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PMIL Efforts in Peanut Value Chain Research Lessons and Opportunities from Experience in Haiti

PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

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Page 1: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

PMIL Efforts in

Peanut Value

Chain Research Lessons and Opportunities

from Experience in Haiti

Page 2: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Presentation Objectives

Present the peanut value chain in Haiti

and identify key constraints

Explain applied research history and

interventions carried out to address key

constraints

Introduce a scalable solution: Acceso

Peanut Co

Discuss ongoing PMIL research agenda

Page 3: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Consumption Processing Market Production

o Small Scale

o Low input

o Low yield

o Rainfed

o Manual

o Informal

o Local

o Individual

o Seasonal

o Speculative

o Household

Scale

o Local

o Manual

o Limited QC

o Peanut Butter

o Roasted

Peanuts

o Local

Peanut Value Chain Model

Page 4: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

High Production Costs

Land holding (0.5ha/1.2ac)

Low tech, manual labor (cash & collective)

High cost of inputs (seed & labor)

No formal credit for agriculture

Low Yields (~400kg/ha)

Rainfed

Disease

Low soil fertility

Low quality seed (genetically & physically)

Unskilled labor

Limited/no inputs

Consumption Processing Market Production

Page 5: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

o Mixed Cropping

o No Rotation o Trees in landscape

o No Mechanization

o Poor Germination

o Suboptimal seed

spacing

Page 6: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

o Drought Stress

o Disease Stress

o Spacing/Germination o Rotation

o Soil fertility

Page 7: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

o Labor costs

o Security

o Drying tarp improvement

Page 8: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Post-Harvest Handling

Incomplete drying

Insecure, unventilated storage

High Prices (~$1.50/kg farmer stock, $1500/ton)

Seasonal Volatility

Fragmented market chain

Exploitative speculation by middlemen

Low Quality

Rampant aflatoxin

Immature peanuts

Consumption Processing Market Production

Page 9: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

o Small traders = high

transaction costs

o Volumetric trading = no quality valuation

o Transportation

o Bag improvement

Page 10: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Filbert, Meghan and Brown, Dan, September, 2012. Aflatoxin Contamination in Haitian and Kenyan Peanut Butter and Two Solutions for Reducing Such Contamination. Journal of Hunger & Environmental Nutrition 7:321-332.

Example of Aflatoxin Contamination P

PB

Afla

toxin

Page 11: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Consumption Processing Market Production

No Economies of Scale

95% goes to informal sector

Manual processing

No quality control

Peanut Butter at household/community scale

Roasted peanuts at local market

No alternative/waste stream uses (oil)

High Cost/Low Value Product for Consumer

Page 12: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Haiti Peanut Production

Page 13: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Mission: “Meds & Food for Kids(MFK) is dedicated

to saving the lives of Haiti’s malnourished children

and other nutritionally vulnerable people.”

Production & Capacity Building

Nutrition R&D

Agriculture Development

Page 14: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

MFK Peanut Demand & Capacity

UNICEF, WFP major clients (including export)

Competition from international manufacturers

(lower price)

1000MT/year finished product (22% is peanuts =

400MT farmer stock)

0.5MT/hr processing capacity

4ppb aflatoxin consistently

Still only buy 30MT/year!

Page 15: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Peanut CRSP Research (2008-

2012)

High Cost of Production

Livelihood Survey*

Mechanization

Seed systems

Low Yields

Training farmers, students & agronomists

Creole language production guide

Variety trials

Input trials (fungicide, fertility)

*recall data + empirical data

Page 16: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Mechanization o Soil prep reduced >25%

o Scale increased to 0.5ha/day

o Reduce harvest costs

Page 17: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Variety Trials

0

500

1000

1500

2000

2500

27

28

29

30

31

32

33

36

46

50

51

52

53

54

57

Tift

gu

ard

kg/ha

kg/ha

0

1

2

3

4

5

6

7

27

28

29

30

31

32

33

36

46

50

51

52

53

54

57

Tift

gu

ard

Rust

Page 18: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Variety/Fungicide Trials

0

500

1000

1500

2000

2500

3000

3500

Local

Valencia

Tamspan Spanco Pronto

kg

/ha

Variety

UCNH Fungicide/Variety Trial

with fungicide

without fungicide

Randomized

replicated plots with 3rd

year agronomy

students in Limbe,

Northern Haiti

Page 19: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

What’s next?

Yields can be improved by >2x

Cost can be reduced or balance w/

added inputs

Scalable

Profitable

How can we make these technologies

accessible?

Page 20: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Clinton Guistra Social Enterprise Fund

Haitian-owned, for-profit corporation

Depot-based, input credit network

Repayment in product

GIS calculated credit, inputs, market

2014 pilot program with 750 farmers

2016: 2000 farmers in 3 regions, 1000MT

Page 21: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Input Credits

Mechanization Voucher (trained operators)

Seed Credit (improved variety, quality seed)

Fertilizer (access to gov’t subsidy)

Fungicide Voucher (trained operators)

Page 22: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Pay for

Performance

Training &

Management

Page 23: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

PMIL in Haiti Evaluatue Socioeconomic (G. Kostandini)

Livelihood data

Production data

Tablet Survey- GIS data

Applied Research on Tech Pack (G. Macdonald)

Input evaluation (Fung & Fert)

Variety evaluation

Mechanization Package

Future endeavors: Rainfall insurance, Rotation

Aflatoxin Control (D. Brown)

Best Management Practices

Quality Assurance Protocols

Waste Products

Page 24: PMIL Efforts in Peanut Value Chain Researchcaes2.caes.uga.edu/commodities/fieldcrops/peanuts/pins/documents/...PMIL Efforts in Peanut Value Chain Research ... o Drought Stress o Disease

Thank You!

Questions?