Lesson 7's lecture shows how important it is to engage in sincere conversations to make the participants feel comfortable, give them the opportunity to learn from you and also learn about the objectives of the interview. I had planned a set of questions that would help me probe some aspects of the commercial value chain in the marketplace. Following the learning from chapter 11's reading (section called 'interviews' on page 4), I opted for open-ended questions that allowed the participant to elaborate on his expertise while expressing his attitudes, feelings and how he would like things to be different. I also used more direct secondary questions to dig deeper in specific aspects of the main topic where I thought it was needed to obtain more concrete answers. However, I was extra careful not to make any comment that made the participant feel that I was judging him.
More than an interview I found that it was a quite fluid conversation. I had met the buyer/distributor on a bus trip from Mpika to Mpulungu (Northern Zambia) 3 days before, which served to break the ice. We exchanged some pleasantries. As we had one hour to take the bus back to Mpika, I offered him to go have a coffee at the bar across the road. I asked him how the purchase of capenta (dried fish from Lake Tanganyka) has been this week. He was pleased with the 50 kilos of produce bought. The conversation and questions that I asked and his open and sincere answers allowed me to understand further on his motives, challenges, strengths, vulnerabilities and his thoughts on how he could improve the way he does business.
He finds his fortnightly visit to Mpika to buy produce as time consuming, expensive and as a burden from a family standpoint. The 12 hours bus trip each way is tiring, In his own words, "I don't like leaving my wife and three kids back home for three days twice a month, it feels like I have to do it rather than I want to". So much money goes in his bus fare, overnight accommodation and the cost of transport for the produce charged by the same bus. In his own words, "imagine, passengers and capenta travelling together on the same bus" (followed by some laughter). When asked about how he felt being away from his own business and customers in Mpika, he said that it was not ideal. He doesn't have any help from anyone to look after his fish vendors in the local market. "I have to do a lot of catching-up once I'm back, including asking my customers to pay me their debts". He also made references to the cost of opportunity of the time wasted in not looking for new customers. At this point, I asked him about his thoughts on a service that delivered the fish directly to Mpika. He said that, if the price was adequate and the quality of the produce consistent, he would certainly consider it, since this would give him more control, reduce uncertainty in his own business and improve his personal and family lives.
I then said that I was sure that there were some positives in coming to Mpulungu. He agreed. He mentioned that he could ensure that the produce was of high quality. It helps him to build a closer relationship with the fish sellers directly at Mpulungu port. He can also bargain and look for the best deal. He said, in his own words, "you know, even though I have two main suppliers, I always shop around in case I find a better quality-price ratio". He finds that this activity is key for the success of his business. "I can't go back to Mpika with low quality capenta, my fish vendors know what they are buying, I need to bring them good product"
I also wanted to find out about his attitude towards the issue of depleting fish reserves and how that was affecting him. I mentioned that I had talked to a fisherman who claimed that there had been a steady decline of fish in the last decade and how that was impacting his livelihood. Based on lecture 8, for the fisherman the environmental impact was the one referred as 'immediate' with some individual control and high motivation to act. However, if the rest of the fishermen used unsustainable fishing practices (i.e. short term more production), this put him in a disadvantage position. The buyer/distributor said that he has seen price increases all the time. He buys what he finds. He does not have visibility into the fishing practices. However, he believes that the authorities should control and prevent it. If not done, it will be the end of the industry. I asked if he would buy responsibly if he had transparency on produce that had been caught following sustainable practices. He said that for the long-term benefit of the industry he would.
Monday, 3 March 2014
Conversations in Local Subsistence Marketplaces
For this part of the project, I follow with the subsistence fish marketplace in Mpulungu, located on the shores of the Lake Tanganyka, northern Zambia.
Value chain subject to interview with local actors in this subsystem marketplace - Production (Fishing and drying of the fish); Sales (includes transport to point of sales); Distribution
1. Key takeaways after conversation with producer - Local fisherman
He has been 25 years in the business. He fishes every day after sunset. He uses a medium-sized boat and gets help from 4 others from his local village. He comments on the issue of depleting fish resources, exacerbated by the appalling use of illegal nets, even mosquito nets used for malaria prevention. No fish even the smallest escapes, which negatively impacts fish reproduction cycles. He has to go to deeper water to get enough capenta. He says that uncertainty has increased, since It has become harder and harder to make enough for a decent livelihood. He believes that this creates higher financial constraints in the village. He then talks about the drying process, how women in the local village dry the capenta fish before it is ready for selling in Mpulungu.
2. Fish seller - In this case, a random fisherman's wife who carries her baby on her back
She travels by boat taxi with sacks of the dried capenta from her local village to Mpulungu's fish market every Monday, Wednesday and Friday. The boat taxi departs from the local village at 4.30 am. The journey takes 3 hours, the boat is crowded with other sellers, many with their babies. She comments on the dangerous conditions and the high fare she has to pay to the boat owner.
Concerning the selling, she says there is fierce competition. It's a buyers market, most customers are small distributors of fish who come from far away towns. Bargaining is the norm. She only accepts cash transactions. She does not keep record of any transaction. All she focused on is to sell all the sacks of capenta before taking the taxi boat back to the village at 3pm. She takes the opportunity to buy some groceries and soap to bring back home, since the only local store in her village charges high prices.
3. Fish Buyer - Small distributor coming from Mpika, 12 hours south to Mpulungu
He says that it takes him 12-hours by bus and does it twice a month. There is no distribution network serving capenta to small distributors like him, that's why he has to go to where the fish is sold. He then sells to small fish street vendors in local markets in Mpika. The trip, long hours spent on the bus and the investment in time, effort and money, makes him push prices higher. He believes it is a very inefficient process. He would pay for a service that saved him from going himself. However, seeing, touching and tasting the fish before buying is key. Buying from local sellers is not always reliable. That is why he shops around before making a decision.The margin on the fish makes for a good living. She also makes some money by offering his customers credit
4. Fuel seller that supplies taxi boat operators and owners of private boats.
He and his two business partners smuggle fuel from nearby Burundi, across the Tanganyka Lake. This way they avoid paying fuel duties to the Zambian government. Good margins. Mainly cash transactions although credit is also provided to some regular taxi boat customers. He commented on small bribes payed to local police agents so that they turn a blind eye on the smuggling activity. He also made comments on family planning, he just had one son and not willing to have more as he is aware of how expensive it is to support more than one child.
As a note to the peers for evaluation, I had all these observations during my travels in Zambia last summer. I have a modest blog. One of the posts contains further details of my experience in Mpulungu, in case it may be of interest. Thanks
Value chain subject to interview with local actors in this subsystem marketplace - Production (Fishing and drying of the fish); Sales (includes transport to point of sales); Distribution
1. Key takeaways after conversation with producer - Local fisherman
He has been 25 years in the business. He fishes every day after sunset. He uses a medium-sized boat and gets help from 4 others from his local village. He comments on the issue of depleting fish resources, exacerbated by the appalling use of illegal nets, even mosquito nets used for malaria prevention. No fish even the smallest escapes, which negatively impacts fish reproduction cycles. He has to go to deeper water to get enough capenta. He says that uncertainty has increased, since It has become harder and harder to make enough for a decent livelihood. He believes that this creates higher financial constraints in the village. He then talks about the drying process, how women in the local village dry the capenta fish before it is ready for selling in Mpulungu.
2. Fish seller - In this case, a random fisherman's wife who carries her baby on her back
She travels by boat taxi with sacks of the dried capenta from her local village to Mpulungu's fish market every Monday, Wednesday and Friday. The boat taxi departs from the local village at 4.30 am. The journey takes 3 hours, the boat is crowded with other sellers, many with their babies. She comments on the dangerous conditions and the high fare she has to pay to the boat owner.
Concerning the selling, she says there is fierce competition. It's a buyers market, most customers are small distributors of fish who come from far away towns. Bargaining is the norm. She only accepts cash transactions. She does not keep record of any transaction. All she focused on is to sell all the sacks of capenta before taking the taxi boat back to the village at 3pm. She takes the opportunity to buy some groceries and soap to bring back home, since the only local store in her village charges high prices.
3. Fish Buyer - Small distributor coming from Mpika, 12 hours south to Mpulungu
He says that it takes him 12-hours by bus and does it twice a month. There is no distribution network serving capenta to small distributors like him, that's why he has to go to where the fish is sold. He then sells to small fish street vendors in local markets in Mpika. The trip, long hours spent on the bus and the investment in time, effort and money, makes him push prices higher. He believes it is a very inefficient process. He would pay for a service that saved him from going himself. However, seeing, touching and tasting the fish before buying is key. Buying from local sellers is not always reliable. That is why he shops around before making a decision.The margin on the fish makes for a good living. She also makes some money by offering his customers credit
4. Fuel seller that supplies taxi boat operators and owners of private boats.
He and his two business partners smuggle fuel from nearby Burundi, across the Tanganyka Lake. This way they avoid paying fuel duties to the Zambian government. Good margins. Mainly cash transactions although credit is also provided to some regular taxi boat customers. He commented on small bribes payed to local police agents so that they turn a blind eye on the smuggling activity. He also made comments on family planning, he just had one son and not willing to have more as he is aware of how expensive it is to support more than one child.
As a note to the peers for evaluation, I had all these observations during my travels in Zambia last summer. I have a modest blog. One of the posts contains further details of my experience in Mpulungu, in case it may be of interest. Thanks
Observations in Local Subsistence Marketplaces
Background
Every Monday, Wednesday and Friday, hundreds of people, mostly the fishermen's wife's or the oldest daughters come from nearby rural fishing villages to Mpulungu port, on the shores of the Tanganyka Lake in Northern Zambia to sell their capenta, a delicacy sold as dried fish which is indigenous to the Lake. Many of them carry their babies on their backs. Men fish, women sell. This is an example of how a household organizes itself to generate income to support the family.
The marketplace
The port is crowded and full of live. There the women, after an uncomfortable 2-3 hour trip on a boat taxi, are met by avid buyers. Among them are: Owners of local fish shops, food outlets and distributors/traders from other cities nationwide. The process of drying the fish prior to its sale is key for the success of sellers. The drying process takes place in the local villages for two days after fishermen bring the caught.
Buyer-seller interaction
Negotiation starts. The buyers know very well what they are buying in terms of quality of capenta. Important elements are: size of the fish, silvery color, texture/ crunchiness and free of sand and other sea particles. They approach sellers, in some cases they take a few seconds to greet each other. I assumed that when greetings took longer was because there is an existing relationship. Tendency to go back to seller that provided good quality from previous transactions. The buyer then looks, touches and samples the dried capenta. When satisfied, the negotiation moves to the price component. There is not fixed price. Bargaining is the norm. With so many sellers at the port, the buyer is in a stronger position. Payment is made by cash as I much as I could see. The sellers seldom kept any written record of the transaction. Low literacy among fish sellers is the norm.
Buyer-seller, two sides of the same coin
The fish sellers are buyers for the street vendors of snacks, soft drinks, clothing and many other items. On day end at the port, they buy groceries and other items to bring back to their villages. Even at lunch time when they visit the food outlets that sell their staple food Nsima, beans and cooked capenta. On the other side, for instance, owners of food outlets buy capenta from the fish sellers. Small sellers of petrol that is used to fuel the boat taxis that transport fish sellers between the port and their fishing villages are buyers of the street vendors and food outlets around the port. The dynamism and pace at which transactions and interactions between buyers and sellers looked chaotic to me from the outside. It however showed me how expertly everyone at the port interacted in this subsistence marketplace.
As a note to the peers for evaluation, I made all these observations during my travels in Zambia last summer. I have a modest blog. One of the posts contains further details of my experience in Mpulungu, in case it may be of interest.
Every Monday, Wednesday and Friday, hundreds of people, mostly the fishermen's wife's or the oldest daughters come from nearby rural fishing villages to Mpulungu port, on the shores of the Tanganyka Lake in Northern Zambia to sell their capenta, a delicacy sold as dried fish which is indigenous to the Lake. Many of them carry their babies on their backs. Men fish, women sell. This is an example of how a household organizes itself to generate income to support the family.
The marketplace
The port is crowded and full of live. There the women, after an uncomfortable 2-3 hour trip on a boat taxi, are met by avid buyers. Among them are: Owners of local fish shops, food outlets and distributors/traders from other cities nationwide. The process of drying the fish prior to its sale is key for the success of sellers. The drying process takes place in the local villages for two days after fishermen bring the caught.
Buyer-seller interaction
Negotiation starts. The buyers know very well what they are buying in terms of quality of capenta. Important elements are: size of the fish, silvery color, texture/ crunchiness and free of sand and other sea particles. They approach sellers, in some cases they take a few seconds to greet each other. I assumed that when greetings took longer was because there is an existing relationship. Tendency to go back to seller that provided good quality from previous transactions. The buyer then looks, touches and samples the dried capenta. When satisfied, the negotiation moves to the price component. There is not fixed price. Bargaining is the norm. With so many sellers at the port, the buyer is in a stronger position. Payment is made by cash as I much as I could see. The sellers seldom kept any written record of the transaction. Low literacy among fish sellers is the norm.
Buyer-seller, two sides of the same coin
The fish sellers are buyers for the street vendors of snacks, soft drinks, clothing and many other items. On day end at the port, they buy groceries and other items to bring back to their villages. Even at lunch time when they visit the food outlets that sell their staple food Nsima, beans and cooked capenta. On the other side, for instance, owners of food outlets buy capenta from the fish sellers. Small sellers of petrol that is used to fuel the boat taxis that transport fish sellers between the port and their fishing villages are buyers of the street vendors and food outlets around the port. The dynamism and pace at which transactions and interactions between buyers and sellers looked chaotic to me from the outside. It however showed me how expertly everyone at the port interacted in this subsistence marketplace.
As a note to the peers for evaluation, I made all these observations during my travels in Zambia last summer. I have a modest blog. One of the posts contains further details of my experience in Mpulungu, in case it may be of interest.
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