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E-commerce in agriculture: new business models for smallholders’ inclusion into the formal economy

E-commerce in agriculture: new business models for smallholders’ inclusion into the formal economy

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SUMMARY

This report takes a look at the market opportunity that e-commerce represented in the agriculture sector and pays particular attention to Sub-Saharan Africa, as well as several countries in Asia and Latin America.

The paper examines the main online shopping trends, business models and offers recommendations for businesses and governments. The paper notes that agri e-commerce enables farmers to sell their products directly to various buyers and make the distribution process more efficient. Farmers can access new markets and receive higher income due to the reduction of intermediaries. 

GSMA’s market attractiveness index examines how mature countries are for agri e-commerce. According to the research connectivity, logistics and national infrastructure are among the main e-commerce enablers.

The document classifies the business models of agri e-commerce companies in five different groups, according to their operational functions and capital intensity.

The report also deeps into the important role of mobile operators in agri e-commerce as they not only provide connectivity and make online payments possible but also investment capital and distribution channels.

This research suggests that stakeholders including governments and investors can tap the agri e-commerce opportunity to increase growth in the sector and improve the working conditions of farmers in developing countries.

OUTLINE

Summary

E-Commerce agriculture

Benefits of agriculture

Business models in agri e-commerce

Recommendations

Appendix

DETAILS

Overview

Researchfinder Rating
4 out of 5 stars
Title
E-commerce in agriculture: new business models for smallholders’ inclusion into the formal economy
Region
Global
Published
May 28, 2019
Publisher
GSMA
Author(s)
James Joiner, 
Kenechi Okeleke
Price
FREE
Language
ENGLISH

Content

Number of Pages
68
Number of Tables
0
Number of Exhibits
10
Topics
e-commerce
Tags
africa, agriculture, case studies, cross-border ecommerce, ecommerce, ecommerce market growth, ecommerce platforms, ecommerce trends, global, GSMA, online consumer needs, online shopping
Companies mentioned
PayPal, Amazon, eBay, Alibaba, Safaricom, Ninayo, Lima Links, Farmfresh, Ricult, Tulaa, Izy Shop, Mucho, Twiga Foods, TaniHub, Regopantes, James Tyler
Author(s)
James Joiner, 
Kenechi Okeleke
Methodology
This GSMA report is based on interviews with 21 businesses across Sub-Saharan Africa, Asia Pacific and Latin America.
EVALUATION

This is an insightful and in-depth report on the important role that e-commerce plays in agriculture in developing countries.

Positives:

  • Good graphics
  • Nice layout
  • Case studies
  • Understandable language
  • Well-structured information

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