Submit your papersSubmit Now
For Enquiries: [email protected]
IIARD LogoIIARD

Stakeholders, Power Dynamics, and Value Added in the Moroccan Olive Fruit Value Chain

Olawale Kehinde Victoria1, Abdelali LAAMARI2, 1, 2, Corresponding Author

Abstract

The olive fruit value chain is one of Morocco's most important agricultural systems, supporting rural livelihoods across regions such as Fès-Meknès, Marrakech-Safi, and Béni Mellal- Khénifra. Despite its economic weight, smallholder farmers who dominate production numerically continue to capture the smallest share of value added along the chain. This study examines the stakeholder relationships, power dynamics, and value distribution patterns within the olive fruit value chain in Al Haouz and Rhamna provinces, Marrakech-Safi region. Using a quantitative case study design, data were collected from 76 value chain actors, including farmers, collectors, cooperatives, processors, traders, and exporters, through structured face- to-face questionnaires. Data were analyzed in RStudio using descriptive statistics, cross- tabulation, chi-square tests, gross margin analysis, and regression models. Findings show that price-setting power is concentrated among market forces and buyers rather than farmers, with a statistically significant relationship between actor type and price-setting authority (χ2 = 88.53, p < 0.001). Gross margin analysis revealed that exporters and traders capture the highest returns, while farmers retain the lowest margins despite bearing most production costs. Regression results indicate that farm size significantly influences value capture, while cooperative membership remains low among respondents. The study concludes that governance structures in the chain reinforce unequal value distribution and limited farmer bargaining power. Recommendations include strengthening cooperatives, improving price transparency, and expanding access to credit and market information to support more inclusive value chain development.

Keywords

Olive fruit value chainstakeholder analysispower dynamicsvalue distributionsmallholder farmersagricultural governance.

References

prices by province and quality grade drawn from regional markets and mills. This directly targets the information asymmetry identified in the findings and is low-cost relative to infrastructure investment, since it requires a reporting mechanism rather than new physical assets. 3. Expand targeted credit paired with storage access, tied to delayed sale rather than distress sale: Farmers currently depend on intermediaries for prefinancing, which locks them into buyer determined prices. A dedicated low interest credit line for smallholder olive producers, administered through Crédit Agricole du Maroc or regional cooperatives, should be paired with access to subsidized regional storage facilities. The credit removes farmers' need to sell immediately after harvest to cover costs, while storage access lets them hold produce and sell when prices are more favorable, jointly addressing the two structural pressures, financing dependency and forced early sale, that currently push value toward downstream actors. Références Ait El Mekki, A. (2012). L'analyse de la chaîne de valeur et la compétitivité de la filière oléicole au Maroc. Centre International de Hautes Études Agronomiques Méditerranéennes . Bekkaoui, F., Sikaoui, L., Bouizgaren, A., El Antari, A., El Bakkali, A., Ouguas, Y., Zaher, H., & Hmida, A. A. (2024). Current state of INRA research on olive trees in Morocco. African and Mediterranean Agricultural Journal - Al Awamia, 143, 1–8. Dupin, J., Raimondeau, P., Hong-Wa, C., Manzi, S., Gaudeul, M., & Besnard, G. (2020). Resolving the phylogeny of the olive family (Oleaceae): Confronting information from organellar and nuclear genomes. Genes, 11(12), 1508. https://doi.org/10.3390/genes11121508 Gereffi, G., Humphrey, J., & Sturgeon, T. (2005). The governance of global value chains. Review of International Political Economy, 12(1), 78–104. https://doi.org/10.1080/03085140500032083 Humphrey, J., & Schmitz, H. (2002). How does insertion in global value chains affect upgrading in industrial clusters? Regional Studies, 36(9), 1017–1027. https://doi.org/10.1080/0034340022000022198 International Fund for Agricultural Development. (n.d.). Value chain development for sustainable and inclusive rural transformation. IFAD. https://www.ifad.org International Olive Council. (2012). World olive encyclopedia: Olive growing in Morocco. IOC Publications. International Olive Council. (2025). World olive oil and table olive market report: Governance and trade statistics. IOC Secretariat. Kaplinsky, R., & Morris, M. (2001). A handbook for value chain research. Institute of Development Studies , University of Sussex & International Development Research Centre . Karatepe, I. D., & Scherrer, C. (2024). Smallholder challenges of social and economic upgrading in agricultural value chains: A cross-country, cross-crop comparison. Agrarian South: Journal of Political Economy, 13(3), 317–340. https://doi.org/10.1177/22779760241253456 Latifi, H., Zahir, H., Laaraj, S., Latrache, H., El Louali, M., & Elfazazi, K. (2024). Evaluation of the quality and oxidative stability of virgin olive oil from Moroccan Picholine olives fortified with Rosmarinus officinalis L. essential oil during storage. Acta Scientiarum Polonorum Technologia Alimentaria, 23(4), 467–475. https://doi.org/10.17306/J.AFS.001278 Mejri, R., Dhraief, M. Z., Souissi, A., Ouerghemmi, H., Dhehibi, B., Oueslati, M., Frija, A., Oumer, A. M., Fendri, M., & Larbi, A. (2025). Empowering smallholder olive growers in northwest Tunisia through an agroecological business model. Frontiers in Sustainable Food Systems, 9, Article 1587318. https://doi.org/10.3389/fsufs.2025.1587318 Millennium Challenge Corporation. (2015). Morocco fruit trees project: Independent evaluation report on olive rehabilitation and farmer training in Al Haouz Province. MCC Evaluation Office. Olio Officina. (2019). Moroccan olive sector overview: Production, extraction, and export dynamics. Olio Officina Magazine. Sikaoui, L., Bouizgaren, A., & Bekkaoui, F. (2024). R&D contributions to the olive value chain under the Generation Green 2020–2030 strategy. Institut National de la Recherche Agronomique (INRA Morocco). Stoian, D., Donovan, J., John, D., & Elias, M. (2018). Assessing impacts of value chain development on poverty, gender equity, and food security. Technical Series Report No. 396. CATIE / Bioversity International. Susandi, D., Andayani, S. A., Fitriyani, R., & Fithri, A. Y. N. (2025). Strategies for reducing inequality in agricultural value chains: A systematic review on smallholder participation in developing countries. International Journal of Design & Nature and Ecodynamics, 20(5), 1103–1115. https://doi.org/10.18280/ijdne.200508

More Articles from INTERNATIONAL JOURNAL OF AGRICULTURAL AND EARTH SCIENCE