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AfricAgric

Workbook

Level 2 · Understanding Value Chains

Work through these exercises with your own product, market and numbers. Review your answers with a mentor, a farmer group or a business adviser. Print this page to fill it in by hand.

Exercises in this level

Part 1 · What a value chain is

Exercise 2.1 · Draw your product's chain

  1. Choose one product you know. Write it at the top of a page.
  2. Draw the steps from inputs to the final customer. Add boxes if there are steps not shown in the example.
  3. Write the name or kind of actor at each step (for example 'smallholder farmer', 'local trader').
  4. Mark with a star the step you know least about.

Part 2 · Who does what, and who earns what

Exercise 2.2 · Roles and rewards

  1. For each actor in your chain, write one thing they do and one risk they carry.
  2. Write which actor you think has the most bargaining power and why.
  3. Write one question you would like to ask an actor you have not talked to before.

Part 3 · Where value is lost

Exercise 2.3 · A loss walk

  1. Go through your chain step by step and ask, 'What is lost here: product, quality, time or money?'
  2. Mark the step where you think the largest loss happens, and write how you could check it.
  3. Write one low-cost change that could reduce that loss.

Part 4 · Finding opportunities in the chain

Exercise 2.4 · My opportunity

  1. From your loss walk and role notes, choose one opportunity in the chain.
  2. Write who would pay for it and why.
  3. Write the smallest test you could do in the next month.
  4. Write one thing that could make the idea fail, and what you would do about it.

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