Economic Sustainability of Short Food Supply Chain in the Italian Olive Oil Sector: A Viable Alternative for Tunisian Agrofood Market?

The recent proliferation of short food supply chains (SFSCs), such as the direct sale, meets farmers’ needs to valorize local food productions and increase their profitability. The short food supply chain achieves the theoretical concept of sustainability in economic, environmental and social terms, giving life to multifunctionality in agriculture. In the Italian agrofood sector, the extra virgin olive oil is largely purchased in short supply chains. The aim of this paper is to determine if the direct selling in short supply chains for the extra virgin olive oil is profitable for farmers. In addition, this research stresses the importance of using a correct farm costs analysis for the identification of a selling price which valorizes the quality of the local products and at the same time ensures fair revenue to farmers. Finally, the paper intends to propose short food supply chain as a valid alternative for Tunisian olive-oil market, in order to encourage local food production in economic and environmental sustainability