Has COVID-19 accelerated the E-commerce of agricultural products? Evidence from sales data of E-stores in China

We investigated the operation of e-stores specializing in food and agricultural products before and after the occurrence of COVID-19. A difference-in-difference (DID) method was employed to estimate the relationship between COVID-19 and the online sales of agricultural products using data from 164,002 food and agricultural product e-commerce stores (in short, e-stores) of two major Chinese e-commerce platforms in 120 prefectural -level or above cities. The results demonstrated that while COVID-19 and its control measures were associated with a substantial growth in the monthly sales of food and agricultural product e-stores, the growth varies considerably across store scales and with the type of food and agricultural product in which an e-store is specialized. Micro stores experienced much larger growth and played a more important role in maintaining the resilience of the supply chain of food and agricultural products than larger-scale stores; stores selling more essential food items experienced larger growth than those selling leisure food items. A mechanism analysis further revealed that the growth of online sales of agricultural products was mainly driven by changes in con-sumers' food purchase behaviors from offline channels to online channels (i.e., an increase in the number of online customer orders and price per online order) starting with the onset of COVID-19. The results of this paper underscore the importance of e-commerce in maintaining the resilience of the agri-food supply chain and call for public support of the development of micro-and small-scale e-stores to meet consumers' increasing demand for food supply from those types of stores during the pandemic period.