promoting gender equitable opportunities in agricultural ... - weman

linkages may encompass bothcooperative relationships withother firms at the same stage of thevalue chain, as well as relationshipsbetween firms and other typesof organizations. 39 Theseorganizations may have broadmembership across a subsector,such as the Tanzania HorticultureAssociation, or more focusedmembership around a particularniche in the chain, such as anassociation for high-quality seedsuppliers like the Seed ProducersAssociation of Ghana or the UgandaVanilla Exporters Association. Theyrange in size from small groups ofproducers in one or several villagesto national-level organizations oflarge firms.Meeting market demand requirescooperation among farmers as itmay be too difficult for individualsmallholder farmers to meet largeorders or purchase required inputsrequired to ensure their productmeets appropriate specifications.Globalgap certification allowsfor smallholder farmers togain group certification to takeadvantage of economies of scalethat would otherwise precludeindividual farmers from accessingexport markets. For this reason,horizontal linkages are oftenpromoted through the creation orsupport of farmer producer groupsor associations where economiesof scale overcome market failuresand increase incentives to buyersand producers to engage in amarket relationship.Successful horizontal linkagesprovide members of these typesof organizations with benefits thatare not possible when working asindividuals. By establishing eitherformal or informal groups andworking together, associationscan respond to the difficulties ofdoing business, such as lack ofaccess to key markets, high costsor inadequate supply of inputs orproduct, or lack of financing. Inproducer organizations and tradeassociations, members can oftenaccess new or more numerousservices from other actors in thevalue chain, including inputs,credit, and education or training.Costs are reduced througheconomies of scale. Bargainingpower is increased through thepower of plurality. 40Although all actors in valuechains can benefit from improvinghorizontal linkages, many projectsremain focused on the producerswith project goals to “strengthenproducer associations.” As aresult, producer associationexamples are overrepresented inthe discussion following.Scott Wallace/The World Bank35