Certified products are those differentiated on the basis of specific quality attributes that can be certified under various schemes. Participation in markets for certified products can represent a good income generation opportunity for small farmers in developing countries. However, to avail of this opportunity they would have to comply with voluntary quality and safety standards and procedures. Such compliance involves quality and safety assurance, brand development, product niche definition and shifts in the chain coordination. In brief, it means changing the way farmers are doing business. The present study is directed at development practitioners working on ways to support the development of markets inclusive of small farmers. It focuses on identifying business models (BM) and innovative institutional arrangements that enhance small farmers’ access and permanence in segmented markets, where they can obtain higher prices for certified products. The schemes covered in this study are organic agriculture; good agricultural practices (GAP) and geographical indications (GI).
The paper opens with the development of an analytical framework, putting forward an agreed definition and a conceptual framework for carrying out a comparative analysis of a selection of case studies on certified products conducted by FAO. This analysis is organized around the four building blocks that form the framework, namely: i) strategic choices; ii) elements creating value; iii) value capture and income generation; and iv) actors and factors forming the value network around farmers. The objective is to learn from each BM in order to identify success factors at the farmer level, as well as at the level of other value-chain actors and strategic partners.