Abstract
In Japan, many fresh agricultural products are distributed from farmers to consumers via agricultural cooperation, wholesalers and retailers. Farmers' markets have attracted considerable attention as a new distribution system for agricultural products. A key characteristic of farmers' markets is a distribution system without intermediate wholesalers and retailers between the farmers and consumers. Thus, consumers can buy fresh products at a relatively inexpensive price and farmers can sell their non-standard products at low price. Recently, it has become one of the major distribution channels for fresh agricultural products in suburban areas. However, farmers' markets have experienced problems with sales, cultivation, inventory and quality management. This paper proposes a vendor-managed inventory (VMI) system for fresh agricultural products. It is difficult to supply agricultural products adequately to meet demand because of the seasonality and other uncertainties. Therefore, inventory management systems in which vendors seize the leadership in decision-making, are suitable for fresh agricultural products in terms of flexibility in supply. This paper summarizes the introduction of a VMI system to a farmers' market by analyzing the use of a VMI support information system, sales/inventory data and an inquiry survey of farmers. These results can provide guidelines for utilizing the management system in farmers' markets.
