TITLE:
Competition in the Global Agricultural Value Chain: A Review of the Role of ABCD Giants Including Research on Their Public Visibility
AUTHORS:
Theo Gouveris
KEYWORDS:
Agriculture, Supply Chain, Market Competition, Market Visibility
JOURNAL NAME:
Open Journal of Business and Management,
Vol.12 No.6,
November
27,
2024
ABSTRACT: Agricultural goods play an increasingly significant role in meeting the demands of a constantly growing population. Nutrition, an essential aspect of our lives and daily routines, is directly linked to agricultural production. In this context, the economic, ecological, and sociocultural aspects of producing, distributing, selling, and consuming these goods are closely interconnected. Similar to other industries (e.g., automotive, tech), the global market for agricultural goods is highly concentrated, with significant power and influence held by four international corporations—Archer Daniels Midland, Bunge, Cargill, and Louis Dreyfus, collectively known as the ABCD companies. These corporations dominate the global agricultural value chains, playing a crucial yet often underrecognized role in people’s daily lives and in the ecological cycles of animals and plants worldwide. The aim of this article is to provide an overview of the operational areas and business strategies of these trading conglomerates, analyze the impact of the ABCD companies on agricultural producers, and establish connections to our daily food consumption. Additionally, we examine whether this highly concentrated trading environment offers room for competition from other companies. By understanding the significance of these four major players in agricultural commodity trading, we aim to raise awareness and enable consumers to make more informed decisions regarding their nutritional habits. Whether consumer behavior, increased competition, or government regulation could influence this market segment remains an open question.