Markets and livelihoods. Bringing a livelihood perspective to the apple value chain in Jumla, Nepal

Abstract

Jumla district, located in the mountains of western Nepal, belongs to one of the poorest and least developed parts of the world. This thesis examines a value chain of organic apples, which should - besides being a profitable business opportunity - be a method with which to alleviate the poverty in the district of Jumla. While the geography of the region is suitable for the cultivation of apples, at the same time it provides enormous difficulties for the trade of apples (and other products). As one of the most remote districts in Nepal, Jumla is only connected to the national road system by the Karnali Highway, a dangerous and oftentimes impassable road. Hence, only a small portion (10%) of the marketable production of apples in Jumla district can be exported at the moment. This, however, is changing rapidly. By including poor smallholder farmers into the value chain, they gain market access which they previously did not have: This will provide them with new opportunities to improve their livelihoods.

There is thus a clear need to comprehend the potential for including poor farmers into the value chain and to understand how people’s livelihoods can and should be improved. For this, however, it is necessary to first understand their livelihood strategies, their assets, and the context they live in. Therefore, this thesis employs a multidisciplinary approach to examine the context, their livelihoods, and how they relate to the value chain. Combining the value chain analysis and the livelihoods approach provides a complete picture of the dynamics that are affecting people’s lives. Furthermore, it should give a more comprehensive and realistic understanding of the structure of certain markets and their potential to improve the livelihoods of poor people.