There is a global movement towards more sustainable agricultural practices, as transparency around the industry increases and customers are becoming more interested in buying healthy food products, that was produced, sourced, and traded in a sustainable way with environmental consciousness.
A survey conducted in Europe, the US, and Asia concludes- “52 percent of respondents said they would spend over 10 percent more on a food or beverage product that contained ingredients they recognized and trusted. Meanwhile, 18 percent said they would pay 75 percent or more extra. Overall, 76 percent of respondents said they would be more likely to buy a product that contained ingredients they recognized and trusted.” (Natural Products Insider).
Another study examined the purchase intentions and willingness to pay more for non-genetically modified (Non-GM) menu items at restaurants. The results of the study indicate- “75% of the participants are willing to pay a premium (13% more) for non-GM menu items at restaurants.” (Journal of Hospitality Marketing and Management).
Known origins, sustainable growing practices, and certifications of non-GM produce increases the authenticity, credibility, and most importantly, the trust consumers need to feel when buying food products.
Transparency in the agricultural trade industry matters but is not easily achieved. The complexity of agricultural trade requires commercial buyers to spend precious time, and invest substantial funds in finding trusted suppliers, building business relationships, manage international transactions, and sharing trade-related information. As a result, many commercial agri-buyers give up and turn to work with intermediaries, even if they add external costs to the trade and don’t share their source.
Is there another way? We believe so, using a digital trade process based on transparency, security, trust, and business services that add value to the trading partners.
By providing a digital trading platform, Avenews-GT enables commercial buyers of agricultural produce to transact directly with verified farmers, cooperatives, and agri-businesses, locally and worldwide, to reduce distribution costs, create financial security and increase supply chain transparency.