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Value Chains research report Tajikistan final - Microfinance Centre

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targets group in each value chain. One valuable lesson was the need to take into<br />

consideration how financing, or lack thereof, affects the overall competitiveness of the value<br />

chains. In particular, when household financial flows are not taken into account the<br />

competitiveness of the value chain is compromised, and the economic benefits to the<br />

producer are reduced. Poorly designed or not proper applicable financial products will result<br />

in producers either defaulting on their loans, because cash is needed for other more urgent<br />

expenses (e.g. inputs for counter-season crops or family expenses), or producers will be<br />

forced to sell their crops at sub-optimal prices (during the glut at harvest time).<br />

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