Millions of people depend on street vendors, market stalls and neighbourhood food sellers for their daily meals. Yet these small businesses, which provide affordable food and employment across much of the developing world, remain largely overlooked by researchers and policymakers. A major international review is now shedding light on their essential role in global food security and the challenges they face.
Published in Food Policy, the systematic scoping review examined 327 studies from 64 countries, selected from more than 23,000 research records published since 2000. Conducted by researchers from Cornell University, the Alliance of Bioversity International and CIAT, the Global Alliance for Improved Nutrition (GAIN) and other institutions, the review explored how informal food businesses operate, influence nutrition and support livelihoods.
Food systems employ an estimated 1.23 billion people worldwide, with most jobs considered informal. Particularly in low- and middle-income countries, street vendors and small-scale retailers provide convenient access to fresh produce, prepared meals and other affordable foods. Despite their importance, the researchers found that their contributions are poorly understood and frequently undervalued.
One striking finding was the lack of agreement over what constitutes an informal food business—fewer than a quarter of the studies clearly defined informality. Some researchers focused on business licences, while others considered selling locations, physical infrastructure or registration status. These inconsistencies make comparisons difficult and can lead to policies that fail to reflect how vendors actually work.
Gender inequality emerged as another major concern. Women represent a substantial proportion of informal food vendors but often encounter barriers to financing, suitable trading spaces and legal protection. Harassment, discrimination and insecure working conditions further threaten their livelihoods. Researchers also highlighted the importance of social relationships, which help vendors maintain supply networks, manage financial risks and support one another.
The review also revealed important gaps in understanding how informal food markets influence nutrition. Vendors can improve access to fruits, vegetables and other nutritious foods, but they also sell ultra-processed products. Researchers say more evidence is needed on how these businesses shape dietary choices, food safety and health outcomes, including the well-being of vendors themselves.
Among 214 studies offering policy recommendations, improving basic infrastructure emerged as the most common priority. Access to clean water, electricity, refrigeration, safer marketplaces and designated vending areas could strengthen food safety and business stability. Researchers also called for better financial services, social protection and policies that recognise the particular challenges facing women. Simply requiring vendors to register or obtain licences has often proved ineffective when compliance costs are unaffordable.
The researchers concluded that informal food businesses should not be treated as a problem to eliminate, but as an essential part of food systems that deserves greater recognition and support. Rather than dividing businesses into rigid formal and informal categories, governments should develop flexible policies reflecting local realities. Supporting these overlooked workers could improve food security, protect livelihoods and make healthier diets more accessible to millions of people.
More information: Ramya Ambikapathi et al, Informality in food environments: a systematic review of nutrition, livelihood, and sociopolitical outcomes and implications for food policy, Food Policy. DOI: 10.1016/j.foodpol.2026.103197
Journal information: Food Policy Provided by The Alliance of Bioversity International and the International Center for Tropical Agriculture