Improving citrus value chains in Australian and Nepalese examples

An integrated method literature review was undertaken on characterisation and mapping of value chains in general and citrus production value chains, specifically. The operation of three small-scale citrus value chains in Central Queensland, Australia, two export-oriented citrus value chains around Wallaville, Queensland, Australia, and a citrus value chain in the western region, Nepal was described through descriptive case studies based on semi-structured interviews with owners, managers, packhouse managers, a labour supply coordinator, government officials and other stakeholders. Various innovations by, and limitations of, the small-scale Queensland citrus farms were documented. Common issues included achieving a market niche, with the development of early-season production in other regions leading to a loss of a premium market. Other issues included intergenerational transfer, restrictions on water supply in dry years and cyclone damage. The Queensland export-oriented producers were based on access to water and reasonably priced land and were characterized by diversification in production across different fruits and varieties and activity through the value chain. Key constraints identified included labour shortage, disease and pest infestation, harvest timing and yield estimation, and market price volatility. Citrus production in Nepal was limited by small land holdings, improper planting materials, irrigation, diseases and pests, inadequate post-harvest handling, and lack of a premium market. A critical issue for each citrus value chain was explored further: (i) The insurance needs of small-scale citrus producers in Central Queensland were described, with cyclone, drought, hail, and fire being the major risks. The applicability of two insurance products, crop insurance and event insurance, was considered. Crop insurance requires valuation of the crop, which is difficult to document, although new technologies in fruit load estimation could aid such estimations. Insurance premiums typically range from 6-11 % of crop value although few insurance providers cover fruit crops like citrus. (ii) A technology for non-invasive and rapid assessment of fruit Brix was assessed in the context of aiding the export-orientated farms in the estimation of optimum harvest time. (iii) The prospect for the development of a premium market through the export of citrus from Nepal to Tibet, China was explored, drawing on experiences of the Australian value chains. Policy recommendations including disease-pest management, post-harvest management and export policies were made to allow small-holder farmers to participate in such a value chain.