Agricultural Value Chains Research Articles

Transformative trends: commercial platforms revolutionizing rice farming in Nigeria's agricultural value chain

ABSTRACT This review explores recent advancements in Nigeria's rice farming sector, focusing on the integration of digitalization within the agricultural value chain. By conducting a systematic analysis Seventy-Eight (78) publications from the past 14 years, the study investigates how digital platforms, such as AgricTech apps and e-commerce solutions, are transforming rice farming by connecting farmers, processors, marketers, and fabricators to streamline operations and boost efficiency. The review not only highlights the transformative potential of digital technologies in boosting crop yields and enhancing supply chain transparency but also addresses the significant challenges that hinder widespread adoption. These challenges include poor internet connectivity, limited digital literacy among rural farmers, and financial constraints. Despite these obstacles, the findings reveal promising opportunities for innovation, driven by the adoption of digital platforms that link stakeholders more effectively and improve access to global markets. The review emphasizes the urgent need for targeted interventions such as expanding digital literacy programs, improving rural internet infrastructure, and offering financial support mechanisms that can accelerate technology adoption and ensure an equitable, tech-driven agricultural future in Nigeria. In conclusion, this review stresses the pivotal role of digitalization in transforming Nigeria’s rice farming sector and provides actionable recommendations to policymakers, agribusinesses, and development agencies. It calls for a coordinated effort to overcome existing barriers and unlock the full potential of agricultural value chain data, positioning Nigeria as a key player in the global agricultural market.

Rural Transformation, GVCs and the Rise of the Services Economy

ABSTRACTThe rise of global agricultural value chains presents both opportunities and challenges for rural transformation and economic development. In this regard, we propose that the expansion of the service sector in developing countries significantly influences the development of agricultural value chain, promoting wealth creation. We posit that when global value chains in agriculture are used to interpret rural transformation, the crucial function of services is often underemphasised. We construct an interaction term between the productivity dynamics in services and the evolution of global value chain (GVC) over time. The key finding suggests that the coevolution of service sector development and participation in GVC strongly correlates with increases in agricultural sector productivity. The analysis highlights the importance of considering the stage of development and the specific service subsectors when examining the relationship between services, GVC and rural transformation. We propose that enhancing the institutional environment, particularly with respect to contracts within such value chains, enables a larger role for domestic actors in capturing this value.

Analyzing the influence of agricultural raw material imports on agricultural growth in 48 Sub-Saharan African countries

This study examines the impact of agricultural raw material imports (ARMI) on economic growth in 48 Sub-Saharan African countries from 1990 to 2023. Given the critical role of agriculture in the region, the research seeks to understand how access to imported agricultural inputs influences productivity and overall economic development. A gravity model framework is employed to analyze the relationship between ARMI and gross domestic product (GDP). The study incorporates panel data spanning over three decades, controlling for key economic indicators such as gross fixed capital formation and rural population. The results indicate a statistically significant positive correlation between ARMI and GDP, suggesting that imported agricultural inputs play a vital role in enhancing productivity and driving economic growth. Additionally, gross fixed capital formation and rural population are identified as significant determinants of economic performance in the region. The study underscores the importance of facilitating agricultural imports to support sustainable economic development. It highlights the need for a strategic approach to optimize the benefits of ARMI and strengthen the agricultural sector's contribution to GDP growth. Policymakers should implement supportive policies and structural reforms to enhance the effective utilization of agricultural imports. This includes improving trade facilitation, infrastructure, and investment in agricultural value chains to ensure long-term economic prosperity in Sub-Saharan Africa.

Systematic utilization mechanism of marketing channels and its impact on the operational efficiency of agricultural cooperatives in China

Abstract The application and selection of marketing channels in agricultural cooperatives significantly impact their operational efficiency. To verify the effectiveness of agricultural cooperatives in product distribution and to establish a more systematic and efficient channel network, this study first compares and analyzes the diversified marketing channels of cooperatives using two-stage survey data from China. Then, a static game model with complete information is constructed to explore the impact of marketing channel selection on the operational efficiency of agricultural cooperatives under different contractual relationships. The research surveyed and interviewed key leaders of 78 agricultural cooperatives and collected data on 449 marketing channels. The findings indicate that agricultural cooperatives in China can utilize at least nine marketing channels to sell their products. Compared to tightly structured market environments, agricultural cooperatives achieve greater operational returns in loosely contracted market structures. The simultaneous use of multiple channels enables agricultural cooperatives to capture a significant portion of the profits within the agricultural product value chain, thereby maintaining the effectiveness of the cooperative’s existence. The results provide strategic guidance for developing efficient marketing channel networks for agricultural cooperatives in developing countries and assist policymakers in adjusting and optimizing support policies for agricultural cooperatives.

The Lobito Corridor as an Anchor of Economic and Value Chain Development in Angola, Democratic Republic of Congo, and Zambia: Exploring the Issues

ABSTRACTThe development of the Lobito Corridor offers immense opportunities for trade, economic transformation, development and regional integration in Southern Africa. This paper discusses the role of the Lobito Corridor in supporting development in the three member states. Using a random effects panel model estimated using the structural gravity model, the paper evaluated the corridor's infrastructure, value chain, and regional integration capacity as the main explanatory variables using six main variables namely corridor remoteness, regional trade agreements, corridor imports, special economic zone, corridor geographical distance and corridor infrastructure. The results showed that the corridor's infrastructural capacity, capacity to anchor critical value chains and regional integration all had a positive impact on the volume of exports moved through the corridor. The paper concluded that the development of the corridor can be leveraged to reorient Southern Africa's transport infrastructure to drive economic development and transformation through agriculture and mining value chains and facilitation of the strengthening of bilateral and multilateral relations along the corridor.

Willingness to Participate in Platform Cooperatives among Members of Abundant Farmers’ Cooperative Society, Ikorodu, Lagos State, Nigeria

One of the efforts to improving the livelihood of citizens within the rising e-economy space is cooperatives promotion among actors in the agricultural value chain. Despite this, inequality and poverty have been on the rise while e-business is increasing in all sectors. This has led to the rethinking of conventional cooperatives to shift to platform cooperatives (PCoop) for market expansion and surplus sharing. Nevertheless, the literature on PCoop is lean, worldwide. This study therefore investigated the awareness and willingness to participate in PCoop, among members of a Farmers’ Cooperatives in Ikorodu, Lagos. Multistage sampling procedure was used to 90 cooperative members. Data on socio-economic characteristics, awareness and willingness to participate in PCoop were collected with Questionnaires. The data was described using frequency distribution, percentage and analysed with probit regression. The results showed that majority were male (60.7%), below 50 years old (58.34%), had first degree (54.7%), maximum of one million naira yearly farm income (48.8%), aware of PCoop (86.90%) and willing to participate in PCoop (88.10%). Further, the female respondents (0.354) have lower and those that were aware of PCoop (0.307) have higher probabilities of willingness to participate in PCoop than their opposite categories. Years of formal education (0.006) and age (-0.031) have positive and negative relationship with the probability of willingness to participate in PCoop respectively. These coefficients were significant at levels higher than 10%. Awareness campaign on PCoop should commence for agricultural cooperatives members to shift to PCoop to boost members’ income and e-business.

A Blockchain-Assisted Trusted Federated Learning for Smart Agriculture

Smart agriculture promises to alleviate the burden of climate risks on crop production by leveraging machine learning tasks. These tasks act as a decision support instrument for making well-informed choices by stakeholders in the agricultural value chain. Currently, predictive models in smart agriculture demand a centralized collection of diverse data, fragmented across multiple information systems leading to a single point of failure. The application of the Federated Learning (FL) technique restricts the movement of raw data and trains the model at the data source. However, the FL approach does not ensure trust factors like privacy, authentication, data provenance, transparency and traceability. To address this, a decentralized federated learning framework built on blockchain can be a potential solution. In this study, we introduce a blockchain-based framework called AgriFLChain for trusted federated learning in the context of smart agriculture. We focus on crop yield prediction as an illustrative use case, initially discussing centralized deep learning models (ResNet-16, ResNet-28, CNN-DNN, and CNN-LSTM). We then detail the authentication and data provenance mechanisms for federated learning participants, utilizing blockchain-based Decentralized Identifiers (DIDs) and Verifiable Credentials (VCs). We implement these models using vanilla federated learning and Differential Privacy (DP) federated learning approaches, achieving transparency and traceability through smart contracts by recording metadata of model updates into the blockchain. Finally, detailed evaluation demonstrates that AgriFLChain achieves comparable efficiency to centralized models while maintaining scalability in blockchain transactions for higher data volumes.

Identifying Efficient Marketing Channels for BT Cotton: The Case of Devbhumi Dwarka, Gujarat, India

The marketing of Bt cotton is a critical component of the agricultural value chain, especially in regions like Devbhumi Dwarka, Gujarat. This study was conducted to estimate the marketing costs, margins, and price spread through different marketing channels of Bt cotton in the Devbhumi Dwarka district of the west Gujarat region. Total 120 number of Bt cotton farmers and market functionaries were randomly selected and interviewed for collecting information by using the designed schedule. Two major marketing channels were identified for Bt cotton: Channel-I (Producer → Cotton Corporation of India (CCI)) and Channel-II (Producer → Commission Agent → Ginner → Consumer). In Devbhumi Dwarka district, producers could secure approximately 86.44% of the consumer’s rupee in Channel-I and 82.64% in Channel-II. Consequently, Channel-I was found to be more efficient compared to other channels.

The Role of the Product-Process Matrix in the Consumption of Agricultural Finance by Smallholder Farmers: The Case of Centenary Bank in Uganda

This study analyzes the contribution of the supply-based product and process matrix to smallholder farmers’ consumption of agricultural finance. The authors adopted a qualitative research design applying a semi structured interview guide to provide in-depth content about the products and processes of agricultural finance delivery. Data were collected from various bank staff, smallholder farmers, and documentary reviews. The results revealed that value chain financing is not a panacea for smallholder farmers to borrow and use funds to engage into higher agricultural value chain activities. In addition, product pricing and duration alongside inefficient and linear product delivery processes hinder smallholder farmers’ adoption of agricultural finance. Thus, inappropriate products and inefficient processes discourage smallholder farmers from exploiting agricultural finance. The methods of engagement are premised on respondents’ narratives implying that one person’s experience may limit the representation of multiple viewpoints. Central banks and financial institutions seeking to increase smallholder farmers’ use of agricultural finance must develop policies to understand end-user needs and create seamless delivery processes to deliver agricultural financing. This is one of the few studies that comprehensively and qualitatively assesses how the combination of pricing and products addresses smallholder farmers’ financing needs in the commercial banking context. Thus, this study contributes new ideas for increasing the consumption of agricultural finance.

Microbial profiling of black soldier fly larvae reared on substrates supplemented with different mineral sources originating from phosphorus recycling technologies

BackgroundInnovations to establish agricultural value chains utilising side streams and their reintegration into the feed and food supply are of great importance. Recyclates derived from biomass and waste are therefore becoming increasingly important as sources of nutrients. The larvae of the black soldier fly (BSF; Hermetia illucens) demonstrate considerable potential as livestock feed due to their ability to utilise a wide range of organic substrates. In this study, BSF larvae (BSFL) were reared on four different substrates: chicken feed diet (CD), high-fibre Gainesville fly diet (FD), or FD supplemented either with biochar (FD + BCH) or single superphosphate (FD + SSP) recyclates from sewage sludge processing. To validate the hypothesis that endogenous and substrate-associated microbiota significantly contribute to substrate conversion, the microbiota profiles of BSFL gut and frass were analysed by 16S rRNA gene amplicon sequencing. Results were associated to the different substrates as well as body composition, growth performance data, and mineral concentration of the larvae.ResultsThe CD substrate was superior in terms of larval growth, although it caused a lower microbial alpha diversity in the larval intestine and frass compared to FD, with a dominance of Morganellaceae and families of Lactobacillales. The addition of the two sewage sludge derived products to the FD substrate significantly increased the calcium content of BSFL, while the phosphorus content was only increased by the addition of SSP. The shifts in the microbiota profiles of BSFL gut and frass indicated that BCH contributed to the regulation of the microbial milieu with suppressing the growth of potentially pathogenic microbes. The addition of SSP resulted in an enrichment of microorganisms with attributed phosphate-solubilising properties such as Pseudomonas and fungal species, likely being responsible for improving the bioavailability of phosphorus from the substrate.ConclusionsThe results demonstrate the high adaptability of the BSFL and its ability to change the substrate through specific microbiota in such a way that conditions are created for an optimal nutrient supply and thus growth of the larvae.

Retraction notice to “Agricultural value chain and households' livelihood in Africa: The case of Nigeria” [Heliyon 10 (2024) e28655

Retraction notice to “Agricultural value chain and households' livelihood in Africa: The case of Nigeria” [Heliyon 10 (2024) e28655

Agricultural value chain transformations: A comparative analysis of milling segment upgrading in the rice value chains in Ghana and Ivory Coast

Agricultural value chain transformations: A comparative analysis of milling segment upgrading in the rice value chains in Ghana and Ivory Coast

Impact Investing and Social Entrepreneurship in Southeast Asia post-COVID-19

Impact investing and social entrepreneurship have garnered increasing traction in Southeast Asia as means to drive inclusive growth aligned with Sustainable Development Goals. However, the COVID-19 pandemic has exacerbated inequalities and vulnerabilities across marginalized communities, creating pressing needs for market-based innovations catering to those left behind. This study undertakes an exploratory study to assess how the recovery trajectory is reshaping impact capital and social enterprise ecosystems to promote resilient, equitable development post-pandemic. Using a qualitative methodology, semi-structured interviews were conducted with 15 impact investors and social entrepreneurs operating across Indonesia, Vietnam, Thailand, Malaysia, Philippines and Singapore. Interview transcripts were coded through descriptive thematic analysis approach to map changing investor priorities, pivot in social enterprise models along with persistent and emerging barriers. Key trends identified include deepening digital divide driving focus on edtech and telemedicine enterprises, rising hunger and income precarity accelerating food security and livelihood-linked innovations. However, concerns remain around measuring real-world impact, human capital gaps and policy constraints regarding foreign investment and public procurement. The analysis informs recommendations including outcome-based blended finance vehicles, promotion of sustainable agriculture value chains, and streamlining cross-border investment flows for the ecosystem to drive recovery aligned with ASEAN sustainable development commitments.

The effects and mechanisms of deep free trade agreements on agricultural global value chains

IntroductionIn the context of the growing global trend toward the deep integration of free trade agreements (FTAs), enhanced regional agricultural collaboration has significantly impacted the agricultural global value chains (AGVCs). Clarifying how FTA depth affects a country’s AGVC participation is crucial for promoting high-quality agricultural development and deepening international agricultural cooperation.Methods and goalsThis paper constructs and calculates indicators for FTA depth and the AGVC index, employing fixed effects models, PPML models, and other methods, aiming to empirically analyze how the depth of FTAs influences a country’s participation in AGVC and the mechanisms involved.ResultsThe findings indicate that an increase in FTA depth enhances a country’s degree of participation and position within the AGVC. Both the ‘WTO+’ and ‘WTO-X’ provision depth indices exert a significant positive influence on increasing participation and position within the AGVC, with the ‘WTO-X’ provision depth index demonstrating a more pronounced effect than the ‘WTO+’ provision. Furthermore, the positive effects of increased FTA depth on the integration of developed countries into the AGVC are greater than those on developing countries. Additional analysis reveals that FTA depth promotes trade liberalization and investment facilitation, thereby enhancing countries’ participation and position in the AGVC.DiscussionThe findings of this paper provide reliable empirical evidence for understanding the influence of FTA depth on AGVC and offer valuable policy insights for countries actively pursuing deeper FTAs.Policy recommendationsTo further advance the evolution of AGVC, it is recommended that countries actively promote the signing of deeper FTAs to accelerate trade liberalization and investment facilitation. At the same time, developed countries should strengthen agricultural technology research and development, assisting developing countries through technology transfer to jointly build a sustainable GVC; developing countries should enhance agricultural cooperation and improve their negotiating power in FTA discussions.

Enforcing contracts: The role of state subsidies as a hybrid enforcement mechanism in contracts between tomato processors and farmers in Algeria

AbstractMotivationContract farming plays a significant role in the growth of agriculture in many countries. Contracting poses substantial challenges when courts and companies are insufficiently developed, constraining the fulfilment of contracts. Exploring innovative contract enforcement mechanisms could yield valuable insights.PurposeWe evaluate the effectiveness of state subsidies as a hybrid enforcement mechanism of the marketing contract developed by the Algerian government for tomato processors and their farmer suppliers.Approach and methodsWe examine the delivery decisions of Algerian tomato farmers to honour contracts or to deliver to the spot market. From the findings we evaluated the direct and indirect effects of subsidies on expanding the self‐enforcing range of contracts and on encouraging firms to establish private contract enforcement mechanisms. Propensity scoring was used to match farmers. The data come from a comprehensive database of contracted tomato producers and surveys of all tomato canneries in 2021.FindingsSubsidies, by reducing processor costs and raising famer prices, help to make contracts self‐enforcing. Subsidies, moreover, encouraged half of the processors to adopt private contract enforcement mechanisms, above all loans to their supplier farmers. These mechanisms have had a positive, albeit moderate, effect on farmer deliveries.Farmers still deliver only half of their contracts owing to weakening self‐enforcement as the subsidy can be accessed in the spot market.Policy implicationsPublic subsidies can help enforce contracts in agricultural value chains, especially where legal systems are fragile. Strict control of access to subsidies and incentives is crucial to ensure that the contract price provides sufficient incentive to farmers and to encourage processors to provide additional incentives.

Enhancing Liquidity in the Indian Commodity Derivatives Markets: Linking Agriculture Trade to Commodity Derivative Markets

Integrating participants in the agricultural value chain, including farmers, traders, aggregators, processors, etc., into commodity derivative markets can become a win-win option for all stakeholders in the commodity ecosystem. Participants may gain an advantage related to price setting and risk management; on the other hand, exchanges may benefit from increased liquidity. In this same context, the article presents a conceptual scheme for attracting value chain agents in agriculture to Indian commodity exchanges. Within the framework of this concept, special attention is given to raising the awareness of producers, processors, and consumers of agricultural products about the benefits of commodity derivative markets. The issue of incentivizing hedgers and participants, who should have real exposure to commodities, is also being considered to increase their participation in the operations of Indian exchanges. Moreover, it is recommended to encourage indirect participation through option traders, investment banks, or other specialized agencies. In the long term, other strategies can also be considered, including state participation in commodity derivatives markets and allowing fractional contracts on commodity derivatives to increase liquidity in Indian commodity derivatives markets.

The influence of the Regional Comprehensive Economic Partnership on agricultural value chain participation: insights from a global trade analysis project model simulation

ABSTRACT The Regional Comprehensive Economic Partnership (RCEP) is the world’s largest free trade area, involving several major agricultural countries and significantly impacting international agricultural trade. Although existing studies examine the effect of the RCEP on the total trade value of agricultural products, a notable gap exists concerning its effects on agricultural value chain participation. This study addresses this gap by employing a Global Trade Analysis Project model with a dynamic recursive method for data updates, setting simulation scenarios based on tariff commitments and integrating a global value chain accounting framework. We construct indices for regional and global value chain participation and positions to assess the impact of the RCEP on member countries’ agricultural value chains. Our findings indicate that the RCEP enhances agricultural value chain participation for most member countries and improves the regional agricultural value chain positions of China, South Korea and Australia, while negatively affecting those of other member countries. This study contributes to the literature by providing a value chain perspective, offering strategic insights for member countries to leverage the RCEP for high-quality agricultural economic development and generating broader implications for understanding the effects of similar trade agreements on trade liberalization and value chain participation.

Issues and Challenges Faced by Social Entrepreneurs in Sustaining the Agricultural Sector

The need for the welfare of farmers and sustainable agricultural supply chains has become increasingly urgent in a market that often prioritizes profit over environmental and social concerns. Consequently, agricultural entrepreneurship through the role of social entrepreneurs in driving innovation and entrepreneurship initiatives is seen as a viable solution to address social issues among farmers and environmental challenges. In the effort to strengthen the welfare of farmers and the contributions of the agricultural sector, social entrepreneurs encounter various issues and challenges. A qualitative study was conducted with eight informants to explore the issues and challenges faced by social entrepreneurs in advancing their social missions to enhance the well-being of small farmers. The study revealed that a lack of understanding among farmers regarding the role of social entrepreneurs, limited capital and funding resources, insufficient government support, as well as challenges in marketing agricultural products and value chains are the primary obstacles hindering the comprehensive development of social enterprises. Furthermore, the absence of specific policies and regulations, inadequate infrastructure and access to technology, along with the level of knowledge and professional attitudes of social entrepreneurs, also pose significant challenges to the growth of social entrepreneurship. Therefore, stakeholders need to establish a more effective social system through collaborative strengthening in developing sustainable supply chains and value practices. This will enhance management effectiveness and create a conducive environment for social entrepreneurs to implement agricultural social entrepreneurship missions that positively impact farmers and communities, ultimately fostering an inclusive and sustainable agricultural sector.

Marketing strategy analysis for sustainable market access to strengthen agricultural value chains in Salem District

Marketing strategy analysis for sustainable market access to strengthen agricultural value chains in Salem District

Retraction notice to "Information and communication technology deployment and agricultural value chain nexus in Nigeria" [Heliyon 9 2023 e19043

Retraction notice to "Information and communication technology deployment and agricultural value chain nexus in Nigeria" [Heliyon 9 2023 e19043