Analysing the Mango Value Chain of FPOs using Porter’s Value Chain Model

AbstractConventional Agri value chains in India are small-scale, unorganized, fractured, and discontinuous, with produce passing through various channels and players necessitating multiple contact points at the farm gate end. In contrast, an organized Agri value chain such as Farmer Producer Organisations enables value chain intermediates to coordinate their value creation activities with one another and thereby create more value than they could do on their own. Therefore the present study focussed on analysing the value chain of FPOs in Andhra Pradesh and Telangana using Michael E. Porter’s value chain model. The data were collected from ten CEOs of FPOs involved in mango value addition. The study identified ripening, storage, spoilage, handling, and freight expenses as the major areas of cost minimization. The study suggests providing farmers with subsidies, grants, or low-interest loans for the construction, expansion, or upgradation of post-harvest infrastructure, as well as connecting FPOs with e-commerce and digital platforms such as Kisan rath, Kisan rail, etc., would provide organised services at negotiable prices.