IMPROVING THE SUPPLY CHAIN FOR ORGANIC PRODUCTS IN BULGARIA IN THE S...

4.Improving the supply chain for organic products in Bulgaria

In the survey several questions were asked concerning opinions of the experts for improving the supply chain for the organic products in Bulgaria. Measures suggested by the interviewees can be summarized as follows: stronger horizontal and vertical integration (between producers, processors and traders). In their answers respondents offered three main options for integration. First possibility is association of all producers of organic products through contractual arrangements. Generally shared view of experts is that at the moment there are few producers of organic products and they are quite small-scale. Their associations would help them to ensure a more diverse range of organic products in large quantities and as a consequence would stimulate development of organic products’ market. Such structures could stimulate successful joint marketing, advertising and PR strategies, which for the individual producers is nearly impossible. Associating would help small producers to reach the main markets of the cities. The experts stated also that similar associations should defend producers’ interests, will organize courses, will provide timely and updated information on prices, demand, etc. The second possibility is association of producers on territorial principle – the expert’s opinion is that association of producers in a region is appropriate considering that they grow crops that are similar because they are selected according to the climatic characteristics of the region. Producers have the same interests, they can use shared storage, packaging stages etc. Association on branch principle is the third possible opportunity stated by the interviewees. In the view of two-thirds (Table 3) of the respondents grouping of producer on branch principle help them to finance their activities. Contractual arrangements with processors can provide farmers a number of advantages. Companies might provide farmers with inputs, training, technical assistance and other services, and credit, as well as they might quarantee market for their produce. Some researchers argued that normally farmers, who make contract farming receive higher levels of income than those selling in the traditional way ( “Value chain analysis – the changing patterns of agricultural market” https://traloihay.net,). Table 3. Experts’ opinion about the producers groups along supply chain, % Question Yes No Do not know Will the groups of organic product’s producers on territorial 70 25 5 principle develop the market for organic products? Will the groups of organic product’s producers on branch principle