McCormick+Schmitz Handbook for value chain research on - PACA

Introduction
In developed and developing countries, grassroots organisations are trying to improve the
livelihoods of in<strong>for</strong>mal producers. Such organisations have been concerned in particular
with the home-based workers who carry out production tasks or provide services <strong>for</strong> the
garment industry. Organisations such as the Self Employed Women’s Association (SEWA)
of India, and HomeNet International, both founding members of Women in the In<strong>for</strong>mal
Economy: Globalizing and Organizing (WIEGO), have tried to provide homeworkers
with in<strong>for</strong>mation and organisational strength. Women represent a majority of those
working in the garments industry, particularly in home based operations, where they are
excluded from <strong>for</strong>mal labour market protection and organisation.
WIEGO has given the practitioners in these organisations a regular opportunity to
exchange experiences, learn from each other and develop new instruments <strong>for</strong> placing
local experiences in a global context. This has become increasingly necessary because the
local prospects of enhancing skills and incomes depend on decisions taken in other parts
of the globe. The globalisation of product markets has led to an unprecedented
interdependence of enterprises and workers across regional and national boundaries.
While this general point is well understood by all involved, the local workers and their
organisations lack specific knowledge about the distant <strong>for</strong>ces which determine their
conditions. For example, how does the increasing concentration in the retail sectors in the
US or UK affect the organisation of the <strong>value</strong> <strong>chain</strong> which they are part of? How does
their per<strong>for</strong>mance - in terms of costs, quality, flexibility or speed - compare with that of
competitors in other regions or countries? How do their earnings compare with those of
similar producers elsewhere? Lack of knowledge on these and many other issues make it
very difficult <strong>for</strong> homeworkers to defend their positions or become pro-active.
Government bodies are unlikely to provide the required in<strong>for</strong>mation and understanding;
and the work of academic institutions is often too abstract to be of use to them.
The <strong>value</strong> <strong>chain</strong> approach
This is why WIEGO regards it as one of its prime tasks to equip its member organisations
with a new instrument to carry out the required <strong>research</strong> themselves. Discussions held at
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