The Impact of Economic Indicators on Food Supply Chain of Palestine

Abstract

Food supply chain has become a crucial segment of every economy especially after the COVID-19. Lockdown was imposed in Palestine that is why it was very hard to maintain food supply chain from forms to end-users. Pandemic disturb every economy but developing economies like Palestine was more vulnerable. Although, Palestine authorities did their best by adopting best economic practices still various indicators impact the food supply chain. The aim of this article is empirically find out the impact of economic indicators on food supply chain. This is quantitative study and the questionnaire was adopted from well reputed studies. The data was collected by convenience sampling and analysed by structuring equation modelling through Smart PLS. The finding of this study revealed that inflation rate is negatively effecting the performance of food supply chain although economic indicators are not significant impacting. This study has unique findings it has been found that HDI is positively and significantly effecting food supply chain and HDI is also positively and significantly effecting the GDP but GDP is also positively impacting food supply chain but not significantly. This may be because of emerging country that heavily rely on external support and has less industrialization. This study help manages to understand that inflation is very bad for food supply chain so they must take care of inflation rate while decision making. This study help government to take necessary measures regarding interest rate and inflation rates. Next study can be conducted other parameters of economic indicators and industry to generalize the findings.