Poster presented at Tropentag 2011 - Development on the Margin. Bonn (Germany), 3-7 Oct 2011

Garming, H.

Grote, U.

Martínez, L.

English

CGSpace

Analysis of marketing systems on traditional bananas and plantains in Peru  Lisandra Martínez*, Ulrike Grote* and Hildegard Garming** * Institute for Environmental Economics and World Trade; ** Bioversity International     The authors are grateful for financial support from the GIZ (Deutsche Gesellschaft für Internationale Zusammenarbeit) and DAAD (Deutscher Akademischer Austauschdienst) Introduction •Project to improve commercialization of bananas and plantains (Musa) in agroforestry (AFS) systems in Peru •Small farmers produce Musas using low inputs in traditional mixed cropping systems  Objectives  Data & Methodology  Upgrading options  Results Figure 1: Value chains map of traditionally produced Musas   Data collected between Sep. – Oct. 2010 through interviews with agents from the VC: • 39 farmers from two production areas: Pichanaki and San Luis • Intermediaries(4 rural gatherers, 7 semi-wholesalers, 4 truck drivers, 17 wholesalers) • 14 retailers and 48 consumers from final markets Conceptual framework • Value Chain Analysis and transaction cost approaches    - To analyze the value chain and to describe TC of the sector    - Linear regression analysis on the household`s profit    Volumes appropriate to commercialize and a better negotiation position of producers through collective action (Horizontal coordination)  • Selling more directly to high value markets (supermarkets) might be profitable (Functional upgrading). Supermarkets are interested in buying more directly from producers. •Promotion of traditional varieties (Product upgrading) indicating origin and production techniques • Enhance production of traditional varieties that have better prices demanded by retailers (process upgrading) •To assess the impact of Musa cultivation on small farmers´ income •To identify and compare value chains (VC) for Musa •To identify and analyse transaction costs in order to evaluate their impacts on small producers’ profits •To find potential markets through chain upgrading strategies       Conclusions Transaction costs (TC) in the banana and plantain sector The role of traditional Musa for small producers •100% have a mixed cropping system: 82%  coffee + Musas and   the other 18% citrus + Musas •Six different varieties are produced • Musas are consumed by the household • 88% answered that Musas are important because they are   constant income to maintain the household •For 77% of the producers, income from Musa amounts to less than     25% of the income from crops and are secondary crop, and for 23% it is more than 25%      Value chain analysis of Musa Linear regression analysis on the household`s profit •The monthly sale of Musa contributes to maintain the household`s income between the annual harvest of the main crop •Transaction costs in the Musa Peruvian VC differ depending on the level of the chain •Selling in the long distance chain (VCP) is more profitable for farmers  •Producers `profits decrease with poor road infrastructure and a small number of buyers visiting the communities •A long term relationship between producer and buyer results in lower profits since farmers trade-off prices for a secure sale •Higher profits are obtained by producers that are paid right after the transaction 

Analysis of marketing systems on traditional bananas and plantains in Peru

Poster presented at Tropentag 2011 - Development on the Margin. Bonn (Germany), 3-7 Oct 201

https://cgspace.cgiar.org/bitstream/10568/67523/1/Martinez_analysisofmarketing.pdf

Analysis of marketing systems on traditional bananas and plantains in Peru

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