The document describes a methodological approach for integrating conflict transformation and democratization in value chain subsector development. It involves: 1) capacity building on conflict transformation and value chain development; 2) participatory value chain and conflict mapping and analysis; 3) establishing an early warning system and referral system; and 4) developing conflict-sensitive economic initiatives. The overall goal is to develop a model for integrating sustainable economic development, conflict transformation, and democratization.

1. Methodological Approach
INTEGRATING CONFLICT TRANSFORMATION
AND DEMOCRATIZATION IN VALUE CHAIN
SUBSECTOR DEVELOPMENT
A KPI-TRICOM-AFRIM collaboration project in partnership with ICCO
KPI 1

2. CTD&D-VCD Integration Rationale
• Risks of failure in economic initiatives that do not
take into account and address conflicts and role of
governance in promoting economic development
• Higher risks of failure in peace building and
democratization that is applied around conflicts and
not orientated in-conflict or directly working on
conflict.
KPI 2

3. Project purpose and desired outcomes
• Purpose
– develop a model of FED-CT&D programmatic integration using an
inter-partner and multi-stakeholder approach applied in the abaca,
coconut, banana and coffee sub-sector
• Desired Outcomes
– A model of SFED and CT&D integration applied in sub-sector platforms
for promotion of local economy development
– A model of inter-NGO and multi-stakeholder collaboration based on a
modified value chain development framework
– Local sub-sector framework plans and action agendas
– Model production, processing and marketing enterprises in the coffee,
coconut (macapuno) and banana sub-sectors
KPI 3

4. Strategies
• Inter-partner collaboration
• Multi-stakeholder collaboration at various
levels
• Building stakeholder capacity
• Developing framework plans for sustainable
subsector development
• Integration of the Project into ongoing
programs and projects
KPI 4

5. Project components
• Capability building
– Partners orientation-training
– Training on conflict transformation in value chain
– Cross visits
• Research and documentation
– Establish the research and policy links between and state obligation to
promote economic development
• Advocacy and Networking
– Multi-stakeholders forums and consultations
– Publications and info dissemination
• Pump-priming enterprise development
KPI 5

6. CTD-VCD Integration Project
Design
Policy research and integration of
action researches
Subsector
Framework Plans
CTD-VCD and Action
Integration Participatory value Capacity building Agenda
framework in chain and conflict on CT&D and
partners’ mapping & analysis VCD
programs
Early Warning
System
Development of conflict-sensitive
enterprises
KPI 6

7. CTD-VCD Integration Model
Outcome and Outputs
• The implementation of the project has produced a
model that demonstrates the effective integration of
conflict transformation and democratization
framework in the development of the coffee, abaca
and banana value chain
• The model has not reached full development and
may still be subjected to future innovations
KPI 7

8. Developing Conflict Sensitive
Subsector Development Model
• Multi-stakeholders Action agenda formulated for
coffee, abaca, coconut and banana subsectors
• Value chain and conflict maps produced for coffee,
abaca, banana and coconut subsectors
• 194 men and women trained in CT&D in Value Chain
Development
– Mostly PO members and IPs, with participation of LGU,
NGO staff, MFI, youth, small traders, academe, church
people
KPI 8

9. Developing Conflict Sensitive Subsector
Development Model
• Pumped prime revolving fund for enterprise
development in coffee and banana subsectors;
– TRICOM-KMDO partnership in Sultan Kudarat for
coffee production, drying and trading
– KPI-KMBJ-CABPA partnership in Leyte for banana
production and trading
• Model integration with existing abaca
enterprise in Caraga
– KPI-KKMPK partnership in Agusan del Norte
KPI 9

10. Inter-partner and multi-
stakeholder collaboration
• KPI brought in integrative approaches to the coconut, abaca, and
banana platforms in Caraga and Eastern Visayas
• TRICOM brought in integrative approaches to the coffee platform in
Sultan Kudarat; and,
• AFRIM brought in its competence in research, documentation,
information and policy advocacy for influencing economic policy
and specific government protection and support for the coconut,
banana, abaca and coffee industries
• Collaborative undertaking in common activities: course
development, training, multi-stakeholders forums
KPI 10

11. Research Outcomes and Outputs
• AFRIM policy research on abaca, coffee and
banana subsectors
• Documentation reports packaged as a
monograph series
• Set up page in AFRIM website dedicated to
the CT&D-VCD Integration Project
KPI 11

12. Methodological Approach in CTD-VC integration
• Value chain and conflict mapping & analysis
• Overlaying the conflict and value chain maps
• Capacity-building on Conflict Transformation and
Democratization and Value Chain Development
• Establishment and formulation of an Early Warning
System
• Referral system
• Conflict sensitive economic initiatives
designing/planning and implementation
• Monitoring and evaluation
KPI 12

13. Value Chain and Conflict Mapping &
Analysis
• Action research: data gathering
• Participatory value chain mapping and analysis
– Mapped subsectors: coffee, banana, abaca, coconut
– Identified the various actors and their independent and
common goals, and the incentives
• Participatory conflict mapping and analysis
– Mapped subsectors: coffee, banana, abaca, coconut
– Inventory of conflicts and conflictive issues
– Analyzed basis of conflicts
KPI 13

14. Cabadbaran Abaca Value Chain and Relationships
Mahaba Abaca Production and Trading
LGU Municipal Provincial Processors
Trader Trader
Exporter Foreign
(NEWTEC) Processors
Provincial Trader
Individual Bgy (Innovative)
Producers Exporter
•Farmers, Strippers, Trader
(Ching Bee)
Laborers Regional Trader
Coop Enterprise
•Coop, non-coop (Daquipil)
(KKMPK) JAT GBE
members C
(Grading, Baling O
Trader Enterprises N
Processor S
(CHMA) U
Exporter M
E
FIDA R
AECID DA KPI S
Legend:
- Persistent Market Relation
- Spot Market Relation
KPI 14

15. Value Chain Analysis of The Abaca Subsector in Mahaba
ACTORS INDEPENDENT GOALS COMMON GOALS INCENTIVES
Abaca Good harvest; Better price • Abaca Production • Profitable business
Producers expansion enterprise
KKMPK Increased expansion, enhanced • Good fiber quality
fiber quality, increased
membership, equitable benefits, • Plenty/ additional
additional/enhanced (existing) clientele/market
value adding activities, Direct link • Direct link and
and market agreement with GBE/ market agreement
Exporter, with GBE/ Exporter,
Individual Local Good quality, lower price, plenty of more suppliers
Consolidator clientele
• Multi-stakeholders
Municipal/Prov Direct link and market agreement collaboration
incial/Regional with GBE/Exporter, more suppliers
Trader
• Good and saleable
products, wide
Consumer Affordable, quality and wide range market
of product choices
• Relative stable
Facilitating Agents market
CLGU Improve quality of life of
constituents
Concerned Increased expansion, quality fiber,
NGAs value chain development
(FIDA,DA)
KPI 15

16. Conflict map
Abaca sub-sector in Barangay Mahaba, Cabadbaran City
ABARICO
BRGY
COUNCIL
TRIBAL
COUNCIL Anton
Dy
Daquipil SIUFM
ULCO
KKMPK
KPI
Non-
Coop
Members
Newtech
JAT
Bgy.
Trader
DA/AECID
CLGU FIDA
KPI 16

17. Type of relationships within a conflict
map
Total No. of Relationship lines ----- 42
Type Symbol Number Percentage Rank
Good
19 45.2 1
Relationship
Alliance 9 21.4 2
Weak
5 11.9 3
Relationship
Differences in
3 7.14 5
views/conflict
Interrupted
2 4.7 6
Relationship
Influential
4 9.5 4
relationship
KPI 17

18. • Good Relationship & Alliances – Understanding and
collaboration among stakeholders
• Weak Relationships – These are characterized by
competing goals/interests i.e., the traders and producers.
• Damaged/Interrupted Relationship – This characterized
the relationship of KKMPK between the traders it no
longer trades with in pursuit for higher trading price.
• Conflict Relationship – Differing interest between actors
(i.e., between KKMPK and trader Daquipil and between
traders), the conflict for control of suppliers.
KPI 18

19. Conflict Analysis Abaca Subsector
ACTORS INDEPENDENT INTERESTS CONFLICTING INCENTIVES
INTERESTS
Primary Actors
KKMPK Increased production, • Access to and • Lack of • Policy support
enhanced fiber quality, control over traders’ from LGU and
fair price, equitable market interest in the NGA on traders
benefits, information value chain participation in
value chain
additional/enhanced • Control of development
development
(existing) value adding suppliers for • Conflict undertakings
activities, Direct link and more fiber between
market agreement with volume and traders for • Multi-
GBE/ Exporter, bigger profit control over stakeholder
Trader More suppliers, more between supply and dialogues
(Daquipil) profit, control of market traders price
information • Producers’ • Inequitable
• Capacity
building on
demand for sharing of
Value Chain
better price benefits in the Development,
against value chain of Conflict Trans-
traders’ goal abaca formation &
for higher democratization
profits by
buying low
KPI 19

20. Conflict Analysis Abaca Subsector
ACTORS INDEPENDENT INTERESTS CONFLICTING CONFLICT ISSUES HOW TO
INTERESTS TRANSFORM
Secondary Actors • Limited • Building capacity
JAT Control of market info, access to of producers on
(GBE) more suppliers, comply market Value Chain
with exporter’s quota, information Development
machineries for value in the and Conflict
adding (pulp prod’n) producer’s Transformation
level and
Non- Better price, prod’n • Inefficient democratization
KKMPK capital, market • Producer/ delivery of • Federation of
members information; better fiber labourer support abaca producers
production income demand for services for
sharing (for higher share in empowerment
labourer/producers) fiber through
production collective
Intervening Actors marketing
KPI, FIDA, Conflict sensitive value
CLGU, DAR, chain development
NCIP Value chain development
Inclusion of IPs in abaca
production support
KPI 20

21. Overlaying the conflict and value chain maps
Common Conflict/ Conflictive Issue in the VC:
• Limited access to market information in the producers level and in some traders
• Inequitable sharing of benefits among the value chain players.
Production Processing
(Cultivation & Trading Export
Stripping)
Conflict /Conflictive Conflict /Conflictive
Issue Issue
Conflict /Conflictive • Lack of traders’ interest
Issue • Lack of government
in the value chain support
• Inefficient delivery of development and
support services related processes
• Land tenure/ • Conflict between
boundaries traders for supply and
price control
KPI 21

22. The Value Chain Map and The Conflict Map
KPI 22

23. Capacity building on Conflict
Transformation and Democratization
• Conceptual and theoretical foundations and
processes related to CT&D
• Sub-processes
– Training on Conflict Sensitivity and Do No Harm
– Training on Conflict Transformation
– Building capacity for Negotiation and Mediation
– Workshop on Early Warning System Development
KPI 23

24. Conflict Theories
Structure Causes of Relationship
Conflicts
1. Miscommunication
2. Strong Emotions
3. stereotyping
Causes of Value 4. Repetitive negative Causes of Data
Conflicts behaviour Conflict
1. Different ways of life, 1. Lack of information
ideology, worldview, 2. Misinformation
etc. 3. Differing views on data’s
relevance
2. Different criteria for 4. Different interpretations
evaluating ideas of data
Causes of Interest
Causes of Structural Conflicts
Conflict
1. Perceived or actual competition
1. Unequal authority over interest
2. Unequal control of resources 2. Procedural interest
3. Time constraint 3. Psychological interest
Attitude Behavior
Galtung’s Conflict Triangle Moore’s Circle of Conflict
KPI 24

25. Transforming Conflicts
• Structural conflicts: identified rules,
institutions, laws, policies, regulations that
needs to be transformed are
– Monopoly of market information by traders
– Traders control on product quality classification as
basis for pricing
– Bureaucratic development planning within certain
government offices
KPI 25

26. Transforming Conflicts
• Attitude conflicts that need to be
transformed:
– Highlighting value chain players as competitors
instead of being partners in development
– The mentality for instant acquisition of grant
tangible projects and incentives
– Exclusivity in decision-making
– The production focus more on volume than fiber
quality
KPI 26

27. Transforming Conflicts
• Behavior conflicts that need transformation:
– Weak collaborative action between value chain
actors
– Pursuit for immediate gains and remedies, i.e.,
continual shifting of traders in favor of the highest
bidder
– Exclusion of NGOs in some development planning
and implementation
KPI 27

28. Formulation of Early Warning
System
• Risk management and conflict mitigation
• Sub-processes:
– Multi-stakeholder participation in Early Warning
System development
• Inventory of conflicts
• Identifying levels/status of conflict and risks
• Color-coding of status/levels of risks and conflicts
• Defining criteria of conflict status and risks
• Identifying courses of action to mitigate conflicts
KPI 28

29. Referral System
• Multi-stakeholder forums as mechanism for
negotiating interests and building common
platform for development
• Development Framework and Action Agenda
formulation
• Needs analysis
KPI 29

30. Conflict-Sensitive Economic
Initiatives
• Locating specific initiatives in the value chain
• Identifying roles and functions of enterprise
stakeholders in the chain
• Conflict-sensitive enterprise planning:
Formulating operational design, processes and
protocols
• Formulating risk management strategies
KPI 30

31. Monitoring and Evaluation
• Monitoring framework
– Process and result-oriented framework that looks into the
results as well as the processes in attaining those results
• Monitoring systems and mechanisms
– comprehensive, multi-level, integrated and multi-
functional
– Looks into the overall integration level as well as the
performance of partner-stakeholders
– Internal performance and external results
– Quantitative and qualitative data transformed into
strategic knowledge
KPI 31