EDRI Research Report 25: Value Chain Analyses for a Climate Resilient Production of Cotton and Sugarcane Commodities in Ethiopia

Abstract

Climate change poses threat to all economic actors though the degree of impact may vary from actor to actor or from activity to activity. Understanding the structure (i.e., roles, economic linkages and governance system) of the various economic players who are vertically integrated in input supply, production, distribution or consumption of a certain agricultural value chain is essential in the formulation of  an adaptation  strategy for building climate resilience in the agricultural sector. Good understanding of the roles, linkages and governance system among the different economic agents in the value chain of agricultural commodities helps not only to come up with an adaptation strategy but it is also essential to minimize the anticipated impacts of climate change on all the stakeholders and the most vulnerable societies. In this regard, the approach that has proved useful and consistent in understanding the roles, linkages and interactions among interdependent economic agents in a certain value chain is the value chain analysis (VCA).