The mitigation of agricultural supply chain risks through cross-collaboration in implementing the circular economy using DEMATEL and ANP

Purpose Supply chain (SC) disruption is a significant obstacle to implementing a circular economy (CE), due to its multi-layered and complex production chain, especially in the agricultural sector. However, there is an unexplored assessment of disruptions in supply chain risks (SCRs) that can provide solutions to the CE. In this study, we aim to identify and mitigate SCRs through cross-collaboration that involves elaboration between joint efforts and sharing activities. Design/methodology/approach The study employed two methods that integrate the decision-making trial and evaluation laboratory (DEMATEL) and the analytical network process (ANP). Findings The results show that the top three highest risk levels – namely, climatic, perishable and seasonality – influence agricultural SCR. Then, cross-collaboration can mitigate these risks through a joint problem-solving strategy that is the best alternative strategy from joint effort in the development of circular SC management. Practical implications This research offers recommendations to improve product distribution and inventory management in the agricultural sector. Farmers can collaborate with food processors through joint planning to determine the quantity and type of products to be processed, thereby reducing raw material waste. Such cross-party collaboration helps minimize risks, fostering a more resilient, efficient, and sustainable agribusiness system; in this model, risks are no longer borne by a single party but are shared, creating value from available resources. Originality/value This study contributes to the understanding that agricultural stakeholders collaborate to find innovative solutions that enable them to better prepare for climate risks by implementing the CE concept.