CLUSTERS CHARACTERIZATION AND VALUE CHAIN MAPPING OF THE MAIN ECONOMICS SECTORS IN FAYOUM GOVERNORATE

Abstract

The study aims in general to map and characterize value chains of themain economic sectors in Fayoum governorate. This is through key economicsectors identification, and clusters characterization which can lead to thedevelopment in Fayoum governorate. In order to develop a vision tostrengthen the value chain and help to raise the standard of living in thegovernorate.It focuses on the value chain mapping of key economic sectors inFayoum governorate at various levels including producers and local traders,exporters and service providers (the beginning of the elements of productionand financing services and guidance on production and marketing). Data iscollected through interviews and field visits to all groups within the valuechain in order to analyze the complexity, interdependence and coordinationamong them to identify areas of strength and weakness, opportunities andthreats.This study shows that it requires interdependence between agricultureand tourism sectors through developing agro-processing and handicrafts toraise the standard of living. Integration enhancement is needed betweenindustrial area and small industries to activate the role of this investment. Thisrequires detailed study of the actual market demand and market needs forthese products. In addition to studying the technical and economicopportunities to learn about the economic feasibility of the establishment forsuch projects in general.Tourism is the most important economic sector in fayoum. Although itincludes various tourist activities that feature the governorate, it needs toprovide tourists with the service that they expect according to promotingtourism programs which meet their requirements. Competition and preferencedepend on cost and quality of services provided to tourists (travel cost,accommodation, food and drink cost and quality, shopping and all otherservices, qualified tourism guide, as well as people behavior and hospitality,infrastructure and communications services).Fayoum governorate has competitive advantage in producing someagricultural products and small industries in specific places and villages. Also,it is characterized by the availability of production inputs, appropriateenvironmental conditions and inherited experience in the production of thoseproducts. Fayoum can achieve great successes in development of agriculturalorganic exports as it has adequate possibilities of expansion in organicagricultural production in general and develop the competitiveness ofEgyptian agricultural exports to global markets.