Chapter 4 Flashcards
___ tailored for agricultural products have emerged as a pivotal link in the farm-to- table supply chain, facilitating direct connections between farmers and consumers.
E-commerce platforms
These platforms leverage digital technologies to streamline processes, enhance transparency, and create efficiencies in
agricultural trade.
E-commerce platforms
key features and benefits of the E-commerce platforms are:
Disintermediate the Supply Chain
Increase Market Access
Enhance Transparency
Enable Traceability
By bypassing traditional intermediaries like wholesalers and retailers, e-commerce platforms allow farmers to sell their products directly to consumers. This streamlining can result
in higher profit for farmers and fresher produce for consumers.
Disintermediate the Supply Chain
E-commerce platforms provide farmers with access to a wider market beyond their local area. Through online marketplaces, farmers can reach consumers in different regions or even internationally, expanding their customer base and revenue potential.
Increase Market Access
Transparency in pricing, product quality, and production methods is crucial in building trust between farmers and consumers. E-commerce platforms often provide detailed product descriptions, photos, and reviews, enabling consumers to make informed purchasing decisions.
Enhance Transparency
Consumers are increasingly interested in knowing the origin of their food and how it was produced. E-commerce platforms can facilitate traceability by providing information about the farm, production practices, and certifications, allowing consumers to trace the journey of their
food from farm to fork.
Enable Traceability
What are the Several successful e-commerce platforms have emerged to connect farmers directly to consumers:
Session Groceries
Krops
When evaluating e-commerce platforms for agricultural products, several factors should be considered:
Product Range
Usability
Transparency
Delivery Options
Customer Support
____ is an online platform based in the Philippines that connects consumers with local farmers and producers. It offers a wide range of agricultural products, including fruits,
vegetables, meat, and seafood, sourced directly from
farmers across the country.
Session Groceries
____ emphasizes the freshness and quality of its products
and provides convenient delivery options to customers
in select areas.
Session Groceries
Online marketplace offering farm products. Farmers can register themselves on the platform and list products along with prices and availability of volume. Registered buyers can see the listings of products and availability of products in their vicinity areas and can connect with farmers
directly.
Krops
Some platforms specialize in specific types of agricultural products, such as fruits and vegetables, while others offer a broader range of products including meat, dairy, and pantry
items.
Product Range
User experience is crucial for the success of an e-commerce platform. Platforms with
intuitive interfaces, easy navigation, and smooth checkout processes are more likely to attract and
retain customers
Usability
Platforms that provide detailed information about the farmers, production
methods, and sourcing practices inspire trust and confidence in consumers.
Transparency
Convenient and reliable delivery options, including home delivery or pickup
points, can enhance the customer experience and increase sales.
Delivery Options
Responsive customer support is essential for addressing any issues or
concerns that customers may have regarding their orders or products.
Customer Support
What are the several challenges that farmers face when adopting e-commerce platforms for agricultural products ?
Limited Internet Access
Logistical Challenges
Trust and Verification
Payment and Financial Inclusion
In rural areas, farmers may have limited access to the internet or face connectivity issues, making it difficult for them to use e-commerce platforms. Solutions to this
challenge include providing training and support to farmers on how to use the platforms and
investing in infrastructure to improve internet access in rural areas.
Limited Internet Access
Shipping perishable agricultural products can be challenging, especially over
long distances. Solutions include optimizing supply chain logistics, investing in cold chain
infrastructure, and partnering with logistics companies specializing in perishable goods.
Logistical Challenges
Ensuring the authenticity and quality of products sold on e-commerce
platforms is essential for building trust with consumers. Solutions include implementing quality
control measures, certifications, and customer reviews.
Trust and Verification
Some farmers may lack access to banking services or face
challenges in receiving payments through e-commerce platforms. Solutions include offering
alternative payment methods such as cash on delivery, mobile money, or digital wallets.
Payment and Financial Inclusion
In the Philippines, e-commerce platforms operating in the agricultural sector must comply with various
legal and regulatory frameworks, including:
Taxation
Data Protection
Consumer Rights
Food Safety and Regulations
E-commerce transactions may be subject to sales tax, value-added tax (VAT), or other
indirect taxes depending on the jurisdiction. E-commerce platforms need to comply with tax
regulations and ensure proper collection and remittance of taxes.
Taxation