Integrating Very Poor Agricultural Producers
into Value Chains
Dan Norell
World Vision
Harnessing the Power of Cross-sectoral Programming
to Alleviate HIV/AIDS and Food Insecurity
May 30, 2013
Washington,
DC
Harnessing
the Power of
Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
Learning Objectives
• Recognize the constraints and
opportunities of vulnerable households
engaging in markets
• Understand when it is appropriate to
encourage vulnerable households to
engage in a market and how an
organization can support households to
minimize their risk
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
Constraints of the Very Poor
•
•
•
•
Gender
Cultural barriers
Lack of time
Lack capacity to undertake economic
activity
• Limited ability to take on risk
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
Stronger Enterprises…
• Build hope and trust
• Build commercial relationships between
producers & suppliers and producers &
buyers
• Increase resilience - allows families to
adapt to & recover better from shocks &
stresses
• Able to pay for better healthcare services
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
Value Chain Map
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
Vertical Linkages
Connects producers to buyers and suppliers
• More fair financial flows
– Connect producers with
market actors
• More effective knowledge
and information transfer
– Stakeholder workshops
• Increases innovation
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
Horizontal Linkages
Connects producers to other producers
• Allows for risk sharing mechanisms
– Greater bargaining power
– Economies of scale
• Facilitates knowledge sharing networks between
female producers of various experience levels
– Increased social capital - mentoring – Value Girls Program
– Increased confidence
– Collective learning
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
Productive Safety Net Program Plus project, Ethiopia
Project provided an initial food package or food voucher for a
limited time until producers graduate to a stage where they are
able to continue without the food support.
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
Case: ProRENDA Project in Angola
Background:
• Smallholder farmers and value
chain market actors
• 60% female participation
Goal:
• “Smallholder farmers in the
central highlands in Angola will
increase their annual income
from potatoes and other high
value crops through
competitive value chains”
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
ProRENDA Project in Angola
Vertical Linkages
• Value chain selection of nutritious & profitable
value chains (carrots, potatoes, beans)
• Knowledge and information transfer that met
market demands
– Product processing and grading
– Post-harvest quality control and storage
• Capacity to develop business relationships
– Farmer business schools
• Access to financial services
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
ProRENDA in Angola:
Horizontal Linkages & Gender Focus
• Savings groups & literacy classes
• Seed banks
– 80% female-managed seed banks
– especially serving those 30% of project
households that have a female as the head of
household
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
Seed banks providing access to inputs
Potato and Onion production, Angola
•
Community Seed Banks set up for distribution
of potato and onion seeds
•
Introduce improved varieties of crops - while
generating income for extremely poor farmers
•
Project provides the seed stock to very poor
households who grow the stock. Beneficiaries
have to pay back twice the amount received in
the form of in-kind seed to other community
members in the seed bank. They also have to
purchase their own seed in future seasons
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
Download the Field Guide!
http://microlinks.kdid.org/library/integrating-verypoor-producers-value-chains-field-guide
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity
Small Group Discussion
In groups of 2 or 3 discuss:
1. When is it appropriate to encourage
households to engage in a market?
2. How can organizations facilitate market
linkages so that the market linkages
minimize the risk for very poor households?
Harnessing the Power of Cross-sectoral Programming to Alleviate HIV/AIDS and Food
Insecurity