FacilitatingAgricultural Innovation System

in Azerbaijan

Tugrul Temel and Ajit MaruNovember 11, 2002

Background

Past: The Agricultural Innovation System (AIS) project completed in 2001

Recent past. A workshop carried out in 2002 Present: A new project proposal being

prepared for funding

Past

The AIS project completed in 2001 found that public and private sector organizations are in isolation.

Recent past

With a one-day workshop, we Examined the situation in the cotton supply chain. Experimented the definition of the AIS for cotton Discussed the steps for creating an Agricultural

Information Exchange Network (AIEN) for the AIS for cotton.

Explored opportunities for a joint ISNAR-ASCA-ASDAPS project proposal for an AIEN for multiple crops.

Present

A collaborative project proposal is being prepared To describe & analyze the AIS for smallholder

mixed farming To establish an AIEN for smallholder mixed

farming

Conceptual framework

AIS is defined as a group of agents – policy makers, research orgs, banks, farmers, input suppliers, marketing & processing firms, consultancy firms, NGOs, donors, intl orgs - that jointly and/or individually:

• Develop, diffuse, & apply new/improved technologies,

• Influence the process of change in farming

A group of agents

Policy units [P] Research & extension organizations [R] Agricultural banks [B] Farmers & their organizations [F] Input suppliers [I] Marketing firms [M] Processing firms [Pr] Consultancy firms [C] NGOs, Donors, Int’l organizations [X]

The AIS comes into being

The AIS comes into being through flow of:• Information• Knowledge• Skills• Resources

This flow of IKSR is pluralistic.

Agricultural Innovation SystemOrganizations and Their Linkages

P

R

B

F

I

M

Pr

C

X

Linkages between any two organizations in the AIS

FX Linkage between Farmers and External organizations

Additional organizations in the AIS

Organizations in NARS

FX

PM

Agricultural Innovation System:Information Flow through an Information Exchange Network

P

R

B

F

I

M

Pr

C

X

FX

PM

InformationExchangeNetwork

Linkages between any two organizations in the AIS

Additional organizations in the AIS

Organizations in NARS

Information Flow in AIS through Information Exchange Network

The Agricultural Information Exchange Network (AIEN)

An AIEN is a collaborative arrangement to effectively share and exchange information, knowledge and skills among agents participating in an AIS.

The Agricultural Information Exchange Network

Its primary aim is to reduce the asymmetry of information and knowledge among agents regarding innovations in the AIS.

Its main characteristic is of providing formal channels for information flow between agents in an AIS.

Need for an AIEN

Information, Knowledge, Skills and Resources flows define an AIS.

An AIEN formalizes IKSR flows in an AIS and enables a formal AIS to emerge.

An AIEN is an essential supporting for an AIS.

The AIEN

The AIEN is a “public good” and has to be established by the public sector agricultural research and development agency.

It may be sponsored through public-private partnership at some stage in its evolution.

Driving Forces for an AIEN

Urgent need to participate in markets.Overriding National or Community

Need such as famine, natural disaster or war.

Government Policies.

Constraints/Obstacles

Monopolies and “Closed” markets. Controlled economies where cost, quality,

time and human pain are not of consequence to production.

Social and Political. In ASEAN Countries, social behavior and community structures have inhibited the “E-Farmer” network.

AIEN and Azerbaijan

Physical isolation of agents.Weak “Agricultural Knowledge”

among all actors.Need to enlarge the scope for

participation in more”open” markets

AIEN and Azerbaijan

Establishing an AIEN will give structure to AIS.

Contribute to identifying the “real” agents in AIS for smallholder mixed farming.

Reduce the weakness in “Agricultural Knowledge” among all agents.

Outputs and Dissemination

A conceptual framework for the AIS Improved understanding of the AIS Improved capacities for promoting the AIS

and the AIEN Publications and a Website

• Two ISNAR Discussion Papers, One ISNAR Country Report, Two peer reviewed journal publications, One presentation in professional conference, A website for the dissemination of all outputs noted above.

Thank You