1. Rural Income Promotion Programme (621MG) Analanjirofo region (Madagascar) Source: PPRR Madagascar Country Programme: Case Study Director: Benoît Thierry, IFAD Country Programme Manager Editor: Emeline Schneider, Institut Supérieur Technique d’Outre Mer August 2007 LYCHEE COMMODITY CHAIN

2. Agriculture in Madagascar Rural inhabitants represent 70% of Madagascar’s total population: 80% of the population live below the poverty threshold. Rice production is still farmers’ main activity. Products exported from the east coast – vanilla, lychees, cloves, coffee – increase farmers’ incomes. During the lean period, lychees represent a key source of income for rural households. It is estimated that lychee production involves 20,000 to 30,000 farming families spread over 800 km along the east coast. (AVSF, 2005) Source : AVSF, 2005

3. Malagasy lychees Madagascar is the main world exporter to Europe. The Malagasy lychee is the earliest on European markets at the end-of-year period. Conditions are ideal on the east coast, with fresh, deep soils composed of alluvial deposits. Lychee production is estimated at 25,000 to 35,000 tonnes from an estimated area of 5,750 ha. (AFDI-Drômes, 1994). Source: PPRR

4. Production is still dependent upon gathering. Lychee trees on the east coast receive little maintenance. Since 2005, the Rural Income Promotion Programme (PPRR) has been working with farmers and technical centres to improve the quality and yield of this commodity chain. Source: PPRR Rural Income Promotion Programme

5. Support from the PPRR The programme stresses production techniques (layering, fertilizing) and also supplies lychee seedlings to renew aging orchards. The PPRR helps farmers to organize the harvest season (November to January), which involves many actors. It is also involved in steps to obtain fair trade certification, in collaboration with Agronomes et Vétérinaires sans frontières (AVSF). It encourages producers to respect good agricultural practices and is seeking EurepGAP certification (hygiene, producers’ working conditions etc.)

6. Organization of harvesting A major part of production is sold to collectors on the tree before harvesting. The trees are scattered and far from collection centres, and much of the fruit is therefore not harvested, especially in the wild. Lychees are a perishable product that must be processed quickly (by sulphuration) Lychees must be conveyed to Exporters quickly (within 24 hours). Sulphurated lychees (source: Max Havelaar, France) Importers’ standard: A healthy fruit, with a minimum diameter of 30 mm. Sulphur residue: 250 mg/kg of dry matter in the shell, 10 mg in the pulp.

7. CHART OF ACTORS AND PRODUCE FLOWS IN THE LYCHEE COMMODITY CHAIN: ANALANJIROFO REGION SUPPORT PROGRAMME (PPRR) MINISTRY OF AGRICULTURE, LIVESTOCK & FISHERIES TECHNICAL CENTRE (CTHT) PRODUCERS (PLANTERS/ GATHERERS) + SEASONAL WORKERS LOCAL COLLECTORS INTERNATIONAL MARKET LOCAL MARKETS WHOLESALE DISTRIBUTORS DOMESTIC MARKET COLLECTORS EXPORTERS PROCESSORS 90% 10% 8% 2%

8. Lychees: graph of prices for Toamasina (Analanjirofo region) Source: Technical and Economic Information Center (CITE) Prices vary considerably from year to year and within the same season. Prices are set by importers.

9. Conclusion Lychees can be shipped, are easy to produce and consume, and are appealing to the eye: they hold promising potential for producers on the east coast. Technical support helps lychee planters improve quality and productivity. Establishing good agricultural practices (EurepGAP) will ensure consumers a healthy product that is harvested and processed under sound conditions. Note: application is being made for the inclusion of Malagasy lychees in the list of fair-trade products under the Max Havelaar label.