Situation before Project’s intervention

1. Traditional method of Harvesting

2. Result in loss of precious lives

3. Unorganized collectors

Situation before Project’s intervention

5. Sell their produce to the middlemen instead of wholesale markets.

6. Lack of linkages with the various market segments

7. No awareness of the needs and preferences of the

various market segment.

Situation before Project’s intervention

9. Urgent cash needs....Poverty

10. Difficulties in getting a transport permit....major hurdle

11. Lack of value addition practices

Situation before Project’s intervention

12. Lack and access to Market Information

13. Lack of service providers

14. Decreasing production trends

Mar

ket M

AP

Existing Pine nut Value Chain MAP in Shishi Valley

Situation after Project’s Intervention

Pre & Post Harvest Training (Achievements)

Trained the market players including collectors, processors & buyers on pre & post harvest techniques

Use of appropriate equipments for harvesting (safety belts, hooks, bamboos, file)

Developed the local resource persons

Formation of interest groupsCollectors, processors were assisted in

1. Formation and management of interest groups

2. Collection and assembling of the produce

3. Rent arrangement, Record Keeping

4. Watch and ward, packing and packaging into a assembly pack

5. Market survey, cost Calculation, Profit Distribution etc.

Market Diversification

Targeted Raw kernel instead of Cone

Targeted Roasted kernel

Introduced Grading & Packaging techniques

Situation after Project’s Intervention(Economic Benefits)

o Direct linked with main markets

o Average unroasted pine nut sold @ Rs.422/kg against the average local price at Chitral Rs.120-150/kg

o Average Roasted pine nut sold @ Rs.700/kg against the average local price at Chitral Rs.1000/kg

o Average difference 77% in un roasted pine nut & 57% higher in roasted produce

Gross Margins of Various Market Players during 2004 - 2007.

Market PlayerMarket Player20042004 20072007

Av. Gross Av. Gross Margins Margins

% Gross % Gross MarginsMargins

Av. Gross Av. Gross Margins Margins

% Gross % Gross MarginsMargins

Cone CollectorsCone Collectors 555.50555.50 4.774.77 648.00648.00 9.759.75

Village Village ShopkeeperShopkeeper

1,20,000.001,20,000.00 37.5037.50 46,400.0046,400.00 33.3333.33

Local Local Contractor/ProcContractor/Processoressor

76,520.0076,520.00 11.9611.96 7,40,520.007,40,520.00 18.8318.83

Bannu Bannu Contractor/WholContractor/Wholesaleresaler

2,352.002,352.00 9.239.23 1,36,816.001,36,816.00 18.4318.43

Exporter for Exporter for DubaiDubai

1,59,155.001,59,155.00 6.316.31

Exporter for Exporter for GermanyGermany

-1,50,908.00-1,50,908.00 - 4.96- 4.96

Situation after Project’s Intervention(Economic Benefits)

Created seasonal employment through out the value chain

Saved fuel energy by conserving forest trees through the use of cones as fuel fire

Macro Level Interventions

Imposed Ban on immature cone collection

Imposed Ban on transporting Cones outside the valley

Meso Level Intervention

Associations formed (collectors level) at valley level

Various kind of BDSPs developed on commercial level (harvesting, processing, marketing etc.)

Linkages developed with Micro Finance Institutions

Lesson LearnedMarket Led Approach (Market survey First, Define

possible marketing strategies)

Facilitate the shared vision

Proceed with precise objectives (in value chain)

Identify quick wins

Preparation of business plans

Lesson LearnedOrganizations (under VC) for what?

Organizations are the tools for reaching the VC upgrading objectives…..Institutions follows the vision

Conservation of resources (pine nut trees) through the use of cost effectives and result oriented techniques (should be linked with economic benefits)

Capacity and capabilities of the market players in market diversification)

Lesson LearnedKernel extraction is not recommended for the pine nuts of

Chitral , as they do not meet the export standards (long and plump kernels

Harvesting should be started in the last week of September in both the valleys

Ensuring the use of safety belts to avoid the risk of injuries and death.

Capacity building of cone collectors about proper harvesting technique at proper time…….Must (at least 2 months earlier)

Lesson Learned

Trust worthy, honest and dedicated members should be in the vigilant committee along with coordination of Forest department (FD)

Trade Flow monitoring at Forest Check post proved very successful intervention

Challenges

Market Distortion by Donors…different strategies …… market development approaches

Inconsistent supply….natural product. Alternate bearing

Harvesting of immature cones….

Non availability of Microfinance institutions…. problem of acceptance…interest rate

Challenges

Working with value chain approach require the understanding of the organization as whole……

Its a team work

Working with Macro level Interventions requires extra efforts, resources and expertise