What happens when the market shifts to China? The Gabon timber and Thai cassava value chains

Rapid economic growth in China has boosted its demand for commodities. At the same time, many commodity sectors have experienced declining demand from high income northern economies. This paper examines two hypotheses of the consequences of this shift in final markets for the organization of global value chains in general, and for the role played in them by southern producers in particular. The first is that there will be a decline in the importance of standards in global value chains. The second is that there will be increasing constraints in the ability of low-income producers to upgrade to higher value niches in their chains. Detailed case studies of the Thai cassava industry and the Gabon timber sector confirm both these hypotheses. It remains to be seen how widespread these trends are across other sectors

What happens when the market shifts to China ? the Gabon timber and Thai cassava value chains

Rapid economic growth in China has boosted its demand for commodities. At the same time, many commodity sectors have experienced declining demand from high-income northern economies. This paper examines two hypotheses of the consequences of this shift in final markets for the organization of global value chains in general, and for the role played in them by southern producers in particular. The first is that there will be a decline in the importance of standards in global value chains. The second is that there will be increasing constraints in the ability of low-income producers to upgrade to higher value niches in their chains. Detailed case studies of the Thai cassava industry and the Gabon timber sector confirm both these hypotheses. It remains to be seen how widespread these trends are across other sectors.Environmental Economics&Policies,Food&Beverage Industry,Markets and Market Access,Economic Theory&Research,Labor Policies

What happens in global value chains when the markey shifts from the north to the south?

This paper charts the evolution of financial and economic crisis in the global economy and argues that the likely outcome will be sustained growth in the two very large Asian Driver economies of China and India and stagnation in the historically dominant northern economies. Given the nature of demand in low income southern economies, it is likely to be reflected in sustained demand for commodities, with other southern economy producers in global value chains being forced into lower levels of value added. Standards are likely to be of considerably reduced significance in value chains feeding into China and India. These issues are considered in the light of evidence drawn from the experience of Thai exporters of cassava, and Gabonese exporters of timber

China as a final market: the Gabon timber and Thai cassava value chains

Rapid economic growth in China has boosted its demand for commodities. In many commodities sectors, this has been associated with declining demand from high-income northern economies. This paper examines two hypotheses of the resulting outcomes for the organization of global value chains in general, and for the role played by low income producers in particular—the importance of standards in global value chains, and the space available for low income producers to upgrade into higher value niches in their chains. The detailed case-studies of the Thai cassava industry and the Gabon timber sector both confirm these hypotheses

Exogeneous factors and domestic agency in value chain dynamics : Lessons form the Thai Cassava value chains

EThOS - Electronic Theses Online ServiceGBUnited Kingdo

Industrial Policy in Indonesia: A Global Value Chain Perspective

The gains of a country from participating in global value chains (GVCs) will depend on the productive activities taking place in its jurisdiction and their linkages to the domestic economy. Lead firms’ decision on where to locate and how to coordinate production activities is influenced, among others, by industrial policies. On the one side, policy space provides governments with some leverage in guiding economic activities and influencing development outcomes. On the other hand, policy risks have the potential to adversely affect the outcomes. This study focuses on industrial policies in Indonesia, using the mineral sector as a mini case study. The case study assesses the Indonesian Government’s recent effort to boost domestic value addition in the sector. This paper argues that the effectiveness of government policies in maximizing the gains from GVC participation depends not only on policy design, but also on policy consistency and coherence, effective implementation, and coordination.ADB_Industrial_policy_in_Indonesia.pdf: 393 downloads, before Oct. 1, 2020

China as a Final Market: The Gabon Timber and Thai Cassava Value Chains

Summary Rapid economic growth in China has boosted its demand for commodities. In many commodities sectors, this has been associated with declining demand from high-income northern economies. This paper examines two hypotheses of the resulting outcomes for the organization of global value chains in general, and for the role played by low income producers in particular--the importance of standards in global value chains, and the space available for low income producers to upgrade into higher value niches in their chains. The detailed case-studies of the Thai cassava industry and the Gabon timber sector both confirm these hypotheses.value chains China Thailand Gabon cassava timber