This paper synthesizes Component 2 of the Regoverning Markets Programme. It is based on 38 empirical case studies where small-scale farmers and businesses connected successfully to dynamic markets, doing business with agri-processors and supermarkets. The studies aimed to derive models, strategies and policy principles to guide public and private sector actors in promoting greater participation of small-scale producers in dynamic markets. This publication forms part of the Regoverning Markets project.

This paper has been prepared under the guidelines provided by the TAP Secretariat at the FAO, as a contribution to the G20 initiative TAP, which includes near 40 partners and is facilitated by FAO. Its purpose is to provide a Regional synthesis report on capacity needs assessment for agricultural innovation, with capacity gaps identified and analyzed, including recommendations to strengthen agricultural innovation systems (AIS) and draft policy recommendations to address the capacity gaps. 

In this paper, results from a study on the use of improved coffee production technology schemes among smallholder coffee producers in three prominent coffee producing regions in Honduras are presented. The impact of various schemes (trajectories) in which different agents influence the producers’ decision to use new technologies was analyzed. In particular, there are differences in the influence of a) private coffee buying organizations and b) government and public development agencies on the innovation behavior of coffee growers.

The present report is based on the authors' visits to Bolivia, Honduras and Nicaragua, during June-August 2004 in order to develop an initial understanding of innovation processes and identifying stakeholders working with national innovation processes. It also review the experiences of the invited Latin American participants in the 7th Global Conference of Competitiveness Institute (entitled "Building Innovative Clusters for Competitive Advantage") in September 2004 and finally presents suggestion for further activities.

The aim of the study was to strengthen the capacities of the farmers in a participatory process to adapt to climate change. It was assumed that an innovation platform could support generation and exchange of knowledge on climate change, exchange and identification and implementation of options for adaptation tailored to local needs by the participating farmers