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Value Chain Governance for the Colombian Palm Oil Sector

2022; RELX Group (Netherlands); Linguagem: Inglês

10.2139/ssrn.4132312

1556-5068

José Ignacio Campos Naranjo, Germán Augusto Forero Cantor,

Innovation and Socioeconomic Development

Palm oil is an agricultural product of vital importance for the Colombian economy, as its production has almost tripled between 1996 and 2021, making it the fourth largest producer in the world and the first in the Americas; however, there are no studies that establish the way in which governance processes are structured in the Colombian palm oil sector. From the analysis of the responses obtained from 65 semi-structured interviews applied to commercial and non-commercial agents of the sector that make up the value chain for the palm oil sector in the four main palm producing zones in Colombia, the different types of governance and their organizational strategies are established. There is a coexistence of market, relational and captive forms of governance for the palm oil sector in Colombia, being the captive governance the predominant one mainly due to factors related to the unequal distribution of farmland ownership and the concentration of power that this creates, giving decision-making advantages to some agents in the sector over some producers who have low financial leverage.