Resilience of the UK food system to Global Shocks (RUGS)

Lead Research Organisation: University of Edinburgh
Department Name: The Roslin Institute

Abstract

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Planned Impact

The project deliverables will provide impact and societal benefits by understanding UK food system vulnerability to global shocks, and identifying actions and polices that can be implemented to increase resilience. Lack of resilience in the food system is likely to increase food costs and compromise the activities of food producers in the UK supply chain, and ultimately lead to increasing food insecurity. Volatility in food prices or supply caused by global shocks can have negative outcomes for the UK food supply chain, e.g. changes in global market prices can impact the viability of sectors and force rapid changes in food production and processing. This is currently occurring in the UK dairy sector, triggered by lower commodity prices. The changes have knock-on effects from producers and processors, through to the economies of local communities. High food prices can also damage society, as seen in the 2007/08 price spike, by increasing the share of incomes required to purchase food, or influencing consumption patterns towards less healthy diets, i.e. away from fresh produce, particularly in lower income households. The project therefore aims to deliver societal impact by facilitating the increase in the UK food systems resilience, and by collaborating with stakeholders to identify interventions that can achieve this outcome. Policies and private sector actions will be identified to increase resilience either by reducing the volatility experienced by the UK food system to global shocks (i.e. mitigation actions), or alternatively by limiting the negative consequences from the implied volatility (i.e. adaptation). Work package deliverables will initially define shock storylines that have the potential to impact the UK food system, and will then use a model simulation to quantify the outcomes, and therefore the severity of the impacts from these shocks, to better understand the vulnerabilities.

To achieve the desired outcomes stakeholder engagement is embedded into the design of the overall project. A stakeholder group will take an integral role of in co-evolving knowledge over the life of the project, as well as helping to define and adjust the research. The stakeholders will be selected to guarantee a balanced composition of members between different groups with an interest and relevance for UK food system. This ensures that stakeholders across public sector, private supply chain, and non-governmental organisations will be involved. The stakeholders will therefore be ideally placed to benefit from and apply the lessons from the research, and provide a strong and clear pathway to impact, in policy and commercial spheres, as well as the third sector. Stakeholders that would be relevant to the aims and outcomes of the project include policymakers (e.g. DEFRA, FSA, Scottish Government, DECC, DTI, BIS), agricultural producers (e.g. NFU, NFUS), environmental organisations (e.g. CCC, WWF), consumer groups (e.g. UK Food Group), food banks (e.g. Trussell Trust), retailers (e.g. Tesco, M&S), food processors (e.g. Arla, Müller Wiseman), energy companies (e.g. E.ON), insurers (e.g. Lloyds), banking and finance (e.g. Black Rock, RBS), and international bodies (e.g. FAO, IPCC).

Publications

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Description Previous findings remain valid - see below.
Covid has given new impetus to concepts of food systems resilience and the project has been well-placed to contribute to the international debate on food chain resilience - specifically the role of market and non market actors.


Global food production is vulnerable to weather-related, pandemic, political and economic shocks. Supply shortages and food price spikes can cause humanitarian emergencies and political upheavals,
Input to the project explores the vulnerability and resilience of food supply chains in contexts where there is market power, e.g. monopoly or oligopoly. We are interested in whether market power either increases or reduces resilience to both producers or consumers. We are interested in this question because we are trying to understand what will happen when shocks happen. To date the literature on power is ambiguous on the consequences of power and this means that competition authorities cannot easily adjudicate on the full effects of power in different parts of the food supply chain.
Exploitation Route The project involves 3 stakeholder workshops, the third of whihc is due in August 2020. We are hoping to engaged with the FSA and industry regulatores to explore the redefiniiton of indicators of market concentration and power.
Sectors Agriculture, Food and Drink,Environment,Government, Democracy and Justice,Retail,Other

URL https://www.sciencedirect.com/science/article/abs/pii/S2211912421000651