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Why use a "Value Chain"?

In the context of BioTrade,  the term "Value Chain*" is used instead of "sectors" or other related denominations. Value chain refers to relationships established between actors involved directly and indirectly in a productive activity with the aim of adding value in each stage required to obtain a sustainably biodiversity-based product or service .

A value chain involves alliances among producers, processors, distributors, traders, regulatory and support institutions, which, departing from a market demand for their products and services, establish a joint vision to identify mutual needs.  They work jointly in the achievement of goals, and are willing to share the associated risks and benefits, as well as to invest time, energy, and resources in realising these goals.

Methodology

BTFP's technical assistance focus is to develop specific value chains of biodiversity products and services in joint collaboration with partners and beneficiary developing countries.

The following steps are carried out for applicable value chains of biodiversity-based products and services that could benefit from the BTFP

• Selection:  priority value chains are periodically selected  according to social, ecological, technological and market requirements.

• Assessment: this includes a more thorough identification of opportunities, barriers, and existing institutional capacities.

• Strategy: the assessment is the basis for the conception of sector strategies aimed at enhancing the trade potential of the selected value chain.

• Work-plan: the work-plans translate the strategy into concrete activities involving multiple stakeholders, specifying concrete milestones and goals within clear timeframes.

*In the context of BioTrade, value chain analysis is used as a tool to establish a joint vision and identify common needs and existing supply capacity and market barriers in order to develop intervention strategies. The value chain approach facilitates, among others: the articulation among actors in a value chain; the involvement of good practices related to sustainable use and conservation; and the equitable sharing of environmental, social and economic benefits among participants.