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High Country Seeds of Change

High Country Seeds of Change. Food Systems Value Chain – November 2, 2012. Agenda. Value Chain Creation Process. Value Chain: Critical Partners. Intermediary: Heifer USA Shared Values. Value Chain: Support Partners. The Glue: Mutual Benefit and Self-Interest. Value Chains: Defined.

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High Country Seeds of Change

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  1. High Country Seeds of Change Food Systems Value Chain – November 2, 2012

  2. Agenda

  3. Value Chain Creation Process Value Chain: Critical Partners Intermediary: Heifer USA Shared Values Value Chain: Support Partners The Glue: Mutual Benefit and Self-Interest

  4. Value Chains: Defined • Network of businesses, nonprofit organizations and collaborative players who work together to satisfy market demand for specific products or services. • As value chains are built in response to market demand and involve clear and constant communication, they can be more responsive and innovative than traditional supply chains.

  5. Traditional Supply Chain Production Processing Distribution Marketing Consumption Traditional Supply Chains: push supply to the next node in the chain

  6. Mapping the Local Food Value Chain

  7. Demand Driven • Value chains identify the demand FIRST • Include key buyers in the work of the value chain • Key buyers can become investors in the value chain as it creates “value” for them

  8. Shorten the supply chain – farm to fork

  9. Thinking about Demand • In short term: Buyers that are friendly and patient • In long-term: Buyers that can absorb volume • Evaluate buyers based on highest possible price vs requirements. • Need crop introduction timeline

  10. Purpose: Wealth Creation • Reduction of poverty • Define wealth broadly • Financial wealth – has to be reinvested in community and not just consumed • Built wealth – create permanent infrastructure • Social wealth – create new relationships that lead to other benefits beyond just VC • Political wealth – value chains unite people and gives them a stronger voice

  11. Guiding Principles # 1 Wealth creation is intentionally inclusive. # 2 Wealth is tied to place by wealth creation value chains. # 3Wealth sticks in rural areas through attention to structures of ownership and control. # 4 The wealth creation approach is strategically flexible # 5 Ensure that each link is sustainable otherwise chain falls apart # 6 Do no harm.

  12. Infrastructure • Value chains begin by building local infrastructure • As value chains mature, they bring in regional partners • Create rural – urban link to bring “new money” back into rural communities

  13. Deep Collaborations • Move beyond bilateral partnerships • Working together to create system change • Joint problem solving • Driven by each entity’s self interest • Keep adding collaborators

  14. Production Innovators

  15. Mapping the Value Chain • Define and quantify demand • Work backwards to identify: • Assets already in place • Gaps that need to be filled • To create wealth, gaps should be filled by entrepreneurial ventures

  16. Where do you fit in the value chain?

  17. Mapping the Local Food Value Chain

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