Cold Chain Logistics Projects and Performance of Horticulture Export Companies in Rwanda: A Case of Horticulture Exporters Association of Rwanda (HEAR)

Robert Rukundo; Eugenia Nkechi Irechukwu

doi:10.51867/ajernet.5.2.25

Authors

Robert Rukundo
rukundorob@gmail.com
Mount Kenya University https://orcid.org/0009-0008-1003-6302
Dr. Eugenia Nkechi Irechukwu Mount Kigali University

Keywords:

Cold Chain Logistics Projects, Costs Associated with Cold Trucks and Cold Room, Geographic Location of Cold Chain Stores, Horticulture Exports Companies, Performance, Technology Used in Cold Chain Logistics

Abstract

Globally, the top three markets for horticulture imports are Europe, the US, and the UAE. The general objective of this study aims to assess the effects of cold chain logistics projects on performance of horticulture exports companies in Rwanda: a case study of Horticulture Exporters association of Rwanda. The specific objectives of this study aim: to assess the effects associated with costs incurred in cold chain logistics on performance of horticulture exports companies in Rwanda, to evaluate the contributions of technology used in cold chain logistics on performance of horticulture exports companies in Rwanda and to determine the effects of geographic location of cold chain stores on performance of horticulture exports companies in Rwanda. Research focused on system theory and resource-based theory. By combining quantitative and qualitative analytic techniques, the researchers used a correlational approach to look for patterns in the interactions between the study's components. The research was based on responses from 92 out of 120 respondents from Rwanda’s horticulture export company. Statistical sampling and other methods were part of the "mixed method" approach utilized in the study. Stratified and random sampling was used to pick the exporters, whilst convenient and purposive sampling were used to select the participants from the cold chain logistics management group. Using both personal and secondary sources, the research aimed to determine the impact of cold chain logistics on the growth of Rwandan horticultural export businesses. For the main data set, which covered the years 2021–2023, researchers utilized closed-ended questions to survey participants. For the secondary data set, they combed through financial records and relevant documents from cold chain facilities. The data was analyzed using version 24 of the Statistical Package for the Social Sciences, a widely used statistical tool in the field of social science. Descriptive data were presented in tables displaying percentages and frequencies. Additionally, regression analysis was conducted to delve deeper into the relationship between the study variables. The findings suggest that there are significant associations between certain factors and performance. Firstly, the cost associated with cold trucks and cold rooms demonstrated a strong positive relationship with performance (β = 0.427, p <0.05). This implies that higher expenditures in maintaining cold trucks and rooms tend to correspond with better performance among horticulture exports companies. Secondly, technology used in cold chain logistics also exhibited a positive relationship with performance, although the effect size was smaller and the p-value slightly higher (β = 0.395, p<0.05). This indicates that employing advanced technology in managing the cold chain logistics process may contribute positively to the performance of these companies. Finally, the geographic location of cold chain stores displayed a significant positive relationship with performance (β = 0.879, p<0.05). The results show that horticultural export companies may boost their performance and profits by investing in cold chain logistics, refrigeration, and holding facilities. If Rwanda wants to make its horticulture exports more competitive, HEAR should weigh the pros and cons of various cold truck and cold room solutions before making a final decision.

Dimensions

REFERENCES

Arda, O. A., Montabon, F., Tatoglu, E., Golgeci, I., & Zaim, S. (2023). Toward a holistic understanding of sustainability in corporations: Resource-based view of sustainable supply chain management. Supply Chain Management: An International Journal, 28(2), 193-208. https://doi.org/10.1108/SCM-08-2021-0385 DOI: https://doi.org/10.1108/SCM-08-2021-0385

Bhandal, R., Meriton, R., Kavanagh, R. E., & Brown, A. (2022). The application of digital twin technology in operations and supply chain management: a bibliometric review. Supply Chain Management: An International Journal, 27(2), 182-206. https://doi.org/10.1108/SCM-01-2021-0053 DOI: https://doi.org/10.1108/SCM-01-2021-0053

Cinar, R. (2020). Structuration of Natural Resource-Based Innovations in Universities: How Do They Get Institutionalized? Sustainability, 12(5), 1834. https://doi.org/10.3390/su12051834 DOI: https://doi.org/10.3390/su12051834

Davis, U. C. (2017). Feed the future innovation lab for horticulture. Horticulture Journal, 5(2), 145-159. Retrieved November, 15.

Dawes, W. (2020). Disclosable Restructuring Paper-Transformation of Agriculture Sector Program 4 Phase 2-P161876. Agricultural Economics Review, 12(3), 201-215.

Feyaerts, H., Van den Broeck, G., & Maertens, M. (2020). Global and local food value chains in Africa: A review. Agricultural Economics, 51(1), 143-157. https://doi.org/10.1111/agec.12546 DOI: https://doi.org/10.1111/agec.12546

George, G., Haas, M. R., McGahan, A. M., Schillebeeckx, S. J., & Tracey, P. (2023). Purpose in the for-profit firm: A review and framework for management research. Journal of Management, 49(6), 1841-1869. https://doi.org/10.1177/01492063211006450 DOI: https://doi.org/10.1177/01492063211006450

Goedhals-Gerber, L. L., Fedeli, S., & van Dyk, F. E. (2021). Analysing temperature protocol deviations in pome fruit export cold chains: A Western Cape case. Journal of Transport and Supply Chain Management, 15, 11. https://doi.org/10.4102/jtscm.v15i0.626 DOI: https://doi.org/10.4102/jtscm.v15i0.626

Griffiths, P. E., & Tabery, J. (2013). Developmental systems theory: What does it explain, and how does it explain it? Advances in Child Development and Behavior, 44, 65-94. JAI.

https://doi.org/10.1016/B978-0-12-397947-6.00003-9 DOI: https://doi.org/10.1016/B978-0-12-397947-6.00003-9

Han, J. W., Zuo, M., Zhu, W. Y., Zuo, J. H., Lü, E. L., & Yang, X. T. (2021). A comprehensive review of cold chain logistics for fresh agricultural products: Current status, challenges, and future trends. Trends in Food Science & Technology, 109, 536-551.

https://doi.org/10.1016/j.tifs.2021.01.066 DOI: https://doi.org/10.1016/j.tifs.2021.01.066

Hofkirchner, W. (2019). Social relations: building on Ludwig von Bertalanffy. Systems Research and Behavioral Science, 36(3), 263-273. https://doi.org/10.1002/sres.2594 DOI: https://doi.org/10.1002/sres.2594

Lee, J. S. (2020). Issues Raised on Korea's Official Development Assistance to Africa: Future Perspective. South Korea's Engagement with Africa: A History of the Relationship in Multiple Aspects, 5(3), 71-102. https://doi.org/10.1007/978-981-32-9013-6_4 DOI: https://doi.org/10.1007/978-981-32-9013-6_4

Lipwop, M. C., & Achuora, J. (2021). Cold Chain Logistics and the Performance of Fresh Produce Firms in Nairobi City County, Kenya. International Research Journal of Business and Strategic Management, 2(2), 45-60.

Smith, J. M., & Johnson, A. R. (2022). Examining factors affecting response rates in survey research. Journal of Social Sciences, 24(3), 123-137.

Sofian, M. (2018). An Overview of Cold Chain Network of Golden Harvest in Bangladesh. Tort, Ö. Ö., Vayvay, Ö., & Çobanoğlu, E. (2022). A Systematic Review of Sustainable Fresh Fruit and Vegetable Supply Chains. Sustainability, 14(3), 1573.

https://doi.org/10.3390/su14031573 DOI: https://doi.org/10.3390/su14031573

Wang, M., Wang, Y., Liu, W., Ma, Y., Xiang, L., Yang, Y., & Li, X. (2021). How to achieve a win-win scenario between cost and customer satisfaction for cold chain logistics? Physica A: Statistical Mechanics and its Applications, 566(9), 125637-125650

https://doi.org/10.1016/j.physa.2020.125637 DOI: https://doi.org/10.1016/j.physa.2020.125637

Watanabe, E. A. D. M., Nascimento, C. R. D., Freitas, M. G. M. T. D., & Viana, M. M. (2022). Food waste: an exploratory investigation of causes, practices and consequences perceived by Brazilian supermarkets and restaurants. British Food Journal, 124(3), 1022-1045. https://doi.org/10.1108/BFJ-01-2021-0045 DOI: https://doi.org/10.1108/BFJ-01-2021-0045

Ye, B., Chen, J., Fu, L., & Wang, Y. (2022). Application of nondestructive evaluation (NDE) technologies throughout cold chain logistics of seafood: Classification, innovations and research trends. LWT, 158, 113127. https://doi.org/10.1016/j.lwt.2022.113127 DOI: https://doi.org/10.1016/j.lwt.2022.113127

Yeshiwas, D., & Tadele, A. (2021). Improving Cold Chain Logistics to Reduce Post-Harvest Losses of Horticultural Products in Rwanda. Journal of Agricultural Science and Food Technology, 7(2), 123-135.