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This applied research is an attempt to analyse the effectiveness of milk marketing and facilitate developing a sustainable milk value chain for dairy farmer’s groups in Punakha district. Both quantitative and qualitative methods of survey, key informant interviews and focus group discussion were used as research strategies to obtain relevant information. The survey was conducted using both open and closed-ended structured questionnaire in seven subdistricts of Barp, Dzomi, Guma, Kabisa, Shelnga-Bjemi, Talog and Toedwang. A total of 60 respondents; 30 existing milk suppliers and 30 non-milk suppliers were drawn using a simple random sampling technique. One-to-one interviews were conducted following semi-structured questions with eight key informants in the chain. One focus group interview was conducted with the existing dairy farmer groups representatives to triangulate and discover in-depth information about the situation of the milk value chain in the district. The survey data was analysed using the Statistical Package for Social Sciences software version 20. A method of grounded theory design was used to analyse the qualitative data of interviews and focus group discussion. Value chain mapping was employed for assessing the operational situation of the current milk chain. The mean cost of milk production was estimated at Nu.27.53 per litre and the maximum expenses were incurred in animal feeds which were estimated to be 46.34% of the total cost of milk production. In this study, milk producers had the highest share of added value and profit which were estimated at 45.45% and 44.85% respectively. Limited information and coordination amongst stakeholders have contributed to slow progression in the formal milk market. The finding reveals that 90% of nondairy farmer groups respondents were interested in joining formal milk marketing. The average morning milk available for supply from this group would be 4.41 ± 3.07 litres daily by each household. The study also found that 50% of the respondents were interested in supplying evening milk with an average of 4.43 ± 2.25 litres per day per household. Based on the result of this study, it was concluded that there are possibilities of expanding the milk value chain in the district. However, there is a need to enhance consistent milk supply through a quality-based milk payment system, access to reasonable input supplies, and facilitate strong multi-stakeholder processes along the milk value chain.

Studenten van Hogeschool Van Hall Larenstein enquêteerden ruim 100 biologische bedrijven over werken in een korte keten. De deelnemers behalen met plezier goede resultaten. De verkoopprijzen zijn vaak lager dan in de natuurvoedingswinkel. Met het vertellen van het verhaal van de producten blijkt veel te winnen. Wat zijn succes- en faalfactoren in de biologische korte keten?

Studenten van Hogeschool Van Hall Larenstein enquêteerden ruim 100 biologische bedrijven over werken in een korte keten. De deelnemers behalen met plezier goede resultaten. De verkoopprijzen zijn vaak lager dan in de natuurvoedingswinkel. Met het vertellen van het verhaal van de producten blijkt veel te winnen. Wat zijn succes- en faalfactoren in de biologische korte keten?

Studenten van Hogeschool Van Hall Larenstein enquêteerden ruim 100 biologische bedrijven over werken in een korte keten. De deelnemers behalen met plezier goede resultaten. De verkoopprijzen zijn vaak lager dan in de natuurvoedingswinkel. Met het vertellen van het verhaal van de producten blijkt veel te winnen. Wat zijn succes- en faalfactoren in de biologische korte keten?

Banana is an important commercial fruit crop for smallholder farmers in Arba Minch, southern Ethiopia. However, its sector is experiencing many constraints and limited attention given to productivity and marketing. Therefore, this study was conducted to analyze the banana value chain in order to identify constraints on productivity and marketing, and possibilities of improvements towards a sustainable value chain in Arba Minch. Data were collected through a survey, key informants’ interviews, and focus group discussions. Different analytical and statistical tools were used for data analysis. Results describe actors, supporters, and influencers of the existing banana chain. The current banana chain has three different distribution channels in Arba Minch. The channel that connects with rural consumers has the highest value share for farmers while the channel that includes traveling traders has the lowest value share for farmers. The marketing cooperative channel has an intermediate value share for farmers in the chain. Poor agronomic practice, diseases, pests, and climate change were the major constraints for the banana yield while limited market information, lack of cold store and refrigerated trucks, poor post-harvest handling, lack of alternative markets, and weak capacity of cooperatives were the main constraints for banana marketing in Arba Minch. Economic, social and environmental indicators have a moderate sustainability performance within the Ethiopian context. The chain has an advantage in terms of profitability, employment, emission of air pollutants and constraints in terms of coordination, value share, profit margin, market diversity, product and market information, transportation, waste management, and safety and hygiene.

Banana is an important commercial fruit crop for smallholder farmers in Arba Minch, southern Ethiopia. However, its sector is experiencing many constraints and limited attention given to productivity and marketing. Therefore, this study was conducted to analyze the banana value chain in order to identify constraints on productivity and marketing, and possibilities of improvements towards a sustainable value chain in Arba Minch. Data were collected through a survey, key informants’ interviews, and focus group discussions. Different analytical and statistical tools were used for data analysis. Results describe actors, supporters, and influencers of the existing banana chain. The current banana chain has three different distribution channels in Arba Minch. The channel that connects with rural consumers has the highest value share for farmers while the channel that includes traveling traders has the lowest value share for farmers. The marketing cooperative channel has an intermediate value share for farmers in the chain. Poor agronomic practice, diseases, pests, and climate change were the major constraints for the banana yield while limited market information, lack of cold store and refrigerated trucks, poor post-harvest handling, lack of alternative markets, and weak capacity of cooperatives were the main constraints for banana marketing in Arba Minch. Economic, social and environmental indicators have a moderate sustainability performance within the Ethiopian context. The chain has an advantage in terms of profitability, employment, emission of air pollutants and constraints in terms of coordination, value share, profit margin, market diversity, product and market information, transportation, waste management, and safety and hygiene.

This applied research is an attempt to analyse the effectiveness of milk marketing and facilitate developing a sustainable milk value chain for dairy farmer’s groups in Punakha district. Both quantitative and qualitative methods of survey, key informant interviews and focus group discussion were used as research strategies to obtain relevant information. The survey was conducted using both open and closed-ended structured questionnaire in seven subdistricts of Barp, Dzomi, Guma, Kabisa, Shelnga-Bjemi, Talog and Toedwang. A total of 60 respondents; 30 existing milk suppliers and 30 non-milk suppliers were drawn using a simple random sampling technique. One-to-one interviews were conducted following semi-structured questions with eight key informants in the chain. One focus group interview was conducted with the existing dairy farmer groups representatives to triangulate and discover in-depth information about the situation of the milk value chain in the district. The survey data was analysed using the Statistical Package for Social Sciences software version 20. A method of grounded theory design was used to analyse the qualitative data of interviews and focus group discussion. Value chain mapping was employed for assessing the operational situation of the current milk chain. The mean cost of milk production was estimated at Nu.27.53 per litre and the maximum expenses were incurred in animal feeds which were estimated to be 46.34% of the total cost of milk production. In this study, milk producers had the highest share of added value and profit which were estimated at 45.45% and 44.85% respectively. Limited information and coordination amongst stakeholders have contributed to slow progression in the formal milk market. The finding reveals that 90% of nondairy farmer groups respondents were interested in joining formal milk marketing. The average morning milk available for supply from this group would be 4.41 ± 3.07 litres daily by each household. The study also found that 50% of the respondents were interested in supplying evening milk with an average of 4.43 ± 2.25 litres per day per household. Based on the result of this study, it was concluded that there are possibilities of expanding the milk value chain in the district. However, there is a need to enhance consistent milk supply through a quality-based milk payment system, access to reasonable input supplies, and facilitate strong multi-stakeholder processes along the milk value chain.

The city region of Rotterdam is located in the western part of the Netherlands, bordering the North Sea. It contains the municipality of Rotterdam and several neighbouring municipalities, with about 1.2 million inhabitants. Rotterdam hosts Europe’s largest sea port as well as a large (inland-oriented) river port. Shipped through the ports into Europe (by barge, rail or lorry) are goods including food (e.g., exotic fruits and vegetables, juices, rapeseed and palm oil) and feed products (soybeans, grains, tapioca).

Driven by rapid urbanization, economic growth, and changes in consumption patterns, food chains in emerging and developing economies are experiencing a fundamental transformation process. This transformation is usually characterized by increased vertical coordination, growth of modern distribution channels (e.g. supermarkets), consolidation of retail markets, and an increase in export orientation. The rapid growth in demand of modern food with higher quality and safety attracts multinational enterprises to invest in agriculture and food processing in emerging economies. The appearance of multinationals in the food systems of developing countries has been claimed to have a positive impact on economic development and reduction of poverty. The multinationals have adopted modern supply chain management practices for securing a large volume and consistent supply of high quality products. They introduce new technologies that boost productivity and post-harvest management for product upgrading. While so far most research on the modernization of food systems has focused on export chains, there is growing interest in the transformation of domestic and staple food chains. Upgrading domestic food chains is needed for a more efficient supply to fast growing urban markets and to sustain access to affordable food for the rapidly growing urban consumers in sub-Saharan Africa. As domestic food value chains are more inclusive than high-value export chains, upgrading these food chains can contribute more to poverty reduction and food security. However, much remains to be understood about the process of modernization in domestic food chains and its implications for rural development. The overarching aim of this dissertation was to deepen our understanding on how organizational innovations facilitate modernization of domestic food chains using case studies from the Ethiopian barley sector. In particular, the thesis examines the effectiveness and impacts of foreign direct investments (FDI), contract farming arrangements (CFAs), producer organizations (POs), and partnerships on the upgrading of malt barley value chains and welfare of local suppliers. To address this objective, we use a combination of qualitative and quantitative research approaches. Data were analyzed using parametric and non-parametric econometric models. The findings from the empirical chapters show that: First, our analysis reveals that the appearance of foreign companies in the malt barley chain has brought important changes in the structure and economics of the barley value chain, resulting in the development of a modern chain next to the conventional chain. It is also shown that participation in modern supply chains is determined by a range of factors that include farmer and farm characteristics. Second, the results show that participation in modern supply chains has a positive and significant impact on commercialization, intensification, quality improvement and farm gate prices, ultimately resulting in increased farmer income and spillovers towards productivity of other food crops. Third, we found that POs perform diverse economic functions to enhance rural development , but tighter coordination in food value chains demands alignment of chain activities among actors which leads to changes in the strategies and functions of POs. Fourth, we showed that POs have a positive impact on farm productivity and smallholder income. However, this positive impact of POs come at the expense of inclusiveness, i.e. POs are less inclusive. Thus, there is a tension between business performance and inclusiveness of POs. Moreover, the results show that the motivation to participate in a PO is determined by demographic and economic factors. Lastly, we found that the determinants of quality improvement at farm level are socioeconomic, technological and institutional factors. Specifically, the identified factors are farmers’ level of education, age (as a proxy for farming experience), entrepreneurial attitude, PO membership, CFA participation, and type of improved seed varieties. The thesis concludes that enhancing the modernization of food value chains involving smallholders requires organizational innovation that facilitate coordination and collaborative activities among chain actors.

In the last decades consumers preferences have continuously triggered changes in quality regulations and the implementation of various private quality standards. New quality demands also imply new coordination arrangements to support transactions between food companies and their suppliers. To coordinate these transactions, food companies (i.e. buyers) use different types of governance structures (GSs) made up of different coordination mechanisms (CMs). These mechanisms are used to coordinate aspects such prices, quality, and allocation of resources (e.g. services, inputs). The general goal of this thesis is to analyse the complexity behind the GSs used to support transactions in the Brazilian Pork Chain (BPC). Furthermore, this thesis examines how these GSs impact on farmer performance and farmer investment. Brazil is the fourth world producer and exporter of pork. The quality standards and GSs used in this supply chain offer an interesting background to be examined with implications for theory and management. Chapter 1 presents a general introduction depicting the research problem, the research questions and the theoretical framework used in this thesis hich is grounded on Transaction Costs Economics, Supply Chain Management and Networks Theory. Chapter 2 examines, through an exploratory approach, the relationships between quality requirements and CMs. This study allows us to demonstrate that, in the BPC, chain actors use a wide array of CMs to support a non-diverse set of quality requirements. Quality requirements are based on public regulations and on a few specific requirements set by specific customers. The differences in CMs regard aspects such as base prices, criteria for bonuses, control on inputs and processes and resource allocation. Chapter 3 addresses the complexity of CMs embedded in a GS and the use of plural forms of coordination by individual buyers. A framework setting values of CMs on price, volume, quality and resource allocation, was used to demonstrate that a single GS (e.g. a contract) may include CMs on distinct positions within the market-hierarchy continuum. In addition, this framework is used, in four case studies, to support analyses on how and why individual buyers use plural CMs to support similar transactions. The main explanations that were found were the need to handle market fluctuations, the implementation of new and specific quality requirements, to adopt to CMs used by competitors, and to deal with bargaining power of specific groups of farmers. Chapter 4 applies structural equation modelling (SEM) to analyse influences of vertical (buyer-farmer) and horizontal relationships (farmer-farmer) on performance of pig farmers. Data were obtained through a survey questionnaire applied to 269 pig farmers. The results demonstrate that vertical and horizontal relationships improve performance and that horizontal relationships improve information exchange. In addition, the findings suggest that the context in which transactions take place (i.e. spot market, contracting), may affect these relationships. Chapter 5 analyses, based on the farmer survey, influences of buyer support on famer performance and farmer investments. A SEM analysis was applied to 199 farmers that deliver pigs through contracts. The results demonstrate positive influences of buyer support on farmer performance and farmer investment capacity. Chapter 6 provides a general discussion including theoretical, policy and management implications.

Cape gooseberry is a fruit cultivated in Andean countries. Currently it is available some international markets, besides the domestic Andean market. Colombia is the major producer and export country at the moment. The value chain of cape gooseberry faces several barriers of technological and governance nature. This research is an interdisciplinary study on the Colombian cape gooseberry value chain. It aimed to evaluate quality attributes of the fruit during the supply chain, including the changes in the contents of health-promoting compounds; and also assessed the current situation of the value chain regarding degree of alignment of the actors. Findings show that cape gooseberry is a source of health-promoting compounds and has antioxidant activity properties. Such health promoting compounds in cape gooseberry are subject to thermal degradation or formation but not to the extent that they are no longer present after heating. Vitamin C and β-carotene were relative stable after storage time during post-harvest. The main issue for shelf-life of fresh cape gooseberry is the growth of fungi. The intake assessment conducted based on the current consumption of cape gooseberry, concluded that the contribution of this fruit to the daily recommendation intake of vitamin C and β-carotene in Colombian and Dutch adult population is negligible. Cape gooseberry is indeed a very low consumed fruit because is not well-known in international markets. However, it has potential to improve performance by first facing alignment issues, integrate the value chain and develop strategies to effectively plan the route to follow in order to scale up.

Pesticides are intensively used in agriculture across the globe to prevent or control pests, diseases, and weeds. In this process, improper pesticide registration, distribution and use has become more serious, which has resulted in heavy environmental and human health risks in many parts of the world. This holds especially true for developing countries, including Ethiopia where good agricultural practices are often poorly implemented. To safeguard human health and the environment, a strict regulatory policy is essential. In line with this, Ethiopia has developed pesticide registration and control procedures, which are regulations and directives in which the country also included different international agreements related to agropesticides. Therefore, the overall policy with respect to pesticide plays a key role in improving the environment, the health of growers and the surrounding community and stimulates the economic performance of the Ethiopian agricultural sector. However, there was no clear answer to the question whether the policy on pesticide registration, distribution and use was implemented in an effective and sustainable way. Arguably, governance failures are the origin of many environmental and human health problems regarding pesticides in developing countries. This paper argues that the influence of state and non-state actors and the relative importance of their interactions are the major structural characteristics of pesticide governance. However, it is still important to ask what governing mechanisms and actors are available and what can be developed further to promote sustainable pesticide governance. Therefore, the aim of this thesis is to investigate the pesticide policy-and-practice nexus, which includes the roles of governmental actors, private actors(traders) and farmers, and to review the actual and potential contribution from various governance actors in changing the existing (unsafe) pesticide practices in vegetables and cut flowers sector in which pesticides are used intensively.I have to conclude that both state and private actors hardly contribute to significant improvements in achieving sound pesticide management in Ethiopia. The state regulatory system has revealed an inability in controlling proper registration, distribution and safe use. Pesticide registration systems are not well established. A major challenge in pesticide registration is the double/ triple registration of pesticides with the same active ingredient (ai) but under different commercial names. Importing unregistered pesticides (only with import permits) by most flower growers allowed them to use extremely harmful/chemicals toxic to the environment and workers for higher risks. The government’s political commitment in this regard has never been observed in the floriculture industries, where there is no supervision or monitoring at all. In addition, commercial pesticide traders prove unable/unwilling to comply with regulations prescribed by the government proclamation. Among other problems, importation of pesticides with the wrong labels, conflicts of interest between importers (registrants) and double/triple registration of pesticides with the same (ai) under different commercial names cause confusion for retailers and farmers. Moreover, importation without obtaining a prior import permit and requests to import unregistered pesticides have grown over time. At the same time, the responsibility for controlling the pesticide market (inspection) failed in terms of quality control in distribution and use. The retailing of pesticides has been handled by unqualified and unlicensed retailers in shops and open markets with other commodities. Finally, this challenge is particularly critical at farm (local) level. There is substantial overuse, misuse and abuse of pesticides by end users, especially by smallholder farmers, due to lack of knowledge, technical support and training on hazards and risks associated with pesticides. Challenges to pesticide governance throughout the pesticide supply chain has resulted in negative policy outcomes for the environment and human health, particularly with the failure of state authorities to actively engage non-state actors in the complex pesticide registration, distribution and use system. Following the findings in this thesis, these situations call for the reshaping of the pesticide governance system throughout the country. To effectively address the human health and environmental impacts of pesticides requires a pesticide governance system that facilitates agricultural and environmental sustainability.

Globally, around one-third of the edible parts of perishable food products is wasted every year. Adequate logistics management of the food supply chain is of importance. Inventory control of processed fresh food with a best-before or use-by date deals with the questions how much to order and how often, and how to review the inventory position. For perishable products, there exists a trade-off between desired product-availability and waste. A high order quantity or frequent ordering may result in high product-availability but also waste. A small order quantity or less frequent ordering results in lower inventory levels, but may cause out-of-stock. For the inventory control of a perishable product the age-distribution of the items should be considered. This is influenced by order picking at a food producer or warehouse, or consumer behaviour at a supermarket, picking First In First Out (FIFO), where first the oldest items are used, or Last In First Out (LIFO), where first the freshest items of the product are used. This thesis investigates periodic review order policies for a food producer and a retailer for a perishable product with a fixed lifetime and a non-stationary demand. For a food producer as well as a retailer, it is not always economically feasible to reorder in every period. For planning purposes it is desirable to set the timing of the orders in advance. The aim of this thesis is to contribute to better decision making regarding inventory control in the food supply chain from food producer to supermarket, in the trade-off between product-availability and waste. Methods are designed to generate practical order policies using commercial solvers for business rather than custom made solution procedures, where at least the timing of ordering or production is set beforehand. The practical inventory control problems discussed in this thesis are characterised by a perishable product with a fixed lifetime, non-stationary stochastic demand, a single-echelon production/inventory situation in a finite time horizon. The product has a service level requirement to ensure a certain product-availability. The decision problems deal with fixed setup or ordering cost, holding cost and disposal cost for wasted items. The age-distribution of the items in stock is considered in specific theoretical Stochastic Programming (SP) problems that deal with the service level requirement as a chance constraint or fill rate constraint. The studied problems vary in planning characteristics. Fluctuations in demand combined with fixed setup or ordering costs imply that regular production or ordering is probably not optimal. This situation requires a strategy to deal with the fluctuations. In inventory literature, non-stationary demand for a perishable product with a fixed lifetime is hardly studied, and consequently also strategies to deal with it are little investigated. In this thesis, methods have been designed to generate practical order policies using commercial solvers, where at least the timing of ordering or production is set beforehand. The practical order policies have been benchmarked with custom made solution procedures. The developed practical policies are applicable in the practice of fresh food producers and in retail organisations, on the level of the store, as well as on the level of the distribution centre. An interesting conclusion is that the policies with fixed order timing are hardly more costly than the investigated policy with flexible order timing. The fixed order timing increases the ease of planning. The studied cost functions in the models comprise disposal cost for which the value of the disposal cost in the experiments was varied. The results show that in the models with fixed order timing and corresponding order-up-to levels, increasing the disposal cost can reduce the percentage of waste, maintaining the service level. In setting a (fictitious) value for the disposal cost, one can steer the percentage of waste in determining the order policy, and thus contribute to better decision making in the food supply chain from food producer to supermarket in the trade-off between product-availability and waste.

The Kenya Market-led Dairy Programme (KMDP) is a 4.5-year programme funded by the Embassy of the Kingdom of the Netherlands and implemented by SNV Netherlands Development Organisation in collaboration with stakeholders in the dairy industry. The overall goal of KMDP is to contribute to the development of a vibrant and competitive private sector-driven dairy sector in Kenya, with beneficiaries across the value chain. KMDP has two pillars, or strategic intervention levels. The first pillar is the smallholder dairy value chain, which has the objective to increase efficiency, effectiveness and inclusiveness in this production and marketing channel. The second pillar concerns systemic issues in the sector, where the objective is to promote and support interventions and innovations in feed and fodder supply, milk quality, practical skills development and the policy or regulatory environment. Work in the second pillar partly supports work in the first pillar and partly addresses issues in the enabling environment and supporting systems. In the smallholder dairy value chain, KMDP has engaged with eighteen farmer-owned milk collection and bulking enterprises (CBEs), dispersed over three main milksheds in Kenya: North Rift region, Central region, and Eastern region (Meru). In addition, KMDP works with two processors that receive and process milk from a number of the eighteen supported CBEs. This report describes the work of KMDP in the smallholder dairy value chain. It looks at the response of CBEs, processors and farmers to KMDP’s interventions, which cover five themes: 1. Capacity building of CBEs in governance and financial management; 2. Training and extension activities for farmers; 3. Fodder development and preservation at CBE- and farmer level; 4. Business development through linkages with input suppliers and service providers; 5. Milk procurement and milk quality along the value chain.

The overall objective of the TO2 project ‘Advanced pre-treatment of biomass’ was to design optimal energy-driven refinery chains for the susta inable valorization of non-woody biomass to biobased commodities. Therefore optimal combination s need to be found of upstream biorefining and the production of high-quality (sol id) energy carriers from a broad spectrum of non-woody biomass streams. Task A3. within this TO2 project focused on modelling chains and performing an economic evaluation of these chains. Three cases of biomass chains were modelled and evaluated in this report.

The overall objective of the TO2 project ‘Advanced pre-treatment of biomass’ was to design optimal energy-driven refinery chains for the susta inable valorization of non-woody biomass to biobased commodities. Therefore optimal combination s need to be found of upstream biorefining and the production of high-quality (sol id) energy carriers from a broad spectrum of non-woody biomass streams. Task A3. within this TO2 project focused on modelling chains and performing an economic evaluation of these chains. Three cases of biomass chains were modelled and evaluated in this report.

The 2006-2011 period has been marked by increased volatility in food an agricultural commodity prices at a global level. In the EU, the continuous liberalization of agricultural markets under the Common Agricultural Policy has led to the exposure of EU agricultural to increasing market price volatility. This thesis has investigated the transmission and management of price volatility in EU food supply chains. The transmission of price volatility in various food supply chains is first investigated through a literature review followed by an empirical analysis of price volatility transmission in the case of the German fresh pork supply chain. The effect of market power was also taken into account in the latter empirical analysis. Next, the management of price volatility was investigated through interviews conducted with actors of selected EU food supply chains. This was followed by the analysis of the effectiveness of selected price volatility management strategies. Lastly, in light of the policy support for agricultural insurance within the Common agricultural policy, premium rates of an agricultural revenue insurance contract were calculated for the Dutch ware potato sector. One of the gaps identified in the reviewed literature is the lack of attention given to the effects of contextual factors on price volatility transmissions in food supply chains. Contextual factors include market power in the chain and pricing strategies (e.g. contracts) by chain actors. Results of the price volatility transmission analysis conducted in this thesis in the case of the German pork chain show that retail market power limited both the transmission of price levels and price volatility. This thesis shows that price volatility is perceived as risky by all actors in the food supply chain. Deviations of prices by more than 10 to 15 % from expected levels were perceived as price volatility by a majority of the chain actors. Results further show that price volatility management strategies in EU food chains are diverse and well beyond traditional instruments such as futures and forward contracts. Contrary to expectations, price fixing contracts were not found to be desirable by interviewed chain actors. This thesis also found that the effectiveness of contracts in reducing price volatility depended on how the contract price was set. Results of this thesis further show that premium rates of a revenue insurance contract for the Dutch ware potato sector across categories of farms. The average premium rates calculated were 32.1%, 22.2%, 33.1% and 24.0% on guaranteed revenue per hectare for the high expected yield, low expected yield, high yield variance to expected yield ratio and low yield variance to expected yield ratio categories of farm, respectively. The difference in premium rates across categories of farms implies that charging the same average premium rate to all Dutch ware potato farms can lead to adverse selection.

This study is a detailed analysis of which parts of the tuna, shrimp, soy and beef supply chains are most open to constructive engagement through financial vehicles and mechanisms. The study indentifies the largest market shares in the various supply chains. For the retail sector, the objective was to analyse the openness of the retail sector to financial influence taking into account the latest sector trends.

The Kenya Market-led Dairy Programme (KMDP) is a 4.5-year programme funded by the Embassy of the Kingdom of the Netherlands and implemented by SNV Netherlands Development Organisation in collaboration with stakeholders in the dairy industry. The overall goal of KMDP is to contribute to the development of a vibrant and competitive private sector-driven dairy sector in Kenya, with beneficiaries across the value chain. KMDP has two pillars, or strategic intervention levels. The first pillar is the smallholder dairy value chain, which has the objective to increase efficiency, effectiveness and inclusiveness in this production and marketing channel. The second pillar concerns systemic issues in the sector, where the objective is to promote and support interventions and innovations in feed and fodder supply, milk quality, practical skills development and the policy or regulatory environment. Work in the second pillar partly supports work in the first pillar and partly addresses issues in the enabling environment and supporting systems. In the smallholder dairy value chain, KMDP has engaged with eighteen farmer-owned milk collection and bulking enterprises (CBEs), dispersed over three main milksheds in Kenya: North Rift region, Central region, and Eastern region (Meru). In addition, KMDP works with two processors that receive and process milk from a number of the eighteen supported CBEs. This report describes the work of KMDP in the smallholder dairy value chain. It looks at the response of CBEs, processors and farmers to KMDP’s interventions, which cover five themes: 1. Capacity building of CBEs in governance and financial management; 2. Training and extension activities for farmers; 3. Fodder development and preservation at CBE- and farmer level; 4. Business development through linkages with input suppliers and service providers; 5. Milk procurement and milk quality along the value chain.