Using the participatory market chain approach to help smallholder farmers market their produce
Type: Approaches
Creation: 2015-08-24 00:00 Updated: 2017-07-07 10:47
Compilers: Shreedip Sigdel
Reviewers: Fabian Ottiger
Country/ region/ locations where the Approach has been applied
- Country: Nepal
- Further specification of location (e.g. municipality, town, etc.), if relevant: Bhalam and Dhikurpokhari VDC, Kaski District,
Description of the SLM Approach
Short description of the Approach
Discussions and structured interactions between farmers and the different actors involved throughout the market chain can help to stimulate joint innovations based on shared ideas and mutual trust.
Detailed description of the Approach
Aims / objectives: Most Nepalese rural smallholder landowners are subsistence farmers; when they attempt to produce high value crops such as vegetables for income generation they are often disappointed because they end up selling their produce at local markets for marginal profits. They mostly work alone and, for the most part, their efforts are poorly rewarded, since every step of the value chain is either unmanaged, badly structured, or otherwise uncoordinated. A first step towards addressing the myriad challenges and special needs faced by these smallholder farmers can be to use an adapted version of the participatory market chain approach (PMCA). This approach can help them to improve their livelihoods by building their capacity and assisting them to coordinate and form linkages with other smallholder producers and actors all along the market chain.
Methods: The participatory market chain approach uses the tools of rapid market assessment, focus group discussions, stakeholder interviews, and interaction workshops to help identify the constraints and opportunities faced by each of the different actors in the market chain. This approach uses a set of guidelines to help achieve well-defined objectives at specific points as the programme is implemented.
Stages of implementation: Overall, the long-term objective of the PMCA is to help alleviate the poverty of smallholder producers by introducing market chain innovations, and in particular participation and collaboration among the different market chain actors. Once a given set of conditions is found to work, they can benefit a larger number of farmers if the findings are documented and disseminated among organizations and agencies who share the same goals.
The PMCA approach is executed in three phases:
Phase 1: The different actors along the market chain get to know each other. They analyse their situation with the help of market chain sketch tools. By the end of Phase 1, they form a thematic group.
Phase 2: The group analyses potential business opportunities by using a variety of tools such as: rapid market appraisal, quantitative market survey/study, and focus group discussions.
Phase 3: They put into practice the work plan that they have devised to implement the proposed innovations and continue to work on ideas for commercially viable products using the market concept and business plan development tools.
Photos of the Approach