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    A supplier development framework for agri-food value chains in developing countries : a test on a dairy value chain in Sri Lanka : a thesis with publication presented in partial fulfilment of the requirement for the degree of Doctor of Philosophy in Logistics and Supply Chain Management, School of Food Technology and Natural Sciences, Massey University, Manawatū, New Zealand
    (Massey University, 2025) DeSilva, Leeza
    Agri-food value chains (AVC) in developing countries, including dairy value chains (VC), face significant challenges. A key issue is farmers' limited capacity to improve their operational performance (e.g., product quality, delivery, and production efficiency) despite the support they may typically receive, which hinders the achievement of their triple-bottom-line (TBL) outcomes. In an AVC, farmers supply commodities that buyers (e.g., processors) purchase to add value. The concept of supplier development (SD) refers to a buyer taking an effort—strong or weak—to improve the capability and/or performance of their supplier. This makes SD (as understood in operations and supply chain management), an attractive proposition for predicting and explaining how farmer development initiatives by buyers can improve farmers' operational performance and their TBL outcomes. The objectives of the study were to: (i) study the dairy VC of Sri Lanka to understand how farmer development takes place through a milk processor; (ii) develop and test a theoretical model that predicts and explains the relationship between processor-led farmer development initiatives, farmer capability, processor-farmer relationship, and a farmer’s sustainable performance; (iii) analyze farmer heterogeneity to enable milk processors and other interested parties to better focus on farmer development initiatives; (iv) develop an index to measure the overall sustainable performance of dairy farmers and facilitate efficient, sustainability-focused development. The model developed through the literature posited that farmer development—farmer training (FT), financial support (FS), evaluation and feedback on farmer quality performance (EFFQP)—results in farmer TBL performance, through the mediation effects of farmer capability (FC) and processor-farmer relationship (PFR). Data collected from 324 Sri Lankan dairy farmers were analyzed using partial least squares structural equation modeling (PLS-SEM). The heterogeneity analysis was conducted using cluster analysis, while the parameters of the sustainability index were estimated by fitting an index-creating model to the data. The findings supported the overarching hypothesis. FS as well as EFFQP were found to be having a more substantial positive impact on sustainable farmer performance than FT. Cluster analysis identified three distinct clusters—labeled as laggers, accelerators, and leaders—based on the cluster variables used. Laggers were found to be significantly underachieving in economic outcomes and FC, compared to accelerators. Notable differences in farmer and farm characteristics were identified across these clusters, and cluster-specific suggestions were provided to milk processors and policymakers to improve the FC and TBL outcomes of the farmers. The overall sustainability index, which considered farmer TBL outcomes and their enablers, suggested that all components and sub-components of the index are important (weight-wise) but farmer capability as a category commanded the highest weight (0.236) and farmer’s economic outcomes as a category commanded the lowest weights (0.170). The implications of these empirically generated weights were discussed and how the study contributes to new knowledge was argued.
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    Linking smallholder vegetable farmers to high value markets in the Manokwari region, Papua Barat Province, Indonesia : a thesis presented in partial fulfilment of the requirements for the degree of Master of AgriCommerce at Massey University, New Zealand
    (Massey University, 2015) Maspaitella, Marcus Ronaldo
    The expansion of modern markets, such as supermarkets, may have critical implications for agriculture and rural development. For smallholder farmers, this phenomenon can provide opportunities to gain economic advantages by being linked into the supermarket channels. However, there are also challenges limiting the participation possibilities of smallholder farmers, since the supermarket channels require such high standards regarding the quantity and quality of agricultural produce supplied. Considering that market channels are a dichotomous choice for smallholder farmers, this study aims to identify and analyse key determinants affecting farmers’ participation in the supermarket channels, using a comparison to the traditional market channels. A structured questionnaire was designed and face-to-face interviews were conducted with a random sample of 126 smallholder vegetable farmers in the Manokwari region, Papua Barat province of Indonesia. Factors influencing the market channel decision about whether to supply to supermarkets or traditional markets were analysed using binary logistic regression. Chi square analysis was used in comparing key factors between the supermarket and traditional market channels. Furthermore, a bivariate correlation was also run to find out the impact of market channel participation on farmer household income. The empirical results suggested that education level of farmers, vegetables cultivated area, and farmers’ membership of the farmer groups were some of the key determinants that had significant and positive effects on the farmers’ decision about market channel participation. The results also revealed that the supermarket channel suppliers received higher average prices and paid more for transportation costs, compared to the traditional market suppliers. In addition, the results suggested that market channel participation and the household income generated from vegetable farms were positively correlated. The results cannot be generalised to other contexts due to the nature of the study design. However, they may contribute to some useful implications. Since farm production capacity was essential for being linked to supermarket channels, technical innovations need to be prioritised in agricultural development strategies. Also, collective actions through farmer groups should be encouraged to broaden the roles, especially in accessing new emerging markets.
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    Market in their palms? : exploring smallholder farmers' use of mobile phone farming applications and their effect on the farmers' farming, marketing and well-being : a case study of selected counties in Kenya : a thesis presented in partial fulfilment of the requirements for the degree of Master of Philosophy in Development Studies at Massey University, Palmerston North, New Zealand
    (Massey University, 2014) Ajwang, Fredrick Odhiambo
    The role of technology in development has been discussed in wide and varied literature. Over the course of history, technology has facilitated the process of development by helping individuals transcend some of the problems they face in their daily life. In recent times, the revolution in information and communication technology has come to play a crucial role in development and poverty reduction. This study explored the use of such technology, in this case the mobile phone farming applications, by smallholder farmers in Kenya to facilitate their agricultural production and marketing. The aim of the study was to explore the use of the mobile phone farming applications by the smallholder farmers to access markets and information and to assess the effects of their use on the farmers’ farming and marketing experience as well as their well-being outcomes. The results from the study indicate that the mobile phone faming applications have facilitated the smallholder farmers to access markets and marketing information. These applications have been effective in reducing the information search costs and marketing transaction costs for the smallholder farmers leading to enhanced access to information and markets. The reduced marketing transaction costs have, in turn, led to increased market participation by the smallholder farmers. Evidence from the literature indicates that when smallholder farmers have increased access to market information, their power in the market, in terms of their ability to bargain with traders, increases. In this study, it was also found that the rural farmers had been empowered by their increased access to information and they could, therefore, engage in price negotiation with potential buyers. This, together with access to higher paying markets, led to an increase in the farmers’ income. Furthermore, the use of these applications facilitated the farmers to form networks with other farmers and traders. These networks, eventually became, an important source of marketing and production information to the farmers. In contrast, it was found that the mobile phone farming applications were not effective in providing agricultural production information to the smallholder farmers. As a result, the farmers were using other means to access agricultural production information. These included the use of the internet and the networks and linkages with other farmers to access agricultural production information. However, evidence from the study indicates that, these mobile phone farming applications have a potential of facilitating smallholder farmers’ access to information and markets in Kenya.
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    The successful integration of smallholders in vertical coordination arrangements : experiences of the KASCOL model in Zambia : a thesis presented in partial fulfilment of the requirements for the degree of Master of AgriCommerce at Massey University, Manawatu, New Zealand
    (Massey University, 2011) Mungandi, Sepiso
    Agribusiness firms have been increasingly engaging in closer vertical coordination arrangements in order to better meet their customer‟s changing needs. On the other hand, as the fight against poverty in developing countries continues, policy makers seek ways in which they can reduce this poverty. One such way has been to integrate smallholders in vertical coordination arrangements. However, reports show that this has been with little success. Therefore, the purpose of this study was to examine a successful experience of smallholder inclusion in a vertical coordination chain, in order to determine the reasons underpinning such a success. The case under investigation was the Kaleya Smallholders Company Limited, a model operating within the Zambian sugar industry. The research design was qualitative in nature, with 20 in-depth interviews being conducted with representatives of the four main stakeholder groups to the model: Kaleya Smallholders Trust; Kaleya Smallholders Company Ltd; Zambia Sugar Company; and the smallholders. The results show that the model, which had been in existence for 30 years, was able to increase the smallholders‟ participation over time. The variables explaining the success of this model are classified as follows: (1) the context that created an enabling environment for profit and healthy interdependency; (2) the governance structure that allowed balance of power relationships; (3) the managerial skills, which were instrumental in operational efficiencies; and (4) the growth of social capital. The conclusion is that, although context, governance structures and managerial competence were necessary factors for the sustainability of the model, the variables related to social capital were determinant for the long-term successful integration of the smallholders. The results obtained in this study cannot be generalised to other contexts, due to the nature of the research design, but they have led to some useful implications, among them being: the need for managers to not only correctly establish their governance and management, but also to correctly establish their social capital; and the need for the government to become involved in the initial stages of developmental projects involving smallholders, in order to help reduce the power imbalance between smallholders and firms.