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This article highlights the results of an action research to upgrade mountain farmers of bay leaf (Cinnamomum tamalaNees and Eberm) in Udayapur district of Nepal. Farmers received low prices, lacked market information, capacities, and institutional mechanisms, and were exploited by traders. To address these constraints, three independent but interlinked pro-poor value chain (VC) upgrading strategies comprising VC coordination upgrading and horizontal and vertical contractualization were implemented. Information was collected from focus-group discussions with collectors, traders, and facilitators, and a questionnaire was used to collect pre- and postintervention data (n = 120). VC upgrading strategies improved harvesting practices, increased farmers’ bargaining power, and led to a threefold increase in price, which increased household incomes. Results demonstrated improved terms of participation of farmers and a general increase in market price of bay leaf in Udayapur. The study approach can be up scaled to reduce poverty from high value products. [ABSTRACT FROM AUTHOR]

This article presents the findings of a study that analysed the Indian Bay Leaf (Cinnamomum tamala) Nees and Eberm value chain (VC) in Uttarakhand, India and Udayapur, Nepal. The results show that bay-leaf VCs are loosely integrated and consist of stakeholders with asymmetrical power relations and different priorities. Traders in India dominate the chains and inappropriate standards lead to the exploitation of small producers and inequity in the chain. Policy measures are suggested for improving co-ordination and competitiveness in the bay-leaf VC which could be applied to the NTFP sector as a whole. [ABSTRACT FROM AUTHOR]