Incentivising fruits and vegetables consumption in rural India with LSHTM
London School of Hygiene and Tropical Medicine
Background
Inadequate intake of fruits and vegetables is a leading cause of malnutrition. However, the intake of fruits and vegetables remains low in India, where 75% of the population fails to meet the WHO recommended daily consumption targets, especially in rural areas. Food prices and affordability is a major deterrent, and it has been observed that discounts can be helpful in the situation.
About the Study
Even though financial incentives are known to have a positive impact on the intake of fruits and vegetables, data on their feasibility and effectiveness in rural India remains unclear. Therefore, the study aims to evaluate the impact of financial incentives like cashbacks on the purchasing decision of the population, thereby gauging its effectiveness in improving dietary intake.
Methodology
A three-month long cluster- randomized controlled trial of a financial incentives scheme (nearly 20% cashback) on the purchase of fruits and vegetables from local retailers was conducted in six villages (totalling to 3535 households). Financial incentives were offered in three intervention villages while no such scheme was offered to the three control villages. 1109 households provided the data at the end of the trial.
Outcome
The weekly quantity of purchase in intervention households was reported to be significantly higher than the control households, especially from the local participating vendors. Thus, a high level of engagement to financial incentives schemes was noted. It can therefore be inferred that financial incentives schemes are feasible in unorganised food environments, but their effectiveness will also depend upon the willingness of local retailers to partake in the scheme. The difference observed within various socio-economic and food security groups was negligible, thus proving that such intervention does not exacerbate social disparity or have other unintended adverse impacts.