Lidl, EDEKA Boost Local Produce Ties with Digital Procurement
Supermarket giants like Lidl and EDEKA are strengthening ties with local suppliers for fresh produce, while digital platforms are transforming the way produce suppliers like Landgard manage logistics and supply chains. This shift is driven by digital procurement, which is revolutionizing the farm-to-fork model.
Traditional procurement methods struggle to keep pace with the demands of the fresh produce supply chain. Digital procurement, however, offers real-time, tech-enabled sourcing that ensures consistency, speed, and traceability from farm to distribution center. It fixes cracks in the system by providing real-time data collection, geo-tagging, batch-level traceability, price transparency, smart grading, seamless integration with logistics and inventory systems, and faster settlements and payment disbursal.
The benefits extend to farmers too. Digital procurement enables their inclusion in the supply chain by providing a direct digital identity, building pricing transparency, enabling faster payments, recording transaction history, and incentivizing quality and consistency. Key components include mobile procurement apps, geotagging, digital grading tools, dynamic pricing dashboards, and integrated inventory and payment modules.
Challenges in scaling farm-to-fork supply chains, such as limited visibility at the farm level, inconsistent quality grading, lack of real-time data, farmer disconnection and payment delays, and poor traceability, are being addressed by digital procurement. It's not just a tool; it's a competitive edge that helps meet rising consumer expectations for traceability, buyer demands for compliance, and operational excellence.
Digital procurement is transforming the fresh produce supply chain, enhancing efficiency, traceability, and farmer inclusion. As supermarkets like Lidl and EDEKA emphasize local partnerships, digital procurement ensures these partnerships are supported by modern, efficient systems. This shift is not only beneficial for businesses but also for consumers who demand transparency and freshness in their produce.
