PictureImage From: http://www.philippine-grocers.com
Dynamic modifications are happening in the competitive and demand structure of the vegetable industry in the Philippines, and these result in alterations to the supply distributions. It is understandable that the consumers will be very concerned about the sustainability and convenience of the production systems, their health, and traceability and food safety because of all these sudden changes.

To address these issues, the conventional supply distribution is slowly being replaced by a number of alternative production systems as far as the vegetable industry is concerned. Here are some of these emerging supply chains that are being handled by a Philippine food consolidator:

The Market Specialist Chain

This arrangement that is being closely monitored involves the supermarket suppliers concentrating on strategies to deliver everything that their respective chain needs. The market specialist will supply a broad inventory of vegetables, including a mix of food items that are tagged and coded, packed, pre-cut or minimally processed. These individuals will place a brand on the merchandise, specifically the salads that they pack to assure the consumers that the food items that they will buy have passed quality control standards.

In this kind of business partnership, the supermarkets will reap the benefits because the market specialist will deliver high quality items that they normally need at a fast rate.

The Product Specialist Chain

Aside from the conventional vegetable supply distribution which was the central supply source of the supermarkets, a particular chain that specializes in one product is the focus of this supply distribution. An example is the tomato, which can be planted in most areas in the country (although Baguio and Bukidnon grow a lot of tomatoes due to the colder climate in those areas).

One popular Philippine food consolidator that operates in Davao, Quezon City, Cebu and Cagayan de Oro is known as the Fresh Corporation (or FreshCorp). They collect their tomatoes from farms at Bukidnon, Ilocos Norte and Cavite and distribute up to 20% of the tomato supply in Metro Manila during the months of July to December. The company takes care of their farmers while meeting the requirements of the supermarkets and their buyers.



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