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The Need for Certification in Terms of Quality Control of Organic Agricultural Produce
There is quite a broad spectrum of quality which may be expected from African producers of organic agricultural produce. This diversity exists even in spite of the checks which are imposed at certification level. The agencies which work closely with African farmers aim to eliminate these problems with quality. The certification process is just the first step, since even the checks which may be imposed at certification level can only guarantee a standard level of quality. In some cases, also the certification inspections may not be frequent enough to identify and eliminate sub standard produce. The long term solution to this problem therefore is arguably to attempt to look at why some African farmers are producing lower grade produce and in doing so to attempt to identify some possible solutions to this problem.
Organic farming is also highly labour intensive and attracts very high distributions expenses. Also, in terms of organic produce from Africa, the African distributors often obtain very low prices for their products in EU markets and this encourages or even necessitates lower quality produce to be distributed (EPOPA, 2006; Annex 3). This is due to a number of factors, one of which is that the image of Africa and African produce is quite poor. Consumers are often very concerned with the origin of the products in question and, while this is an intangible issue, which is essentially reputation orientated; this does not imply that it cannot be addressed at source, by African farmers. One way to address this problem is to build rapport with the customer, by attaching recognisable names and personas to the produce, creating continuity and trust between producers and the end consumer. Examples of these 'personas' have been identified by EPOPA (2006; Section 3.2.1) as Tasty Toms, Del Monte Pineapples and Chiquita bananas. Branding therefore is a crucial part of the commodity market for sale of organic produce between Africa and the EU, as it builds trust and encourages the African farmers producing such commodities to maintain their reputations through strengthening the quality of the products they can distribute to end customers.
Organic Premiums
The organic premium refers to the price which people are prepared to pay, over and above generic non-organic but otherwise similar produce, for organic products. Prices in relation to commodities are very dependent upon the markets for their produce, and this is why the organic premium is important (EPOPA, 2006; Section 3.5.1). The organic premium is chiefly tied to the quality of the product, and therefore certification, grading and standards may be imputed as being of critical importance in terms of maintaining sustainable business practices.
The process of certification also enables organic agricultural producers to predict what prices they can realistically seek for their products. This is quite an obvious rationalisation of the certification system, but it is nevertheless important. For example, African farmers who produce low quality produce have this graded and identified accordingly. This determines the price which the produce can realistically be expected to obtain in the EU, or global market. Another example is that high quality organic produce, which is graded accordingly as high quality is able to support higher pricing, since it will sell well at these prices(Belshaw, D. and Livingstone, I. (2002); p460). This system of certification, grading and standards allows African farmers to predict profit margins and ensures that their business success is measurable. It allows African farmers to differentiate themselves from others who produce higher or lower quality organic products and thus increases the efficiency with which business may be conducted.
