Recovery, Renewal, Resilience

Information asymmetry means that one party has more or better information than the other. During COVID-19 information asymmetry has led to food waste and unsustainable farming practices as information about food production is only available to a small number of people in the supply chain. Decentralised information that includes small-scale and flexible production can support more uncertain operating environments such as those needed during COVID-19. Producers and retailers can consider how to increase the flexibility and sustainability of their supply chains by:

• De-concentrating markets and supply chains by ensuring they are not concentrated in a small number of large companies by using online platforms that create more access for businesses to sell goods and provide producers and consumers more options:
  • In Peru, 80% of merchants at a major market tested positive for COVID-19, but authorities felt closing the market would result in significant food shortages as the supply was concentrated. However in India, by selling through digital platforms, coffee producers were able to keep selling, and obtain significantly higher prices than usual
• Tracing food throughout the supply chain in a decentralized manner creates opportunities for safer, more sustainable food to protect from zoonotic disease:
  • In Uruguay, foot and mouth transmission was mitigated through de-centralized information sharing where the system would assign an identification code to cattle, letting you know its treatment and location on the production chain in real time
• Disseminating open data throughout the complex food system to: correct information asymmetries, encourage innovation, and increase efficiency of public spending