Do organisational forms of the coffee supply chain matter in poverty reduction?
Overview
This paper compares the economic effects of two organisational forms of the coffee supply chain (cooperative and private processors) in Rwanda and assesses quantitatively which form has benefited producers the most. The paper uses panel data from 148 coffee-producing households. Results based on a combination of the instrumental variable method and first differencing show that there is no indication that farmers who sell to cooperative factories get more benefits than farmers selling to private processing plants.
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