Can
value chain fill the “hole”
in the agricultural system of production?
Imagine
the wide hole present in the agricultural system of production. Could you
believe that few out of many small scale producers managed to access financial
services under a harsh condition while many are not privilege at all? May be if
these small producers have gain access to financial services, there would have
been food surplus or the opposite.
Has any
nation experienced growth without effective system of production? Isn’t it,
that’s why efforts has been geared for inclusion of small scale producers in
the agric-value chain world wide
It will be a shock to you that these “hole” is
liken to the wide gap and challenges facing small scale producers to better
provide quality services and increasing their productivity. Only the fat and
wide leg producers can successfully jump over the hole, meeting the
necessary requirement and receive support from different institutions and donors
thereby controlling the market.
Value chain can be said to be the entire and whole
production of system of certain goods and services which comprises of chain
actor and supporters to ensure quality production of goods and services.
With the
inclusive value chain, do small holders enjoy the same services the large scale
producers enjoy? Yes, of course,
small scale producers can now have access to financial service and other
services which the big “LP” (large producers) has. This is made possible through the system I
called “Made it easy” which is known
as value chain (VLC)
.
The bottleneck
for small agricultural producer like collateral securities, trust between the
producers and the financial institutions, rigid standards policies, guarantor
etc are been made easy through value chain system. Fin4Ag International Conference 2014 is organized to look in-depth of how the whole
entire actors in the value chain system can benefit from this effective
strategies which not only consider the financial aspect but the sustainability
of production in the agriculture system.
Follow me as I look at how value chain can be sustained…
Sustainability of value chain
“Nothing
can be made possible without commitment” Every actors either
chain actors or chain supporters in its respective functions must be dedicated
to allow the system to be sustained along with quality of research. Deepening
the value chain will help identify and find means to the constraints of the
system and better propose a model that will fit into it.
Here is
the few significance
of value chain in the agricultural production;
o Faster response to threat
o Better quality of agriculture products
o Easy access to financial services
o Access to information
o Access to input credit
o Easy access to market
o Reduction in cost of production
Despite
of the highlighted benefits above, value chain system in the agricultural
setting still need more attention by various stakeholders to help the small
holders in agriculture sector to jump over the present hole and help meet the high standards policies of the
financial institution.
However,
the big actors for the sustainability of agriculture value chain are the
financial institutions and the policy makers. What
do you think?
Cheers!!!!
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