The Global Value Chain (GVC) approach has emerged as a novel methodological device for analysing economic globalization and international trade. The suitability of the chain metaphor and strategies for moving up the ladder of GVCs (“upgrade”) is widely echoed in international development agencies and public agencies in the Global South. Most of the existing GVC studies focus on new forms of firm-to-firm relationships and the role of lead firms and chain governance in defining upgrading opportunities.
The rapid expansion of modern food retail encapsulated in the so-called ‘supermarket revolution’ is often portrayed as a pivotal driving force in the modernization of agri-food systems in the Global South. Based on fieldwork conducted on horticulture value chains in West Java and South Sulawesi, this paper explores this phenomenon and the concerted efforts that government and corporate actors undertake with regard to agri-food value chain interventions and market modernization in Indonesia.
Smallholder rice farming is characterized by low returns and substantial environmental impact. Conversion to organic management and linking farmers to fair trade markets could offer an alternative. Engaging in certified cash-crop value chains could thereby provide an entry path to simultaneously reduce poverty and improve environmental sustainability. Based on comprehensive data from a representative sample of approximately 80 organic and 80 conventional farms in northern India, we compared yield and profitability of the main rotation crops over a period of five years.