Financing Chain Associations Industry Speaks

industry associations, contribution systems, citriculture, Fundercitus, Agribusiness, Agricultural Finance, Industrial Organization, Marketing,

Alternatives to overcome the main difficulties in the fairtrade certification process: a multicases study of organizations of small producers in Brazil

A valorização de produtos que sejam ecológica e socialmente responsáveis vem fazendo que as certificações no âmbito socioambiental venham crescendo no decorrer dos anos. Isso se reflete na agricultura onde a pressão se dá no sentido de que as produções sejam ambientalmente mais equilibradas e socialmente mais justas. A certificação Fair trade surge como uma das alternativas a essas pressões originárias dos consumidores. Esse modelo de Comércio surgiu como uma alternativa às associações de pequenos produtores rurais em condições econômicas desfavoráveis obterem melhores condições de comércio para seus produtos e assim melhorar o padrão de vida de suas comunidades. Tais desvantagens econômicas podem ser caracterizadas pela maior vulnerabilidade de pequenos produtores a flutuações dos mercados internacionais de commodities, sem acesso a crédito e reservas de capital. Essa falta de oportunidades econômicas por dificuldades de acesso a capital, mercados compradores e informação criam barreiras aos pequenos produtores, o que garante o acesso facilitado a produtores maiores no mercado de exportações. É nesse contexto que se torna uma excelente opção o novo modelo de comércio justo, o Fair trade. No entanto, verificou-se uma dificuldade desses produtores conseguirem tal certificação. Foi realizado então um estudo multicasos em quatro organizações de pequenos produtores já certificadas, a fim de detectar essas dificuldades de se conseguir essa certificação e propor um check list de ações para ajudar outras organizações a se inserirem nesse mercado.The valorization of environmental and social responsible products has resulted in an increase of socio-environmental certification schemes over the years. In agriculture, this reflects on a growing pressure towards an environmentally more balanced and socially fairer production. In this context, fair trade certification comes as an alternative to these pressures that come from consumers. This model of trade has emerged to associations of small farmers in unfavorable economic conditions as an alternative for obtaining better trading conditions for its products and thereby improving the living standards of their communities. Such economic disadvantages include the vulnerability of small producers, with no access to credit and no capital reserves, to fluctuations in the international commodity markets. This lack of economic opportunities due to difficulties in accessing capital, markets and information create barriers to small producers, thus ensuring large producers easier access to the export markets. In this context, fair trade becomes an excellent option. However, it is evident the difficulties of these producers to get such certification. Therefore, a multicase study was carried out in four organizations of small producers which already have the certification in order to detect these difficulties in getting the certification and to propose a checklist of actions that can help other organizations to fit into that market

Financing Chain Associations Industry Speaks

Fundecitrus, an industry association in Brazil which serves as a consortium of orange juice related industries and producers recently created a new contribution model for its organization. The model was developed based upon four pillars: (1) Benchmarking with other associations, both national and international companies. (2) Interaction with the chain community, through questionnaires, a consulting panel and workshops. (3) Formulating a collection model that was more equitable to the participating stakeholders. (4) A management and control system plan for implementing the project. The model was developed by working closely with the Fundecitrus Management Board. This research will be relevant to managers of other trade associations who are interested in restructuring their own contribution model by utilizing a process which can be replicated