This study seeks to evaluate the impact of circular economy (CE) practices and implementation on the digitalization of food supply chains. The study also investigates the mediating role of the adoption of blockchain technology in integrating the implementation of CE practices and the digitalization of food supply chains.
An exploratory research design was adopted, involving a survey of 380 respondents, including retailers (N = 127), distributers (N = 141) and farmers (N = 112). Data were analysed using structured equation modelling. Confirmatory factor analysis was conducted to evaluate the validity and reliability of the constructs.
The results show a positive and significant relationship between CE practices and implementation and digitalization of food supply chains, with reverse logistics and internal and external stakeholder involvement playing crucial roles in facilitating the adoption of blockchain technology. Operation efficiency shows a negative relationship in the study. Blockchain technology serves as an effective mediator, enhancing transparency, traceability and collaboration within the supply chain. The findings suggest that blockchain is pivotal in aligning digital transformation with sustainability goals, offering improved resource management and reduced waste.
The study highlights the interplay between operational efficiency, reverse logistics and internal and external stakeholder influence in promoting digital adoption, providing actionable insights for supply chain managers and policymakers aiming to enhance sustainability through digital transformation.
