Harnessing collective purchasing power for affordable and sustainable food access
Harnessing collective purchasing power for affordable and sustainable food access
Monday, 4 November 2024 | By Climate Champions
The following case study is part of a set that illustrate the Food Systems Call to Action in motion. Each story demonstrates innovative solutions and collaborative efforts across sectors, geographies, and communities, highlighting how food systems are being transformed.
Context: Leveraging collective purchasing power is crucial for providing affordable, healthy, and sustainable food options, while empowering communities to reduce costs, promote local produce, and foster environmentally friendly practices.
Partners: Mumbai Grahak Panchayat (MGP), Consumers International (CI)
Duration: Established in 1975, ongoing as of today.
Location: Mumbai Metropolitan Region (Mumbai, Thane, Raigad areas), Pune and Ratnagiri districts, Maharashtra, India.
Impact Achieved:
Through collective buying power, over 36,000 families have benefited from the collective purchasing model, which allows them to buy essential grocery items at more than a 20% discount compared to market prices.
With a turnover of INR 86 crores (around $13 million), MGP has created a successful and stable no-profit, no-loss business model.
Members have consistent access to quality, affordable food despite fluctuations in market prices.
MGP promotes environmentally friendly practices, such as reducing plastic waste by reusing cotton bags and minimizing packaging.
Description:
Mumbai Grahak Panchayat (MGP) is a consumer-driven collective purchasing organization, established to provide households with affordable, healthy, and sustainable food options through the power of collective buying. Operating since 1975, MGP’s no-profit, no-loss model enables families to access essential groceries at a discount of over 20% compared to market prices. The initiative sources quality products directly from producers, reducing intermediaries and offering high-consumption items like grains, pulses, and spices on a monthly basis. MGP’s system involves voluntary participation, with families filling requisition slips to place bulk orders that are delivered through a network of distribution centers. In addition to making food more affordable, MGP supports environmental sustainability by reducing plastic usage and prioritizing local, healthy alternatives.
The Food Systems Call to Action is a global initiative that urges non-state actors and governments to take immediate steps to transform food systems by 2030. It highlights the urgent need for resilient, sustainable, and equitable approaches that support food security, protect nature, and address climate change. Through targeted actions and principles, the Call to Action emphasizes collaboration, innovation, and inclusivity—ensuring that farmers, frontline workers, Indigenous communities, and other key players are at the forefront of decision-making and implementation
