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International Symposium on Community Governance Practices (ISCGP)

International Symposium on Community Governance Practices (ISCGP) Theme : Learning from experiences and best practices The Role of Famer Organization as a Community Governance Model to Address the Agricultural Marketing Issues in Sri Lanka: Applicability, possibility and potentiality

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International Symposium on Community Governance Practices (ISCGP)

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  1. International Symposium on Community Governance Practices (ISCGP) Theme :Learning from experiences and best practices The Role of Famer Organization as a Community Governance Model to Address the Agricultural Marketing Issues in Sri Lanka:Applicability, possibility and potentiality Presented By: E.A.C.Priyankara Research Officer Marketing Food Policy and Agribusiness Division Hector Kobbekaduwa Agrarian Research and Training Institute Colombo

  2. Content • Background • Applicability • Possibility • Potentiality • Conclusion • Policy recommendation

  3. Background • Community governance is an inherent attribute in Sri Lankan culture (DAYAKA SABHA in the temple, FUNERAL SOCIETY, SHRAMADANA).

  4. Community Governance

  5. Background continued….. • Farm Organizations have been established during 80s decade (Registered FOs 13732 and unregistered 1390). • Focused on the productivity increase and agriculture resources management.

  6. Extent, Production, Average Yield and Self Sufficiency Ratio of Paddy in Sri Lanka Source: Department of census, SL Customs

  7. Background continued….. • Production has increased but market problems have been raised. • FOs have limited their responsibilities to water use and subsidized fertilizer distribution. • Less priority for the marketing component and changes in consumer preference.

  8. Some issues in Agriculture Marketing in Sri Lanka • Market information • Price volatility • Market power (Individual negotiation) • Lengthy marketing channel & market margin • Handling • Value addition • Agribusiness approach (Profit)

  9. Applicability of Farmer Organization as a Community Governance Model • Issues in the agriculture markets are complex and requires collective action. • Community Management and Decision Making: -Bottom to top approach - Agriculture marketing issues can be discussed inside the FO compiling the ideas of all the farmers .

  10. Applicability continued…… • Community leadership - Leadership in the FOs in a collective effort . - Leaders are to be rotated , new leaders can be encouraged. - Specific group of leaders can be encouraged to undertake agriculture marketing activities.

  11. Applicability continued…… • Community empowerment - Access to new markets - Power of unity of FOs in connecting with relevant authorities. - Equal power in FOs.

  12. Possibility of Farmer Organization as a Community Governance Model • Past Experiences in Community Governance in agriculture can applied in FOs. • Legal Environment for farmer Organizations. • Government Authority for Farmer Organizations. • Improved producers’ “market power”.

  13. Potentialities of Farmer Organization as a Community Governance Model • Providing of Market Information System (MIS) - MIS is needed for transparency. • FO is a vehicle to deliver MIS. • FOs can make proper allocation of agriculture resources and managing the gluts situation using MIS.

  14. Potentialities continued…..Producers’ Share (% of retail price) of Selected Vegetables Source:HARTI Field Data

  15. Potentialities continued….. • Using of Information Communication Technology - maintain a wider range of members that is needed for agriculture marketing. - Access information employing a person in FO • Promotion of Direct Sales:

  16. Value additionTime, Place and physical Seasonal Price Index of Long Grain White Paddy (2008 - 2012 = 100) Source:HARTI Field Data

  17. Potentialities continued….. • FOs can facilitate with storage, credit and technical facilities to farmers for value addition.

  18. Conclusion • Farmer organization is an important community governance model in addressing agriculture marketing issues under the current globalized economic environment. • Sri Lanka is having sufficient strength of FOs. • Policies should be directed in proper utilization of existing strengths.

  19. Policy interventions • Re- structure. • Expansion in to different crops. • Institutional development. • Leadership and managerial skills. • Availability of supportive services. • Financial inclusion and discipline.

  20. Thank you

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