This paper explores the spatial heterogeneity in dairy production in the highland production area around the capital of Ethiopia, Addis Ababa. We look at how urban proximity – defined as the travel time from the farm to the central market of Addis Ababa – affects the production decisions of Ethiopian dairy farmers. We sampled 870 households from the major rural production zones around Addis Ababa, where villages were stratified according to their distance to Addis Ababa.
The majority of literature on aquaculture in Bangladesh focuses on “microsocioeconomics” and “value chains” (VCs) and tends to have a static perspective. However, this approach is at odds with several important emerging trends (Ali 1997; Ali, Haque, and Belton 2013). First, aquaculture is growing fast in Asia. From 1984 to 2014, Bangladesh’s farmed fish jumped from 124,000 metric tons to 1.96 million metric tons, increasing by 1,580 percent.
The importance of cities is rapidly growing. It is estimated that more than half of the world population was living in cities in 2010; this is up from 30 percent in the 1950s (UN Population Division 2010). Given this rapid urbanization, especially so in developing countries, and the increasing importance of the manufacturing and service sectors in these countries’ economies, more people are making a living outside agriculture. As part of this change, many more people do not grow their own food and rely on market purchases for their food needs.
The purpose of this chapter is to understand the changes that have been happening in the teff value chain in Ethiopia based on carefully fielded primary stacked surveys at different layers in the value chain.1 This chapter uses the same data as in Chapter 11 and takes a dynamic angle on the teff sector, as was presented in Chapter 12. However, the scope of the analysis is much broader than in the previous market-focused chapter.
Policies targeting agricultural value chains impact Tanzanian farmers, so it is important to understand how these policies affect producer incentives and price transmission along the value chain. This research focuses on maize and groundnut value chains, estimating Nominal Rates of Protection (NRPs) along the value chain and analyzing their implications for producers. The results for border NRPs and trade status imply an anti-trade bias in maize; imported maize faces an import tariff, while exported maize often faces taxes.
Value chain development is increasingly perceived as an important approach for agricultural development in developing countries. This paper uses a Rural Investment and Policy Analysis (RIAPA) model for the mainland Tanzania economy to identify the agricultural activities and value-chains whose expansion will be most effective at fostering economic development along four dimensions: generating economic growth in the agricultural-food sector of Tanzania; reducing national and rural poverty; generating employment; and improving nutrition by diversifying diets.
We extend the nominal rate of protection (NRP) methodology to a value chain framework. We develop our methodology for three types of value chains: a new value chain created by policy, a value chain in which a by‐product is created in the processing of a commodity, and a value chain in which processing of a commodity generates new product(s). We consider two cases of value chains: when the commodity is tradable and when it is non‐tradable.
This paper goes beyond the “business” case for agricultural value chain development and presents an economy-wide framework to make the “development” case. We show that there are several key transmission channels that determine the economy-wide impacts of promoting various value chains, including forward and backward economic linkages, price responses, and net employment effects. These impacts all matter for household incomes, poverty, and dietary diversity.
This chapter examines and compares four important but different types of value chains in Ghana: two export crops—cocoa and pineapples, and two import-substitution crops—rice and tomatoes. Apart from cocoa, these crops have under-exploited opportunities, and we examine the opportunities and constraints along their value chains, and the roles that the public sector has or might need to play. This leads to some more general conclusions about the best ways to develop these and related agricultural value chains in Ghana.
This chapter uses a statistical approach to explore African agricultural competitiveness. We illustrate competitiveness through all three means mentioned above: microeconomic drivers, macroeconomic drivers, and impact. We discuss the evolution of Africa’s competitiveness, comparing the competitiveness of Africa’s regional economic communities (RECs) with the world and among each other. We also analyze the competitiveness of value chains by commodity for the commodity value chains that are most significant for Africa’s trade.
Exchange rate policies can have important implications on incentives for export agriculture. However, their effects are often not well understood. We study the issue of foreign exchange controls and pricing in the value chain for Ethiopia’s coffee - its most important export crop. Relying on unique pricing and cost data, we find that coffee exporters are willing to incur losses during exporting by offering high prices for coffee locally in order to access scarce foreign exchange.
Smallholder producers in sub-Saharan Africa are often unable integrate into markets and access high-value opportunities by effectively participating in global chains for high-value fresh produce. Using data from a survey of large avocado farmers in Kenya, this study examines the determinants and impacts of smallholder-producer participation in avocado export markets on labor inputs, farm yields, sales prices, and incomes, using a switching regression framework to control for selection effects.
Smallholder value chains are dynamic, changing over time in sudden, unpredictable ways as they adapt to shocks. Understanding these dynamics and adaptation is essential for these chains to remain competitive in turbulent markets. Many guides to value chain development, though they focus welcome attention on snapshots of current structure and performance, pay limited attention to the dynamic forces affecting these chains or to adaptation. The paper aims to discuss these issues.
Development largely depends on how given places participate in global economic processes.
This tool was developed by CIP and partners to stimulate commercial, technological and institutional innovations and generate business opportunities that benefit small-scale farmers. This methodology structures a participatory process that involves different chain actors (public and private), including smallholders and business sector, focus on market demand, guided by facilitators and organized around three phases (diagnosis, analysis of opportunities and development of innovations).
• The publication collects the perspectives for the application of value chains and their consequences for rural development, as well as the evolution of the articulation of small producers with markets.
This report summarizes the experiences of the consulting firm J.E. Austin Associates in performing value chain analysis and interventions.
- Base project designs on good market analysis and direct them toward market opportunity.
- Conduct direct industry benchmarking to identify, design, and generate stakeholder buy-in.
- Leverage value chain analysis to empower stakeholders to participate in improving their sector competitiveness through sustainable interventions.