The Production Chain

Production chain refers to the various stages of production which a given ingredient undergoes; from the extraction of the raw material to the distribution of the finished goods to the consumer. The production chain can be divided into three different stages: the production stage, the processing stage and the distribution stage.

Production stage

This is the initial stage within the production chain in which the raw materials or ingredients are cultivated and harvested, typically on a farm or a plantation. These raw materials or ingredients will later be combined to form the final product which eventually reaches the consumer.

Processing stage

This stage usually includes the initial processing of the raw material or ingredient that is being prepared for exporting. It takes place on either the farm/plantation or in the processing factory. Some ingredients are further processed in importing countries. The processing steps taken after the import of the raw material are often the ones that add the most value to a given product.  

 

Distribution stage

 

This stage includes the transport and sale of the end product to the consumer. The retailer buys large amounts of the final product from a supplier and then sells them on to the consumer. You, too, are part of the production chain when buying a product at the supermarket, the canteen at the company you work for, or at your favourite restaurant. 

Whole chain

There are, however, a number of issues that can affect all stages of the production chain.

Outside the chain

Outside the chain refers to issues that do not take place within the production chain but have nevertheless influence over the processes that take place within the chain. Some examples include unfair import tariffs and quotas or market distorting subsidies.

Each stage of the production chain involves its own set of circumstances and conditions which also vary per sector. Fairfood International recognizes the complexity of the production chain and the many varied issues that must be worked on and developed in a more just manner.  However, we also recognize the need to start on the most pressing existing issues in each sector. This is why we have extracted from the wider scope of our sustainability agenda what we believe to be the most pressing issues to make them our first priority.  Each sector, therefore, has a different list of priority issues with its corresponding link to the chain so we may best focus our efforts.

http://www.fairfood.org/facts/production-chains/