TY - JOUR
T1 - Cacao value chains and credence attributes
T2 - lessons from Ecuador
AU - Villacis, Alexis
AU - Alwang, Jeffrey
AU - Barrera, Victor
N1 - Funding Information:
Pacari began operations with just five employees and currently employs more than 85 people, receiving financial support from local and international banks. Throughout its development, Pacari received support from public entities such as PROECUADOR, who helped open markets, mainly by inviting Pacari to participate in international fairs. Pacari now produces more than 100 chocolate products and manufactures more than five million chocolate bars per year. About 50% of these are sold internationally. According to its founders, Pacari products entered and succeeded in international markets before entering the Ecuadorian market.
Publisher Copyright:
© 2022, Emerald Publishing Limited.
PY - 2022/8/2
Y1 - 2022/8/2
N2 - Purpose: Motivated by transformations in global food systems and increasing demand for multidimensional credence attributes, the authors analyze cacao value chains in Ecuador – the main producer of fine and flavor cacao worldwide. The authors identify opportunities and discuss how private and public sector initiatives can help meet emerging challenges. Design/methodology/approach: Primary information was collected through interviews of actors in the Ecuadorian industry during spring/summer 2020, including cacao producer associations, exporter associations, chocolate processing firms, public institutions and local universities. Two focus groups were also conducted with producers from associations in the Ecuadorian Amazon. Findings: Findings suggest new opportunities for cacao producers and chocolate processors have emerged from the global market transformation. To exploit these, firms need to personalize and differentiate their products, for example, by using quality certifications such as organic and fair trade. Market developments, such as European cadmium regulations and the necessity of worldwide traceability systems, are driving exporters to enhance Ecuador’s cacao value chains. The sector still requires coordination to reap the benefits associated with demands for credence attributes. Originality/value: Findings are supported by two case studies. The first focuses on how associativity can help those producing high-quality beans to differentiate themselves in modern agri-food markets. The second describes the success of a local chocolate firm and its links with local farmers.
AB - Purpose: Motivated by transformations in global food systems and increasing demand for multidimensional credence attributes, the authors analyze cacao value chains in Ecuador – the main producer of fine and flavor cacao worldwide. The authors identify opportunities and discuss how private and public sector initiatives can help meet emerging challenges. Design/methodology/approach: Primary information was collected through interviews of actors in the Ecuadorian industry during spring/summer 2020, including cacao producer associations, exporter associations, chocolate processing firms, public institutions and local universities. Two focus groups were also conducted with producers from associations in the Ecuadorian Amazon. Findings: Findings suggest new opportunities for cacao producers and chocolate processors have emerged from the global market transformation. To exploit these, firms need to personalize and differentiate their products, for example, by using quality certifications such as organic and fair trade. Market developments, such as European cadmium regulations and the necessity of worldwide traceability systems, are driving exporters to enhance Ecuador’s cacao value chains. The sector still requires coordination to reap the benefits associated with demands for credence attributes. Originality/value: Findings are supported by two case studies. The first focuses on how associativity can help those producing high-quality beans to differentiate themselves in modern agri-food markets. The second describes the success of a local chocolate firm and its links with local farmers.
KW - Cacao
KW - Chocolate
KW - Credence attributes
KW - Ecuador
KW - Post-harvest practices
UR - http://www.scopus.com/inward/record.url?scp=85129299215&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=85129299215&partnerID=8YFLogxK
U2 - 10.1108/JADEE-10-2021-0267
DO - 10.1108/JADEE-10-2021-0267
M3 - Article
AN - SCOPUS:85129299215
SN - 2044-0839
VL - 12
SP - 549
EP - 566
JO - Journal of Agribusiness in Developing and Emerging Economies
JF - Journal of Agribusiness in Developing and Emerging Economies
IS - 4
ER -