Highlighting the crucial role of women in value chains
For many of us living in large cities, food arrives ready-made, perfectly presented and neatly packaged for us to take home. However, few of us reflect on the chain of events it took for that food to reach us - and even fewer of us think about the important role that women have played in each of those unique stages of the chain.
Did you know that women make up a huge proportion of the agricultural sector - around 50% in most low-income countries and up to 70% in places such as Nepal? However, while these women form the backbone of the rural economy and are vital to every stage of production, they are not always formally included in this economy. This means they work hard, but do not benefit from land ownership, negotiating power, market access, and profits.
Good Return has good reason to focus on women in agriculture in the Asia-Pacific. Not only do these women deserve formal inclusion into the economy, their inclusion also makes good economic sense. If women are formally included in the agricultural sector, they will build their own livelihoods, increase the prosperity of their family, build a stronger community and make a major contribution to national economies. According to the ILO, if we bridge the gaps for rural women and allow them to formally participate in the agricultural economy the global GDP could be increased by US $5.8 trillion.
The value chain and Good Return
Agriculture starts on the farm, but is actually a system called a value chain. The value chain is made up of inputs, growing and harvesting, storage, processing and markets. In many of the countries where Good Return works in the Asia-Pacific, women lack power in each stage of this value chain. Our work aims to make each link in the chain more inclusive so women can play a major role in making decisions, supporting other business women and ultimately improving the products that hit the market.
Here’s how we do it.
Inputs: Without the right paperwork and facing gender bias, it can be difficult for women farmers to access finance to buy quality seeds, fertiliser and farming equipment. Good Return works with responsible local lenders to provide much needed investment to smallholder farmers, either as cash loans or credits for seeds or equipment.
Growing and harvesting: An efficient harvest is key to success for a farmer, but relying on family, informal workers or even child labour to plant and harvest crops can be slow and haphazard. Good Return engages with local business support organisations to help entrepreneurs access training to improve harvesting techniques. Our work with local financial institutions helps farmers employ labourers, and addresses the very real issues of child labour and modern slavery.
Storage: If a farmer cannot quickly and safely transport their produce to processing facilities, it deteriorates and loses value. With our local partners, Good Return provides access to finance, business skills and farming networks, so that excluded farmers and entrepreneurs have the negotiating power to bring their products to the front of the queue.
Processing: With access to finance and business training, previously excluded entrepreneurs are able to purchase equipment and expand into new business opportunities such as micro-processing. Micro processors not only create employment opportunities, but help reduce food waste. For example in Indonesia, we are training women to process second grade chilli to create sambal, chilli paste and chilli powder.
Markets: Market access is the key to successful agri lending and business growth.Good Return strengthens local market systems and fosters connections and collaboration - we’ll often help research new market opportunities and new networks for previously marginalised entrepreneurs. Our business training and financial programs give farmers increased power and confidence to negotiate with larger market actors.
Boosting the skills, visibility and power of marginalised farmers along the value chain is one of the best ways to include more women in the agricultural sector. It is also the best way to deliver a more sustainable, resilient and responsible product to consumers around the world.