The rise of supermarkets and their development implications: International experience relevant for India

The Indian Council for Research on International Economic Relations (ICRIER) was invited by the Indian Ministry of Commerce and Industry to conduct a study titled The Impact of Organized Retailing on the Unorganized Retail Sector." Because organized retail in India is still in its infancy, it was de...

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Autores principales: Reardon, Thomas, Gulati, Ashok
Formato: Artículo preliminar
Lenguaje:Inglés
Publicado: International Food Policy Research Institute 2008
Materias:
Acceso en línea:https://hdl.handle.net/10568/160268
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author Reardon, Thomas
Gulati, Ashok
author_browse Gulati, Ashok
Reardon, Thomas
author_facet Reardon, Thomas
Gulati, Ashok
author_sort Reardon, Thomas
collection Repository of Agricultural Research Outputs (CGSpace)
description The Indian Council for Research on International Economic Relations (ICRIER) was invited by the Indian Ministry of Commerce and Industry to conduct a study titled The Impact of Organized Retailing on the Unorganized Retail Sector." Because organized retail in India is still in its infancy, it was deemed critical to look at the experience of other countries, especially developing ones. Thus, ICRIER sought the assistance of Dr. Thomas Reardon and Dr. Ashok Gulati, co-directors of Markets in Asia, a joint program of the International Food Policy Research Institute (IFPRI) and Michigan State University. ICRIER asked Reardon and Gulati to help research and report on the international experiences in the growth and expansion of modern retailing in developed and developing countries and the implications for India. This report is a contribution to that effort. This paper focuses on the emergence of modern retailing with respect to food and what implications it can have for various stakeholders in the food supply chain. While we briefly review the US and European experience, we focus on the developing countries of Latin America and East Asia (including China), where the supermarket revolution started in the early to mid-1990s. We looked at the patterns of the diffusion process in modern retailing in terms of "waves" that go from country to country, and within a country from first-tier cities to second-tier and then third-tier cities, and from processed to semiprocessed to fresh products. We also treat the challenges and opportunities that modern retailing has posed for various stakeholders in the supply chains, especially for traditional retailers, farmers, and consumers. We also looked at several instances when governments helped small retailers or upgraded wetmarkets by (1) establishing affirmative action policies to strengthen their competitiveness so they could also participate effectively in the transition to modern retailing, and (2) providing compensation to help them change their lines. The paper concludes by surmising what lessons other countries' experiences in the supermarket revolution have for India which is on the threshold of a major structural change in retailing. The expectations and concerns are high. Accordingly, India must form its own model of retail development to meet its priorities, learn from challenges that others have faced, and successful examples of strategies for "competitiveness with inclusiveness" among traditional retailers, wholesaler, and farmers entering an era of rapid retail transformation and concomitant food system change.
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spelling CGSpace1602682025-11-06T05:22:48Z The rise of supermarkets and their development implications: International experience relevant for India Reardon, Thomas Gulati, Ashok supermarkets wholesalers retail smallholders supply chains The Indian Council for Research on International Economic Relations (ICRIER) was invited by the Indian Ministry of Commerce and Industry to conduct a study titled The Impact of Organized Retailing on the Unorganized Retail Sector." Because organized retail in India is still in its infancy, it was deemed critical to look at the experience of other countries, especially developing ones. Thus, ICRIER sought the assistance of Dr. Thomas Reardon and Dr. Ashok Gulati, co-directors of Markets in Asia, a joint program of the International Food Policy Research Institute (IFPRI) and Michigan State University. ICRIER asked Reardon and Gulati to help research and report on the international experiences in the growth and expansion of modern retailing in developed and developing countries and the implications for India. This report is a contribution to that effort. This paper focuses on the emergence of modern retailing with respect to food and what implications it can have for various stakeholders in the food supply chain. While we briefly review the US and European experience, we focus on the developing countries of Latin America and East Asia (including China), where the supermarket revolution started in the early to mid-1990s. We looked at the patterns of the diffusion process in modern retailing in terms of "waves" that go from country to country, and within a country from first-tier cities to second-tier and then third-tier cities, and from processed to semiprocessed to fresh products. We also treat the challenges and opportunities that modern retailing has posed for various stakeholders in the supply chains, especially for traditional retailers, farmers, and consumers. We also looked at several instances when governments helped small retailers or upgraded wetmarkets by (1) establishing affirmative action policies to strengthen their competitiveness so they could also participate effectively in the transition to modern retailing, and (2) providing compensation to help them change their lines. The paper concludes by surmising what lessons other countries' experiences in the supermarket revolution have for India which is on the threshold of a major structural change in retailing. The expectations and concerns are high. Accordingly, India must form its own model of retail development to meet its priorities, learn from challenges that others have faced, and successful examples of strategies for "competitiveness with inclusiveness" among traditional retailers, wholesaler, and farmers entering an era of rapid retail transformation and concomitant food system change. 2008 2024-11-21T09:50:23Z 2024-11-21T09:50:23Z Working Paper https://hdl.handle.net/10568/160268 en Open Access application/pdf International Food Policy Research Institute Reardon, Thomas Anthony; Gulati, Ashok. 2008. The rise of supermarkets and their development implications. IFPRI Discussion Paper 752. https://hdl.handle.net/10568/160268
spellingShingle supermarkets
wholesalers
retail
smallholders
supply chains
Reardon, Thomas
Gulati, Ashok
The rise of supermarkets and their development implications: International experience relevant for India
title The rise of supermarkets and their development implications: International experience relevant for India
title_full The rise of supermarkets and their development implications: International experience relevant for India
title_fullStr The rise of supermarkets and their development implications: International experience relevant for India
title_full_unstemmed The rise of supermarkets and their development implications: International experience relevant for India
title_short The rise of supermarkets and their development implications: International experience relevant for India
title_sort rise of supermarkets and their development implications international experience relevant for india
topic supermarkets
wholesalers
retail
smallholders
supply chains
url https://hdl.handle.net/10568/160268
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