Yorokobi: assessment of determinants of seaport logistics for the export supply chain of pesticides

Learning outcomes This case introduces the context of seaport logistics supply chain management with a focus on the issues of risk management in handling and transportation of dangerous goods (DG). The authors present the following learning objectives under the overarching framework of Bloom’s Taxonomy as follows: To understand the severity of handling and transportation of DG in the export supply chain context. To understand the relevance of multi-criteria decision-making in risk assessment. To apply Delphi Technique to appropriately explain the process of risk assessment in a supply-chain context. Case overview/synopsis It was midnight on December 21, 2020, and Nishadh Amonkar, Chief Executive Officer, Yorokobi, was still awake recollecting his telecon with Tushar Rane, the Head-Materials, Western Maharashtra site of Crop Life Pvt Ltd. The organization was developing and manufacturing pesticides and other specialty chemicals for its clients worldwide. As new and diverse products were being manufactured in the organization, transportation of the products was becoming challenging. The case highlights the need for a data driven risk assessment approach to manage supply chains that were prone to product driven risks such as the handling and transportation of DG. Complexity academic level This course is suitable at the Master of Business Administration level for the following courses: Supply Chain Management (Focus/Session: Supply Chain Risk Management), Logistics Management (Focus/Session: Risks in Logistics and Supply Chain), Research Methodology (Focus/Session: Application of Delphi Technique). Supplementary materials Teaching notes are available for educators only. Subject code CSS 9: Operations and logistics.

Australian Livestock Export Industry Workers’ Attitudes toward Animal Welfare

Understanding live export industry workers’ attitudes and beliefs toward animal welfare can provide insight into their decision-making processes and likely behavior. Industry workers (n = 265) with various roles within the supply chain were surveyed from different global regions. Participants were divided into ten categories according to their industry roles and compared using ordinal regression. Respondents were highly likely to have a positive attitude toward animal welfare; the majority of workers enjoyed working with livestock (95.8%) and agreed that livestock should be treated with respect (97.7%). Workers demonstrated a strong understanding of animal welfare concepts, 168 respondents (63.4%) provided examples of ways they had improved animal welfare in their workplace, and 164 workers (61.9%) suggested ways that animal welfare could be improved further. Most workers (95.8%) agreed that animal welfare was satisfactory in their workplace. Five out of the 24 multiple-choice responses differed significantly by the participant’s industry role, but no particular group displayed consistently divergent beliefs or attitudes. Given the community concern regarding animals in the livestock export supply chain, it is imperative to understand the attitudes of industry personnel who are responsible for the daily management of the animals. This knowledge assists in the development of animal welfare policy and can inform strategies to manage public perception.

African trade of mangoes to OECD countries: disentangling the effects of compliance with maximum residue limits on production, export supply and import demand

This article theoretically and empirically disentangles the effects of maximum residue limits (MRLs) for pesticides on production, export supply and import demand. We adopt a modelling approach based on the costs and benefits associated with food safety standards and use our theoretical framework to assess the empirical net effects of MRLs for pesticides on African mango production and trade with Organisation for Economic Co-operation and Development (OECD) member countries. On the one hand, we theoretically highlight that for a given production technology and a level of elasticity of production costs with respect to the MRL gap, producers will likely (probability and quantity) produce standard-compliant products if they are able to completely pass through the standard-compliance costs to the unit price they receive from exporters; otherwise, they will exit standard-compliant products market. On the other hand, we theoretically show that the net effects of the MRL gap on bilateral trade can be positive, zero or negative depending on the effects of consumers’ perceived quality (positive), trade costs (negative) and standard-compliant production cost (negative). We use a cross-sectional data set for 12 African countries that produced and exported MRL-compliant mangoes to 31 OECD countries in 2016. On the one hand, we find that the net effect of MRLs is positive for the level of standard-compliant mango production and negative for the probability of producing. On the other hand, they are positive in mango trade between African and OECD member countries. Our results highlight that the tightening or imposition of strict MRLs for pesticides in developed countries may be trade promoting, while they severely impede production in African countries.

LOGISTICS AND MARKETING SUPPORT IMPROVEMENT IN THE EXPORT SUPPLY CHAIN

Purpose. The purpose of the article is to clarification of approaches to the improvement of logistics and marketing support of managing the oil and fat export supply chain. Methodology of research. Theoretical and methodological basis of the study has been formed by the scientific works of domestic and foreign scientists in the field of logistics and marketing (to identify scientific approaches to marketing and logistics management of export supply chain management), methods of critical, systematic and comparative analysis (to analyze the features of marketing and logistics management of export oil and fat supply chain), methods of graphical analysis (to clearly display the research results), as well as the abstract and logical method (for the logical generalization of theoretical principles and formulation of research conclusions). Findings. It has been formed that the global situation in the oil and fat market, consumer preferences and tastes in the world are changing dynamically and pose new challenges to companies that can be addressed by gaining more sustainable competitive advantages than those already gained due to the marketing- and logistics-oriented approaches to business activity. It is determined that logistics and marketing are defined as the main orientations of management in a company and interpreted in the real sense as significant spheres of functional and integrated processes in company, and in a modern company marketing must be logistic, logistics must be a marketing one. It is established that a key position in the export supply chain of oil and fat products is occupied by the consumer. It is proved that one of the possible directions of effective consideration of market challenges is the logistization of the marketing activity of oil and fat enterprises and the use of integrated marketing logistics. It is substantiated that formation of sustainable competitive advantages of oil and fat companies in the global supply chains is possible due to the development of marketing-mix that will include marketing and logistics components. Originality. Theoretical and methodological principles have been deepened and of scientific and applied recommendations for improving the logistics and marketing support of export supply chain management have been developed. In particular, a logistics scheme for the export chain of oil and fat supply has been developed, which, in contrast to the existing ones, involves the use of river transport, which will reduce logistics costs, improve logistics services and increase customer satisfaction. Practical value. The results of the study can be implemented in the practice of managing export supply chains of domestic enterprises, which will increase the efficiency of export activities by reducing logistics costs, improving the level of logistics services and increasing the degree of customer satisfaction. Key words: logistics support, marketing support, export, supply chain, oil and fat.

Trade Facilitation and Its Impacts on the Economic Welfare and Sustainable Development of the ECOWAS Region

The facilitation of trade is a principal objective in the context of increasing regional trade integration for the achievement of sustainable development goals. The purpose of this study is to estimate the potential annual economic gain to be had from trade facilitation by the coastal countries of the Economic Community of West African States (ECOWAS). These measures would decrease border and documentary compliance time and costs of the administration of international trade. A partial equilibrium welfare economics framework is used that employs sets of export supply and import demand elasticities for each country that are derived using a general equilibrium estimation method. The annual economic welfare gains resulting from the reduction of excessive trade compliance costs for the region are estimated to between US$1.6 billion to US$2.7 billion (2019 prices). This is between 0.24% and 0.42% of the combined GDPs of these countries. The welfare gain is between 6% and 10% of the combined governments’ budgets assigned for education, and is between 33% and 58% of their budgets allocated for health. In the absence of reform, these inefficient practices waste an amount equal to between 15% and 26% of the annual net official development assistance these countries receive.

Determinants of Export Performance in Ethiopia

Ethiopia has adopted different policy measures geared at promoting exports. As a result the real value of export has increased by more than 13 folds during 1980-2018 periods; however, its share in gross domestic product and import bills is being very small. Therefore, this article aimed to investigate the factors responsible for export performance over the period 1980-2018 by using the bound co-integration approach. In the long run, the regression analysis implies that real economic growth, inflation and the foreign demand are found to have a positive effect, whereas openness and the share of agriculture have a negative effect. Real economic growth, inflation and the foreign demand depressingly affect the export supply in the short run whereas openness affects positively but the share of agriculture was not found to be crucial. Thus, in order Ethiopia economy to improve its own export supply, focusing on industrial sector, ensuring and expanding vocational and technical education, trying to reduce marketing costs through the process by making transparent, and diversifying the destination are very crucial policy tools.

What are the Export Supply Constraints in the ECOWAS Zone?

This paper aims to analyze the constraints to the export supply in ECOWAS countries. The descriptive statistics as well as the gravity model techniques emphasize the weakness of the intra-regional trade in ECOWAS. Firstly, the countries of the zone with a relatively advanced economy, such as Nigeria, strongly participate in intra-regional exports while landlocked countries and small countries are major players in intra-regional imports. This is explained by the lack of diversification and non-complementarity of the product structure of the international trade. Secondly, we notice that the number of exchangeable products influence positively and significantly the participation in international trade as well as the GDP.

Generic promotion of Norwegian seafood exports

The Norwegian Seafood Council (NSC) works cooperatively with its seafood industry to develop foreign demand for Norwegian seafood through generic promotion and advertising. The generic promotion activities are financed through fees levied on all Norwegian seafood exports. Using an econometric simulation approach, the study addresses two key questions regarding the NSC generic seafood export promotion programs over time: (1) What have been the effects of those programs on the Norwegian seafood export volume, price, and revenue in the aggregate? (2) Have Norwegian seafood producers, exporters, and other stakeholders benefitted from the export-levy-funded generic export promotion programs? Examining potential scenarios for a likely range of the price responsiveness of the Norwegian seafood export supply, the study finds that NSC promotion added about 12% to the aggregate export value of Norwegian seafood between 2003 and 2017 resulting from an addition to the export price and volume of 10% and 4%, respectively. About 17% of stakeholder profits over that period was due to the promotion programs resulting in an industry profit benefit to cost ratio of about 12 to 13 to one.

Review of Livestock Welfare Indicators Relevant for the Australian Live Export Industry

Animal welfare is an important issue for the live export industry (LEI), in terms of economic returns, community attitudes and international socio-political relations. Mortality has traditionally been the main welfare measure recorded within the LEI; however, high mortality incidents are usually acted upon after adverse events occur, reducing the scope for proactive welfare enhancement. We reviewed 71 potential animal welfare measures, identifying those measures that would be appropriate for use throughout the LEI for feeder and slaughter livestock species, and categorised these as animal-, environment- and resource-based. We divided the live export supply chain into three sectors: (1) Australian facilities, (2) vessel and (3) destination country facilities. After reviewing the relevant regulations for each sector of the industry, we identified 38 (sector 1), 35 (sector 2) and 26 (sector 3) measures already being collected under current practice. These could be used to form a ‘welfare information dashboard’: a LEI-specific online interface for collecting data that could contribute towards standardised industry reporting. We identified another 20, 25 and 28 measures that are relevant to each LEI sector (sectors 1, 2, 3, respectively), and that could be developed and integrated into a benchmarking system in the future.