Enhancing environmentally friendly practices in SME agri-food upstream chains

Purpose: The study examined the influence of environmental standards set by the SME agro-based processing firms and farmers' environmental empowerment on farmers' adoption of environmentally friendly agricultural practices; and the mediating role of empowerment on the relationship between SME agro-based processing firm environmental standards and farmers' adoption of environmentally friendly agricultural practices. Design/methodology/approach: Data was collected from purchasing managers of the agro-based processing firms. The SPSS software, SMART PLS and CB-SEM software were used to obtain results on the influence of environmental standards set by the SME agro-based processing firms on adoption of environmentally friendly agricultural practices; the influence of farmers' environmental empowerment on adoption of environmentally friendly agricultural practices and the mediating role of farmers' environmental empowerment on the relationship between SME agro-based processing firm environmental standards and farmers' adoption of environmentally friendly agricultural practices. Findings: Findings indicated that SME agro-processing environmental standards have an influence on farmers' adoption of environmentally friendly agricultural practices. Empowering farmers in environmental issues influenced their adoption of environmentally friendly agricultural practices. A partial mediation effect was observed on testing the mediating role of farmers' environmental empowerment on the relationship between SME agro-based processing firm environmental standards and farmers' adoption of environmentally friendly practices. Research limitations/implications: The study mainly focused on the upstream part of agricultural supply chains. The research has implications to decision-makers in government concerned with enhancing environmentally friendly practices among farmers in general. Originality/value: The influence of SME agro-based processing firm environmental standards on farmers' adoption of environmentally friendly agricultural practices; the influence of farmers' environmental empowerment on farmers' adoption of environmentally friendly practices; and the mediating role of farmers' environmental empowerment on the relationship between SME agro-based processing firm environmental standards and farmers' adoption of environmentally friendly agricultural practices are aspects that have not been given significant attention.