Abstract
The increase in food demand in Indonesia is one of the consequences of the imbalance between population growth and declining food products. One of alternative technologies that can be used in plant breeding programs to increase agricultural production, in order to meet food demands, is genetically modified organism (GMO) technology. This technology presents a lot of pros and cons among the public-related impacts that will be accepted by consumers. The purpose of this study was to determine the level of sustainability between GMO and non-GMO foods. The performance measurement model for GMO and non-GMO foods was considered according to the seven issues of sustainability that represented environmental, social, and economic aspects. The assessment method was conducted by using Adjusted Profit (AP) with Total Price Recovery (TPR) indicators and Total Factor Productivity (TFP) by utilizing the Data Envelopment Analysis (DEA) Method. Assessments made on each supply chain component included agriculture, processing, and transport to wholesalers/retailers. This study used numerical examples of rice production in Indonesia. The research results found that the performance of non-GMO rice chain is better than GMO rice. It indicates that non-GMO rice is more sustainable. The results show that the proposed model can be applied to measure the sustainability of GMO and Non-GMO agri-food supply chain performance.
Highlights
The supply chain has become a frequently discussed issue in human life, one of which is the agri-food supply chain
To implement the scheme in Indonesia, the first step is to find out the genetically modified organism (GMO) and non-GMO food products produced in Indonesia
The results suggest that the performance of non-GMO rice chains are better than the GMO
Summary
The supply chain has become a frequently discussed issue in human life, one of which is the agri-food supply chain. Lambert et al [1] defined the supply chain as a process that adds value to customers and stakeholders through the integration of end-user business processes through genuine suppliers that provide products, services, and information. An agri-food supply chain consists of a set of activities in a “farm-to-fork” sequence including farming, processing/production, testing, packaging, warehousing, transportation, distribution, and marketing [2]. The distinction between the food supply chain and other supply chains is that the former affects a continuous and significant change in the quality of food products, consistently and significantly throughout the supply chain until the end point of the product is consumed by consumers. The food supply chain lays more emphasis on how companies meet consumer demands in providing goods and in the capability to ensure the availability of raw materials on time by the supplier, to meet consumer.
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