Agribusiness CSR Practices on the Establishment of Underdeveloped Supply Chains: Evidence from Tanzania

Abstract

The rise of modern food retailing in developing economies is criticised for marginalising the small scale agribusiness actors. The marginalisation is due to high requirements on delivery and set food standards which are obstacles to most of small scale actors. The current project explores the CSR practices of agribusiness entrepreneurs in Tanzania in improving the underdeveloped value chain of fresh meat and processed peanut butter. Interviews were conducted in Arusha and Morogoro in Tanzania with managers, owners and beneficiaries of the practices. By using thematic qualitative case studies of the interviews, the study reveals that trust, regular supply of the products and relationship are very important for the CSR supply chain establishment. Furthermore, the study shows that reduced credit facility and rudimentary technology are major challenges that threaten the practices of linking small scale farmers to modern food distribution in Africa. The recommendations are offered regarding the steps for further improved underdeveloped supply chain. This study adds value on the CSR practices of agribusiness entrepreneurs from developing economies.