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Short Value Chains in Food Production: The Role of Spatial Proximity for Economic and Land Use Dynamics

Dominik Bertram, Tobias Chilla and Carola Wilhelm
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Dominik Bertram: Institute of Geography, University of Erlangen-Nuremberg, 91058 Erlangen, Germany
Tobias Chilla: Institute of Geography, University of Erlangen-Nuremberg, 91058 Erlangen, Germany
Carola Wilhelm: Institute of Geography, University of Erlangen-Nuremberg, 91058 Erlangen, Germany

Land, 2021, vol. 10, issue 9, 1-21

Abstract: Agricultural land demand tends to be in weak condition vis-à-vis settlement development, transport infrastructure and industry expansion. At the same time, the awareness and demand of consumers for regional food is constantly rising, in particular in urban regions. The resulting challenge is that high demand for regional food is concentrated at places where land for food production tends to be particularly under pressure. Against this background, our article reflects on the extent to which regional food supply chains support the status of agricultural demand in the competition for land. The main aim of our paper is to understand the role of proximity between the different stages of value creation, including cultivation, production (manual or industrial) and trade (retail, direct marketing). Our empirical study on the example of three products in Bavaria (Germany) shows that short distances within food value chains support the agricultural condition in land use dynamics (beer, sweet cherry, asparagus). The analyses are based on official and internal statistics as well as expert interviewing. This mixed-methods approach results in value-creation mappings and provides spatial differentiation of the economic process. Proximity between at least two stages of value creation plays an important role to explain the economic trends and land use dynamic. These findings are rooted in arguments of efficiency, tacit knowledge, networks, as well as product reputation. However, the role of proximity does not automatically play a role but has to be stabilized by strategic measures such as product innovation and marketing measures.

Keywords: regional value creation; short food supply chains; local food; food geography; economic geography (search for similar items in EconPapers)
JEL-codes: Q15 Q2 Q24 Q28 Q5 R14 R52 (search for similar items in EconPapers)
Date: 2021
References: Add references at CitEc
Citations: View citations in EconPapers (2)

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