Is Walmart the Future of Local Food?

One of the most important historic developments in the food economy is embodied in this statistic: in 1900, 40 percent of every dollar spent on food went to the farmer or rancher while the rest was split between inputs and distribution. Now? 7 cents on the dollar goes to the producer and 73 cents goes just to distribution...

... It's time we dropped "economies of scale" as the dominant business mantra, especially for the food system. Indeed, the CFE report observes that the huge split between distributor and producer revenues shows the enormous opportunity for local businesses. Suddenly, sprawling distribution networks seem like a competitive disadvantage...

...The new mantra of business should be "the local multiplier effect"—which I talked about here—and measures the enhanced economic benefit of local ownership of businesses. So, while Walmart will no doubt find ways to benefit from the spiking interest in local food, it's the Community Food Enterprise's case studies that provide the real roadmap to a robust food system.

 [full article here]