A growing body of evidence suggests that market-driven development can meet dual objectives of economic growth and poverty reduction; providing income, employment and livelihood opportunities for diverse stakeholders in an agricultural market system.

The inclusion of smallholder farmers in value chains is recognised as a pathway to sustainable development of rural communities. These economically driven value chains help to support and empower different stakeholders, such as farmers, traders, agribusinesses, transport providers, wholesalers, retailers and the more marginalised poor, women and youth.

Value chains will play a critical part in empowering those who are marginalised and currently using diversedistribution methods. By harnessing the development potential of the private sector to create more efficient value chains for agricultural commodities and overcome barriers for equitable participation, and connecting smallholders to well-functioning markets, these marginalised poor, as well as producers, consumers and employees, will benefit.

The Project will conduct two inclusive value chain case studies featuring agribusiness-led farming systems in Southern Philippines.

This is an Australian Centre for International Agricultural Research (ACIAR)-funded project, with institutions from Australia and the Philippines. The key partners are the Commonwealth Scientific and Industrial Research Organisation (CSIRO), Australian National University Fenner School of Environment and Society, University of Queensland (UQ) School of Agriculture and Food Sciences, University of the Philippines Los Baños, University of the Philippines Mindanao, and Visayas State University.

This project aims to enhance the design, implementation and adoption of inclusive value chains in smallholder farming systems in the Philippines. The project will explore roles, conditions and specific interventions that improve engagement, and benefit the livelihoods of farmers, their communities, and their chain partners.

Specific objectives include:

• Understanding what motivates smallholder farmers, their households, their communities, and their agribusiness partners to participate in inclusive value chains, and what could drive or impede their participation.

• Developing and evaluating interventions that contribute to inclusive value chains, as applied to the coffee and vegetable project case studies.

• Defining principles and processes to scale inclusive value chain development more broadly across communities and other agricultural sectors.