The Dynamics of Vertical Coordination in Agrifood Chains in Eastern Europe and Central Asia : Implications for Policy and World Bank Operations
A major problem in the transition countries of Europe and Central Asia (ECA) during the transition was the breakdown of the relationships of farms with input suppliers and output markets. The simultaneous privatization and restructuring of the farms and of the up- and downstream companies in the agr...
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2012
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Online Access: | http://documents.worldbank.org/curated/en/2005/06/6869081/dynamics-vertical-coordination-eca-agrifood-chains-implications-policy-bank-operations http://hdl.handle.net/10986/8806 |
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okr-10986-88062021-04-23T14:02:40Z The Dynamics of Vertical Coordination in Agrifood Chains in Eastern Europe and Central Asia : Implications for Policy and World Bank Operations World Bank ACCESS TO MARKETS ADB AFFILIATES AGRIBUSINESS AGRICULTURAL DEVELOPMENT AGRICULTURAL MARKETING AGRICULTURAL PRODUCTION AGRICULTURE ANIMAL FEED ANIMAL PRODUCTS BANK LOAN GUARANTEES BANKRUPTCY BANKRUPTCY LAWS BANKS BARLEY BEET SUGAR BENCHMARK CENTRAL ASIAN COMMODITY CONSOLIDATION CONTRACT ENFORCEMENT CONTRACTUAL ARRANGEMENTS COOPERATIVES CORN COTTON COTTON PRODUCTION COTTON SECTOR CROP CROPS DAIRY PRODUCTION DAIRY PRODUCTS DAIRY SECTOR DEBT DEPRESSED PRICES DEVELOPMENT STRATEGY ECONOMIC COOPERATION ECONOMIC RESEARCH ECONOMICS EGG PRODUCTION EGGS EMPLOYMENT EQUIPMENT EXCESS DEMAND EXTENSION EXTENSION SERVICES FACTORING FAO FARM FARM MANAGEMENT FARM PRODUCTIVITY FARMING FARMS FERTILIZER FINANCIAL INSTITUTIONS FINANCIAL MARKETS FOOD INDUSTRY FOOD PROCESSING FOOD SAFETY FOOD SUPPLY FRUIT VEGETABLES FRUITS GOVERNMENT INTERVENTION GRAIN GRAINS HARVESTS INFLATION INNOVATION INTEGRATION INTEREST RATES INTERNATIONAL MARKETS LIQUIDITY LIVESTOCK LOCAL GOVERNMENTS MACROECONOMIC STABILITY MARKET ACCESS MARKET DEVELOPMENT MARKET ECONOMIES MARKET INFORMATION MONOPOLIES MONOPOLY NONGOVERNMENTAL ORGANIZATIONS POOR HOUSEHOLDS POSITIVE EFFECTS POTATOES POULTRY PRICE CONTROLS PRIVATIZATION PRODUCE PRODUCT QUALITY PRODUCTION ACTIVITIES PRODUCTIVITY GROWTH PROFITABILITY PROPERTY RIGHTS PUBLIC POLICY REORGANIZATION RETAIL RURAL DEVELOPMENT SEED SEED COTTON SEEDS SMALL FARMERS SMALL PRODUCERS SOYBEANS SPOT MARKET SPOT MARKETS SUBSIDIARY SUGAR SUGAR BEETS SUPPLIER SUPPLIERS SUPPLY CHAIN SUPPLY CHAINS SUPPLY CONTRACTS TAXATION TECHNICAL ASSISTANCE TRADE POLICIES TRADE POLICY TRANSACTION COSTS TRANSPORT VEGETABLES VETERINARY SERVICES WAREHOUSE WESTERN EUROPE WHEAT WORKING CAPITAL YIELDS A major problem in the transition countries of Europe and Central Asia (ECA) during the transition was the breakdown of the relationships of farms with input suppliers and output markets. The simultaneous privatization and restructuring of the farms and of the up- and downstream companies in the agrifood chain has caused major disruptions. The result is that many farms and rural households face serious constraints in accessing essential inputs (feed, fertilizer, seeds, capital, etc.) and in selling their products. The problems are worsened by the lack of public institutions necessary to support market-based transactions, such as for enforcing property rights and contractual agreements. In the absence of appropriate public institutions, private contractual initiatives, often from large food and agribusiness companies, are emerging to overcome these obstacles. Large traders, agribusinesses, and food processing companies, often as part of their own restructuring or following foreign investment, start contracting with the farms and rural households and provide basic inputs in return for guaranteed and quality supplies. This process of interlinked contracting, called vertical coordination, is growing rapidly in ECA agriculture and rural areas. This report pinpoints unresolved issues related to efficiency, equity, and government policy. As a part of its analysis, the report identifies options for improved policies, institutions, and investments which Governments could make, and which the World Bank could support, in order to improve links in agricultural marketing and processing chains and increase access of farmers to input and output markets. 2012-06-22T17:12:35Z 2012-06-22T17:12:35Z 2005-06 http://documents.worldbank.org/curated/en/2005/06/6869081/dynamics-vertical-coordination-eca-agrifood-chains-implications-policy-bank-operations http://hdl.handle.net/10986/8806 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Washington, DC Economic & Sector Work :: Other Rural Study Economic & Sector Work Europe and Central Asia |
repository_type |
Digital Repository |
institution_category |
Foreign Institution |
institution |
Digital Repositories |
building |
World Bank Open Knowledge Repository |
collection |
World Bank |
language |
English en_US |
topic |
ACCESS TO MARKETS ADB AFFILIATES AGRIBUSINESS AGRICULTURAL DEVELOPMENT AGRICULTURAL MARKETING AGRICULTURAL PRODUCTION AGRICULTURE ANIMAL FEED ANIMAL PRODUCTS BANK LOAN GUARANTEES BANKRUPTCY BANKRUPTCY LAWS BANKS BARLEY BEET SUGAR BENCHMARK CENTRAL ASIAN COMMODITY CONSOLIDATION CONTRACT ENFORCEMENT CONTRACTUAL ARRANGEMENTS COOPERATIVES CORN COTTON COTTON PRODUCTION COTTON SECTOR CROP CROPS DAIRY PRODUCTION DAIRY PRODUCTS DAIRY SECTOR DEBT DEPRESSED PRICES DEVELOPMENT STRATEGY ECONOMIC COOPERATION ECONOMIC RESEARCH ECONOMICS EGG PRODUCTION EGGS EMPLOYMENT EQUIPMENT EXCESS DEMAND EXTENSION EXTENSION SERVICES FACTORING FAO FARM FARM MANAGEMENT FARM PRODUCTIVITY FARMING FARMS FERTILIZER FINANCIAL INSTITUTIONS FINANCIAL MARKETS FOOD INDUSTRY FOOD PROCESSING FOOD SAFETY FOOD SUPPLY FRUIT VEGETABLES FRUITS GOVERNMENT INTERVENTION GRAIN GRAINS HARVESTS INFLATION INNOVATION INTEGRATION INTEREST RATES INTERNATIONAL MARKETS LIQUIDITY LIVESTOCK LOCAL GOVERNMENTS MACROECONOMIC STABILITY MARKET ACCESS MARKET DEVELOPMENT MARKET ECONOMIES MARKET INFORMATION MONOPOLIES MONOPOLY NONGOVERNMENTAL ORGANIZATIONS POOR HOUSEHOLDS POSITIVE EFFECTS POTATOES POULTRY PRICE CONTROLS PRIVATIZATION PRODUCE PRODUCT QUALITY PRODUCTION ACTIVITIES PRODUCTIVITY GROWTH PROFITABILITY PROPERTY RIGHTS PUBLIC POLICY REORGANIZATION RETAIL RURAL DEVELOPMENT SEED SEED COTTON SEEDS SMALL FARMERS SMALL PRODUCERS SOYBEANS SPOT MARKET SPOT MARKETS SUBSIDIARY SUGAR SUGAR BEETS SUPPLIER SUPPLIERS SUPPLY CHAIN SUPPLY CHAINS SUPPLY CONTRACTS TAXATION TECHNICAL ASSISTANCE TRADE POLICIES TRADE POLICY TRANSACTION COSTS TRANSPORT VEGETABLES VETERINARY SERVICES WAREHOUSE WESTERN EUROPE WHEAT WORKING CAPITAL YIELDS |
spellingShingle |
ACCESS TO MARKETS ADB AFFILIATES AGRIBUSINESS AGRICULTURAL DEVELOPMENT AGRICULTURAL MARKETING AGRICULTURAL PRODUCTION AGRICULTURE ANIMAL FEED ANIMAL PRODUCTS BANK LOAN GUARANTEES BANKRUPTCY BANKRUPTCY LAWS BANKS BARLEY BEET SUGAR BENCHMARK CENTRAL ASIAN COMMODITY CONSOLIDATION CONTRACT ENFORCEMENT CONTRACTUAL ARRANGEMENTS COOPERATIVES CORN COTTON COTTON PRODUCTION COTTON SECTOR CROP CROPS DAIRY PRODUCTION DAIRY PRODUCTS DAIRY SECTOR DEBT DEPRESSED PRICES DEVELOPMENT STRATEGY ECONOMIC COOPERATION ECONOMIC RESEARCH ECONOMICS EGG PRODUCTION EGGS EMPLOYMENT EQUIPMENT EXCESS DEMAND EXTENSION EXTENSION SERVICES FACTORING FAO FARM FARM MANAGEMENT FARM PRODUCTIVITY FARMING FARMS FERTILIZER FINANCIAL INSTITUTIONS FINANCIAL MARKETS FOOD INDUSTRY FOOD PROCESSING FOOD SAFETY FOOD SUPPLY FRUIT VEGETABLES FRUITS GOVERNMENT INTERVENTION GRAIN GRAINS HARVESTS INFLATION INNOVATION INTEGRATION INTEREST RATES INTERNATIONAL MARKETS LIQUIDITY LIVESTOCK LOCAL GOVERNMENTS MACROECONOMIC STABILITY MARKET ACCESS MARKET DEVELOPMENT MARKET ECONOMIES MARKET INFORMATION MONOPOLIES MONOPOLY NONGOVERNMENTAL ORGANIZATIONS POOR HOUSEHOLDS POSITIVE EFFECTS POTATOES POULTRY PRICE CONTROLS PRIVATIZATION PRODUCE PRODUCT QUALITY PRODUCTION ACTIVITIES PRODUCTIVITY GROWTH PROFITABILITY PROPERTY RIGHTS PUBLIC POLICY REORGANIZATION RETAIL RURAL DEVELOPMENT SEED SEED COTTON SEEDS SMALL FARMERS SMALL PRODUCERS SOYBEANS SPOT MARKET SPOT MARKETS SUBSIDIARY SUGAR SUGAR BEETS SUPPLIER SUPPLIERS SUPPLY CHAIN SUPPLY CHAINS SUPPLY CONTRACTS TAXATION TECHNICAL ASSISTANCE TRADE POLICIES TRADE POLICY TRANSACTION COSTS TRANSPORT VEGETABLES VETERINARY SERVICES WAREHOUSE WESTERN EUROPE WHEAT WORKING CAPITAL YIELDS World Bank The Dynamics of Vertical Coordination in Agrifood Chains in Eastern Europe and Central Asia : Implications for Policy and World Bank Operations |
geographic_facet |
Europe and Central Asia |
description |
A major problem in the transition countries of Europe and Central Asia (ECA) during the transition was the breakdown of the relationships of farms with input suppliers and output markets. The simultaneous privatization and restructuring of the farms and of the up- and downstream companies in the agrifood chain has caused major disruptions. The result is that many farms and rural households face serious constraints in accessing essential inputs (feed, fertilizer, seeds, capital, etc.) and in selling their products. The problems are worsened by the lack of public institutions necessary to support market-based transactions, such as for enforcing property rights and contractual agreements. In the absence of appropriate public institutions, private contractual initiatives, often from large food and agribusiness companies, are emerging to overcome these obstacles. Large traders, agribusinesses, and food processing companies, often as part of their own restructuring or following foreign investment, start contracting with the farms and rural households and provide basic inputs in return for guaranteed and quality supplies. This process of interlinked contracting, called vertical coordination, is growing rapidly in ECA agriculture and rural areas. This report pinpoints unresolved issues related to efficiency, equity, and government policy. As a part of its analysis, the report identifies options for improved policies, institutions, and investments which Governments could make, and which the World Bank could support, in order to improve links in agricultural marketing and processing chains and increase access of farmers to input and output markets. |
format |
Economic & Sector Work :: Other Rural Study |
author |
World Bank |
author_facet |
World Bank |
author_sort |
World Bank |
title |
The Dynamics of Vertical Coordination in Agrifood Chains in Eastern Europe and Central Asia : Implications for Policy and World Bank Operations |
title_short |
The Dynamics of Vertical Coordination in Agrifood Chains in Eastern Europe and Central Asia : Implications for Policy and World Bank Operations |
title_full |
The Dynamics of Vertical Coordination in Agrifood Chains in Eastern Europe and Central Asia : Implications for Policy and World Bank Operations |
title_fullStr |
The Dynamics of Vertical Coordination in Agrifood Chains in Eastern Europe and Central Asia : Implications for Policy and World Bank Operations |
title_full_unstemmed |
The Dynamics of Vertical Coordination in Agrifood Chains in Eastern Europe and Central Asia : Implications for Policy and World Bank Operations |
title_sort |
dynamics of vertical coordination in agrifood chains in eastern europe and central asia : implications for policy and world bank operations |
publisher |
Washington, DC |
publishDate |
2012 |
url |
http://documents.worldbank.org/curated/en/2005/06/6869081/dynamics-vertical-coordination-eca-agrifood-chains-implications-policy-bank-operations http://hdl.handle.net/10986/8806 |
_version_ |
1764405601578778624 |