11 Participatory Guarantee Systems - CMay

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    Participatory GuaranteeParticipatory Guarantee

    SystemsSystems

    PGS as an option for smallholder farmers to build

    needs for food safety and

    qua y assurance.

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    When the focus of the economy isWhen the focus of the economy is

    to drive exportsto drive exports

    an sma o ers go a ong or t e r e

    Answer is that some can and somecannot depending on what the produce.

    vegetable suppliers)

    For those that cannot what are theoptions for adding value, improving quality

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    --

    = limited volumes of product= r s avers ve ec s on ma ng

    = many produce low value crops with no

    opportunity to add value= highly competitive selling environment

    = most farmers selling as individuals and selling

    same roducts to similar customers= debt

    =

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    Higher value crops - Add value throughimproved quality and consistency of supply

    Add value throu h centralised rocessin

    Direct sale

    -

    consumers in THE STORY A logo

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    Religious beliefs oc a con ro s

    Building a community

    Informal and formal

    Groups manage and

    are res onsible fortheir internal control

    system

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    Options for the way they organiseOptions for the way they organise

    as groupsas groups u es rom

    outside, expensive, export, cannot market as individuals,, .

    A community centred approach engaging key supply

    c a n sta e o ers n a guarantee system or omest c

    markets.

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    accessing markets

    church, NGO + supermarket chain in Porto Alegre (100

    kms)

    Developed internal guarantee system + logo Investment in banana processing to add value

    Supermarket guarantee to buy products and fund

    farmers market in Porto Alegre Ecovida replicated around Brazil

    Brazils Government recognises PGS in regulations

    Household incomes secure, farmers happy.

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    Ke stone NGO be an with small holders in different

    communities sharing knowledge to improve production skills.

    Product guarantee evolved when Keystone began marketingproducts for the groups outside the immediate area.

    Given the constraints (very poor, remote, low levels of literacy) apeople focused guarantee system evolved with a pledge by eachfarmer to follow basic rules. Now more formalised with internal

    Critical mass of product has enabled Keystone to invest in addingvalue - coffee roasting and expand as well as a marketing

    .

    Based on Fair Trade principles. For coffee this means an addition ofat least $2/kg on top of the raw material value.

    India now has a national PGS system supported by Governmentand involves many thousands of producers.

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    AdvantagesAdvantages

    Improved overall prices Greater percentage of crop grown for

    Safety of farmers who use pesticides

    Environment in relation to amount of

    esticide used and dis osal of containers Consumers confidence

    ommun ty ntegr ty

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    gaining market recognition

    Document farming practices

    nnua nspec on or peer rev ew

    Engage various stakeholders in the reviewprocess where possible - consumers, local

    government, buyers etc not just farmers.

    Own logo

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    of guidelines to help www.ifoam.org

    IFOAM PGS Committee

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    Agriculture applicationsAgriculture applications

    - ,

    China - tea and rice wine; Tanzania - hibiscus products

    - New Zealand -most crops, farm inputs

    and processed products

    - ,

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    Tourism Handicraft groups

    Stepping stone to export certification

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    Government policy and regulation Governments role in accreditation and

    Adopt Adapt