1 the value chain approach. 2 strategic goal: strengthen productive capacities to promote...
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The Value The Value chain chain
approachapproach
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Strategic goal:
Strengthen productive capacities to promote sustainable and equitable economic growth.Reduce poverty and food insecurity.
Methodology:Commodity value chain development to enhance competitiveness, flexibility and productivity
Technical assistance & interventions along a
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Major Opportunities:
-Abundance of resources-Market (D&I)
Constraints-Access to appropriate technology-Supply capacity-raw material /finished goods-Quality/-TBT
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• Selection of specific sectors that have comparative advantage
• Grouping of regions (across borders) with commonalities in terms of commodities of economic importance
• Based on feasibility studies, development of business plans for each selected product
• Development of regional master plans for the development of each selected commodity
• Development of regional program/s
Possible Immediate Follow Up Activities:
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• Policies– Regional policy review/development (agricultural policies, investment, trade etc)– Harmonization of national policies with regional requirements
• Institutional Capacity Building– Establishment/rehabilitation of centers of excellence for selected commodities.– Support for the establishment of regional/national quality infrastructure
• Industrial upgrading at the enterprise level– Diagnostic assessments of enterprises in selected sectors– Selection of enterprises with existing potential for growth– Technical assistance to upgrade selected enterprises –technology transfer and
skills upgrading– Creation of backward,forward and horizontal linkages
Potential Programme Focus Areas:
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Stakeholders:
• Policy makers• Support institutions• Individual chain actors
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COMMODITIES
LeatherTextile
WoodMachines
Food
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Possible interventions along a commodity value
chainRaw materials Processing 1,2,3
etcMarket
Capacity to supply
Quality
Agricultural policies
Agricultural inputs
Water resource
management
Agricultural tools/machiner
y
labor
Outputs
Inputs
Capacity to supply
Quality
competitiveness
Investment policies
Manufacturing inputs
New product development,
product diversification,by product utilization
(COE’s)
Management skills
Technical skills
Appropriate technologies
Meet specific regulations HACCP
Access/develop markets
Increase market share
Aggressive promotion of
products
Niche market identification
Trade policies
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Connect to the markets
Developcompetitive
manufacturingcapability
Prove conformity with
market requirements
Compete Conform Connect
MA
RK
ETS
PR
OD
UC
TS
Productdesign and
development
Techno-economic
assessments
Technologycentres
Demonstrationunits/operations
Examples of possible interventions
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Productdesign and
development
Techno-economic
assessments
Technologycentres
Demonstrationunits/operations
• Value creation• Enhancing quality of industrial products• Effective communication of product
values to consumers
Definition:
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Services:
• Introduction and promotion of products featuring market requirements (food, leather, textiles)
• Improve market access and competitiveness• Adapting/developing products to consumer needs
Productdesign and
development
Techno-economic
assessments
Technologycentres
Demonstrationunits/operations
Productdesign and
development
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• Value addition• Lower share of rejects and higher value • Upgraded marketing capabilities resulting in
an increased number of products and increased participation in global trade
• Farmers/entrepreneurs have access to efficient and quality agricultural equipment
Results:
Techno-economic
assessments
Technologycentres
Demonstrationunits/operations
Productdesign and
development
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Definition:
Physical and intellectual facilities
• specialized on given industrial activities • capable of identifying and transferring
appropriate manufacturing techniques;• providing technical assistance;• generate and disseminate technical
information;• rendering specific services (e.g.
laboratory testing and quality assurance) and
• imparting training.
Techno-economic
assessments
Technologycentres
Demonstrationunits/operations
Productdesign and
development
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• Support and advice on technology-related analyses to identify technical choices and related development options and related policies and strategies
• Capacity building in the agro industry and related institutions
• Establishment and/or strengthening of professional education and training institutes
Techno-economic
assessments
Technologycentres
Demonstrationunits/operations
Productdesign and
development
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• Reveal features, advantages and benefits of the proposed technology;
• Exhibit (pre)conditions and infrastructural requirements for adopting or adapting the transferred technology;
• Provide prospective users with factual and authentic information and example(s).
• Demonstrate sound enterprise and business management practices.
Techno-economic
assessments
Technologycentres
Demonstrationunits/operations
Productdesign and
development
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Results:
• Enhanced product value chain • Improved technical skills • (Sub)sectoral training and support centers • Innovative technologies transferred
Techno-economic
assessments
Technologycentres
Demonstrationunits/operations
Productdesign and
development
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Services:
• Technology upgrading and product quality improvement;• Assistance and advice on modern technologies • Introduction of improved technology, smoother production
flow, improved quality, upgraded skills • Process optimization contributing to reduction of pollution,
waste minimization and by-products’ utilization • Advisory services to promote and develop the Agro
Machinery Industrial System (AMIS) • Establishment or strengthening professional (trade)
associations
Techno-economic
assessments
Technologycentres
Demonstrationunits/operations
Productdesign and
development
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Results:
• Improved processing technologies • Optimized processes • Improved technical skills • Higher level of value-added, sustainable use of natural resources;• Rural artisans/blacksmiths produce standardized equipment
responding to local needs;• Upgraded production methods for enhanced productivity;• Generation of employment and income in remote rural areas for
vulnerable groups.
Techno-economic
assessments
Technologycentres
Demonstrationunits/operations
Productdesign and
development
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Definition:
• Evaluation of competitiveness• Determining baseline data• Establishing feasibility of development
programmes or investments• Analyzing global trends• Conducting techno-economic surveys
Techno-economic
assessments
Technologycentres
Demonstrationunits/operations
Productdesign and
development
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Applications:
• Assessment of food industries• Assessment of textile and garment industries• The UNIDO Leather and Leather Products Industry Panel • Wood industry advisory expert group.
Techno-economic
assessments
Technologycentres
Demonstrationunits/operations
Productdesign and
development
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Sectoral coverage:
• FoodFood processingprocessing• Agricultural machineryAgricultural machinery, tools and
chemicals production and supply;• Fiber processing (technology):
• Textile Textile and garment industry;• LeatherLeather processing and leather products
(footwear, leather goods, gloves, leather garment, sports goods) manufacturing;
• WoodWood and non-wood forest products manufacturing (including paper and pulp);
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FISHERIES IN LAKE VICTORIA
Food Unit
Example
Example
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Post harvest system in the food sectorMachineryUnit
Agro
-
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DRYING FRUITS AND VEGETABLES IN BURKINA FASO
Food Unit
Example
Example