ABSTRACT

The widespread adoption by developing countries of export-led growth strategies has drawn attention to the economic potential of their food processing sectors, especially in the light of the crisis facing many traditional primary commodity export markets. Food processing can be understood as post-harvest activities adding value to the agricultural product prior to marketing. In addition to the primary processing of food raw materials, it includes final food production and the preparation and packaging of fresh products, chiefly horticulture and fish. Non-traditional exports, particularly of these latter two categories of products, have become the focus of considerable debate. For some, they represent a strategic opportunity for developing countries not only for new sources of revenue but also for employment generation and the internalization of new knowledge and technology. Others would argue that they are the reflection of the outsourcing tendencies of global value chains dominated by transnationals taking advantage of low wages and less stringent environmental regulation, with little potential for internal upgrading.