Global Value Chains and Agrifood Standards: Challenges and Possibilities for Smallholders in Developing Countries

Proceedings of the National Academy of Sciences of the United States of America, vol. 109, no. 31 (July 31, 2012), pp. 12326-12331. Part of Special Feature on “Agriculture Development and Nutrition Security.”

6 Pages Posted: 18 Dec 2010 Last revised: 14 Aug 2012

Joonkoo Lee

Hanyang University

G. Gereffi

Duke University - Department of Sociology - Director, Center on Globalization, Governance & Competitiveness

Janet Beauvais

McGill University - Desautels Faculty of Management

Abstract

The rise of private food standards has brought forth an ongoing debate about whether they work as a barrier for smallholders and hinder poverty reduction in developing countries. This paper uses a global value chain approach to explain the relationship between value chain structure and agrifood safety and quality standards and to discuss the challenges and possibilities this entails for the upgrading of smallholders. It maps four potential value chain scenarios depending on the degree of concentration in the markets for agrifood supply (farmers and manufacturers) and demand (supermarkets and other food retailers) and discusses the impact of lead firms and key intermediaries on smallholders in different chain situations. Each scenario is illustrated with case examples. Theoretical and policy issues are discussed, along with proposals for future research in terms of industry structure, private governance, and sustainable value chains.

Keywords: Food safety, agrifood supply chain, value chain governance

Suggested Citation

Lee, Joonkoo and Gereffi, G. and Beauvais, Janet, Global Value Chains and Agrifood Standards: Challenges and Possibilities for Smallholders in Developing Countries. Proceedings of the National Academy of Sciences of the United States of America, vol. 109, no. 31 (July 31, 2012), pp. 12326-12331. Part of Special Feature on “Agriculture Development and Nutrition Security.” . Available at SSRN: https://ssrn.com/abstract=1726062

Joonkoo Lee

Hanyang University ( email )

School of Business
222 Wangsimni-ro, Seongdong-gu
Seoul, 04763
Korea, Republic of (South Korea)
+82-2-2220-2584 (Phone)
+82-2-2220-1169 (Fax)

HOME PAGE: http://joonklee.tumblr.com/

Gary Gereffi (Contact Author)

Duke University - Department of Sociology - Director, Center on Globalization, Governance & Competitiveness ( email )

Box 90088
Durham, NC 27708-0204
United States
919-660-5880 (Phone)
919-684-2855 (Fax)

Janet Beauvais

McGill University - Desautels Faculty of Management ( email )

1001 Sherbrooke St. West
Montreal, Quebec H3A1G5 H3A 2M1
Canada

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