M4P/ADB Consulting opportunity: Collective Action
We are looking for the services of a Vietnamese research team toresearch “Collective Action”. The deadline for applications is
16:00 03
March 2006. Application details and standard forms are available at:
www.markets4poor.org <http://www.markets4poor.org/>;
Making Markets Work Better for the Poor
Collective Action
TERMS OF REFERENCE
Background
The ADB is implementing a regional project covering Vietnam Laos and
Cambodia entitled Making Markets Work Better for the Poor (M4P). The
purposes of the project are to (a) conduct analytical work on the
functioning of markets and the extent to which the poor are able to
benefit from them, and (b) to build capacity to support pro-poor
market development through research activities, networking and the
promotion of policy dialogue in the three project countries.
One of the areas of research that is being supported by M4P is the
participation of the poor in global and local value chains. The
proposed consultancy work would be part of this research theme.
Collective Action can be an important strategy for the poor to take
advantage of economic opportunities. Groupings of small producers or
consumers can increase their market and bargaining power through the
achievement of economies of scale and the application of other market-
oriented services such as improved quality control, advertising,
certification, branding and labeling etc.. There may also be other
benefits in terms of social and political empowerment.
Numerous formal and informal groups in the agricultural and industrial
sectors in Viet Nam exist, including groups, “clubs”, and community
groups based around a representative. However, the form of
organization with the highest level of legal recognition and the
ability to sign contracts is the cooperative.
Since the enactment of the Law on Cooperatives in 1997, a large number
of new cooperatives have been formed, and many old cooperatives have
been updated. However, the majority of both old and new cooperatives
are still involved in providing inputs and other services, rather than
marketing outputs. If cooperatives are to play a role in supporting
smallholder involvement in value chains and contracting, then they
need to have a greater focus on output marketing.
One of the vital ingredients for success of such organizations or
forms of collective action is the ability of the organization’s
leadership. If the leadership of the organization is dynamic and well-
connected to markets and information, then the organization has a
higher chance of success. Also, if the leaders of the organization are
themselves also members of the organization, then they have a stronger
incentive to act in the interests of the members. Other important
factors include the nature of the relationship between the leadership
and the membership including governance and cost structures,
accountability systems, financial management capacity and the degree
of management transparency.
The rural sector in Vietnam has a particular importance in terms of
poverty reduction. The agriculture sector accounts for a majority of
the employment in the country (more than 70 percent), and the vast
majority of the poor are located in the rural areas. Organizing small
farmers is important in Viet Nam’s context. While the agriculture
sector will inevitably modernize and commercialize, the majority of
agricultural production will continue to be undertaken by smallholders
in the future. The only effective way for smallholders and poor
farmers to become actively involved in an increasingly commercialized
and globalized value chain for their product is to become organized
and coordinated, increasing the attractiveness of their products in
terms of the “3 As”.
• Affordability
• Access
• Availability
Affordability: Collective action is a potential way that poor
producers can overcome the disadvantages of poor economies of scale
and low-quality infrastructure. By working together, rather than
individually, productivity gains can be made and unit costs can be
reduced for both inputs and outputs.
Access: The poor produce relatively low quality goods and services for
a number of reasons, including : lack of knowledge of quality
standards, lack of adequate incentives to upgrade quality and lack of
credit to purchase improved inputs and means of production.
Additionally, even if the poor are able to produce high quality goods
and services, they are often unable to access the means to certify
this quality, or to promote their goods and services to a wider
audience.
Availability: Increased scale of production, through collective action
and increased certainty of demand – through effectively functioning
contract systems – are two possible methods of increasing the
availability of goods and services sold to and bought from the poor,
and increasing their involvement in value chains.
Overall objective of the consultancy
The consultant team will facilitate a workshop on collective action
experiences and conduct field work, interviews and desk research in
order to conduct in-depth examinations of a small number of cases of
collective action in Vietnam. The case studies will provide an insight
into the experience of collective action under a number of different
frameworks.
The Proposed Product
The final report of the consultancy will be a publication in
Vietnamese and English that is ready for publishing and distribution.
The report will contain:
- An introductory chapter outlining the potential for collective
action amongst the poor using analytical frameworks such as the “3
As”.
- An overview chapter outlining the main types of collective action
experienced in Vietnam (including, but not limited to- cooperatives,
groups, clubs, associations etc.)
- Chapters relating to each of the case studies
- A concluding chapter outlining any conclusions/lessons learned from
the case studies
Scope of Work
The consultant team will work with researchers, government officials,
non-governmental organizations, representatives of donor agencies and
most importantly, producers and producer groups themselves to conduct
the research. The main responsibilities of the consultant are:
1. Facilitating a national workshop on collective action, with
presentations and papers on the topic from a wide range of
participants.
2. Based in part upon the materials gathered in the national
workshop, (a) develop a theoretical framework for the research that
includes the three “A”s described above, and (b) conduct desk
research
and interviews to identify a range of suitable case studies that
represent a range of different collective action arrangements. ;
3. Conducting the actual interviews and research;
4. Analyzing the results of the case studies and preparing a set
of chapters based on the case studies.
5. Writing an overview chapter of collective action experience in
Vietnam.
6. Writing a concluding chapter outlining any conclusions/lessons
learned from the case studies
7. Organizing and participating in a meeting to discuss the draft
report; and
8. Finalizing the report on the basis of participant feedback in
the workshop
Outcome and Deliverables
National Workshop in April
Theoretical framework and sampling frame
Field notes and interview notes covering the case studies;
A draft final report by July
Presentation of the draft final report at a Meeting (July)
A final report in English and Vietnamese in hard and soft copy (August)
Competency and Expertise Requirements
The consultant team will consist of 4 or 5 main researchers with
university level education and experience and skills in the following
areas:
• economics
• marketing
• rural development/economic development
• Group facilitation
• international and domestic trade
