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Value Chain Enhancement
Katie Beckett Ph t T d Af iPhytoTrade Africa
Session Objective
Sharing lessons learned and providing best fpractice examples of BioTrade and
biodiversity‐based value chains in Africa, Asia and Latin American, including the integration
of climate change initiatives and theof climate change initiatives and the importance of funding support.
Session Content
• Introduction to BioTrade value chains
• Industry focus • Personal care industry• Personal care industry • Food industry • Pharmaceutical industry• Pharmaceutical industry • Fashion industry
• Value chain carbon footprints
• Funding opportunities
PhytoTrade Africa • Membership‐based trade association in Southern Africa
• Nine member countries and approximately 60 members
Obj ti• Objective
To help grow Southern Africa’s natural product industry while ensuring its long term sustainability and the sharing of benefits in a fair and equitable manner.
l d h h l h d l d d l dFacilitated through supply chain development, product development, and market access and development to meet regional and international market
requirements.
• Five Pillar Strategy
• Value chain enhancement
• Grassroots up benefit sharing model• Grassroots‐up benefit sharing model
Value Chains
• The process by which primary resources are received as inputs, value is added by various processes and actors, and the resulting product is sold in h d i d kthe designated market.
• Value chain analysis: Key actors, roles and responsibilities, points of value dditi l t l d d k t b i d k t taddition, regulatory landscape and market barriers, end market customers
• Identification of supply capacity, gaps in competitiveness and efficient routes to k tmarket
• Promotional Strategies Strengthen business capacity and linkages Public‐private partnerships Access to finance Enhanced quality standards Market access
Devil’s Claw slices drying
Roles and responsibilities of value chain actors
Roles and Responsibilities – Cosmetic oil value chain
• Gather fruits • Gather fruits
Crude Oil (Euro X) Purified Oil (Euro 3X)
Gather fruits• Drying and storing (de‐pulping) • Decorticate nuts • Sorting, bagging, storage
Gather fruits• Drying and storing (de‐pulping) • Decorticate nuts • Sorting, bagging, storageg, gg g, g
• Collection and quality control• Press oil • Basic QC
g, gg g, g• Collection and quality control• Press oil • Basic QC
• Store oil in drums• Export
• Store oil in drums• Export
• Filter oil • Additional QC and specifications• Traceability issues
d l iAll additional roles
• Returns and complaints• Losses and insurance • DocumentationN t ( d d )
require appropriate skills and capacity and funding
• New customers (more demands)• Marketing and sales • Wide distribution
Value Chain Enhancement
• Enhancement = Value addition = moving producer groups up the value chain to points to higher and more secure return
• Retain value addition in source country
• Artisanal to industrial production
• Research & Innovation and principles of Access and Benefit• Research & Innovation and principles of Access and Benefit Sharing
• Technology transfer, sharing of research results, training programmesprogrammes
• Enhance value addition opportunities
• The role and accessibility of certification
• Product and customer diversification – diversified value chainsProduct and customer diversification diversified value chains
Potential Benefits of Value Chain Enhancement • Poverty reduced• Poverty reduced
Greater supplementary incomes
Improved livelihood of poor rural communities
Income from INPs often includes women groups and Associations
• Biodiversity conservation
Sustainable use of biodiversity
Community protection of resource
Climate change resilience – carbon project initiatives C ate c a ge es e ce ca bo p oject t at es
• Economic Growth
Business capacity growth and technology transfers Business capacity growth and technology transfers
Growing BioTrade sector
Creation of jobs
• Export Promotion
Export of value added products
Build robust commercial relationships
Session speakers p
Speaker Company/ Organisation TopicSpeaker Company/ Organisation Topic
Rosie Akester The Body Shop Personal care ingredients from Africa
Ta Minh Son BioTrade Programme Vi t /H l t
Pharmaceutical sector in Vietnam Vietnam /Helvetas
Rossella Ravagli / Filippo Nishino
GUCCI Python skins from Asia in the fashion industry
Aaban Butt ITC Carbon footprints in value chain context
Christoph Inauen Chocolats Halba Linking cocoa farmers to a chocolate p gfactory
René Gómez-García Palao
CAF Funding to enhance value chainsGarcía Palao