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A Multi-Stakeholder Optimization of Food Supply Chains: an Undernourishment Reduction Strategy

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Abstract

Food supply has become one of the most important problems and challenges that the world faces nowadays due to the tremendous population growth and resource depletion around the world. In developing countries, where this problem is more noticeable, governments have implemented assistance programs to ensure food supply to disenfranchised people. However, these programs do not guarantee individual food security; besides, the local economic development is not promoted. In this paper, an optimization formulation for the strategic planning of food supply networks in disenfranchised communities is proposed, which includes the use and exchange of local resources between different communities to improve the local economy and satisfy specific nutritional needs according to age and gender, taking into account that the government should coordinate these activities. Since the strategic planning involves multiple interests and priorities, a multi-stakeholder optimization formulation to get trade-off solutions, useful for decision makers, is considered. A case study from Mexico involving 14 of the poorest communities from the State of Michoacán is presented. The results indicate that it is possible to meet nutritional needs of all the considered communities using the local resources and enhancing the local economy, avoiding this way government dependence. An initial inversion of MMUS$27.7 to supply 5 × 106 t of vegetable products and 6552 t of animal food is needed.

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Abbreviations

L :

Type of processed food (1 = cheese, 2 = bred, 3 = chicken meat, 4 = beef, 5 = pork meat, 6 = ham, 7 = milk, 8 = protein, 9 = tortillas, 10 = sugar)

Nut:

Nutrient package (oils, fruits, vegetables, dairy products, beans and meat)

Pa:

Type of animal product (1 = meat, 2 = milk, 3 = eggs)

R :

Type of raw material (1 = beans, 2 = corn, 3 = green tomato, 4 = red tomato, 5 = sorghum, 6 = oats, 7 = chili, 8 = avocado, 9 = pumpkin, 10 = mango, 11 = onion, 12 = wheat and 13 = sugar cane)

Ra:

Type of animal (1 = chicken, 2 = caw, 3 = pig)

T :

Period of time considered, one period takes 1 week (periods 1–52)

\( {A}_{r,m1,t}^{used} \) :

Land used for agriculture (km2)

\( {A}_{r,m1,t}^{new} \) :

New area designated to cultivation (km2)

\( {A}_{ra,m1,t}^{used- animal- food} \) :

Area used for animal feed (km2)

\( {Af}_{ra,m1,t}^{usedfood} \) :

Tonnes of animal food used to feed (tonnes)

\( {Af}_{ra,m1,t}^{cultivatedfood} \) :

Tonnes of animal food cultivated, residues from the crops (tonnes)

\( {Af}_{ra,m1,t}^{purchasedfood} \) :

Tonnes of animal food purchased from other sites (tonnes)

\( {AF}_{ra,m1,t}^{cultivatedfood- animal} \) :

Amount of cultivated animal food (tonnes)

\( {AF}_{ra,m1,t}^{purchased- animal- food} \) :

Amount of purchased animal food (tonnes)

\( {C}_{ra,m1,t}^{animal- purchase} \) :

Generated cost by the animal purchase (USD$)

\( {C}_{r,m1,t}^{vegetable- production} \) :

Total production cost of the vegetal raw material (USD$)

\( {C}_{r,m3,t}^{vegetable- purchase} \) :

Generated cost by purchasing vegetables (USD$)

\( {C}_{ra,m1,t}^{purchased- food- animal} \) :

Purchased animal food cost (USD$)

\( {C}_{\mathrm{pa},m3,t}^{animal- product- purchase} \) :

Purchased animal product cost (USD$)

\( {C}_{ra,m1,t}^{cultivatedfood- animal} \) :

Production animal food cost (USD$)

\( {C}_{pa,m1,t}^{animal- production} \) :

Production cost of animal food (USD$)

\( {C}_{pa,t}^{trans- ap- prod- hub} \) :

Cost by the animal product transportation to the hub (USD$)

\( {C}_{pa,t}^{trans- ap- prod- hubtomarket} \) :

Cost by the animal product transportation to the market from hub (USD$)

\( {C}_{pa,t}^{trans- ap- prod- market} \) :

Cost by the animal product transportation to the market from harvesting sites (USD$)

\( {C}_{r,t}^{Trans- vegetabletohub} \) :

Cost by vegetable transportation to the hub (USD$)

\( {C}_{r,t}^{Trans- vegetable- product- market} \) :

Cost by vegetable transportation to the hub (USD$)

\( {C}_{\mathrm{r},t}^{Trans- vegetable- hub- market} \) :

Cost by vegetable transportation from the hub to the market (USD$)

\( {C}_{pa,m2,t}^{storage- ap} \) :

Cost by the animal product storage (USD$)

\( {C}_{r,m2,t}^{storage- vegetable} \) :

Cost by the vegetable product storage (USD$)

\( {C}_{pa,m2,t}^{ap- sales} \) :

Earnings by animal product sales (USD$)

\( {C}_{r,m2,t}^{vegetable- sales} \) :

Earnings by the vegetable product sales (USD$)

D nut, m3, t :

Nutritional demand (tonne of each food group)

Dissatisfaction :

Level of dissatisfaction in each solution

\( {F}_{pa,m1,t}^{\mathrm{animal}-\mathrm{product}} \) :

Animal food produced (tonnes)

\( {F}_{\mathrm{pa},m3,t}^{animalproduct-\mathrm{markets}} \) :

Animal product sent to the markets (tonnes)

\( {F}_{pa,m1,m2,t}^{animal- produc- hub} \) :

Animals sent to the hub (tonnes)

\( {F}_{pa,m2,m3,t}^{animal- hub- market} \) :

Animals sent to the market from the hub (tonnes)

\( {F}_{pa,m1,m3,t}^{animalproduct- market} \) :

Animals sent directly to the market (tonnes)

\( {F}_{\mathrm{pa},m2,t}^{animalproduct- hub- sale} \) :

Animals sold (tonnes)

\( {F}_{pa,m3,t}^{\mathrm{animalproduct}- purchase} \) :

Animal products purchased (tonnes)

\( {F}_{r,m1,t}^{vegetable} \) :

Total tonnes of vegetables produced (tonnes)

\( {F}_{r,m1,m2,t}^{vegetable- hub} \) :

Vegetables sent to the hubs (tonnes)

\( {F}_{r,m3,t}^{vegetable- market} \) :

Flow rate of vegetables in the markets (tonnes)

\( {F}_{r,m3,t}^{vegetable- purchase} \) :

Vegetable products purchased from other producers (tonnes)

\( {F}_{r,m2,m3,t}^{vegetable- hub- market} \) :

Vegetables sent from the hub to the market (tonnes)

\( {F}_{r,m1,m3,t}^{vegetable- product- market} \) :

Vegetable products sent from the harvesting site to the market (tonnes)

\( {F}_{r,m2,t}^{vegetable- hub- sale} \) :

Vegetables sold in the market (tonnes)

NA ra, m1, t :

Number of animals produced in each site (number)

\( {Na}_{ra,m1,t}^{purchased} \) :

Number of bought animals from other municipality (animals)

\( {Na}_{ra,m1,t}^{sale} \) :

Number of sold animals to other municipalities (animals)

RM r, m1, tvegetal :

Tonnes of vegetable raw material (tonnes)

\( {S}_{\mathrm{pa},m2,t}^{animalproduct- stored} \) :

Animal product stored in the hub (tonnes)

\( {S}_{pa,m2,t-1}^{animalproduct- stored} \) :

Animal product stored in the hub in the previous time period (tonnes)

\( {S}_{r,m2,t}^{vegetable- stored} \) :

Vegetables stored (tonnes)

\( {S}_{r,m2,t-1}^{vegetable- stored} \) :

Vegetables stored in previous period of time (tonnes)

TACM m1 :

Total annual cost by municipality (USD$)

TAC :

Total annual cost (USD$)

TAC LB :

Lower bound of the total annual cost by municipality

TAC UB :

Upper bound of the total annual cost by municipality

\( {A}_{ra,m1,t}^{usedanimalfood} \) :

Area used to feed the animals (km2)

\( {A}_{r,m1,t}^{Current} \) :

Current area designated to harvesting each crop (km2)

\( {A}_{r,m1,t}^{Total- Vegetable} \) :

Limit for the used area in each municipality (km2)

\( {A}_{ra,m1,t}^{Total- animal- food} \) :

Available area for the animal feed (km2)

GE nut :

Nutrient group (tonnes)

Population m3, t :

Inhabitants (number)

\( {\beta}_{r,m1,t}^{harvesting\kern0.17em sites} \) :

Yield factor of each cultivated crop (t/km)

\( {\theta}_{ra,m1,t}^{YieldPA} \) :

Yield factor of produced animals (animals/t food)

\( {\xi}_{nut,\mathrm{pa}}^{nut- ap} \) :

Amount of needed animal nutrients (tonnes)

\( {\xi}_{nut,r}^{nut- vegetable} \) :

Amount of needed vegetable nutrients (tonnes)

\( {\phi}_{ra,r,m1,t}^{residePA} \) :

Yield of raw material residues (tonnes/t)

λ pa, ra, m1, t :

Yield factor of produced animals (tonnes/amount of animal)

\( {\sigma}_{ra,m1,t}^{animal- purchased} \) :

Unit animal purchase cost (USD$/animal)

\( {\sigma}_{pa,m1,t}^{animal- production} \) :

Price of animal production (USD$/animal)

\( {\sigma}_{r,m1,t}^{vegetable- production} \) :

Unit vegetable production cost (USD$/t)

\( {\sigma}_{pa,m1,m2,t}^{Trans- ap- prod- hub} \) :

Animal product transportation cost from the harvesting sites to the hub (USD$/t)

\( {\sigma}_{pa,m2,m3,t}^{Trans- ap- prod- hubtomarket} \) :

Animal product transportation cost from the hub to the market (USD$/t)

\( {\sigma}_{pa,m1,m3,t}^{Trans- ap- prod- market} \) :

Animal product transportation cost from the harvesting site to the market (USD$/t)

\( {\sigma}_{r,m1,m2,t}^{transp- veg- hub} \) :

Vegetable transportation cost from the harvesting sites to the hub (USD$/t)

\( {\sigma}_{r,m1,m3,t}^{transp- veg- product- market} \) :

Vegetable transportation cost from the harvesting sites to the market (USD$/t)

\( {\sigma}_{ra,m1,t}^{cultivatedfood- animal} \) :

Unit animal food cost (USD$/t)

\( {\sigma}_{ra,m1,t}^{purchased- food- animal} \) :

Unit animal purchase food cost (USD$/t)

\( {\sigma}_{pa,m2,t}^{ap- stored} \) :

Price for the animal product storage (USD$/t)

\( {\sigma}_{r,m2,t}^{vegetable- stored} \) :

Price for the vegetable product storage (USD$/t)

\( {\sigma}_{pa,m2,t}^{ap- sale} \) :

Unit price for animal product sales (USD$/t)

\( {\sigma}_{r,m2,t}^{vegetable- sale} \) :

Unit price for vegetable sales (USD$/t)

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Correspondence to José María Ponce-Ortega.

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Martínez-Guido, S.I., González-Campos, J.B. & Ponce-Ortega, J.M. A Multi-Stakeholder Optimization of Food Supply Chains: an Undernourishment Reduction Strategy. Process Integr Optim Sustain 2, 239–257 (2018). https://doi.org/10.1007/s41660-018-0039-0

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