The Impact of COVID-19 on Supply Chain in UAE Food Sector

Abstract

The COVID-19 outbreak has significantly impacted supply chains and has caused several supply chain disruptions in almost all industries worldwide. Moreover, increased transportation costs, labor shortages, and insufficient storage facilities have all led to food loss during the pandemic, and this disruption has affected the logistics in the food value chain. As a result, we examine the food supply chain, which is one of the key industries COVID-19 has detrimentally affected, impacting, indeed, on the entire business process from the supplier all the way to the customer. Retail businesses are thus facing supply issues, which affect consumer behavior by creating stress regarding the availability of food. This has a negative impact on the amount of food that is available as well as its quality, freshness, safety, access to markets, and affordability. This study examines the impact of COVID-19 on the United Arab Emirates food distribution systems and how consumer behavior changed in reaction to interruptions in the food supply chain and the food security problem. Hypothesis testing was used in the study’s quantitative methodology to assess consumer behavior, and participants who were consumers were given a descriptive questionnaire to ascertain whether the availability and security of food had been impacted. The study used JASP 0.17.2 software to develop a model of food consumption behavior and to reveal pertinent connections between each construct. Results show that consumer food stress and consumption behavior are directly impacted by food access, food quality and safety, and food pricing. Furthermore, food stress has an impact on how consumers behave when it comes to consumption. Food stress, however, is not significantly influenced by food supply.