Value chain analysis of the groundnut sector in Turkey

The aim of this study is to reveal the profitability of the actors in the chain, their contribution to the value added by making value chain analysis of the groundnut sector in Turkey and to research the practices and measures for the development of the sector as a whole by identifying the weak and strong actors in the chain. Primary and secondary data were used in the study. The obtained data were analyzed by FAO's value chain analysis method. Analyzes were performed with FAO VCA Tool 3.2 program. In the study, value chain analysis of Turkey groundnut sector was for the 2016/2017season.The profits of the actors in the chain and their shares in the chain were calculated. According to this, the net profits and shares gained from the chains for the producer, processor, wholesaler, retailer are respectively 0.28 TL/kg-8.42%, 1,99 TL/kg-60,77%, 0,28 TL/kg-8,66%, 0.73 TL/kg-22.15%. It was identified that the groundnut producers were the disadvantaged actor of the chain when considering the sales of quantities. For this reason scenario implementations were realized through producers. In this context, price, premium, yield, price and premium scenarios were created. According to these scenarios, it is revealed that the share of producers gained from the chain has increased remarkably. Policy recommendations have been developed to make the scenario implementations a reality. Policy Analysis Matrix has been established to demonstrate the profitability and competitiveness structure of groundnut production. According to PAM results, private profit of groundnut production for 2016 was 0,28 TL/kg and social profit was 2,70 TL/kg. The positive social and private profitability of groundnut production indicates that the production of groundnut is profitable. In the scope of PAM; the coefficients of the competitiveness such as PCR-DRC and the policy effect such as NPCO-NPCI-EPC were calculated for the production of peanuts from the PAM table. All coefficients are less than 1. As a result of PAM coefficients, it is possible to state that groundnut production is profitable, there is no significant intervention into groundnut markets.