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Global Value Chain Governance and Relation between Local Actors in the Burundian Tea Sector

Author

Listed:
  • Pierre Claver Bitama

    (Economics and Rural Development Unit, University of Liege-Gembloux Agro-Bio Tech, Belgium,)

  • Philippe Lebailly

    (Economics and Rural Development Unit, University of Liege-Gembloux Agro-Bio Tech, Belgium,)

  • Patrice Ndimanya

    (Rural Economics Unit, University of Burundi, Burundi.)

  • Philippe Burny

    (Economics and Rural Development Unit, University of Liege-Gembloux Agro-Bio Tech, Belgium,)

Abstract

In the context of globalization, the success of a firm to sell its products on international and regional markets depends on the type of governance exercised in a given sector. This article mobilizes a theoretical framework of global value chain governance to analyze the type of governance exercised in the tea sector in Burundi. A qualitative analysis of data from a survey of 120 small tea farmers in the Ijenda and Teza areas reveals that control and coordination in the sector is ensured by captive governance. In addition, a stagnation of the price of the green leaf tea over a decade generates a lack of interest in the tea farming out on small farming areas. Only 25% of small tea farmers in Ijenda and 36% in Teza want an extension.

Suggested Citation

  • Pierre Claver Bitama & Philippe Lebailly & Patrice Ndimanya & Philippe Burny, 2019. "Global Value Chain Governance and Relation between Local Actors in the Burundian Tea Sector," International Review of Management and Marketing, Econjournals, vol. 9(6), pages 105-111.
    • Handle: RePEc:eco:journ3:2019-06-15
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    References listed on IDEAS

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    More about this item

    Keywords

    captive governance; market governance; global value chain; Tea.;
    All these keywords.

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O21 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Planning Models; Planning Policy
    • P32 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - Collectives; Communes; Agricultural Institutions
    • P42 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - Productive Enterprises; Factor and Product Markets; Prices

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