Recently, the Uplands Program brokered a business contract with the largest of
the European fair trade companies, and after testing products from the litchi
cooperative, the company showed interest in developing a new product line for
dried litchi. Negotiations for the 2012 season were ongoing during the drafting of
this chapter.
9.5.2.4 Experiential Learning: Iterative Learning Processes Marked
by Trial and Error
The second principle of the strategic niche management concept is experiential
learning, and as part of this, the major actors in the litchi processing and marketing
network went through different learning stages in an iterative process marked by
trial and error. In the early stages of the network’s formation, Hmong litchi growers
adopted several new socio-organizational and technical practices. In the case of
fresh litchi marketing through the hypermarket chain, the prospect of gaining higher
financial benefits from marketing safe, high-value litchi motivated 25 litchi growers
to comply with the GAP guidelines – which support farming practices aimed at
satisfying food safety standards by imposing limits on pesticide residues. They
therefore organized themselves, coordinated their efforts, modified their agricultural practices and adapted their post-harvest handling techniques, despite the large
degree of uncertainty that existed at the time as price offers and the agreement
conditions were revealed late, past the peak of the harvesting season in 2009.
In the case of the dried litchi processing and marketing cooperative, the adoption
of various technical and institutional innovations in the first 2 years – as depicted in
Fig. 9.9 – supported the idea of innovation adoption being a multi-dimensional,
iterative learning and action process that involves a series of technical, institutional
and socio-organizational innovation components at different stages of the process.
Yet the learning process was also marked by failed attempts and setbacks. The
processing cooperative experienced a number of difficulties in the early stages, such
as technical problems in handling the dryer, while drying experiments using chilies,
tomatoes and sweet peppers were discontinued due to a perceived lack of marketing
opportunities. Female cooperative members were initially enthusiastic about the
production of litchi jam, but found it difficult to ensure product quality and to
identify a reliable market.
Eventually, the drying of litchi turned out to be the only promising type of
added-value process introduced by the cooperative members, yet the trade of dried
litchi via local retailers faced considerable challenges. Legal constraints rendered it
impossible for the litchi processing cooperative to apply for a Good Manufacturing
Practice (GMP) certificate, which is a prerequisite for marketing the products in
local supermarkets. Being members of an ethnic minority group settled in a national
park, they do not have officially documented land ownership rights; therefore, the
processing facility could not be legally registered, though with support from the
Uplands Program and its Thai counterparts, the Hmong villagers repeatedly
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