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Towards a better value chain

bushfoodsA critical element of the DKCRC strategy for helping the bush tomato industry develop better value chains is to examine the current value chains to:

  • identify the stocks and flows of resources along them, including products, information and money
  • identify the gaps in existing chains in relation to the social elements that underpin successful value chains such as trust, satisfaction, appropriate power structures, commitment, communication, relationship-specific investment and strong personal relationships.  

DKCRC is examining the ways the industry can develop strategies to deal with identified issues.

DKCRC has completed a bush tomato (and wattleseed) value chain analysis which was commissioned to explicitly characterise and map the Australian bush tomato and wattle seed value chains from production through to domestic distribution and final consumption, and to identify and evaluate high value market segments that might be used to focus the business developments associated with these two products. The following criteria were investigated in some detail:

  • industry stakeholders and activities
  • product creation and delivery
  • financial conditions
  • information conditions
  • incentives, motivators and drivers
  • governance conditions.  

The analysis has shown that demand for bush food products in general has grown in the last two years, and that currently bush tomato (BT) is in higher demand than wattle seed (WS). However, it also found that while a viable and growing bush food industry exists that involves both products, there are considerable challenges to developing a sustainable industry around them, both from a production and from a market perspective. Some of these challenges are:

Supply issues
need to be addressed, such as raw product availability, quality and consistency of raw product, effective grading of product and appropriate inventory management of all components in the chain to minimise fluctuating demand/supply flows. Associated with supply is the question of sustainability and efficiency of wild-grown product and bush harvesting methods, which, while culturally extremely important, and should be fostered, are unlikely to be plausible as the only source of product in a commercially driven environment. Research is being completed on small-scale commercial Aboriginal harvesters in central Australia: their roles, practices and opinions in regard to the sustainability of trade, its monetary and non-monetary benefits and its costs. Cultivation of bush tomato, in particular, is being investigated through cultivation trials and with community involvement in an effort to address this issue.

Internal industry competition for raw material supply in Australia is fierce when supply is poor due to drought or other considerations. This is leading to monopolistic behaviours by some players, which can increase the business risk of bigger retail outlets dealing with the many small players now coming into the industry. DKCRC is looking at how cooperative arrangements might be developed with bush tomato producers, including bush harvesters.

Food safety and traceability is a key area of concern. Poor food-hygiene practices were prevalent at the production stages, resulting in variable raw material quality. Additionally, there was very little record keeping or traceability generally, other than in the two major chain models identified and described in Value chain analysis of bush tomato and wattle seed products. This situation must be addressed in the current food business environment for product to be sold effectively and within current food safety guidelines. bushfoods2DKCRC is now addressing this issue for bush tomatoes by identifying and documenting safe handling post-harvest practices and pest management strategies. More work needs to be done around traceability, and this will become a serious issue for the industry if food classifications change in relation to bush food.  

Business skills development and knowledge creation, transmission and operational training are lacking in the bush tomato industry. DKCRC is working with Aboriginal industry participants to help them increase their knowledge of the value chains and where they are currently participating and where they might aspire to participate.  This is a necessary step in identifying the skills needed for business development. Two of our projects build and develop skills and knowledge around business and business development by linking Aboriginal people in the industry to each other to share knowledge and informal mentoring, and to other parts of the bush tomato value chains to better understand the requirements of other parts of the chains they are involved in.  




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