Institute for Technology and Resources Management in the Tropics and Subtropics VALUE CHAIN ANALYSIS FOR DECISION-MAKING ON THE MOUNTAIN AND NORTHWEST RURAL REGION OF THE STATE RIO DE JANEIRO, BRAZIL Master’s Thesis Colloquium Juliana Minetto Gellert Paris Supervisor Prof. Dr. Sabine Schlüter 01 October 2015 LIST OF TOPICS 1. 2. 3. 4. 5. 6. 7. 8. 9. Introduction Objectives State of the Art Research Areas Methodology Results and Discussion Coffee Results and Discussion Horticulture Recommendations Key Messages INTRODUCTION • • • • • INTECRAL Project WP 2 - Good agricultural practices and Participate Planning Sustainable Rural Development Value Chain Analysis Rio de Janeiro (demand > production) Coffee Value Chain Northwest Horticulture Value Chain Mountain Photos taken by the author OBJECTIVES Identify: Bottlenecks hindering development, misalignments in value chains Value Chain Analysis Quantitative and Qualitative Approach Governance: Insights into the decision making targeting vulnerable groups Opportunities for improvement, adequate technologies STATE OF THE ART Family Farming Value Chain Analysis (VCA) Seed suppliers Farmers Traders Processors Exporters/Impor ters Retailers Consumers Source (IBGE, 2006) Adapted from Hellin & Meijer, 2006 RESEARCH AREAS Value Chain B: Horticulture Source: INTECRAL Project (unpublished), 2015 Value Chain A: Coffee METHODOLOGY: METHODS Institutional Set-up Analysis Input / Output Market Analysis Demand Profile Analysis Socioeconomic Analysis Functional Analysis Economic Analysis VCA Value Chain Analysis for policy making (Bellú, 2013); Guidelines for value chain analysis (Hellin & Meijer, 2006) FAO tools for decision-making, published by the EasyPol Market Map Framework METHODOLOGY: TOOLS AND INSTRUMENTS VCA Sampling Collection Methods • • • • • • • • • • • • Farmers Intermediaries (middleman) Wholesalers & Retailers Processing plants Cooperatives Institutions, governments and other organizations Data Analysis • • • • 6 analytical steps (Bellù, 2013) Wizard (2015) UNSTATS (EU-commission 2011) Lucid Chart (2015) Literature review Stakeholder expert’s consultation Fieldwork Participant observation Semi-structured interviews Focused group meetings (COGEMs) • Questionnaires Bellù (2013); Hellin & Meijer (2006); Bockel & Tallec (2005); Gilbert (2005) RESULTS AND DISCUSSION: COFFEE 450 400 16 15 14 350 300 13 12 250 200 11 10 150 100 9 8 Harvested Area (ha) 2012 2010 2008 2006 2004 2002 2000 1998 1996 1994 1992 50 Production (thousand bags of 60kg) (IBGE, 2015e; FAERJ, 1999) Total production K bags (60kg) 18 17 1990 Thousands Total Harvested area (ha) THE FLUMINENSE’S COFFEE INSTITUTIONAL SET-UP AND MARKETPLACE • Labor and Environmental Laws – Sharecropping • Farmer’s Association – Politics and Deception • COOPERCANOL – COGEM TECHNOLOGY – FUNCTIONAL ANALYSIS ECONOMIC RESULTS 42% 28% 13% 14% 6% -3% Boa Ventura Degredo MB1 Santa Cruz I (=MB2) Roaster Broker RESULTS AND DISCUSSION: HORTICULTURE FLUMINENSE’S HORTICULTURE Source: CEASA-RJ Data information Centre of the State Rio de Janeiro (2004) IN Seabra & Marafon DEMAND & SUPPLY SYSTEM Photos taken by the author and M. Paris HORTICULTURE MARKET AND OPPORTUNITIES Street Market Vale Verde Tuttifruti COOPFEIRA Ceasa Mercado Produtor Nova Fribrugo Ceasa Grande-Rio Organic Producer Conventional Producer $0.50 beetroot parsley Chinese Cabbage Photos taken by the author $5.50 $10.50 $15.50 Lettuce Green bean Cauliflower $20.50 Tomato ECONOMIC RESULTS Specialized retailer distributor 44% Mini-processing Middleman Small wholesale trader 37% 2% 1% CEASA trader 11% Organic Producers 2% Average conventional Producer 2% RECOMMENDATIONS KEY MESSAGES • Vulnerable Groups: Rio Onça; Barracão dos Mendes and Santa Cruz • Modernize commercialization • Facilitate access to technology - minimum threshold • Equalization of wealth – reasonable distribution of value added • Governance – coordination and organization