2022 Volume 12 Issue 1 Pages 42-47
This research aims to uncover how the emerging catering industry contingent to deindustrialisation changes the value chain of fresh agri-product in the Vietnamese suburban area. The results revealed that by entering both international and local businesses, the catering industry is competitive. Firstly, while the catering business in the North are small and operate on a local level those operating in the South are consolidated enterprises as they have different market conditions. Secondly, Fresh food ingredients provide direct contract with producers or wholesalers. In the south, catering companies tend to contract food wholesalers to purchase in bulk and distribute them to their branch preparation kitchens located in surrounding provinces. Third, the value chain created by catering comapny could make transactions and the volume of products handled concentrated, this could extend the transport distance of produce. However, the vertical coordination for the entire chain is inadequate. Furthermore, contract transactions are limited to only part of the chain, and the requirement for quality control is weak.
