Net-Map analysis of Value Network for Maize and Aflatoxin Information Flow in Kenya. Submitted by Marites Tiongco, IFPRI



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Net-Map analysis of Value Network for Maize and Aflatoxin Information Flow in Kenya Submitted by Marites Tiongco, IFPRI

STRUCTURE Objectives 2 List of Participants 2 Actors of Maize Value Chain 2 Description of Major Actors And Their Roles Along the Maize Value Chain 4 Position of Actors in the Network 6 Flow of the Product 6 Flow of the Information 8 List of Tables Table 1 List of participants in the Net-Map exercise, Kenya 2 Table 2 List of actors in the groundnut value chain and Aflatoxin risk information network 3 Table 3 Degree Centrality 6 Table 4 Closeness & Farness Centrality for selling maize and byproducts in the value chain 7 List of Maps Map 1. Flow of maize along the value chain 7 Map 2. Information and product flow links and most influential actors in case of an aflatoxicosis outbreak Map 3. Information and product flow links and most influential actors in changing behavior to adopt drought resistant variety in order to reduce risk of Aflatoxin contamination Map 4. Information and product flow links and most influential actors in changing behavior to adopt a postharvest technology in order to reduce risk of Aflatoxin contamination Map 5. Information and product flow links and most influential actors in case of communicating research findings 8 9 10 11 Appendix: Pictures from exercise 12 1

Objectives The objective of this exercise was to identify the actors, information flows along the maize value chain, and the institutional responses to Aflatoxin contamination. The following questions were asked: What/who are the formal and informal actors, private/public involved in the value chain? What are their roles? Who in the value chain is influential in terms of managing risk of Aflatoxin contamination? How does information flow in the value chain? List of Participants Twenty participants from different institutions took part in the net-mapping exercise (Table 1). Table 1: List of participants in the Net-Map exercise, Kenya Name Affiliation 1 Archileo N. Kaaya Makerere University 2 Briget Okumu East Africa Grain Council 3 Clare Narrod International Food Policy Research Institute (IFPRI) 4 Diana Grusczynski Bill and Melinda Gates Foundation 5 Felicia Wu University of Pittsburgh 6 Francis Nangayo African Agricultural Technology Foundation 7 George Mahuku International Maize and Wheat Improvement Center (CIMMYT) 8 Gerald Mumma Centers for Disease Control and Prevention (CDC) 9 Hugo De Groote CIMMYT 10 Jonathan Hellin CIMMYT 11 Judith Chambrelin Uniformed Services University of the Health Sciences 12 Kevin Manyara Lesiolo Grain 13 Marties Tiongco IFPRI 14 Ranajit Bandyopadhyay International Institute of Tropical Agriculture 15 Rebecca Nelson Cornell University 16 Sila Nzioki Kenya Agricultural Research Institute 17 Sophie Walker Agricultural Cooperative Development International/ Volunteers in Overseas Cooperative Assistance (ACDI/VOCA) 18 Steve Collins ACDI/VOCA 19 Vivian Hoffmann University of Maryland 20 Zippy Mbati World Food Program Actors of Maize Value Chain The actors identified by the participants include farmers, service providers, and institutions involved in managing the risk of Aflatoxin contamination in maize (Table 2). 2

Table 2. List of actors along the maize value chain in Kenya Actors Government Agencies/policy makers/regulators Government extension workers Saved seed company Certified seed companies City council cess collectors Village Leaders/Chiefs/Local opinion leaders KAB Standards Government research centers Kenya Plant Health Inspectorate Services Government service providers Ministry of Agriculture Ministry of Health Int l organization/non-government/sources of information CIMMYT World Food Program NGO extension workers NGO service providers NARS including Kenya Agricultural Research Institute (KARI) Eastern Africa Grain Council Universities-academicians-scientists Media Input providers Government seed companies Commercial seed companies Fertilizer producers Agro dealers Producers Large-scale farmers Medium scale farmers Small-scale farmers includes subsistence farmers Storage (post-harvest) National Cereals and Produce Board (also a market outlet) Commercial warehouse Storage builders Silo makers Distribution and marketing agents Farm level stores in small market place Small assemblers Small scale transporters Large scale transporters Code GOVTEXT SAVEDSD CERTIFIEDSD CESS LOCLEADERS KAB GOVRESEARCH KEPHIS GOVSERVICE MOA MOH CIMMYT WFP NGOEXT NGOSERVICE NARS EAGC UNIV Mass media includes TV, radio, newspapers GOVSEED COMSEED FERTPROD AGRODEALRS LSFARMERS MSFARMERS SSFARMERS NCPB COMWAREH STOREBUILDRS SILOBUILDRS FARMSTORE SMASSEMBLERS SMTRANSPORTRS LSTRANSPORTRS 3

Primary traders Secondary traders Wholesale traders Processed product retailers Grain retailers Contract traders Export-Import Traders Large farm-level stores big market place Paid stores Processors Food processors Corn oil processors Kumi-kumi producers- moonshine produced with rejected grain Formal commercial millers Large posho millers Small posho millers Animal feed millers CPC starch/flour processors Alcohol producers Consumers Rural consumers including maize farmers Urban Consumers Supermarkets Community health workers Hospital workers Schools(public) Livestock Catholic Diocese; Church leaders & groups PRIMTRADERS SECTRADERS WHOLESALERS PROCSDRETAILRS GRAINRETAILRS CONTRADERS XMTRADERS LSTORES PDSTORES PROCESSORS CORNOIL KUMI2 COMILLERS LSPOSHO SSPOSHO FEEDMILRS CPCFLOUR ALCOHOL RURALCON URBANCON SUPERMKTS HEALTHWORKRS HOSPITALW SCHOOLS LIVESTOCK CHURCH Description of major actors and their roles along the maize value chain Small-scale farmers these are maize producers producing small amount of maize (from less than 5 acres of land) and sell them to farm level stores; usually they run out of maize so they purchase for home consumption. They do not produce enough grains for home consumption and are actually net buyers of grain over the course of the year. Medium-scale farmers these are farmers producing medium volume of maize (from 5-20 acres of land). Large-scale farmers these are farmers producing large volumes of maize (from more than 30 acres of land) and sell their grain to NCPB and large commercial millers. Small Assemblers these are the first commercial purchasers of maize from the maize field. They buy maize directly from several farmers in bulk to capture economies of scale in transport to local markets, 4

and sell it to wholesalers and retailers, and sometimes directly to consumers. In some cases, they also act as purchasing agents of large commercial millers. Wholesalers are traders who buy maize from assemblers and sell it to retailers or millers. They usually buy maize from surplus areas and sell it to deficit areas, and in large market places. Primary and secondary traders these are local maize traders who buy maize from large wholesalers and assemblers and sell it to smaller-scale retailers and final consumers. Secondary traders are also retailers in small market places where maize was stocked and sold in small volumes. Formal commercial millers these are large-scale millers who deal with large volumes of maize and do their own packaging. These millers are capital intensive and use roller-milling technology that produces a more refined meal. They acquire maize from wholesalers, NCPB stores, and large farmers. Posho millers these are also under the category of traders who acquire maize directly from farmers but are involved in processing maize grain into whole maize meal (posho). Posho millers use simple hammer milling technology where the germ and bran of the maize grain are milled together with the kernel to produce flour. Small-scale posho millers are involved in custom milling where the customer provides the maize grain and mill it for a fee. Large-scale posho millers are involved in production milling with bigger capacity than small-scale posho millers and are also involved in packaging and retailing maize meal. They also stock maize for resale to consumers. Farm level stores are market outlets located in small market places. Kenya Plant Health Inspectorate Services (KEPHIS) is an independent regulatory agency to ensure quality of agricultural inputs, such as seeds and fertilizer produce in Kenya. It undertakes Plant Variety Protection, Seed Certification, Phytosanitary Inspection of Imports and Exports and Analysis of Soil, Water, Agricultural Produce, Fertilizers and Pesticides. National Cereals and Produce Board (NCPB) is a cereal purchasing, marketing, and price regulatory agency that ensures a whole year round supply of cereals for the nation. Eastern Africa Grain Council (EAGC) is a regional organization for the grain value chain stakeholders whose members are farmers, traders, millers and service providers such as banks, warehouse operators and input suppliers from the East African Community (EAC), Common Market for Eastern and Southern Africa (COMESA) and Southern Africa Development Cooperation (SADC) regional trading blocs (http://www.eagc.org/section.asp?id=39). Extension service providers these are extension workers responsible for the delivery of extension service including dissemination of technology 5

Position of actors in the network Flow of the product: Maize is produced using several inputs such as seeds, fertilizer, capital, and labor. Once harvested, maize move from the farmer/producer to the middlemen, which include assemblers, primary and secondary traders, and transporters, then to processors, millers, wholesalers, retailers, and finally to consumers/end users. All these actors stock maize either for consumption or retail, thus they use grain storage facilities such as warehouse and silos. Consumers include rural and urban consumers (including farmer/producers of maize), regional and international markets, supermarkets, livestock (fed with reject grains), and relief organizations (such as WFP). Degree centrality reveals the number of links an actor have in the network. Figure 1 shows that mediumscale farmers, secondary traders, farm level stores, wholesalers, and commercial millers are among the value chain actors that exhibited the highest degree of centrality (10-13 links). In particular, the critical points of intervention in reducing the risk of Aflatoxin contamination are where there are medium-scale farmers and secondary traders. Table 3: Degree Centrality Actors Degree MSFARMERS 13 SECTRADERS 12 FARMSTORE 11 WHOLESALERS 10 COMILLERS 10 SSFARMERS 9 PRIMTRADERS 9 MEDIA 9 SMASSEMBLERS 8 AVG: 4.323 STD: 3.042 MIN: 1 MAX: 13 Closeness Centrality indicates how many steps it takes from one actor to every other actor in the network. High closeness value means that the actor is closer to other actors (fewer steps to reach other actors) and hence if they are contaminated, they might be epicentres of aflatoxin contamination. Among the value chain actors that have been identified to have high closeness are primary and secondary traders, small to medium-scale farmers, farm level stores, and wholesalers. 6

Table 4: Closeness & Farness Centrality for selling maize and byproducts in the value chain Actors Far Close SECTRADERS 58.0 0.017 MSFARMERS 59.0 0.017 FARMSTORE 59.0 0.017 WHOLESALERS 59.0 0.017 PRIMTRADERS 62.0 0.016 SSFARMERS 63.0 0.016 AVG: 84.7 0.012 STD: 16.6 0.002 MIN: 58.0 0.007 MAX: 141.0 0.017 Maximum possible closeness: 0.02 Map 1. Flow of maize along the value chain 7

Flow of information: Figure 2 shows the most influential actors (with bigger nodes) in terms of managing risk of Aflatoxin during an outbreak. The most influential actors, as represented by the size of the nodes, are the Ministry of Health, government and non-government service providers, followed by the media such as radio to get the message out and then the Ministry of Agriculture, and NCPB. It is important to note that mobile phones (particularly text messaging) are effective means of communicating information related to price and other market information. Map 2. Information and product flow links and most influential actors in case of an aflatoxicosis outbreak Legend: links red information on knowledge, technology, and market green poultry product flow Figure 3 shows the most influential actors in facilitating changes in behavior or when communicating knowledge and awareness of ways to mitigate risk of Aflatoxin contamination, for example using 8

drought resistant varieties. The most influential actor is CIMMYT, followed by commercial seed distributors, media, then agro dealers, medium-scale farmers, urban and rural consumers, nongovernment service providers, local leaders, Ministry of Agriculture, and feed millers and commercial millers. It should be noted that CIMMYT works very closely with Kenya Agricultural Research Institute (KARI) who is involved in technology development, adoption and dissemination to farmers and other actors. Hence, KARI should, in principle, also should be considered as most influential actor. This however did not appear during the net-mapping exercise as KARI was not explicitly identified by the participants. Map 3. Information and product flow links and most influential actors in changing behavior to adopt drought resistant variety in order to reduce risk of Aflatoxin contamination Legend: links red information on knowledge, technology, and market green poultry product flow Figure 4 shows the most influential actors when communicating knowledge and awareness of ways to minimize the risk of Aflatoxin contamination, for example adopting a postharvest technology that would minimize harvest losses such as metal silos for storage. At the village and community levels, the most 9

influential actors identified are local leaders, followed by media, then agro dealers and non-government extension workers. If the risk mitigation strategy is destroying all contaminated maize and maize found within a certain kilometer radius, then millers and traders will be the most influential actors in the whole chain. It is interesting to note that post-harvest technology providers (such as silo makers) did not turn out to be influential actors. Map 4. Information and product flow links and most influential actors in changing behavior to adopt a postharvest technology in order to reduce risk of Aflatoxin contamination Legend: links red information on knowledge, technology, and market green poultry product flow Figure5 shows map of actors who are most influential in communicating research findings from this project. The most influential actors identified are local leaders, followed by media, then agro dealers and non-government extension workers. Research findings therefore need to be communicated to local leaders, but most importantly to those who provide information to local leaders. The media could be the 10

most critical, in terms of acquiring the information from scientists, packaging and translating it to local leaders and other actors. The critical points of intervention would be wherever there is a storage or store, particularly at the farm level. Map 5. Information and product flow links and most influential actors in case of communicating research findings Legend: links red information on knowledge, technology, and market green poultry product flow The net maps shown above are a result of perceptions of participants (mainly representing research institutions) of the net-mapping exercise. They make look messy and complex at a glance, but the net maps imply that all participants actively participated and discussed their ideas about the topic. It is also possible that these net maps will vary if other actors along the value chain were present during the exercise. Qualitative research at the beginning of the project (using participatory value chain analysis 11

and market mapping) will rapidly help the project team and its partners identify the key actors in the net maps shown above where they can focus their efforts to prevent and control Aflatoxin contamination. Disclaimer: The views expressed in this report are those of the authors and are not necessarily endorsed by or representative of IFPRI or of the co-sponsoring or supporting organizations. This brief is intended for discussion. It has not yet undergone editing. For more information visit: http://www.ifpri.org/afla/afla.asp APPENDIX: Pictures from exercise 12

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