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InnovativeApproachestoDealingwiththeIncentiveProblem

K.F.Cardwell,PhDSeniorAdvisor,WorldBankAgriculture&EnvironmentSectionMycotoxins:TripleThreattoAfricanDevelopment

Washington,DC;14February2021

HowSocialMarketersSeeIncentives–JustDoWhat?Thinkintermsofcustomers,notconverts.Forourcustomers,asharedworldviewisnotaprerequisitetoaction.Peopledon’tneedtoknoweverything;theywanttoknowwhatisrelevanttothem.Eitherwecantry(invain)togetthemtoseethesamewaywedo,orwecanworkfromtheirperspective.RobinHoodMarketing,Andresen,2006ReMycotoxins,WhatdowewantfromthemvsWhatistheirperspective?Governments;Farmers;Animalfeedsconsumers/foodandbeverageprocessers;UrbanMarketers;UrbanandRuralConsumers;InternationalTraders. HowGovernments

SeetheWhatWhatGovernmentMinistrieswant–Positivepublicperception:tobeseentobeeffectiveandincontrolofsituation:agriculturalcompetitiveness;publichealth;foodsecurityandsafety.ForMycotoxinstheWhatisforGovernmentstoInternallyregulatefoodsafety(monitoringandcontrol);Balancepublichealth,foodsafetyandfoodsecurity;Overseemarketsandtrade;andEnactpoliciesthatpromoteREEonmycotoxins.WhatFarmersWantMaximizedfarmincome;Minimizedincomevariation;Minimizedvariablecosts;Minimizedvariablecostvariation;Minimizedadditionallabor;Maintainedpreviousactivitylevel(representingaversiontochange);ANDHouseholdhealthandwell-being(espchildren).FromBehaviourandmotivationsoffarmersinrespondingtopolicychanges.ReadingUniv,UKHowFarmersSeetheWhatWhatMycotoxinManagementCallsfor:Changeofmanagementpractices;Additionallabor;Additionalcost;Income/yieldneutralactivities(inabsenceofincentive);Potentialincomevariabilityand/orliability;Howdoesthisbalancewiththedesireforahealthyhousehold?RememberHowSocialMarketersSeeIncentivesThinkintermsofcustomers,notconverts.Forourcustomers,asharedworldviewisnotaprerequisitetoaction.DoFarmersneedtocareaboutPublicHealth?WillFarmersfindfoodsafetyfortheirfamiliesagreatenoughincentivetochangetheirproductionsystems?HowdoweseeFarmersascustomers?Peopledon’tneedtoknoweverything;theywanttoknowwhatisrelevanttothemselves.RobinHoodMarketing,Andresen,2006Whatisthestrategyforfarmers?Couplemycotoxinmanagementwithincreasedincomepotential;Couplemycotoxinmanagementwithimprovedproductivity;versusRegulateandpenalize;Scarethehelloutofeverybodywithnegativehealthcampaignsaboutstaplefoodstocreateademand?WhatUrbanMaizeMarketersWantEaseofpurchaseatfarmgateorfromaggregator;Lesslaborrequirements;Stabletransportandstorage;Profitability(buylow,sellhigh);Minimizedlosses;ReturnCustomers.HowMarketersseetheWhatWhatwewantofthemistosellmaizeataslightlyhigherpriceifithaslowmyco/afla-toxin.Whatincentivedotheyhavetodothat?Pull-mechanismincentives–abonus(shortterm);Marketforcepricedifferential-Informedandsavvyconsumers–(mediumterm);Regulatory–riskofpenaltyandpublicopinion(longterm);and/orConcernfortheirownchildren’shealth.WhatMaizeConsumersWantLowprice;Goodquality;Convenientlocationforpurchase;Convenienceforpreparation;ConsistenttasteandCookingcharacteristics.WhatwewantfromtheCustomerForthemtopurchasemycotoxin-freeproductforaslightlyhigherpriceandseekvendorsthatsellAflasafemaize.Whywouldtheydothat?Whatwouldsocialmarketerssayabouthowmuchinformationtheconsumerneeds?Howmuchinformationistoomuchinformation?ChooseyMothersChooseJiff!BacktoWhatfortheFarmersWantthemtomanageaflatoxin(othertoxins?)withCulturaltechniquesofwhichthereareabout15thatneedtobeusedinconjunction;Biologicalcontrol–forwhichthereisacostandsomeadditionallabor;Whatdowesaytothem?Do/usethisanditwillbeworthyourwhile!Meanwhile,forthistohappenandbesustainable,allotherelementshavetoalign.FoodSecurityPlayersandMotivationsFarmersConsumersQualityorprice?Somuchwork!Cheepmoi?I’llpaymore!Willyoupaymemore?WillIpayyoumore?MarketersIndustrialconsumersDevCountryGovernmentsPublicHealthWehavetogetahandleonthiscanofworms!!Donor’sSteeringCommitteeAflasafePilotSteeringCommitteeDoreoPartner(Chair)MANPANFoodSafetyCommitteeFinance

Womentraders’rep

ProgramManagement

TechnicalOutreach,verification,Aflasafemanufacturing

MonitoringandEvaluationTechnicalOpsTeamsImplementer1WomenmarketerImplementer2MasalaandPremierCommercialAggregatorsImplementer3KadunaCADPImplementer4BabbanGonaFinancialTrusteeNigerianBank(s)?Programsupervisor

Ag-ResultsEvaluator(TBD)FieldInitiativeAG-ResultsSecretariat(TBD)

AFLASAFE™IncentivizationPilotinNigeriaPullMechanismInitiativeOrganizationalChart

IncentivepaymentsOversightStakeholdersStrategicPlantoDriveSustainability

LeverageStrongRegulatoryEnforcementtoSustainPremiumMarketforAflasafemaize1Year2345CADPsandPullMechanismIncentivesSupplyofAffordableLow-AflatoxinMaizeEnforceRegulatoryPolicyEnableMarketForcestoDriveSustainabilityPublicHealthAwarenessPolicy:B

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