Margaux Bazeil
Noora Saarikivi
Hanken School of Economics
Eva Nilsson
Martin Fougere
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The solution is to bring the consumer and the farmer more closely together via ekompi.net. The consumer places the order and it is then delivered to them at one of three pick-up points. This shortens the gap between consumers and producers, thus supporting SDG 12. This also helps farmers in their endeavors, thus supporting SDG 8. It also bridges the gap between the capital area and countryside, thus supporting SDG 11.
Uudenmaan Ruoka (Local Foodhub) is a company aiming to better connect farmers and consumers by creating an alternative and direct model of consumption. It is a food hub for locally grown fresh produce that varies according to the season. Consumers can pick up local fresh food from different producers once a week all year round. Many customers value domestic products and appreciate knowing the source of their food. Not only does Uudenmaan Ruoka connect farmers and communities in the capital region of Finland, but it also encourages people to be more aware of where their food comes from.
Farmers individually respond to the demand of local products in the community. Currently the general flexibility system of logistic transportation is mainly driven by the farmers as their responsibility is to deliver their product to the nearest pickup-point. There are three different hubs around the capital at the moment.
The distribution model shortens the distance between the consumers and producers, therefore acting toward SDG 12: responsible consumption and production. It also highlights the role of farmers in our society and enables them to make a fair income, so it is involved in SDG 8: decent work and economic growth. Finally Local Foodhub is also supporting SDG 11: sustainable cities and communities, as it creates links between urban and rural areas and maintains green spaces close to the capital city.
According to Rikard Korkman the inspiration for Foodhub was related to the state of the local food market. Being a farmer, Korkman felt like there were issues in the supply chain of the food market. Korkman said there was a lot of discussion about how people should buy local food and support small farmers, but many small producers found it quite challenging to sell their products and get a fair share of the price. There was demand for local food and local food producers, but there just did not seem to be a way for them to efficiently reach others. “I felt like since our farm is situated only 25 kilometers from the center of Helsinki that we should try to construct some kind of direct sale system. Then we started planning.” (Korkman, R. 2022).
With digitalization and development of social media, producers and consumers could work more directly with each other, and customers could obtain locally produced and organically grown food directly from the farms. “This was the main motivation behind Foodhub, to make the food chain shorter between the producer and consumer in a cost-effective way. It is beneficial for the consumer, and the producer also gets a fair price”. (Korkman, R. 2022).
Uudenmaan Ruoka is involved in the necessary transformation of society that is needed to achieve the SDGs. So an important impact would be a shift in the ways society considers and practices consumption. In the short-term, it means that people already interested in a sustainable consumption model will achieve it through Uudenmaan Ruoka. The initiative is an enabler for people already convinced of the importance of the change, who will understand that the sustainable options are within easy reach. Furthermore, the long-term effect will be that the Local Foodhub will raise awareness among consumers that are currently estranged to sustainability, and even persuade them to act by joining the initiative. This is a long-term impact because these people may be reluctant to question their current habits, thus slowing the change process.
Another long-term impact is that Foodhub and other similar initiatives will strengthen the country’s food security: by constructing new channels, it develops and grows local food production capacity.
A short-term effect is that consumers now have access to a more transparent and open food market. Foodhub gives customers the opportunity to know where the products were grown. Another short-term effect is that producers can dedicate more time to farming thanks to this initiative, and less time figuring out distribution- or finance-related issues.
Finally, during the interview, Rikard Korkman explained that they are enriching the food culture, because there are many food products, and they usually wouldn’t get enough publicity. The initiative provides this deserved publicity that will diversify the food culture.
Uudenmaan Ruoka was founded and built around the innovation of the food hub. The food hub first started as one and has now spread to several locations around the capital area, growing their business platform from private customers to now include restaurants. They have determinedly searched and evaluated different measures to develop the processes of their operations for controlled growth so that quality of their services does not suffer.
The company is now at a turning point to develop innovation regarding the collaboration of the producers which will be informed more this coming Fall. The company wants to strengthen their growth by allowing the producers to collaborate more with each other. This new model would also raise more revenue for the company according to predictions. Their aim is to offer a versatile product range without causing competition among producers so they are using only one farmer from each category of certain products.
This innovation benefits the environment and society by promoting and applying values related to SDG 12: sustainable production and consumption. Rikard Korkman said in the interview “the future of food production has to be more sustainable and more local’. The Food Hub is indeed working for a more sustainable consumption of food as it enables people living in Helsinki to buy locally grown produce. It benefits the environment because local producers respect nature and don’t indulge in industrial farming and other harmful practices. Local consumption also benefits the environment as it generates less transport, therefore less pollution. The innovation also has a positive impact on society because it reduces the amount of industrialized and processed food consumed and provides a healthier alternative for people.
Moreover, the innovation also benefits the society towards ‘decent work’, which is related to SDG 8. Local FoodHub does not only talk about the products but also about the producers behind it. By normal means, farmers receive a small percentage from normal shops. With Uudenmaan Ruoka the importance and role of farmers in the society are highlighted, this means that customers see the farmers’ contribution and shares. There are currently around 30 farmers that are working with Uudenmaan Ruoka, most of them are within the vicinity of the Capital Region of Finland. They are an important part of the society and also give work to the local community.
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Uudenmaan Ruoka offers local and organic food products in such a way that links producers and consumers. The company aims to offer fresh products around all seasons and encourages people to be aware of where their food comes from.