market share and direct sourcing from producers on the agricultural labor and market transformation in the São Francisco Valley.
Explain the impact of UK retailers' increased market share and direct sourcing from producers on the agricultural labor and market transformation in the São Francisco Valley.
The increased market share and direct sourcing from producers by UK retailers allowed them to impose strict quality standards and additional service requirements on producers. This led to a shift from a price-driven to a quality-driven commodity chain, prompting producers in the São Francisco Valley to transform the production process to meet quality standards, making it increasingly scientific, and implementing a product and process upgrading strategy.
Describe the collaborative efforts between VALEXPORT, the state development agency CODEVASF, and large farms in the São Francisco Valley and their impact on the agricultural labor and market transformation.
Describe the collaborative efforts between VALEXPORT, the state development agency CODEVASF, and large farms in the São Francisco Valley and their impact on the agricultural labor and market transformation.
The collaborative efforts led to the successful production of export quality seedless grapes by all large farms and increasing numbers of medium farms in the valley. This showcased innovation and improvement in product quality to meet market demands, reflecting changes in labor patterns, market dynamics, and quality standards driven by the demands of international retailers and the export market.
How did the shift from a price-driven to a quality-driven commodity chain affect the agricultural labor and market transformation in the São Francisco Valley?
How did the shift from a price-driven to a quality-driven commodity chain affect the agricultural labor and market transformation in the São Francisco Valley?
The shift from a price-driven to a quality-driven commodity chain led to producers in the São Francisco Valley responding to rising market entry requirements by transforming the production process to meet quality standards, making it increasingly scientific, and implementing a product and process upgrading strategy. This reflected changes in labor patterns, market dynamics, and quality standards, driven by the demands of international retailers and the export market.
Study Notes
Agricultural Labor and Market Transformation in the São Francisco Valley
- In the mid to late 1990s, approximately 40,000 wage workers were involved in irrigated agricultural production in the São Francisco Valley, with 29,000 working in the grape and mango branches, the principal export crops.
- Large exporting farms in the valley employed an average of 4.7 workers per hectare per cultivation cycle, while medium farms selling to the domestic market averaged 2.5 workers per hectare.
- The UK grocery market increased from £45.5 billion in 1987 to £93.3 billion in 1998, with supermarkets increasing their market share of fresh fruit and vegetable sales to approximately 80% in 1999.
- Across Europe, large retailers' food market share is highly concentrated, with the top three retail chains in several countries having over 50-60% market share.
- UK retailers shifted from procuring fruit and vegetables from wholesale markets to collaborating with importers to procure directly from producers by the late 1990s.
- UK retailers' increased market share and direct sourcing from producers allowed them to impose strict quality standards and additional service requirements on producers.
- The shift from a price-driven to a quality-driven commodity chain has led to retailers increasingly sourcing produce from approved suppliers that conform to their company standards.
- Producers in the São Francisco Valley responded to rising market entry requirements by transforming the production process to meet quality standards, making it increasingly scientific, and implementing a product and process upgrading strategy.
- The main exporting association, VALEXPORT, in collaboration with the state development agency CODEVASF and large farms, implemented a project to introduce seedless grapes into the valley to meet northern retail market demands.
- Research, learning, and adoption efforts led to the successful production of export quality seedless grapes by all large farms and increasing numbers of medium farms in the valley by the early 2000s.
- São Francisco farms were able to produce larger and higher quality grapes, showcasing innovation and improvement in product quality to meet market demands.
- The agricultural labor and market transformation in the São Francisco Valley reflects changes in labor patterns, market dynamics, and quality standards, driven by the demands of international retailers and the export market.
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Test your knowledge of the agricultural labor and market transformation in the São Francisco Valley with this quiz. Explore key shifts in labor patterns, market dynamics, and quality standards driven by international retailers and the export market.