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Value Chain Analysis Series No. 3

Value Chain Based Approach to Micro-Enterprise Development

Value Chain Analysis-Incense Sticks

Micro-Enterprise Development Programme (MEDEP)
(MEDEP-NEP/08/006)
Dhobighat, Lalitpur

December 2010

Foreword
The Micro-Enterprise Development Programme (MEDEP) is a nationally executed project implemented by Ministry of Industry (MOI) with the technical and financial supports of the
United Nations Development Programme (UNDP). The programme is funded by UNDP with additional support from the Australian Agency for International Development (AusAID).
MEDEP which is now in its Third Phase (2008-2010) primarily aims at improving the livelihoods of low income families those living below the absolute poverty line through promotion of micro-enterprises and employment generation. The target groups of the programme are Women, Socially Excluded such as Dalits, Indigenous Nationalities (Adivashi-Janajatis),
Religious Minorities, Unemployed Youths, People Living with HIV and AIDS (PLHA),
Injecting Drug Users (IDUs) and Ex-Combatants Discharged from Maoist Cantonments.
MEDEP has been working in several commodity sub sectors based on market demand, local resource potential, and needs and demands of target groups. The program is currently active in
36 districts, with total beneficiary number exceeding 50,000. There has been a significant contribution in enhancing the income levels of participating entrepreneurs.
The MEDEP approach in value chain is in the process of internalization although the programme has been active in development of enterprises involving several commodities and products for last ten years. MEDEP primarily focuses on creating and sustaining micro entrepreneurs through their integration into the value chains and upgrading activities. In this context MEDEP initiated
Value Chain Analyses of six selected commodities / products (Allo, Dhaka, Incense sticks,
Orange, Lapsi, and Chyuri / herbal soap.



References: Range of Sindhuli District, 2064 (in Nepali) GTZ, Honey in Nepal, Approach, Strategy and Intervention for Subsector Promotion, 2008 Haat Bazaar, Agarbatti, Kantipur Daily, October 26, 2009 MoICS, Micro Enterprise Policy 2064, Ministry of Industry, Commerce, and Supplies, Singha

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