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Value Chains and Technology Transfer to Agriculture in Developing and Emerging Economies
Abstract
Value chains in the agrifood sector are undergoing a rapid process of modernization, characterized by the emergence of private standards and different systems of vertical value chain governance. In this article, we investigate the technological implications of these developments at the farm level. We model the conditions under which technology transfer and adoption will occur in a value chain setting and review the corresponding evidence on these issues. We find that technology transfer within a value chain can occur in an environment with imperfect credit and technology markets but depends on the surplus generated by the technology and the holdup opportunities within the value chain. We also discuss how these holdup opportunities affect bargaining power and the division of surplus and how the nature of the technology affects technology transfer and the implications for value chain governance.
... In addition, these input and output market imperfections can be mutually reinforcing. Low access to output markets reduces the incentive and ability of farmers to adopt modern inputs (Swinnen and Kuijpers 2019b), while low access to inputs reduces access by farmers to output markets by constraining productivity and by hindering compliance with public and private standards (Barrett 2008;Kuijpers and Swinnen 2016). ...
... These transaction costs are expected to be higher for value chains that adhere to more stringent public or private standards, as these require more detailed and regular information transmission (Pingali, Khwaja, and Meijer 2005) and investments in specific technologies and practices to comply with these standards (Kuijpers and Swinnen 2016). 1 The necessity of relationship-specific investments by the farmer increases the contract enforcement costs as it introduces the risk of holdup by the buyer (Klein, Crawford, and Alchian 1978;Gow and Swinnen 2001). Buyers could, for example, renegotiate prices at product delivery, pay later, or renege in other ways on the contract after the farmer has made the relationship-specific investments. ...
... A key issue with private-led VCD is that assisting farmers by providing inputs introduces the risk of holdup by these farmers (Swinnen and Vandeplas 2011;Kuijpers and Swinnen 2016). Examples of farmer holdup include side-selling of produce after application of the provided inputs, applying these inputs to non-contracted products, or selling the inputs. ...
Value chain development (VCD) has become a popular policy instrument to help farmers in developing countries access markets. While VCD initiated by the private sector has received much attention in the literature, there is yet little research on public-led VCD. This paper provides a conceptualization of public-led VCD and discusses in what context it can be a relevant policy instrument. As an illustration, the paper then describes the project "SAFAL", which directly intervenes in the aquaculture, horticulture, and dairy sector of SouthWest Bangladesh. Using a matched difference-indifference methodology, it is estimated that SAFAL increased farmers' output market participation, food production, and smallholder welfare, and reduced the number of days in which participating households were food insecure.
... Low access to one farm input can reduce the incentive to adopt other farm inputs as a result of complementarities (e.g., see Christiaensen and Vandercasteelen, 2019). In turn, low access to farm inputs can reduce access to output markets by constraining productivity and by hindering compliance with public and private standards (Barrett, 2008;Kuijpers and Swinnen, 2016). ...
... VCD can-in principle-be initiated by the firms in the value chain themselves. Investments in value chain innovations can be profitable if farmers face imperfect technology markets, but this depends on the surplus generated, the holdup opportunities in the chain, and the type of technology investments that are necessary (Kuijpers and Swinnen, 2016). If private investments to improve value chain functioning are 2 Transaction costs can include costs incurred ex-ante, such as searching trade partners and obtaining information on prices, product attributes, and private standards; costs incurred during the transaction, such as transportation and storage costs and tariffs; and costs incurred ex-post, such as monitoring and enforcement costs (Hobbs, 1997;North 1990). ...
... If private investments to improve value chain functioning are 2 Transaction costs can include costs incurred ex-ante, such as searching trade partners and obtaining information on prices, product attributes, and private standards; costs incurred during the transaction, such as transportation and storage costs and tariffs; and costs incurred ex-post, such as monitoring and enforcement costs (Hobbs, 1997;North 1990). These transaction costs are expected to be higher for value chains that adhere to more stringent public or private standards, as these require more detailed and regular information transmission (Pingali et al., 2005) and investments in specific technologies and practices to comply with these standards (Kuijpers and Swinnen, 2016). not feasible, the value chain can get stuck in a low-level equilibrium with low technological investments, little coordination, and products that do not meet consumer preferences. ...
Agricultural productivity and farmer welfare in developing countries is constrained by a multitude of market imperfections. Value chain development (VCD) is receiving much attention as a market-based policy instrument that can potentially address multiple of these constraints simultaneously. This paper provides a conceptualization of VCD and discusses how VCD can be used as a policy instrument. As an illustration, the paper describes the VCD project “SAFAL,” which uses an integrated approach to directly intervene in aquaculture, horticulture, and dairy value chains in South-West Bangladesh. The strategy is to first identify a demand downstream in the value chain and then to identify and reduce the constraints experienced by value chain actors upstream to meet this demand. Using a matched difference-in-difference methodology, this paper estimates farm household participation in SAFAL increases farm income and shortens the hungry season.
... Likewise, many innovations show specificities that create hold-up opportunism. In this case, the proper contractual schemes must be designed for successful technology transfer (Kuijpers and Swinnen 2016;Swinnen and Kuijpers 2019). ...
... First, the prevailing governance schemes shape the learning and knowledge-sharing mechanisms along the value chain: while in arm's length arrangements, learning happens mostly through knowledge spillovers or imitation, in contract-intensive value chains, more structured learning mechanisms prevail, such as manuals of procedures, production standards, or in-person training (Pietrobelli and Rabellotti 2011). Value chains with poor contract enforceability may affect technology transfer and require specific safeguards (Kuijpers and Swinnen 2016). ...
The transition to a bio-based economy promises a path toward reducing greenhouse gas emissions while creating new business opportunities. However, a sustainable transition implies shifting from high-volume, low-value biomass technologies to advanced biotechnologies that minimize biomass requirements and negative environmental impacts while maximizing economic value-added. This accelerated innovation process, which we define as a bioeconomy upgrading, will likely reshape value chain structures and affect benefits distribution. Yet, previous studies have ignored the relationship between value chains and technological change in the bioeconomy. Using a qualitative approach based on value chain mapping, we develop an overarching conceptual framework based on six representative models of bio-based value chains to study the nexus between innovation, value chains, and social sustainability in the transition to a bioeconomy. This framework is illustrated with up-to-date business examples and validated through an expert survey. We find that a bioeconomy upgrading is associated with shorter and more vertically coordinated value chains, a leading role by big firms, and higher levels of research cooperation among firms. Finally, we argue that these changes in the organizational structures coming from accelerated bio-based innovation may expose the most vulnerable value chain actors to new risks and thus propose some lines of thought regarding the potential distributional effects.
... Some studies raise concerns about this practice, citing its limited impact on smallholder farmers' incomes (Meemken & Bellemare, 2020), gender dynamics (Mitra & Rao, 2021), destabilization of agrarian systems (Little & Watts, 1994), capital accumulation and social differentiation (Borras et al., 2012), as well as the exploitation of family labour by agro-industries (Li, 2011;Oya, 2012). Conversely, a more substantial portion of the literature highlights its benefits, particularly its potential for technology transfer (Dries, 2015;Kuijpers & Swinnen, 2016). ...
... However, this literature underscores that its effectiveness in optimizing value chains performance hinges on contract enforcement by stakeholders (Kuijpers & Swinnen, 2016). Non-enforcement, especially side-selling by farmers -when farmers sell their produce to a third party instead of the contracting firm (Alemu et al., 2020;Bellemare, 2015)-, can destabilize buyer-seller relationships, impeding transaction co-ordination, and discouraging firms from agricultural engagement (Dries, 2015). ...
Motivation
Contract farming plays a significant role in the growth of agriculture in many countries. Contracting poses substantial challenges when courts and companies are insufficiently developed, constraining the fulfilment of contracts. Exploring innovative contract enforcement mechanisms could yield valuable insights.
Purpose
We evaluate the effectiveness of state subsidies as a hybrid enforcement mechanism of the marketing contract developed by the Algerian government for tomato processors and their farmer suppliers.
Approach and methods
We examine the delivery decisions of Algerian tomato farmers to honour contracts or to deliver to the spot market. From the findings we evaluated the direct and indirect effects of subsidies on expanding the self‐enforcing range of contracts and on encouraging firms to establish private contract enforcement mechanisms. Propensity scoring was used to match farmers. The data come from a comprehensive database of contracted tomato producers and surveys of all tomato canneries in 2021.
Findings
Subsidies, by reducing processor costs and raising famer prices, help to make contracts self‐enforcing. Subsidies, moreover, encouraged half of the processors to adopt private contract enforcement mechanisms, above all loans to their supplier farmers. These mechanisms have had a positive, albeit moderate, effect on farmer deliveries.
Farmers still deliver only half of their contracts owing to weakening self‐enforcement as the subsidy can be accessed in the spot market.
Policy implications
Public subsidies can help enforce contracts in agricultural value chains, especially where legal systems are fragile. Strict control of access to subsidies and incentives is crucial to ensure that the contract price provides sufficient incentive to farmers and to encourage processors to provide additional incentives.
... Likewise, many innovations show specificities that create hold-up opportunism. In this case, the proper contractual schemes must be designed for successful technology transfer (Kuijpers & Swinnen, 2016;Swinnen & Kuijpers, 2019). ...
... First, the prevailing governance schemes shape the learning and knowledge-sharing mechanisms along the value chain: while in arm's-length arrangements learning happens mostly through knowledge spillovers or imitation, in contract-intensive value chains, more structured learning mechanisms prevail, such manuals of procedures, production standards, or in-person training (Pietrobelli & Rabellotti, 2011). Value chains with poor contract enforceability may affect technology transfer and require specific safeguards (Kuijpers & Swinnen, 2016). ...
Technological change is essential to reconciling economic growth with environmental conservation. A transition toward an environmentally sustainable economic system requires new production techniques that improve land use efficiency, increase yields, reduce chemical input applications, prioritize low-carbon energy sources, and integrate new (non-fossil) raw materials. However, even when technical change promises to safeguard environmental sustainability, it is not a sufficient condition to reach inclusive growth since it is non-neutral from a social perspective. Balancing multiple goals to ensure a just transition requires consistency between governing institutions and technological advances, which is a two-way relationship: some governance schemes may be more conducive to fostering technical change, whereas new governance patterns and institutions emerge in response to innovations. This Ph.D. dissertation explores the nexus between technical change, policies, and value chain governance from different points of view in three separate chapters, each focusing on a different technology set: bio-based technologies, technological innovations in agri-food systems, and renewable energy.
In the first chapter, I explore from a conceptual perspective the nexus between organizational characteristics of bio-based value chains and technological innovations in the transition to a bioeconomy. Moving away from the fossil-based production paradigm into a bio-based economy that creates economic value added with minimum environmental impacts requires substantial investments in technological innovations. These innovations will likely affect how value chains are structured and which actors benefit from this transformation. Accelerated bioeconomy innovation is associated with shorter and more vertically coordinated value chains, a leading role by dominant firms, and higher levels of cooperation among firms with core research capabilities. These organizational features entail welfare effects for value chain actors, leading to potential trade-offs between greenhouse gases (GHG) emissions mitigation and social inclusion.
In the second chapter, I discuss the entrepreneurial landscape of innovations that promise to revolutionize agri-food systems, covering the entire value chain from farming inputs to last-mile delivery. Using Crunchbase as the primary data source and applying machine learning for natural language processing, the purpose of this chapter is twofold: first, identify which technologies have been receiving the most support from investors, and second, analyze the corporate strategies of the largest agri-food multinational companies regarding their investments in new technologies. The results for the first goal show an imbalanced scene in which downstream technologies capture most investors’ interest. As for the second goal, three trends of investments by dominant agri-food firms are identified: upgrading strategies to improve their core activities, defensive strategies to control technologies that compete with their business, and corporate portfolio strategies to seize profit opportunities.
Given that the adoption of many clean technologies is still low in many regions of the world, in the third chapter, I delve into the role of policy design in fostering technology adoption to reach low-carbon production systems. For this purpose, I focus specifically on studying how institutional quality and macroeconomic instability mediate the effects of auctions in promoting investments in renewable energy technologies. The analysis is built upon a differences-in-differences analysis considering staggered treatment adoption. Findings show that auctions positively affect RE capacity, but average treatment effects are higher for countries with better business environments. Thus, caution is needed in adopting this instrument, especially in countries exposed to macroeconomic or institutional instability. At the same time, dynamic treatment effects suggest that the policy needs time to show results.
Based on the findings in this study, policymakers should account for the fact that the surrounding governing institutions condition the effects of technical change over different sustainability dimensions. While synergies between economic and social dimensions are more evident, balancing these two dimensions and environmental goals is not always straightforward and requires fine-tuning in policy design. From the perspective of business managers and entrepreneurs, it is essential to acknowledge that new value chains will emerge, and the traditional ones will reconfigure, opening new business opportunities in which sustainability aspects are at the core of the strategy.
... Adopting modern technologies is crucial to improving the productivity and well-being of poor farmers in developing countries [1]. Studies have indicated that value chains are essential in adopting technology by processing companies and farmers through vertical coordination [2]. One of the factors that can drive growth in the primary sector of emerging economies is the demand for milk and dairy products, which has been growing in recent years [3]. ...
... Equation (1) shows the objective function of the NPV for which all the cash flows per year must be added. Equation (2) shows the present cash flow values, given that a discount rate for the company's investments must be considered. ...
The problems of flexible planning of the design of logistics systems for the collection of food products such as raw milk can result in a decrease in the performance of critical indicators for their performance. This paper proposes a new efficient methodology for robustly designing a first-mile logistics system for storing and refrigerating milk as a perishable product considering decisions related to open facilities and the flow of products, including sustainability indices. The proposed approach is modeled as a bi-objective problem by considering the minimization of greenhouse gas emissions (CO2) produced by milk transportation canteens and the maximization of the system configuration's net present value (NPV). We have analyzed and determined the most robust configuration for the first time and explained the robustness-NPV and robustness-CO2 relationships. The proposed mathematical model is solved by the Epsilon constraints method, and the robustness is calculated considering an extension of the FePIA methodology for multiobjective problems. A novel contribution is a balance in the possible future values generated by the company related to its cash flows and the generation of CO2 emissions when using a motorized transport frequently used in the shipment of raw milk considering a new important aspect such as the volume of product transported and the slope of the path between the production farm and the storage cooling tanks.
... Likewise, many innovations show specificities that create hold-up opportunism. In this case, the right contractual schemes need to be created for successful technology transfer (Kuijpers and Swinnen, 2016;Swinnen and Kuijpers, 2019). ...
... First, the prevailing governance schemes shape the way in which knowledge is shared and learning takes place along the value chain: while in arm's-length arrangements learning happens mostly through knowledge spillovers or imitation, in contract-intensive value chains more structured learning mechanisms prevail, such manuals of procedures, production standards or in-person training (Pietrobelli and Rabellotti, 2011). Value chains with poor contract enforceability may see technology transfer affected and require specific safeguards (Kuijpers and Swinnen, 2016). ...
... Likewise, many innovations show specificities that create hold-up opportunism. In this case, the right contractual schemes need to be created for successful technology transfer (Kuijpers and Swinnen, 2016;Swinnen and Kuijpers, 2019). ...
... First, the prevailing governance schemes shape the way in which knowledge is shared and learning takes place along the value chain: while in arm's-length arrangements learning happens mostly through knowledge spillovers or imitation, in contract-intensive value chains more structured learning mechanisms prevail, such manuals of procedures, production standards or in-person training (Pietrobelli and Rabellotti, 2011). Value chains with poor contract enforceability may see technology transfer affected and require specific safeguards (Kuijpers and Swinnen, 2016). ...
The adoption of new bio-based technologies that reduce our reliance on fossil fuels is presented as a path to reduce greenhouse gas emissions while creating new business opportunities. Such a transition towards a bio-based economy will require substantial investments in technological innovations that will likely affect how value chains are structured and which actors benefit from this transformation. Yet, previous studies on the bioeconomy have largely ignored the relationship between the structure of value chains and the rate of technological innovation. In this article, we analyze the link between technological innovation, value chain structures, and welfare distribution in the transition to a bioeconomy. We find that an acceleration in the rate of bioeconomy innovation is associated with shorter and more vertically coordinated value chains, bigger firms with higher market shares, increasing knowledge-sharing among value chain members, and a leading role by firms with core research capabilities. Finally, we argue that while bio-based innovation can potentially achieve environmental sustainability, it creates risks for the weakest value chain actors. Thus, we propose some lines of thought regarding the potential distributional effects of bio-based innovation. From a policy perspective, this debate is relevant to safeguarding social sustainability in the transition to a bioeconomy.
... Short-term technology transfers: some agricultural techniques need to be available for every production period like seeds, pesticides, fertilizers, packaging, and storage because they are repeated and the benefits are assessed every year [36]. Long-term technology transfers: techniques need to be produced after short-term techniques such as training farmers and workers in general, tools used in agriculture, tracking systems, and others. ...
... Long-term technology transfers: techniques need to be produced after short-term techniques such as training farmers and workers in general, tools used in agriculture, tracking systems, and others. Short-term technologies are easier to transfer than the long-term technologies [36]. Technology transfer is linked with agricultural sustainability because the aim is to use these technologies to buildup the agro-ecosystems and farm-households which help to enhance their performance [37]. ...
Postharvest losses contribute to food shortages and ongoing food insecurity. Value addition in each aspect of agricultural produce creates more quality and adequate demand for the products. However, the growing market demand for quality and consistency in supply requires resources and necessary technical skills. There is a poor linkage between Research and Development institutions and the agro-value addition industry. Shortage of postharvest and value addition technical specialists and inefficient knowledge transfer from research stations to extension services are some constraints for needed outreach activities. Effective extension and training play a vital role in building capacity along the value chain by encouraging proper postharvest activities. In this article, the current postharvest value addition challenges are discussed with a specific focus on Oman. Furthermore, the strategies to be undertaken to enhance value addition processing and the need for increased institutional capacity building and technology transfer to achieve sustainability are discussed. It was recommended that targeted involvement be aimed at for better support for agricultural value addition in Oman.
... Mukwano started their scheme in 2003 with 6000 farmers (Vorley et al., 2015) and approximately 30 agents (own calculations, based on Johnston & Meyer, 2007). The contract included the basic elements defined by Kuijpers and Swinnen (2016): a technology transfer -hybrid sunflower seeds -provided on credit, linked to purchasing agreement, and including extension services. In its original design, the contract farming scheme included a network of so-called site coordinators, or agents, responsible for distributing the hybrid seeds and aggregating sunflower grains at time of harvest. ...
... Variables addressed in this paper are the elements of contract farming (provision of technology, credit, (technical) knowledge, and price agreements (e.g. Kuijpers & Swinnen, 2016)) in contract enforcement between a processing company, intermediaries, and farmers. ...
... Small firms can very well exert bargaining power through a hold-up effect, without having an impact on the overall market. For example, the threat of side-selling or technology diversion by small farmers is real (Kuijpers and Swinnen, 2016), and small firms focusing on niche markets or local products may have a stronger bargaining position and high markups compared to their larger competitors (Bonnet and Bouamra-Mechemache, 2016;Jensen et al., 2019;Koppenberg and Hirsch, 2022). Thus, while concerns around market concentration or abuse of power in the supply chain are often targeted at large firms, the theoretical arguments for using turnover size as an indicator are not straightforward. ...
Competition and power imbalances in the food chain are under increased scrutiny from policy makers. We assess the competitive conditions in the EU food sector, using firm-level accounting data to examine firm size distributions and market concentration (for 10 countries), and production-function-derived markups (for 7 countries) for food manufacturing, retail, and wholesale industries. Key findings include the following: (i) most firms are small, but larger firms generate most turnover; (ii) concentration is notable in certain subsectors (25% of retail/wholesale and 50% manufacturing subsectors); (iii) the correlation between turnover size, markups, and concentration at subsector level is weak. We discuss the implications for the use of turnover-based classification in the EU policy initiative on unfair trading practices.
... Post-reform policies have encouraged the deregulation of agricultural markets and private sector participation, such as contract farming, to link smallholder farmers with the market for cultivating high-value crops. This shift toward integrated value chains has the potential to enhance productivity and well-being for smallholder and impoverished farmers, contributing to poverty reduction and rural development (Kuijpers & Swinnen, 2016;Sheahan & Barrett, 2014). ...
This paper uses the mixed-methods approach to analyze farmer position in contract farming (CF) value chain, challenging sim-plistic "win-win" narratives that ignore power dynamics and "win-lose" ones that overlook economic factors. PepsiCo hires intermediaries as principal agents to control many smallholders , thereby reducing transaction costs and exerting control over quality raw materials. Through secure commissions to agents and fixed prices to farmers, PepsiCo transfers capital and production risks, respectively. The value chain analysis at each farming stage reveals that although CF addressed specific inputs and output constraints for smallholders, the unequal power dynamics and monopsony position of PepsiCo and intermediaries raise sustainability concerns. The existing unequal power relations within CF value chains underline the urgency of establishing a regulatory mechanism. Without such oversight, individual farmers may find it challenging to advocate for their interests in the face of corporations and intermediaries in cultivating high-value crops, for which demand is rising.
... A rich body of literature on value chains has sought to understand the relationship between value chain governance and change (Gereffi et al., 2005;Zilberman et al., 2019), how their organizational structure can affect knowledge transfer and technological adoption (Janssen & Swinnen, 2019;Kuijpers & Swinnen, 2016) (Carraresi et al., 2018;Cerca et al., 2022) and on the concept of value-webs centered around specific biomass sources (Lin et al., 2019;Scheiterle et al., 2018). ...
Innovations are crucial for the transition to a sustainable bioeconomy. They are embedded in and linked to complex value chains, but these interrelationships have not received much attention in the empirical literature yet. Using current typologies of four bioeconomic innovation types and six value chain models, this case study analyzes detailed data from 11 companies in Argentina to identify the drivers of sustainable innovations, their linkage to different value chain characteristics, and the main innovation types. The results show that certain factors such as supply and demand, interindustry cooperation and R&D, diversification strategies, personal values and the search for sustainable solutions particularly shape certain types of innovation. The structure and governance of the value chains influence the type of sustainable innovation. Innovations take place at different levels, and in succession, they complement each other and can thus make the bioeconomy more sustainable. Therefore, appropriate policies to promote the bioeconomy in Argentina and beyond should consider the type of value chains and specific innovation systems involved.
... Specifically, the function of agriculture remains at the bottom of the supply chain by providing primary agricultural products, and its functions in cultural heritage, as well as the ecological popularization of science, health, and old-age care, have not been fully tapped [24,25], making it challenging to generate new forms of business and achieve a high level of development of rural three-industry integration. By promoting new business generation, encouraging innovation, and leveraging science and technology in rural areas, fiscal support for agriculture can promote the development of new business forms and foster industry integration [26,27]. This can be achieved through specific mechanisms. ...
The integration of the primary, secondary, and tertiary industries in rural areas, known as three-industry integration, is a crucial strategy for developing rural industries and implementing the rural revitalization initiative in China. The government’s fiscal support for agriculture serves as a cornerstone for the sustainable development of agriculture and rural regions. This study investigates the mechanisms through which fiscal support for agriculture facilitates the integration of the rural three-industry sectors by driving industrial innovation, enhancing the circulation of production factors, and optimizing resource utilization in rural areas. Using panel data from 30 provinces in China spanning from 2008 to 2020, we evaluate the level of three-industry integration in rural areas using an entropy method and analyze the effects of fiscal support for agriculture on this integration. Our findings reveal that: (1) fiscal support for agriculture significantly promotes the incorporated development of rural three-industry integration in China by acting as a catalyst for horizontal and vertical integration; (2) fiscal support enhances rural infrastructure quality, fosters market connectivity, and attracts business clusters, while also optimizing factor markets and facilitating the efficient allocation of land, finance, and resources, thereby enabling new business entities, such as leading enterprises, to benefit from economies of scale and to expand the rural industrial value chain; (3) the effects of fiscal support for agriculture exhibit significant regional and agricultural development heterogeneity, with Central China and major agricultural provinces demonstrating the most pronounced role in promoting rural three-industry integration.
... İnkişaf etməkdə olan ölkələrin əksəriyyətində bazar mexanizmlərinin çoxsaylı uğursuzluqları şəraitində tərəfdaşların bazarda hakim mövqeyi faktiki olaraq fermerlərin maliyyələşdirmə, müqavilələrin yerinə yetirilməsinin təmin edilməsi və digər başqa problemlərinin həllinə kömək edə bilər. Beləliklə, əslində bazarda hökmran mövqe "ikinci dərəcəli" məsələlərin həlli üçün şərait yaradır [32]. ...
Məqalədə müasir şəraitdə aqrar-ərzaq sistemlərində bazar strukturlarının spesifik cəhətlərinə
və bunların rəqabət mühitinə təsiri məsələlərinə baxılır. Əsas diqqət dəyər (tədarük) zəncirlərinin
inkişafının, xüsusilə modern dəyər zəncirinə keçidin rəqabət şəraitində və mexanizmlərində
şərtləndirdiyi xüsusiyyətlərin açıqlanmasına yönəldilir. Dəyər zəncirində baş verən
transformasiyaların aqrar-ərzaq sistemində horizontal və vertikal səviyyələrdə rəqabətə təsirinin əsas istiqamətləri açıqlanır. Eləcə də kənd təsərrüfatı məhsullarının tədarük zəncirində haqsız ticarət davranışlarının tənzimlənməsi praktikasının roluna və tətbiqinə dair dəyərləndirmələr aparılır.
... Los 7 indicadores descritos en la sección 2 deben ser aplicados a lo largo de la cadena de valor con el fin de lograr la sostenibilidad de las unidades productoras en el agro. Adicional a los problemas analizados en el ámbito mundial, la sostenibilidad de la producción en el campo venezolano se ve constreñida a distintos factores como son falta de insumos -en los primeros eslabones de la cadena-, falta de información del mercado en los eslabones finales y dificultades para la obtención de combustibles a lo largo de toda la cadena de valor; el estado de deterioro en que se encuentra la infraestructura y equipos, así como también las vías de comunicación (Gutiérrez, 2021; Quintero y Anido, 2021; RAV, 2022).Esto contrasta con lo que ocurre a nivel mundial, donde la incorporación de tecnologías a lo largo de las cadenas ha traído ingentes beneficios a los distintos eslabones, tanto para los productores como para los consumidores, bien sea público en general o proveniente de la agroindustria (Kuijpers y Swinnen, 2016 (213)(214)(215)(216)(217)(218)(219)(220)(221)(222)(223)(224)(225)(226)(227)(228)(229) mismas que se podrían reducir mediante el uso de las tecnologías. ...
La irrupción de las tecnologías de información en todas las actividades de la sociedad ha traído importantes mejoras en su desarrollo. La agricultura y la agroindustria han sido dos de los grandes beneficiarios de estos cambios, al mejorar la calidad de los datos obtenidos, el desarrollo de modelos para una agricultura más precisa, así como el manejo de la cadena de valor desde los proveedores hasta el consumidor final con base en la internet y otras herramientas digitales. No obstante, para alcanzarlos es necesario mejorar la formación de las personas involucradas y nuevos modos de gestión de los recursos y procesos productivos. El objetivo de este artículo es caracterizar y analizar la situación venezolana respecto al uso de estas tecnologías, para luego formular una propuesta de gestión de las mismas, con el fin último que estos beneficios lleguen a las distintas cadenas agroalimentarias de Venezuela. En estudios previos realizados por el equipo se verificó que –efectivamente– los productores del agro están en la mejor disposición de encarar el paradigma AGRO 4.0, incluyendo la gestión de sus recursos hídricos y sus actividades productivas, con el fin de tener una producción amigable con el ambiente. El análisis de la situación actual y las perspectivas de implantación de tecnologías AGRO 4.0 indica que se puede reducir la presión sobre el recurso agua (Objetivo de Desarrollo Sostenible 6.4.2), al igual que permitirá mejorar la rentabilidad de las actividades del sector agroalimentario y un incremento de la gobernanza. En el caso específico del estudio de la situación en Venezuela respecto al uso de estas tecnologías, las limitaciones tanto económicas como de las tecnologías disponibles, aunadas a la falta de formación tecnológica de los usuarios son las razones que condujeron a formular una propuesta de gestión de las mismas, para que estos beneficios lleguen a las distintas cadenas mediante una estructura que permita el uso de la tecnología por parte del productor del campo, incorporando aspectos de implantación de una infraestructura tecnológica compartida, esquemas de alfabetización tecnológica y una propuesta de gestión que permitan el uso compartido de los recursos limitados, incluyendo el recurso hídrico de una manera transparente.
... Los 7 indicadores descritos en la sección 2 deben ser aplicados a lo largo de la cadena de valor con el fin de lograr la sostenibilidad de las unidades productoras en el agro. Adicional a los problemas analizados en el ámbito mundial, la sostenibilidad de la producción en el campo venezolano se ve constreñida a distintos factores como son falta de insumos -en los primeros eslabones de la cadena-, falta de información del mercado en los eslabones finales y dificultades para la obtención de combustibles a lo largo de toda la cadena de valor; el estado de deterioro en que se encuentra la infraestructura y equipos, así como también las vías de comunicación (Gutiérrez, 2021; Quintero y Anido, 2021; RAV, 2022).Esto contrasta con lo que ocurre a nivel mundial, donde la incorporación de tecnologías a lo largo de las cadenas ha traído ingentes beneficios a los distintos eslabones, tanto para los productores como para los consumidores, bien sea público en general o proveniente de la agroindustria (Kuijpers y Swinnen, 2016 (213)(214)(215)(216)(217)(218)(219)(220)(221)(222)(223)(224)(225)(226)(227)(228)(229) mismas que se podrían reducir mediante el uso de las tecnologías. ...
La irrupción de las tecnologías de información en todas las actividades de la sociedad ha traído importantes mejoras en su desarrollo. La agricultura y la agroindustria han sido dos de los grandes beneficiarios de estos cambios, al mejorar la calidad de los datos obtenidos, el desarrollo de modelos para una agricultura más precisa, así como el manejo de la cadena de valor desde los proveedores hasta el consumidor final con base en la internet y otras herramientas digitales. No obstante, para alcanzarlos es necesario mejorar la formación de las personas involucradas y nuevos modos de gestión de los recursos y procesos productivos. El objetivo de este artículo es caracterizar y analizar la situación venezolana respecto al uso de estas tecnologías, para luego formular una propuesta de gestión de las mismas, con el fin último que estos beneficios lleguen a las distintas cadenas agroalimentarias de Venezuela. En estudios previos realizados por el equipo se verificó que –efectivamente– los productores del agro están en la mejor disposición de encarar el paradigma AGRO 4.0, incluyendo la gestión de sus recursos hídricos y sus actividades productivas, con el fin de tener una producción amigable con el ambiente. El análisis de la situación actual y las perspectivas de implantación de tecnologías AGRO 4.0 indica que se puede reducir la presión sobre el recurso agua (Objetivo de Desarrollo Sostenible 6.4.2), al igual que permitirá mejorar la rentabilidad de las actividades del sector agroalimentario y un incremento de la gobernanza. En el caso específico del estudio de la situación en Venezuela respecto al uso de estas tecnologías, las limitaciones tanto económicas como de las tecnologías disponibles, aunadas a la falta de formación tecnológica de los usuarios son las razones que condujeron a formular una propuesta de gestión de las mismas, para que estos beneficios lleguen a las distintas cadenas mediante una estructura que permita el uso de la tecnología por parte del productor del campo, incorporando aspectos de implantación de una infraestructura tecnológica compartida, esquemas de alfabetización tecnológica y una propuesta de gestión que permitan el uso compartido de los recursos limitados, incluyendo el recurso hídrico de una manera transparente.
... The absence of traders, processors, and retailers may affect technology adoption by farmers. Adoption, however, is not to be taken for granted, especially in Africa (Kuijpers and Swinnen 2016). Recent policy changes on tax breaks (CoT 2017) for the import of most irrigation equipment are expected to reduce import prices and hence, marketing margins and increase adoption by smallholder farmers. ...
This technical report provides an overview of marketing margin of irrigation technologies in Ethiopia with an analysis from a supply chain perspective
... Modern agriculture proves that the introduction of new technologies has solved many problems that farmers have faced in the last decades Liakos et al. (2018); Patrício and Rieder (2018); Adnan et al. (2019); Elavarasan et al. (2018); Babaie Sarijaloo et al. (2021). Technology transfer centers that promote the adoption of new agricultural management practices and the use of sensors, drones, and low-cost satellite imagery for pest control and better fertilization should help improve the welfare of smallholder farmers Kuijpers and Swinnen (2016); Holzworth et al. (2015). The rise of new data-intensive scientific fields has led to this modern agriculture, which now generates large amounts of data due to the multitude of sensors deployed in experimental fields. ...
In agriculture, precise fertilization and effective nutrient management are critical. Machine learning (ML) has recently been increasingly used to develop decision support tools for modern agricultural systems, including nutrient management, to improve yields while reducing expenses and environmental impact. ML based systems require huge amounts of data from different platforms to handle non-linear tasks and build predictive models that can improve agricultural productivity. This study reviews machine learning based techniques for estimating fertilizer and nutrient status that have been developed in the last decade. A thorough investigation of detection and classification approaches was conducted, which served as the basis for a detailed assessment of the key challenges that remain to be addressed. The research findings suggest that rapid improvements in machine learning and sensor technology can provide cost-effective and thorough nutrient assessment and decision-making solutions. Future research directions are also recommended to improve the practical application of this technology .
... Los 7 indicadores descritos en la sección 2 deben ser aplicados a lo largo de la cadena de valor con el fin de lograr la sostenibilidad de las unidades productoras en el agro. Adicional a los problemas analizados en el ámbito mundial, la sostenibilidad de la producción en el campo venezolano se ve constreñida a distintos factores como son falta de insumos -en los primeros eslabones de la cadena-, falta de información del mercado en los eslabones finales y dificultades para la obtención de combustibles a lo largo de toda la cadena de valor; el estado de deterioro en que se encuentra la infraestructura y equipos, así como también las vías de comunicación (Gutiérrez, 2021;Quintero y Anido, 2021;RAV, 2022).Esto contrasta con lo que ocurre a nivel mundial, donde la incorporación de tecnologías a lo largo de las cadenas ha traído ingentes beneficios a los distintos eslabones, tanto para los productores como para los consumidores, bien sea público en general o proveniente de la agroindustria (Kuijpers y Swinnen, 2016). ...
This special section of Agroalimentaria Journal (Vol. 28, N° 55, July-December 2022), called in the framework of the United Nations 2030 Agenda for Sustainable Development (SDG), has ten articles and an interview with the FAO representative in Venezuela.
Esta sección especial de Agroalimentaria (Vol. 28, N° 55, julio-diciembre 2022), con motivo de la Cumbre de Sistemas Alimentarios de 2021 en el marco de la Agenda 2030 para el Desarrollo Sostenible (ODS) de las Naciones Unidas, incluye diez artículos y una entrevista al representante de la FAO en Venezuela.
... Los 7 indicadores descritos en la sección 2 deben ser aplicados a lo largo de la cadena de valor con el fin de lograr la sostenibilidad de las unidades productoras en el agro. Adicional a los problemas analizados en el ámbito mundial, la sostenibilidad de la producción en el campo venezolano se ve constreñida a distintos factores como son falta de insumos -en los primeros eslabones de la cadena-, falta de información del mercado en los eslabones finales y dificultades para la obtención de combustibles a lo largo de toda la cadena de valor; el estado de deterioro en que se encuentra la infraestructura y equipos, así como también las vías de comunicación (Gutiérrez, 2021; Quintero y Anido, 2021; RAV, 2022).Esto contrasta con lo que ocurre a nivel mundial, donde la incorporación de tecnologías a lo largo de las cadenas ha traído ingentes beneficios a los distintos eslabones, tanto para los productores como para los consumidores, bien sea público en general o proveniente de la agroindustria (Kuijpers y Swinnen, 2016 (213)(214)(215)(216)(217)(218)(219)(220)(221)(222)(223)(224)(225)(226)(227)(228)(229) mismas que se podrían reducir mediante el uso de las tecnologías. ...
The irruption of information technologies in all activities of society has brought significant improvements in its
development. Agriculture and agribusiness have been two of the great beneficiaries of these changes, by improving
the quality of the data obtained, the development of models for more precise agriculture, as well as the management
of the value chain from suppliers to the end consumer based on the Internet and other digital tools. However, to
achieve these goals, it is necessary to improve the training of the people involved and new ways of managing
resources and production processes. This article aimed to characterize and to analyze the Venezuelan situation
regarding the use of these technologies, and then formulate a proposal for their management, with the ultimate aim
of ensuring that these benefits reach the different agri-food chains in Venezuela. Previous studies conducted by the
team verified that agricultural producers are indeed in the best position to face the AGRO 4.0 paradigm, including
the management of their water resources and productive activities, in order to have an environmentally friendly
production. The analysis of the current situation and the prospects for the implementation of AGRO 4.0 technologies
indicates that pressure on water resources can be reduced (Sustainable Development Goal 6.4.2), as well as improving
the profitability of agri-food sector activities and increasing governance. In the specific case of the study of the
situation in Venezuela with respect to the use of these technologies, the economic and technological limitations
available and the lack of technological training for users are the main reasons that led to the formulation of a
proposal for their management. Its purpose is that these benefits reach the different chains through a structure that
allows the use of technology by rural producers, incorporating aspects of the implementation of a shared technological
infrastructure, technological literacy schemes, and a management proposal that allows the shared use of limited
resources, including water resources in a more transparent way.
Key words: Industry 4.0, agriculture 4.0, digital transformation, automation, smart farms, precision agriculture,
La irrupción de las tecnologías de información en todas las actividades de la sociedad ha traído importantes mejoras
en su desarrollo. La agricultura y la agroindustria han sido dos de los grandes beneficiarios de estos cambios, al mejorar
la calidad de los datos obtenidos, el desarrollo de modelos para una agricultura más precisa, así como el manejo de la
cadena de valor desde los proveedores hasta el consumidor final con base en la internet y otras herramientas digitales.
No obstante, para alcanzarlos es necesario mejorar la formación de las personas involucradas y nuevos modos de gestión de los recursos y procesos productivos. El objetivo de este artículo es caracterizar y analizar la situación
venezolana respecto al uso de estas tecnologías, para luego formular una propuesta de gestión de las mismas, con el
fin último que estos beneficios lleguen a las distintas cadenas agroalimentarias de Venezuela. En estudios previos
realizados por el equipo se verificó que –efectivamente– los productores del agro están en la mejor disposición de
encarar el paradigma AGRO 4.0, incluyendo la gestión de sus recursos hídricos y sus actividades productivas, con el
fin de tener una producción amigable con el ambiente. El análisis de la situación actual y las perspectivas de
implantación de tecnologías AGRO 4.0 indica que se puede reducir la presión sobre el recurso agua (Objetivo de
Desarrollo Sostenible 6.4.2), al igual que permitirá mejorar la rentabilidad de las actividades del sector agroalimentario
y un incremento de la gobernanza. En el caso específico del estudio de la situación en Venezuela respecto al uso de
estas tecnologías, las limitaciones tanto económicas como de las tecnologías disponibles, aunadas a la falta de
formación tecnológica de los usuarios son las razones que condujeron a formular una propuesta de gestión de las
mismas, para que estos beneficios lleguen a las distintas cadenas mediante una estructura que permita el uso de la
tecnología por parte del productor del campo, incorporando aspectos de implantación de una infraestructura tecnológica
compartida, esquemas de alfabetización tecnológica y una propuesta de gestión que permitan el uso compartido de
los recursos limitados, incluyendo el recurso hídrico de una manera transparente.
Palabras clave: industria 4.0, agro 4.0, transformación digital, automatización, granjas inteligentes, agricultura deprecisión, Venezuela
A irrupção das tecnologias de informação em todas as atividades da sociedade trouxe importantes melhorias em seu
desenvolvimento. A agricultura e a agroindústria têm sido dois dos grandes beneficiários dessas mudanças, melhorando
a qualidade dos dados obtidos, o desenvolvimento de modelos para uma agricultura mais precisa, bem como a gestão
da cadeia de valor, desde os fornecedores até o consumidor final, com base na internet e em outras ferramentas
digitais. No entanto, para alcançá-los, é necessário melhorar a formação das pessoas envolvidas e de novos modos de
gestão dos recursos e processos produtivos. O objetivo deste artigo é caracterizar e analisar a situação venezuelana em
relação ao uso dessas tecnologias, para depois formular uma proposta de gestão dessas ferramentas, com o objetivo
final de que esses benefícios atinjam as diferentes cadeias agroalimentares da Venezuela. Em estudos prévios realizados
pela equipe, verificou-se que, efetivamente, os produtores do campo estão dispostos a enfrentar o paradigma AGRO
4.0, incluindo a gestão de seus recursos hídricos e suas atividades produtivas, a fim de ter uma produção amigável ao
meio ambiente. A análise da situação atual e das perspectivas de implantação das tecnologias AGRO 4.0 indica que
é possível reduzir a pressão sobre o recurso água (Objetivo de Desenvolvimento Sustentável 6.4.2), bem como
permitir a melhoria da rentabilidade das atividades do setor agroalimentar e um aumento da governança. No caso
específico do estudo da situação na Venezuela em relação ao uso dessas tecnologias, as limitações econômicas e de
tecnologias disponíveis, juntamente com a falta de formação tecnológica dos usuários, são as razões que levaram a
formular uma proposta de gestão dessas ferramentas, para que esses benefícios cheguem às diferentes cadeias, por
meio de uma estrutura que permita o uso da tecnologia pelo produtor do campo, incorporando aspectos de implantação
de uma infraestrutura tecnológica compartilhada, esquemas de alfabetização tecnológica e proposta de gestão que
permitam o uso compartilhado dos recursos limitados, incluindo o recurso hídrico, de maneira transparente.
Palavras-chave: indústria 4.0, agricultura 4.0, transformação digital, automação, fazendas inteligentes, agricultura
de precisão, Venezuela
... Evidentemente, isso leva os agentes dentro da Cadeia Produtiva a adotarem novas formas de coordenação, incluindo a contratação de pequenos agricultores com transferência de tecnologia interligada, estruturas triangulares com fornecedores de tecnologia ou instituições financeiras ou produção verticalmente integrada (Kuijpers & Swinnen, 2016). ...
Desde a abertura do comércio a partir dos anos 90, a suinocultura brasileira vem ganhando grande relevância na economia nacional. Os estudos que tratam da agricultura contratual se concentram principalmente em grandes contratos orientados para a exportação e que são operados por grandes empresas privadas. Em termos de agricultura contratual, o pequeno produtor ainda é pouco representado na literatura. O objetivo deste estudo é avaliar e analisar a estrutura de governança e os seus mecanismos de coordenação adotados no sistema de integração da suinocultura goiana (Brasil). Para alcançar o objetivo proposto foi utilizado o método de estudo de caso composto por duas granjas de suínos na região de Rio Verde (Goiás). O estudo foi realizado seguindo o pressuposto teórico do alinhamento discriminante da Economia dos Custos de Transação de Oliver Williamson. Os dados de campo indicaram que o mecanismo de coordenação adotado na relação entre produtor e processador se dá por meio de contratos, denominados contratos de integração. O contrato de integração é estruturado com mecanismos garantidores que contribuem para a redução dos custos transacionais e produtivos, ou seja, a agroindústria assegura o suprimento dos suínos, insumos, transporte e assistência técnica e veterinária, e o produtor assegura o fornecimento da produção, atuando assim como um meio de compartilhamento de riscos da atividade produtiva.
... The obvious challenge to causal identification of technological diffusion impacts again comes from (i) the multi-level selection effects that guide firms' geographical and product choices, the suppliers and clients with whom they engage in exchange ; and (ii) the endogeneity of the innovation process itself. Adoption of agricultural technologies by liquidity-constrained farmers is affected significantly by the value chains where the farmer is located and by the nature of the technology (Kuijpers and Swinnen 2016). But the nature of the innovation behind the supply chain and the driver of the innovation affect adoption patterns. ...
Agri-food value chains (AVCs) intermediate the flow of products between largely rural farmers, fisherfolk, or herders and increasingly urban consumers. The theoretical models that historically structured research on the economic development process assumed away AVC functions, however, and AVC firms and workers were necessarily omitted from the household data that generated most empirical findings in the agricultural and development economics literatures. As a result, the discipline has somewhat overlooked the rapid growth and structural change in AVCs over the past few decades that turned AVCs into major employers and sources of value addition, as well as key loci for technology transfer and foreign investment. This paper offers an integrated, structured, empirical narrative of how and why AVC revolutions occur in developing countries, the impacts of those changes, and the abundant economic research opportunities these structural changes afford economists. (JEL L14, L81, O13, O33, Q12, Q13, Q17)
... Contract production of tobacco is practiced globally (Wang et al., 2014;Scoones et al., 2018) and requires farmers to implement tobacco production following established technical standards. This contract system has greatly improved the technical level and productivity of small farmers (Kuijpers and Swinnen, 2016;Mao et al., 2019), which also benefits the environment. ...
Under contract farming, companies usually develop compulsory standardized technical systems for farmers in developing economies. However, in actual production, farmers often have differences in adoption intensity. Using data from 384 households and multinomial endogenous treatment effect regression, this study analyzes factors affecting the adoption intensity of farmers regarding standardized technical systems and estimates the impacts of adoption intensity of the standardized technical systems on household incomes in Chongqing, China. We adapt a multinomial endogenous treatment effect regression framework to correct for selection bias and endogeneity originating from both observed and unobserved heterogeneity. The results show that some factors could significantly affect the adoption intensity, such as farmers, satisfaction with technicians, perception of technology, attitude toward risks of adopting technologies, number of technical trainings, the proportion of leased land, and distances to townships and technology extension stations. Different from current perspectives, the results also indicate that the highest adoption intensity of farmers regarding standardized technical systems does not bring the greatest benefits. Based on the characteristics of a plot, medium adoption intensity has a significant effect on quality improvements and income growth. The conclusion of this study provides an empirical basis for the formulation and evaluation of policies for farmers that apply standardized technology systems in developing countries.
... Therefore, the holistic formulation expressed in this model is highly effective for specific enablers through the innovation management team and human resources working in the water sector to transfer, apply, and adopt innovative technologies from the community, which ultimately will achieve water availability and quality. The term 'technology transfer' has deep origins in the agricultural extension school and many other fields around the world, so we recommend referring to that valuable domain (Bozeman, 2000;Kuijpers & Swinnen, 2016). ...
The United Arab Emirates (UAE) is encountering a scarcity of water resources. It is counting on innovation management to alleviate the situation. In that context, there is a need for a managerial framework for this subject. Therefore, the aim of the current study is to build up an innovative managerial model. To establish this model, we applied a convergent, parallel, mixed-methods design. The study participants (n = 42) consisted mostly of leaders and experts working for the main water institutions. We analysed the quantitative method via partial least squares structural equation modelling (PLS-SEM), a SmartPLS software. Qualitative method procedures were conducted starting from coding, categorising, obtaining themes, and lastly, the establishment of grounded theory. We obtained two rigid inputs (quantitative and qualitative models) for the last phase (mixed-methods analysis). The quantitative findings revealed a significant and robust relationship (t value = 26.6, p = 0.000, coefficient = 0.888, R2 = 0.788). The qualitative findings also produced a steady grounded theory. Both quantitative and qualitative models were crossed according to the ‘convergence coding matrix’ and ‘triangulation analysis protocol’. Ultimately, we built a holistic framework named ‘the UAE water innovation model’, consisting of 12 components (meta-themes). This model should be adopted as the main guide for innovation management and strategy in water public sector institutions. Globally, this model could be a significant contribution, and it would be applicable to any country in the world with the same arid environment as the UAE.
... définit le transfert de technologie comme l'acte consistant à transmettre des connaissances «industrielles» (techniques et organisationnelles) liées à un produit ou à un processus, d'une organisation à une autre, que ce soit entre des entités distinctes ou au sein de la même entité.Hendrickx (1996) a souligné trois éléments constitutifs du transfert de technologie : (i) le transfert matériel qui consiste en une simple importation de nouveaux matériels et des techniques qui y sont associées (c'est-à-dire des produits) ; (ii) le transfert de concept s'exprimant à travers le transfert de certains plans, formules ou livres, afin de fabriquer un produit domestique, un processus de production, des équipements grâce à la transmission de concept, de plan et de savoir-faire ; et (iii) le transfert de capacités qui est assimilé à un transfert de connaissances scientifiques qui permettent la production de technologies localement adaptables suivant le prototype technologique qui existe ailleurs. Pour leur part,Kuijpers et Swinnen (2016) ont identifié trois principaux transferts matériels dans le milieu agricole à savoir les semences améliorées, les fertilisants et les machines. Par ailleurs, les auteurs soutiennent que l'un des aspects importants du processus transfert de technologie dans les systèmes de production agricole est l'introduction de normes privées (dont les systèmes de traçabilité, d'audit et de certification) pour surmonter l'asymétrie de l'information, réduire les coûts de transaction et comme outil de marketing pour accroître la différenciation des produits. ...
A l’heure où les problématiques d’épuisement des ressources fossiles et de lutte contre les émissions de gaz à effet de serre sont au centre des préoccupations économiques et politiques mondiales, les bioraffineries, en tant que systèmes de conversion des agro-ressources en énergies et produits bio-sourcés, semblent constituer une alternative. De nombreuses recherches sont alors menées pour étudier la soutenabilité de ces nouveaux modes de conversion de la biomasse. Cependant, il semble que leurs impacts économiques et sociaux soient moins considérés dans les études scientifiques mais aussi dans les politiques de transition énergétique, alors que les enjeux environnementaux attirent la plus grande attention. Fort de ce constat, ce travail interroge les retombées socio-économiques des bioraffineries, en particulier sur les territoires où elles sont implantées. En mettant en parallèle deux bioraffineries rurales françaises en développement, ce travail étudie leur ancrage territorial afin de mieux comprendre les enjeux organisationnels et cognitifs qu’elles sous-tendent. Ce faisant, agro-industriels, acteurs agricoles et acteurs institutionnels ont été interrogés quant à leur perception des impacts socio-économiques des bioraffineries. A l’issue de cette analyse, deux principaux résultats sont proposés. Le premier résultat montre que les acteurs territoriaux sont au cœur de l’émergence et du développement des bioraffineries. Le deuxième résultat quant à lui, fait apparaître six dimensions de l’ancrage territorial dans le cadre du développement des bioraffineries rurales.
... The research found that an ongoing problem is that farmers do not consistently apply fungicidal controls in response to wheat rust advisories provided in the EWS, despite the product being available in the region and the information being timely and actionable [13]. Deciding when to warn a farmer of an impending epidemic, who in the agriculture value chain should be warned [14], and what other information should be provided, such as where the farmer could find 'plant doctors' in the region [7], is a key question when designing these systems. ...
Early warnings of the risks of pest and disease outbreaks are becoming more urgent, with substantial increases in threats to agriculture from invasive pests. With geospatial data improvements in quality and timeliness, models and analytical systems can be used to estimate potential areas at high risk of yield impacts. The development of decision support systems requires an understanding of what information is needed, when it is needed, and at what resolution and accuracy. Here, we report on a professional review conducted with 53 professional agronomists, retailers, distributors, and growers in East Africa working with the Syngenta Foundation for Sustainable Agriculture. The results showed that respondents reported fall armyworm, stemborers and aphids as being among the most common pests, and that crop diversification was a key strategy to reduce their impact. Chemical and cultural controls were the most common strategies for fall armyworm (FAW) control, and biological control was the least known and least used method. Of the cultural control methods, monitoring and scouting, early planting, and crop rotation with non-host crops were most used. Although pests reduced production, only 55% of respondents were familiar with early warning tools, showing the need for predictive systems that can improve farmer response.
... First, a well-developed agriculture sector and enhanced agricultural productivity are vital for ascertaining food security 5 for expanding global population in light of shrinking natural resources and evolving consumption patterns (Miller et al., 2010;Thurner & Zaichenko, 2015). Factors whose interactions determine the development of agriculture in a given region include (Röling, 1990): infrastructure, technology access and use, credit systems, water, land, market dynamics, social structures and pricing mechanisms, which is confirmed by many other studies (Irz et al., 2001;Kuijpers & Swinnen, 2016;Miller et al., 2010;Ravishankar & Archak, 2000;Thurner & Zaichenko, 2015). ...
While technology continues to be seen as a key element in the move to sustainable development, international efforts around technology to support sustainable development transitions in developing countries have failed to yield results congruent with the needs. This review paper aims to contribute to, and help change, the conversation on international technology transfer (ITT) such that it leads to more productive international cooperative efforts for sustainable development in developing nations. We examine ITT in the health, agriculture, and climate and energy areas, juxtaposing it with relevant literature. Supporting domestic and international actors and processes, we highlight what are key elements for success in these areas of action to more effectively implement the SDGs in energy and environment in developing countries. Finally, we suggest that “innovation cooperation” is a better framing than “technology transfer” for advancing international efforts on technology for sustainable development. Such a framing allows for a broader and more comprehensive perspective on technology‐related cooperation between countries. It also emphasizes the need for equitable partnerships rather than donor–recipient relationships and for development of local innovation capabilities, leading to more effective marshaling of technologies to help developing countries achieve sustainable development.
This article is categorized under: Energy Policy and Planning > Economics and Policy
Energy and Climate > Systems and Infrastructure
Energy Research & Innovation > Climate and Environment
... The role of value chains in technology adoption has only recently begun to receive attention as an important source of technology transfer and adoption for small farmers (Kuijpers and Swinnen, 2016;Maertens and Vande Velde, 2017;Mishra et al., 2021;Zilberman et al., 2017). Studies show that value chains can play a crucial role when it comes to technology adoption not just by processing companies, but also by farmers through vertical coordination and spillover effects (Dries et al., 2009;Swinnen and Kuijpers, 2017). ...
Purpose
This paper provides one of the first and most detailed accounts of the large modern dairy farms that are emerging in the dairy sector in India. Qualitative interviews are used to understand how these farms differ from their traditional smallholder counterparts and how well integrated they are into the value chains.
Design/methodology/approach
Snowball sampling was used to identify large farmers. In total, 49 in-depth interviews were conducted with large commercial modern farms in Punjab. A detailed description of the main characteristics of these modern dairy farms is provided. Data from previous studies conducted in Punjab is used to compare the new farms with traditional smallholder farms.
Findings
The modern dairy farms are much more advanced in their use of technology compared to their traditional counterparts. These large commercial modern farms are very well integrated into the value chains. They often, but not exclusively, sell milk to formal supply chains, sometimes on a contractual basis.
Originality/value
Most of the literature on the Indian dairy sector focuses on smallholders. However, understanding and acknowledging the emergence of modern dairy farms is very important in understanding the development of value chains not only in the dairy sector in India, but in domestic food sectors in developing countries in general. This qualitative data analysis is a necessary first step if more large-scale representative information is to be collected in the future.
... In these modern value chains, downstream companies have less incentives to use market power that reduces profitability of their suppliers. Focusing on developing and emerging countries, Swinnen and Vandeplas (2011) and Kuijpers and Swinnen (2016) explain that with resource-providing or interlinked contracts the ex post market power is different from the ex ante market power as the hold-up potential of the farmer enhances his/her bargaining power. In all of these cases there is a trade-off with increased competition. ...
This article analyzes how value chains play a role in the political economy of agricultural and food policy by (1) discussing historical insights; (2) reviewing an emerging literature on political economy of trade policy and value chains and drawing implications for agricultural and food policy; (3) discussing market power issues with increasing concentration in agri‐food value chains and its implications for government regulations; and (4) presenting a political economy case study of recent regulations that have explicitly targeted value chain structures in the agri‐food sector: the EU regulations on “unfair trading practices (UTPs)”. The case study is of wider relevance since it addresses a key concern in global value chains.
... Most of the existing studies concentrate on either farmer-processor or farmer-retailer relationships. The studies covering farmers' backward vertical linkages towards input suppliers are very limited, with some notable exceptions such as Kuijpers and Swinnen (2016), Malak-Rawlikowska and Milczarek-Andrzejewska (2016) and Tiessen and Funk (1993). Moreover, only a few studies have directly concerned the problem of transaction costs and hold-up relationships, that may occur in the farming sector (e.g. ...
Agricultural production is widely discussed in the context of imbalances in bargaining power in the food chain and farmers’ difficult position relative to their contractors. The paper attempts to explain the nature and reasons of the bargaining power imbalances that may lead to hold-up relationships in the farming sector in the light of the Transaction Costs Theory (TCT). In order to provide a certain focus, the theoretical discussion is illustrated by an empirical example of backward vertical relations between farmers and input (feed) suppliers. The article investigates the reasons for long-term and stable relationships between farmers and feed suppliers and whether these may be partly explained by an imbalance in bargaining power, trapping farmers in the specific monopolistic (hold-up) relations with their contractors.Overall, the picture that emerges from the analysis does not support the assumptions that farmers are experiencing a large imbalance in bargaining power with regard to their input contractors, and are trapped in a specific monopolistic (hold-up) relationship with them. Despite that there is no written contract between the farmers and their suppliers, relations are based on unwritten, privately enforced terms. The parties tend to respect the mutually agreed relationship rather than breaching it ex-post in order extract the holdup quasi-rents. In this case a binding written supply commitment may increase transaction costs, limit the freedom to change supplier and reduce the farmer’s bargaining power over the feed producer by adding additional inter-dependency.
... Here, information on quality-price relationships which exist on world markets are not passed on to producers by itinerant and unregulated purchasers selling on to China, which has resulted in a debasing of value throughout the Chinese part of that market, and undermined attempts by firms to provide extension services to farmers in order to obtain higher value product (Waldron et al. 2014). Kuijpers and Swinnen (2016) analysed factors affecting technology transfer by companies, finding that the surplus generated by the technology, agents' opportunity costs, opportunities for holdups, and contract enforcement institutions were all important. In Central Asia much more could be done to investigate extension models of large firms which have invested in dairy, and (even less studied), in beef production. ...
The SDG nexus Network (SDGNN) establishes a common research framework for the Sustainable Development Goals (SDGs), supporting research, networking and capacity building of scientists in Latin America and Central Asia. This report examines the livestock sector in Central Asia as one of the main research areas of the SDGNN. Based on a comprehensive review of the literature to date, we distinguish five major SDG trade-offs that we expect in three key areas: 1. Agricultural commercialisation may exclude smallholder farmers, and rising incomes may lead to dietary change with negative health outcomes, implying a trade-off between poverty reduction and zero hunger (SDGs 1 & 2) on the one hand and decent work and economic growth (SDGs 8 & 9) on the other. 2. More productive small livestock farmers may degrade environmental resources, and more diverse and nutritious diets through meat and milk products may overexploit feeding resources, implying a trade-off between poverty reduction and zero hunger (SDGs 1 & 2) on the one hand and water availability (SDG 6), life on land (SDG 15) and climate action (SDG 13) on the other. 3. At a sectoral scale, economic growth may put pressure on key resources for livestock husbandry, implying a trade-off between economic growth (SDGs 8 & 9) on the one hand and water availability (SDG 6), life on land (SDG 15) and climate action (SDG 13) on the other. We investigate the potential synergies and trade-offs within eight topical sections: farm restructuring and land reform; sustainable grazing systems; fodder production and irrigation; livestock species, genetic improvement and animal health; value chain development; human diet and health; livestock production and climate change; and services and policies for agriculture. We identify key research gaps in each area and thus present a research agenda for the SDG Nexus project in the area of livestock husbandry in Central Asia.
... Esto implicaría que, para cada capacidad, es necesario construir una Comprender los elementos que generan ventajas competitivas en los sistemas sectoriales de innovación localizada (Chang & Chen, 2004), como algunos AKIS, está estrechamente relacionado con las funciones de innovación asociadas a las TICs y requiere de un análisis desde una perspectiva integral. Esto resulta necesario para comprender e identificar los fenómenos que obstaculizan la innovación, las brechas que no permiten internalizar los cambios estructurales y sistémicos y que derivan en una baja adopción de tecnologías (Kuijpers & Swinnen, 2016). Algunos autores señalan que las metodologías de medición existentes no permiten comprender el carácter dinámico y sistémico de las capacidades, dado que carecen de integración de variables, no tienen en cuenta características de las empresas como el tamaño y la ubicación geográfica, y caracterizan los tipos de firmas desde un enfoque lineal y estático, como ocurre en la literatura de la innovación organizacional (Camisón & Villar-López, 2014;Robledo et al., 2010;Sher & Yang, 2005;Wang et al., 2008;Yam et al., 2004). ...
Las funciones de generación, difusión y uso de conocimiento y tecnología en los sistemas de innovación están asociadas a las capacidades tecnológicas para la innovación (TICs, por su sigla en inglés), las cuales juegan un papel fundamental en el desempeño innovador de los sistemas de conocimiento e innovación agrícola (AKIS, por su sigla en inglés). No obstante, las metodologías actuales no exhiben perspectivas que faciliten la comprensión dinámica y organizacional de las TICs, lo que dificulta la comprensión de dichos sistemas. Este artículo presenta una propuesta metodológica para medir el nivel de las TICs al asociarlas a un modelo de comportamiento organizacional para aplicarlo en una muestra de 256 organizaciones del AKIS del café y 74 organizaciones del AKIS del aguacate en el departamento de Antioquia (Colombia). Los resultados confirman que la medición del nivel de las TICs y de sus variaciones dinámicas en el tiempo permite mejorar la comprensión de los procesos de innovación y evaluar e identificar las brechas existentes entre las TICs y las funciones de innovación de estos sistemas.
... According to the 'centralised-diffusion systems' approach, these technical experts exert considerable control over the research, diffusion and adoption of technology (Rogers, 2010). Diffusion of agricultural innovations is commonly characterised as highly linear, with little consideration for possible variations (Ryan and Gross, 1943;Röling, 2004;Spielman et al., 2008;Knickel et al., 2009;Kuijpers and Swinnen, 2016). And yet, this depiction of the diffusion process does not reflect reality and indeed paints a simplistic caricature of rural diffusion processes. ...
This paper explores the different pathways of technology diffusion and the resulting impacts on technology adoption that can emerge following a strategy to incorporate vulnerable communities of small-scale producers into traditionally top-down governance agribusiness systems. Building on the Contract Farming Arrangements (CFA) literature, we suggest that despite high levels of top-down control and the mono systems of diffusion that these practices imply, diffusion forms can vary considerably according to the motivations that drive different types of producers and the variances in local governance. We summarise these diffusion forms as a diffusion pathway of governance dictated by dominant change agent control and a diffusion pathway of governance dictated by change agent control and user participation. An important contribution of the paper is to highlight the critical role of formal rules in defining the types of governance for the creation of these different pathways. However, additional factors associated with the participation of smallholders such as attachment to land, engagement in collective action and long-term sustainability visions also introduce variations in these pathways and define the results of technology adoption. The study focuses on the Colombian oil palm sector; a key agribusiness sector targeted by policy makers with a strategy to integrate small-scale farmers into the agribusiness value chain as a means to relieve poverty and reduce levels of rural violence associated with conflicts over land and production of elicit crops.
... Moreover, the review finds that finance proposals 'lack a deeper argument as to GAFSP's specific input and development additionality'. 57 But the share of the value that the company can claim depends on various factors, such as the farmer's ability to side-sell his or her produce (see Kuijpers and Swinnen (2016) for a discussion). ...
... The adoption of modern technologies is essential for improving agricultural productivity and is a key ingredient for achieving poverty reduction and rural development around the world. However, the adoption of modern technology has been disappointing-particularly in the poorest agricultural regions (Evenson and Gollin 2003;Sheahan and Barrett 2014). 1 The role of value chains only recently begun to receive attention as an important source of technology transfer and adoption for small farmers (Kuijpers and Swinnen 2016;Maertens and Vande Velde 2017;Zilberman et al. 2019). Studies show that value chains can play a very important role in technology adoption, not just by processing companies, but also by farmers through vertical coordination and spillover effects. ...
(Global) value chains have contributed to agricultural technology adoption in transition countries and food export commodities in developing countries through various forms of vertical coordination, often associated with FDI. Adoption of modern technologies in agriculture is crucial for improving the productivity and welfare of poor farmers. Much less is known about how (global) value chains do (not) affect technology transfer and/or adoption in staple food chains in developing countries, and the role that FDI plays. Our paper analyses the role of value chains and FDI in farm-level technology adoption with the use of panel data from representative farm surveys in 2008 and 2015 (a period of rapid growth) in the dairy sector in India (Punjab). We find important increases in the adoption of some technologies among traditional and poor dairy farms. However, the role of vertical coordination in value chains in stimulating technology adoption among these traditional dairy farmers seems to be minor, both for domestic and for FDI companies. At the same time a sub-sector of dynamic modern dairy farms has emerged. These farms are much larger, use only modern technology, and are fully integrated in vertically coordinated value chains that support these modern farms’ management and investments.
... Countries like Thailand, Pakistan, India etc. where majority of the work force is associated with agriculture contributes less than 10% of the gross domestic product (GDP) to the country's economy. This is an alarming situation and with the unprecedented growth in human population, modern technologies should be used in agriculture sector in order to increase the growth of this sector in terms of yield and revenue [2]. ...
Lo que se nos presenta, en esta obra, va más allá de un libro práctico en metodología; en contraste, tenemos un compendio cuyo objetivo es poner en manos de los interesados maneras originales de formular herramientas de análisis de datos. Así, la imaginación no queda reducida a las técnicas cualitativas, sino que se logra retomar en la construcción de instrumentos de recolección de datos en las ciencias administrativas y crear, desde sus particularidades, instrumentos innovadores donde prevalezca la reflexión colectiva e individual. En eso, esta obra trasciende ese propósito.
W artykule podjęto próbę rozpoznania charakteru relacji pomiędzy rolnikami a dostawcami środków produkcji. Na podstawie badań ankietowych przeanalizowano opinie producentów mleka na temat ich współpracy z dostawcami pasz. Subiektywne oceny respondentów porównano z ich rzeczywistym postępowaniem. Wyniki badania wskazują, że współpraca rolników z dostawcami pasz jest z reguły długoterminowa i stabilna. Zdecydowana większość respondentów postrzega swoje relacje z dostawcą pasz jako dobre lub bardzo dobre. Relacje między rolnikiem i dostawcą paszy mają zazwyczaj charakter nieformalny (ponad 90% rolników nie zawiera pisemnej umowy na dostawy). Jako najważniejsze cechy relacji rolnicy wymienili poziom cen i jakość oferowanych pasz. Zaobserwowano jednak istotne różnice dotyczące: wybranych cech charakteryzujących gospodarstwo, otrzymywanych przez rolników rabatów oraz możliwości negocjacji cen w zależności od kanału dostaw pasz. Pomimo braku istotnych różnic w powierzchni gospodarstw, rolnicy, którzy kupują pasze bezpośrednio od producenta, prowadzą znacznie większą produkcję mleka i otrzymują większy rabat od dostawcy paszy niż rolnicy zakupujący paszę u pośredników. Ta grupa rolników również częściej negocjuje ceny i częściej rozważa zmianę dostawców.
Revisiting the Critical Success Factors of Entrepreneurship to Promote Chinese Agriculture Systems: A Multi-Criteria Decision-Making Approach
This study examines how European food companies can operationally leverage the value created by strategic alliances into commercially viable products. More importantly, it emphasizes that the effects of alliance portfolio diversity (APD) on radical innovation performance can be achieved not only directly, but also via moderating roles, that is, the firm's social capital and the level of competitiveness of the country. Using three waves of the European Community Innovation Survey, our results show that the optimal level of APD varied depending on the industry in which the company operates (food manufacturing industry vs. the rest of manufacturing industries). Furthermore, social capital seems to be a crucial factor to mitigate the difficulties of leveraging very diverse knowledge from partners, especially in the food manufacturing industry. Moreover, the external environmental context where the firm is operating, measured as the growth competitive index that reflects the competitive level of the country, was shown to have an influence on the firms' innovative efforts.[EconLit Citations: M10, 013, 036].
Many research-to-practice approaches exist, yet fundamental differences in interpretation and uneven application of research translation approaches create a real challenge in generating research-driven solutions for development challenges. In this review, we aim to clarify the plethora of approaches to increase research uptake into international development practice and policy. Through a qualitative analysis of 93 articles, we identified four interrelated factors that differentiate research translation approaches. Building off the variation expressed across these factors, we propose a conceptual framework called the Research Translation Continuum. This framework illustrates the range of ways to produce useful evidence and the range of ways that academics and practitioners can collaborate. Our study makes a unique contribution by providing a conceptual framework for guiding research translation efforts in international development. We conclude that critical reflexive engagement is needed to situate, use, and produce evidence for development policy and practice.
Since 2000, Zimbabwe’s agricultural output has fluctuated despite the transfer of agricultural technology by various organisations and international partners. The low output response to technology transfer is attributed to the twin problems of lack of access and adoption of technology, which are largely explained by weak institutions, financial constraints, skill and knowledge deficiency, and poor rural infrastructure. The aim of this study was therefore to assess the effect of agricultural technology transfer on economic development using a dynamic Global Trade Analysis Project model for the reference year 2011. The study results indicated that economic performance improves when quality fertilisers, certified seeds, and machinery from other countries are used more intensively. Thus, policy interventions are required that enhance credit extension, roads, capital equipment, and good institutions such as property rights that incentivise farmers to adopt and invest in technology.
How does agricultural insurance affect the modernization of farming in low income countries? We focus on institutional contexts without formal contract enforcement, where smallholders cannot access modern inputs via markets. Instead, farmers can engage in relational contracting with traders to sell their crop and gain access to inputs (as an advance in‐kind payment). Although conventional theory assumes that insurance “crowds in” modern inputs by attenuating investment risk, we demonstrate that insurance reduces the number of farmers receiving modern inputs from traders. Insurance also reduces the quantity of inputs that traders provide to farmers who remain in a relationship. Insurance may impede the uptake of modern inputs when institutions are imperfect.
This study adopts the capability dimension of technology transfer from two positional perspectives. It constructed and examined each technology transfer capability of a public technology transfer office and each user company and their counterpart engagements. A user company's technology transfer capability is a composite of a search, contract decision-making, and new technology implementation capability. In contrast, a technology transfer office's technology transfer capability can be deployed into marketing, contract decision-making, and new technology implementation support capability. First, the construction of a technology transfer office's technology transfer capability can lead to the theoretical development of technology transfer offices by considering the lack of existing studies regarding the role of technology transfer offices on a capability dimension. Second, this study highlights the investigation of the recently identified user's contract-decision capability, which has not been sufficiently examined in technology transfer capability. Lastly, this study improves our understanding of a technology transfer mechanism through two positional perspectives, compared to the existing studies that dealt with the one-dimensional direction of technology transfer, such as a supplier or user perspective. It identified that each capability from two positions worked as counterpart capabilities between a TTO and each user. Practically, by constructing each technology transfer capability of two positions and investigating their status, this study can help managers and policymakers understand what they should manage to achieve successful technology transfer.
Las cadenas de comercialización se han vuelto un instrumento importante para el estudio de las relaciones económicas, pues permiten entender los diferentes procesos, agentes y características de un bien, desde su origen hasta que llega a manos de los consumidores. El presente estudio busca caracterizar la cadena de comercialización del chile habanero de Yucatán a través de una investigación documental y de campo, para conocer su funcionamiento y el impacto que ha generado sobre dicha cadena la obtención de la denominación de origen −DO−. Se emplearon dos técnicas de recolección de información: la primera, fue una investigación documental y la segunda fue una entrevista semiestructurada dirigida a actores de la cadena de comercialización del chile habanero. Se encontró como resultado del estudio de investigación, de enfoque cualitativo, que los intermediarios son los actores más beneficiados de la cadena, y no los productores como se podría pensar; así mismo, se halló que la denominación de origen no está siendo aprovechada como se planeó, ya que, al no cumplirse con la normatividad que exige la DO, no es posible usar este distintivo para obtener un sobreprecio por esta importante hortaliza en los mercados internacionales. Por tanto, resulta indispensable la creación de un Consejo Regulador del Chile Habanero que siente las bases para la integración de la cadena, que en este caso deberá ser peninsular ya que la DO contempla también a los estados de Campeche y Quintana Roo.
The growth of value chains and the associated spread of quality standards has triggered a vigorous debate in the development community over their impacts on poor producers in developing countries. Quality requirements in value chains affect farms through several channels.
We assess the literature on public and private quality standards and their impact in food markets, international trade, and global supply chains. We focus on their effects on welfare, trade, industrial organization, and labor markets and with special attention to the North-South context. We also attempt to better characterize when these measures constitute protectionism, a complicated task. We look at studies investigating public and private standards and across various quantitative approaches and countries. These standards have complex effects. The evidence is mixed regarding standards as catalyst for or as impediment against trade and development, reflecting the complexity of these effects and their specificity to industries and countries. The analysis of standard-like nontariff measures and their impacts does not lead to sweeping prescriptions for policy reforms. We identify more modest prescriptions and make some recommendations for fruitful research directions.
This paper explores the relationship between foreign direct investment (FDI) and the productivity of host country domestic firms. We rely on a specially designed survey of over 4,000 manufacturing firms in Vietnam, and separate out productivity gains along the supply chain (obtained through direct transfers of knowledge/technology between linked firms) from productivity effects through indirect FDI spillovers. In addition to identifying indirect vertical productivity spillovers from FDI, our results show that there are productivity gains associated with direct linkages between foreign-owned and domestic firms along the supply chain not captured by commonly used measures of spillovers. This includes evidence of productivity gains through forward linkages for domestic firms which receive inputs from foreign-owned firms.
We estimate the causal effect of food standards on Vietnamese pangasius farmers’ wellbeing measured by per capita consumption expenditure. We estimate both the average effects and the local average treatment effects on poorer and richer farmers by instrumental variable quantile regression. Our results indicate that large returns can be accrued from food standards, but only for the upper middle-class farmers, i.e., those between the 50% and 85% quantiles of the expenditure distribution. Overall, our result points to an exclusionary impact of standards for the poorest farmers while the richest do not apply standards because the added gain is too small.
In many developing countries, supermarkets are expanding rapidly. This also affects farmers’
marketing options. Previous studies have analyzed welfare effects for smallholders with crosssection
data. Here, we use panel data and a differencing approach to study supply chain
dynamics and better account for unobserved heterogeneity in impact assessment. The analysis
focuses on vegetable producers in Kenya. Participation in supermarket channels is associated
with large income gains, which have further increased over time. However, many farmers are
not able to enter supermarket channels, or they have dropped out due to various constraints.
Specific support is needed to avoid widening income disparities.
Studies argue that foreign investment has negative implications for small local suppliers, as they cannot comply with higher standards or they are laid off to reduce transaction costs. We analyze the impact of FDI in the Polish dairy sector, a sector dominated by small suppliers and of crucial importance for poor rural households. The analysis shows that FDI does not cause a rapid consolidation of the supply base. Instead, foreign companies introduce farm assistance programs to overcome market imperfections. Through vertical and horizontal spillover effects, this leads to improved access to finance, increased investments, product quality improvements, and growth of small local suppliers.
Twenty-five years ago, a vast share of the poor and middle income countries, covering a large share of the world's agricultural areas and farmers, were characterized by state-controlled supply chains for agricultural and food commodities. This was most extreme in the Communist world, spreading from Central Europe to East Asia, where the entire agri-food system was under strict control of the state. However, also in many African, Latin-American and South Asian countries the state played a very important role in agricultural production, marketing, and processing, in the decades after independence from colonial power. Government involvement was through marketing boards, government-controlled cooperatives and parastatal processing units. These government institutions were often monopoly buyers of agricultural products, especially for basic food crops and important export crops.
This paper combines institutional economics with aspects of contract law and organization theory to identify and explicate the key differences that distinguish three generic forms of economic organization-market, hybrid, and hierarchy. The analysis shows that the three generic forms are distinguished by different coordinating and control mechanisms and by different abilities to adapt to disturbances. Also, each generic form is supported and defined by a distinctive type of contract law. The cost-effective choice of organization form is shown to vary systematically with the attributes of transactions. The paper unifies two hitherto disjunct areas of institutional economics-the institutional environment and the institutions of governance-by treating the institutional environment as a locus of parameters, changes in which parameters bring about shifts in the comparative costs of governance. Changes in property rights, contract law, reputation effects, and uncertainty are investigated.
In Nicaragua and elsewhere in Central America, small-scale farmers are weighing the risks of entering into contracts with supermarket chains. We use unique data from cooperatives supplying supermarkets to study the effect of supply agreements on producers’ mean output prices and price stability. We find that prices paid by the domestic retail chain approximate the traditional market in mean and variance while mean prices paid by Walmart are significantly lower than the traditional market. However, the Walmart contract is found to systematically reduce price volatility. We find some evidence, however, that farmers may be paying too much for this contractual insurance against price variation.
Quality standards are rapidly gaining importance as a result of increasingly globalized trade. Rich country quality requirements are said to have detrimental effects on poor producers in developing countries because they would introduce new trade barriers, prevent small and poor producers from participating in high quality supply chains, and allow multinationals to extract rents. We analyze under which conditions the introduction of quality standards in global value chains may benefit poor producers in developing countries, taking explicitly into account key characteristics of these value chains. We investigate the effects of competition and development and discuss a series of policy implications.
There is no consensus about how globalisation – trade and foreign investments – affects poverty reduction. Using household survey data, this study contributes to the empirical literature on globalisation and poverty by analysing the household-level implications of increased foreign investments and trade in the horticulture sector in Senegal. In many aspects this represents what many would consider a ‘worst-case scenario’. Stringent rich country standards are imposed on exports and the supply chain is controlled by a single multinational company with extreme levels of supply base consolidation and vertical integration and complete exclusion of smallholder suppliers. We analyse and quantify income and poverty effects under these ‘worst-case conditions’ and find significant positive welfare impacts through employment creation and labour market participation. , Oxford University Press.
The adoption of modern technologies in agriculture is crucial for improving productivity of poor farmers and poverty reduction. However, the adoption of modern technology has been disappointing. The role of value chains in technology adoption has been largely ignored so far, despite the dramatic transformation and spread of modern agri-food value chains. We argue that value chain organization and innovations can have an important impact on modern technology adoption, not just by downstream companies, but also by farmers. We discuss conceptual issues and provide an empirical typology of institutional innovations through which value chains can contribute to technology transfer to agriculture in developing and emerging countries.
The gains from insurance arise from the transfer of income across states. Yet, by requiring that the premium be paid upfront, standard insurance products also transfer income across time. We show that this intertemporal transfer can help explain low insurance demand, especially among the poor, and in a randomized control trial in Kenya we test a crop insurance product which removes it. The product is interlinked with a contract farming scheme: as with other inputs, the buyer of the crop offers the insurance and deducts the premium from farmer revenues at harvest time. The take-up rate is 72%, compared to 5% for the standard upfront contract, and take-up is highest among poorer farmers. Additional experiments and outcomes indicate that liquidity constraints, present bias, and counterparty risk are all important constraints on the demand for standard insurance. Finally, evidence from a natural experiment in the United States, exploiting a change in the timing of the premium payment for Federal Crop Insurance, sho s that the transfer across time also affects insurance adoption in developed countries.
Global retail companies ("supermarkets") have an increasing influence on developing countries, through foreign investments and/or through the imposition of their private standards. The impact on developing countries and poverty is often assessed as negative. In this paper we show the opposite, based on an analysis of primary data collected to measure the impact of supermarkets on small contract farmers in Madagascar, one of the poorest countries in the world. Almost 10,000 farmers in the Highlands of Madagascar produce vegetables for supermarkets in Europe. In this global supply chain, small farmers' micro-contracts are combined with extensive farm assistance and supervision programs to fulfill complex quality requirements and phyto-sanitary standards of supermarkets. Small farmers that participate in these contracts have higher welfare, more income stability and shorter lean periods. We also find significant effects on improved technology adoption, better resource management and spillovers on the productivity of the staple crop rice. The small but emerging modern retail sector in Madagascar does not (yet) deliver these benefits as they do not (yet) request the same high standards for their supplies.
Using original research from Asia, Africa, Europe and Latin America this book reviews the recent restructuring of the global agri-food industry and the dramatic rise of global retail chains in developing and transition countries. It focuses on the private standards and requirements imposed by multinational companies investing in these countries and the resulting changes to existing supply chains. It also examines the impact of these changes on local producers, particularly poor farmers, and considers the long-term policy implications in terms of growth and poverty.
Over the past decades, the world has witnessed an unprecedented growth in global value chains, propelled by increasingly demanding quality standards. These trends lead to concerns about the impact of value chains on development and poverty and about the possible protectionist nature of quality standards in rich countries. This book offers the first integrated theoretical analysis of the economic and political factors which determine the level of quality standards, as well as their economic effects along the value chain. Using realistic assumptions motivated by empirical research, the theoretical framework in this book makes it possible to study the efficiency effects as well as the distributional consequences of one of the most striking evolutions affecting global trade and development today.
Despite more than a decade of NGO and government activities promoting developing world farmer participation in high-value agricultural markets, evidence regarding the household welfare effects of such initiatives is limited. This article analyzes the geographic placement of supermarket supply chains in Nicaragua between 2000 and 2008 and uses a difference-in-differences specification on measures of supplier and nonsupplier assets to estimate the welfare effects of small farmer participation. Though results indicate that selling to supermarkets increases household productive asset holdings, they also suggest that only farmers with advantageous endowments of geography and water are likely to participate.
Asymmetry of information is a fundamental problem in economics. Agricultural production
contracts remain incomplete if quality attributes measured by the buying company are
unobservable for selling farmers. Opportunistic buyers would report lower than actual quality,
negatively affecting farmers’ compensation given it is directly linked to specific quality attributes.
When farmers factor in the buyer’s opportunistic behavior, underinvestment may occur. Using
the example of the Vietnamese dairy industry, a twelve months lasting field experiment is
conducted in which contracts are enforced for randomly selected dairy farmers by providing
them with the opportunity to verify milk testing results reported by the buying dairy processor.
Farm-level output data is complemented with information from two rounds of extensive
household surveys conducted before and at the end of the intervention. Employing a multivariate
regression framework, we find a 10 percent higher use of inputs for treatment farmers compared
to their peers in the control group, also resulting in significantly higher dairy output; for specific
subgroups we find that welfare levels mildly increase. Various robustness checks are carried out.
We suggest that there is scope for public support of third-party contract enforcement in
agricultural markets with yet incomplete contracts to increase farm productivity and welfare of
smallholders—a finding of significance far beyond the Vietnamese dairy sector.
We analyze the adoption of mineral fertilizer in South-Kivu. We model technology adoption as a three-step-process, including awareness, tryout, and adoption; and empirically analyze these steps using cross-sectional farm-household data, and bivariate and Heckman selection probit models. We find that awareness about fertilizer is high (57%) and mainly determined by education and social capital. Tryout is low (13% of aware farmers) but positively influenced by extension interventions. Continued adoption is high (70% of tryout farmers) but capital constraints are important and not all extension interventions are effective for continued adoption. Our results entail implications for extension policies in poor areas.
Financial constraints and credit market imperfections are a major constraint on investment, growth and poverty reduction in transition and developing countries. This paper analyses the impact on investments of financial assistance programs as part of interfirm relationships. Our empirical evidence is based on a two-stage survey methodology. Qualitative evidence on dairy companies' assistance programs was gathered in the first stage through in-depth interviews at the level of the dairy companies. Quantitative data on 290 milk producing rural households in Poland was collected through a random survey in the second stage. The empirical analysis shows that dairy companies have played an important role in financial assistance, in particular for dairy-specific investments. In addition, they had an important indirect impact on farm activities and investments through feed supply and loan guarantee programs.
The private standard GlobalGap was introduced into Madagascar’s lychee value chain in the mid-2000s in response to the demand for certified lychees. Following the initial craze, however, the number of certified farmers soon dropped as the financial support to the exporters dried up. Based on a natural experiment, we assess the impact of GlobalGap certification on the marketing performances of currently certified lychee farmers. While our results do suggest a positive average impact of certification on both the quantities sold and the prices received by certified producers, we shall see that this effect is not homogenously distributed.
This paper provides microeconomic evidence on food security impacts of privately organized biofuel outgrower schemes in Ethiopia. We conducted a household and community level survey and evaluated the impact of castor bean farming. We use endogenous switching regressions to analyze the impact on food security. Food security (as measured by a “food gap”) and food caloric intake is significantly better in households producing castor beans. “Fuel” and “food” are complements rather than substitutes at the micro-level in castor production in Ethiopia.
We study the effect of alleviating the information asymmetry regarding product quality that is widespread in contracts between
agricultural producers and buyers in developing countries. Opportunistic buyers may underreport quality levels to farmers
to reduce the price that they have to pay. In response, farmers may curb investment, thereby negatively affecting farm productivity.
In an experiment, we entitle randomly selected smallholder dairy farmers in Vietnam, who are contracted by a large company,
to independently verify milk testing results. Results indicate that treatment farmers use 12% more inputs, and they also increase
their output significantly. Some wider research and policy implications are discussed.
The enforcement of contracts is necessary for efficient exchange and investment in economic activities. Contracts can be enforced through a variety of mechanisms, both public and private. However, in many developing and transitional countries these public institutions are either absent or ineffective in ensuring contract enforcement. Under such conditions, private enforcement mechanisms may provide a suitable replacement for public enforcement institutions. This may be done externally through a third party or internally through self-enforcing agreements. This paper analyzes the use of “self-enforcing” arrangements or “internal” private enforcement mechanisms. Using a case study of an agri-business in a transition economy — Juhocukor a.s., a Slovakian sugar processor — we show that the use of “internal” private contract enforcement mechanisms can have a significant positive effect on output and efficiency for both partners to the exchange transaction in an environment characterized by the absence or ineffectiveness of public enforcement institutions.
Supermarkets, specialized wholesalers, processors, and agro-exporters are transforming the marketing channels into which smallholder farmers sell produce in low-income economies. We develop a conceptual framework with which to study contracting between smallholders and a commodity-processing firm. We then synthesize results from empirical studies of contract farming arrangements in five countries (Ghana, India, Madagascar, Mozambique, and Nicaragua). The resulting meta-narrative documents patterns of participation, the welfare gains associated with participation, reasons for nonparticipation, the significant extent of contract noncompliance, and the considerable dynamism of these value chains as farmers and firms enter and exit frequently.
We conduct a meta-analysis of more than 30 papers that study the causal relationship between exporting and firm productivity. Our main result, robust to different specifications and to different weights for each observation, indicates that the impact of exporting upon productivity is higher for developing than developed economies. We also find that the export effect tends to be higher (1) in the first year that firms start exporting (compared to later years); and (2) when the sample used in the paper is not restricted to matched firms. Moreover, we find no evidence of publication bias.
Supermarkets are gaining ground in agrifood systems of many developing countries. While recent research has analyzed income
effects in the small farm sector, impacts on productivity and efficiency have hardly been studied. We use a meta-frontier
approach and combine this with propensity score matching to estimate treatment effects among vegetable farmers in Kenya. Participation
in supermarket channels increases farm productivity in terms of meta-technology ratios by 45%. We also find positive and significant
impacts on technical efficiency and scale efficiency. Supermarket expansion therefore presents opportunities for agricultural
growth in the small farm sector, which is crucial for poverty reduction in Africa.
In the last decade, more than 100 researchers have examined productivity spillovers from foreign affiliates to local firms in upstream or downstream sectors. Yet results vary broadly across methods and countries. To examine these vertical spillovers in a systematic way, we collected 3626 estimates of spillovers and reviewed the literature quantitatively. Our meta-analysis indicates that model misspecifications reduce the reported estimates and journals select relatively large estimates for publication. No selection, however, was found for working papers. Taking these biases into consideration, the average spillover to suppliers is economically significant, whereas the spillover to buyers is statistically significant but small. Greater spillovers are received by countries that have underdeveloped financial systems and are open to international trade. Greater spillovers are generated by investors who come from distant countries and have only a slight technological edge over local firms.Highlights► We meta-analyze the estimates of spillovers from FDI. ► The average backward spillover is large. ► The average forward and horizontal spillovers are negligible. ► Larger spillovers are generated by investors from distant countries.
Historically low prices in the conventional coffee market have caused financial and social hardship among coffee farmers. In the face of this crisis, specialty markets have attracted the attention of the international donor community. These market segments have shown consistent growth over the last decade and exhibit price premiums in international markets. Therefore, if higher prices are passed on to farmers, access to specialty markets could help to alleviate the crisis brought on by low prices in the conventional sector. The present study attempts to identify the factors that determine farmers' participation in specialized markets and whether participation in these markets leads to higher prices for farmers. A two-stage model is used to analyze farmers' marketing decisions and their effect on the prices received. This procedure allows us to control for the endogeneity bias introduced by the marketing choice. Our results indicate that farmers participating in the specialty coffee segment do in fact receive higher prices than those participating in conventional channels. Additionally, we find that participation in cooperatives has a positive impact on the probability that a farmer chooses to grow specialty coffee and analogously on the prices that they receive. Based on these results, it seems that efforts to increase participation in the specialty coffee segment and in cooperatives would help to lessen some of the hardships brought on by low prices in the conventional coffee sector.
The enforcement of contracts is necessary for efficient exchange and investment in economic activities. Contracts can be enforced through a variety of mechanisms, both public and private. However, in many developing and transitional countries these public institutions are either absent or ineffective in ensuring contract enforcement. Under such conditions, private enforcement mechanisms may provide a suitable replacement for public enforcement institutions. This may be done externally through a third party or internally through self-enforcing agreements. This paper analyzes the use of “self-enforcing” arrangements or “internal” private enforcement mechanisms. Using a case study of an agri-business in a transition economy — Juhocukor a.s., a Slovakian sugar processor — we show that the use of “internal” private contract enforcement mechanisms can have a significant positive effect on output and efficiency for both partners to the exchange transaction in an environment characterized by the absence or ineffectiveness of public enforcement institutions.
The emergence of China as a global economic powerhouse, the uncertain path of Russia towards a market economy, and the integration of ten Central and Eastern European countries into the European Union (EU) have occupied the minds and agendas of many policy-makers, business leaders and scholars from around the world at the end of the twentieth and the beginning of the twenty-first century. Twenty years ago these developments were unimaginable. The impact of these changes is so vast that the importance of understanding the forces that unleashed this process, how these changes became possible, and what the lessons are for other developing countries, cannot be overestimated. This book is the first effort to analyze the economics and politics of agricultural reforms by comparing the reform processes, their causes and their effects across this vast region. The authors draw on a vast set of studies and new data, which compare reforms and economic impacts in more than 25 countries, to come up with a series of conclusions and implications on the role of economic reforms in growth, and the importance of initial conditions and political constraints in explaining the choices that were made and their effects. The book analyzes some of the most successful sets of agricultural policies in history that have lifted people out of poverty, raising productivity and incomes by staggering amounts. At the same time the book explains the reasons behind dramatic failures in policy processes and reforms that caused hunger, poverty and which had devastating effects on economic growth and development for millions of other people. Available in OSO: http://www.oxfordscholarship.com/oso/public/content/economicsfinance/0199288917/toc.html
This paper studies the impact of a regional free trade agreement, MERCOSUR, on technology upgrading by Argentinean firms. To guide empirical work, I introduce technology choice in a model of trade with heterogeneous firms. The joint treatment of the technology and exporting choices shows that the increase in revenues produced by trade integration can induce exporters to upgrade technology. An empirical test of the model reveals that firms in industries facing higher reductions in Brazil's tariffs increase investment in technology faster. The effect of tariffs is highest in the upper-middle range of the firm-size distribution, as predicted by the model. (JEL F13, F15, O19, O24, O33)
The enforcement of contracts is necessary for efficient exchange and investment in economic activities. There are many situ- ations where public institutions are inef- fective in enforcing contracts. This is the case in economies in transition where pub- lic enforcement institutions themselves are being reformed. Under such conditions pri- vate mechanisms could enforce contracts. "External" private enforcement is done by third parties, e.g., strong-arm private agents. Although such enforcement may be effective, it may have unwanted externalities. Alter- natively, "internal" private enforcement can be done through the use of so-called pri- vate enforcement capital, i.e., private losses that result from breaching the contract. These losses result directly from contract termi- nation, or non-renewal, and indirectly from reputational damage. By designing contracts such that these private losses from contract breach outweigh potential benefits, contracts can be made "self-enforcing." In this article we first present a conceptual framework to interpret contracts and to ana- lyze how the use of private enforcement cap- ital can enforce contracts. Then we illustrate such (internal) private contract enforcement mechanisms with several case study exam- ples of agri-business contracting in transition countries where public enforcement fails.
Summary Global retail companies ("supermarkets") have an increasing influence on developing countries, through foreign investments and/or through the imposition of their private standards. The impact on developing countries and poverty is often assessed as negative. In this paper we show the opposite, based on an analysis of primary data collected to measure the impact of supermarkets on small contract farmers in Madagascar, one of the poorest countries in the world. Almost 10,000 farmers in the Highlands of Madagascar produce vegetables for supermarkets in Europe. In this global supply chain, small farmers' micro-contracts are combined with intensive farm assistance and supervision programs to fulfill complex quality requirements and phyto-sanitary standards of supermarkets. Small farmers that participate in these contracts have higher welfare, more income stability and shorter lean periods. We also find significant effects on improved technology adoption, better resource management and spillovers on the productivity of the staple crop rice. The small but emerging modern retail sector in Madagascar does not (yet) deliver these benefits as they do not (yet) request the same high standards for their supplies.