Platforms in agricultural value chains: emergence of new business models

Aarti Krishnan, Karishma Banga and Joseph Feyertag, July 2020

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This report aims to develop typologies of business models of the Ag-platforms that exist, identifying the challenges and opportunities of using these business models and the extent to which they can create value capture opportunities for farmers, youth and women in agriculture. These opportunities include Ag-productivity gains; value addition and diversification; creation of more, decent and formal jobs for youth; gender inclusion; knowledge accumulation; and absorptive capacity.

Drawing on case study evidence from Uganda and Rwanda, we deep-dive into the business models of Ag-platforms, unpacking the 3Cs of Costs, Complexity and Capabilities, to indicate the potential ways in which platformisation may exacerbate existing inequalities rather than supporting value creation for the poorest. Ultimately, we develop a roadmap for policy-makers to facilitate the development and proliferation of sustainable Ag-platforms.

Photo: Young women working on a cotton farm. Yosef Hadar / World Bank. Licence: (CC BY-NC-ND 2.0)