Grape Value Chain Analysis with Emphasis on Raisin Crop in Hamedan Province

Document Type : Research Article

Authors

• S.M. Seyedan
• M. Motaghed

Institute of Agricultural Education and Extension, Agricultural Research, Education and Extension Organization (AREEO), Tehran, Iran

https://doi.org/10.22067/jead.2024.90233.1299

Abstract

Introduction
Effective measures in grape production and processing are essential for understanding market needs. By leveraging acquired knowledge, products should be aligned with market demand, which requires a thorough understanding and application of the value chain. The value chain is a network of actors who are involved in the supply, production, processing, marketing, and consumption of a product or service, and its actors seek to realize added value in each of the links of the chain and add value as a whole. It is for the activities that take place along the chain. An efficient value chain plays a key role in reducing poverty and food security in the country and has inherent potential for the development of job opportunities. The benefits of the value chain include reducing production costs, increasing productivity, providing valuable services to farmers, a variety of new services with added value, innovation at a faster speed, creating new circles, creating more jobs, reducing rural poverty, transparency in the price of agricultural products, balance of supply and demand, improvement of quality and health of agricultural products, reduction of product waste, increase of product health quality, increase of real profit, consumer satisfaction, reduction of mediation and brokerage, increase of flexibility power and sustainability in production and export.
 
Materials and Methods
In this research, data was collected from each agent (link in the chain) using a questionnaire. Various methods exist for analyzing the value chain, with the SWOT analysis (identifying strengths, weaknesses, opportunities, and threats, as well as determining strategic positioning) being the most significant. This method was utilized in the study and will be briefly explained in relation to the SWOT matrix analysis process. However, since the SWOT analytical matrix generates multiple strategies without prioritizing them, the QSPM matrix was employed to establish priorities. This matrix is used in the last stage of strategy development and for selecting and prioritizing strategies. This matrix prioritizes different strategy options according to their attractiveness score.
 
Results and Discussion
In the present study; 74 components in the template (15 strengths, 23 weaknesses, 19 threats and 17 opportunities) were extracted and categorized. To evaluate the internal factors of the grape value chain with an emphasis on its yield, the internal factors evaluation matrix (IFE) was used. In this matrix, the strengths and weaknesses were listed and scored using special coefficients and ranks to determine the final score of the evaluation of internal factors. The analysis of internal factors revealed a total score of 61.2, indicating that the grape value chain in Hamedan Province is in a strong position. In other words, its internal strengths outweigh its weaknesses. Similarly, the analysis of external factors showed a weighted score of 2.87. Therefore, the grape value chain in Hamedan has an external opportunity. In other words, the opportunities of the grape value chain are more than its threats.
 
Conclusion and Suggestions
To improve this situation, the raisin value chain model was designed based on observations and research findings. This model is an executive model that has five main actors including 1- Input supply link (without timely supply of inputs and without creating a basis for the development of a competitive environment in this link, one cannot hope for sustainable production and export), 2- The link of grape growers is 3- the circle of packaging and processing factories, 4- the circle of distribution and marketing, and 5- the circle of consumption and communication with customers. This model also has a support link (providing consulting, training, and support services to investors to help create and launch new businesses within the chain) that supports all the links in terms of structure, design, research, training, financial management, and resource management. Humanity supports. These measures attract investment, create employment, develop chain links and growth, and help to achieve the goals of economic and social development of the region. The most significant missing link in the grape value chain is the production and processing of the product under a specialized brand. Establishing these processes is essential for attracting foreign markets. Given the high quality of grapes in Hamedan Province and their potential to compete with international products, it is crucial to transform this potential into reality. This requires the development of high-quality processed products to gain a competitive edge and capture market share from competitors.

Keywords

• QSPM matrix
• Raisins
• Strategy
• SWOT matrix
• Value chain

Main Subjects

• Agricultural and Village Development

©2024 The author(s). This is an open access article distributed under Creative Commons Attribution 4.0 International License (CC BY 4.0)

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