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Networking Related to Sustainability in Hungary

Adrienn Hegyi, Fruzsina Homolka and András Sebők

No 164765, 2013 International European Forum, February 18-22, 2013, Innsbruck-Igls, Austria from International European Forum on System Dynamics and Innovation in Food Networks

Abstract: Sustainability is arguably one of the greatest challenges to Hungary in the future. The question is how to meet this need and tackle this challenge that requires commitment from the different players of the supply chain. This aim of the work within the FP7 Salsa project was to detect, explore the importance of sustainability and categories of the sustainability by the actors of the network and identify those elements related to sustainability issues, which support the future success along the soya and beef supply chain. In Hungary majority of the soy and beef enterprises are classic SMEs. The topics was quite “hard” for the questioned SMEs, because in one hand it is an increasing needs for sustainability, but in the other hand the environmental concerns haven’t acquired as significant awareness in Hungary as in western countries within the European Union. The needs regarding sustainability can be identified mainly from farmers and wholesalers (particularly multinational companies)., but most of the cases significant activities or changes have not been made yet. The producers emphasized that they fulfill the sustainability requirement if it is a real needs from their customers or without risking their success of their businesses. The other frequently mentioned answer was that they dealt with the sustainable aspects if it supports the most efficient use of the natural resources or the better quality of the product. Sustainability was associated with costs. The participants all agree that the cost of sustainability can be fairly high. However there is a significant need for sustainable production and products in Hungary, they do everything to meet the requirements of the sustainability standards. But in that case the members of the supply chain can see clearly the profitability of their investment in sustainability. Based on the results we could conclude that there is a harmonized, good business relation between the stakeholders within the Hungarian soy and beef supply chains. The power relations are different within the soy and the beef chains. Within the beef supply chains the wholesalers make the rules, and in spite of this, within the soy supply chain the bargaining power depends on the size of the soy production per year and on the market trends. Finally we could conclude that there is a real need from the players of the supply chains for collaboration, because only with the collective changing will contribute to enhance sustainable development in Hungary.

Keywords: Agribusiness; Food Consumption/Nutrition/Food Safety; Industrial Organization; Research Methods/ Statistical Methods (search for similar items in EconPapers)
Pages: 20
Date: 2013-09
New Economics Papers: this item is included in nep-bec
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DOI: 10.22004/ag.econ.164765

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