23rd International Scientific Conference. “Economic Science for Rural Development 2022” No 56 Circular Economy: Climate Change, Environmental Aspect, Cooperation, Supply Chains, Efficiency of Production Process and Competitive of Companies, Integrated and Sustainable Regional Development, New Dimensions in the Development of Society, Rural Development and Entrepreneurship, Sustainable Bioeconomy

Abstract

Today, more than 70% of people live in and around cities. Existing urban and regional food systems are unsustainable and society expects and demands change. In order to help prevent and reduce food waste, reduce the environmental impact of food production and food waste, and promote access to healthy food for all, it is essential to design and develop smart, food-oriented food chains. Therefore, the involvement of local entrepreneurs, municipalities and citizens in the development of the food security ecosystem of cities and regions is important. Involvement in local food supply chains allows businesses to increase the added value of their products and make farmers less vulnerable to market risks by reducing the number of intermediaries through diversification and better price control, guaranteeing less asymmetric relationships with customers. Municipalities promote the consumption of quality products through green public procurement of food and thus reduce the risk of obesity and chronic diseases, but in the long run the costs of health care. In Latvia, according to the data of 2019, only 3% of biologically certified farms sold their products through public procurement, incl. purchase of school catering. The aim of this study is to identify barriers and possible solutions for increasing the share of local organic food purchased by mainstream schools. The study finds that the role of local organic food in green public procurement and its impact on territorial development is linked to environmental, social and economic benefits. The main obstacles to participating in GPP tenders and winning the tender were: 1) the quantity and range of products required (division of goods into lots), as well as the purchase prices of organic products; 2) high bureaucratic burden for "small" producers, complex Electronic Procurement System and tender submission criteria; 3 cal organic food is more expensive than imported; 4) limited financial resources; 5) insufficient amount of food produced.There were significant communication gaps between stakeholders regarding GPP, as well as a lack of knowledge about the organic market and how to implement GPP.