Program Design and Implementation Workshop, Dakar, 1-3 December 2010 Developing the Capacity of Value Chains and of Value Chain Promotion Andreas Springer-Heinze, GTZ Germany

What do we mean by capacity ? … and what does it refer to? The tasks of capacity development ahead Contents 1 2 … and how to achieve them What do we need to do? 3

What do we mean by capacity ? First, it refers to the value chains being supported 1 Capacity of value chains to perform Organized market linkages between farmers, food industry and trade Coordinated investment of producers and buyers Provision of public infrastructure in line with private sector needs Agreed grades and standards, shared market information …driven by consumer market demand This involves two aspects of value chain capacity a) Linkages and coordination of the VC b) Ability of (individual) VC operators to perform their roles and tasks

What do we mean by capacity ? Second, it refers to the capacity to promote value chains 1 There are (again) two aspects of capacity a) Existing support structures – policies, coordination platforms, services b) Ability and expertise of (individual) operators and supporters to perform their roles in chain upgrading Capacity to promote investment and development of VCs Political commitment of Government & donors to investment plans Existence of platforms for collaboration of operational actors in each VC Available services of facilitators and technical specialists …driven by the needs of the value chain actors and actively used the farmers and VC business community

The tasks of capacity development ahead 2 Develop the competence of the VC operators to… …understand value chains – markets, linkages, opportunities and constraints …perform better, more efficiently in production, processing, marketing …coordinate the investments along the value chain …work on their linkages and contracts Define the roles of actors (Government / Private Sector / Civil Society / Donors) Create institutional arrangements for coordination and facilitation (interprofession, platforms for coordination, associations of enterprises or others) Create coordination (and promotion) mechanisms for value chains …understand value chains – markets, linkages, opportunities and constraints …promote value chains (enabling, incentivizing and sustaining change) …facilitate and accompany …consider issues of poverty alleviation, gender and nutrition …work on areas of conflict and trust building Train value chain promoters to…

So: What do we need to do? 3 Centers of excellence at country level for promoting value chains National and regional networks of value chain specialists and trainers 4 In the medium term: Build know-how organizations for VC promotion In all aspects of VC analysis and development strategy In training skills 2 Conduct training of trainers / VC specialists Determine and who does (or should do) what in developing VCs Determine the knowledge and skills needed Contents of training and advisory work 1 Determine capacity development needs on how to plan and implement VC promotion activities 3 Conduct training of public as well as private VC practitioners