AgroTransilvania Cluster Business Model
Published on 25 July 2018
Romania
Nord-Vest
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About this good practice
AgroTransilvania Cluster, set up in 2013 at the initiative Cluj County Council, is an association of 70 member organisations: agri-food producers, traders, cooperatives, local authorities, chambers of commerce, universities and research institutes from the North-West Region of Romania.
”Transilvania acasă”/ Transilvania at Home concept was born in 2013 at the initiative of the cluster and is run by a company entirely owned by the NGO association. The initiative has an important role to play in the value chain of the cluster association, being set up to maintain cluster producers members together, gain a position on the agro-food market and enter to the the major shopping centers, to market their products. Also, based on sharing facilities, prices and margins can remain competitive. Following negotiations with two global hypermarkets present in Cluj-Napoca city, held by the management of the cluster on behalf of all cluster members, Transilvania Acasa isles are located inside the two biggest shopping centers in the city, commercializing the products (including organic) of the local producers, currently 23 cluster members and keeps rising. Besides ensuring a short value chain, Transilvania acasă has been built on the premises of sustainable development, to support producers, to strengthen relationships and to create a strong brand under which products can be easily marketed.
”Transilvania acasă”/ Transilvania at Home concept was born in 2013 at the initiative of the cluster and is run by a company entirely owned by the NGO association. The initiative has an important role to play in the value chain of the cluster association, being set up to maintain cluster producers members together, gain a position on the agro-food market and enter to the the major shopping centers, to market their products. Also, based on sharing facilities, prices and margins can remain competitive. Following negotiations with two global hypermarkets present in Cluj-Napoca city, held by the management of the cluster on behalf of all cluster members, Transilvania Acasa isles are located inside the two biggest shopping centers in the city, commercializing the products (including organic) of the local producers, currently 23 cluster members and keeps rising. Besides ensuring a short value chain, Transilvania acasă has been built on the premises of sustainable development, to support producers, to strengthen relationships and to create a strong brand under which products can be easily marketed.
Expert opinion
Although mainly related to a private initiative, this practice could inspire policy-makers to develop support programs and offer grants that would boost the competitiveness of local producers, promote shorter distribution chains and encourage citizens to consume local products. In this particular case, an agri-food cluster was set up to support local producers under a joint marketing brand. Offering public support, e.g. in the form of cluster programs, to these kinds of initiatives would surely increase their impact and sustainability.
Works at
Interreg Europe Policy Learning Platform
Resources needed
Funding of this initiative is based on the private support of the producers that are using the cluster market channel. In addition, the cluster is operating based on membership fee and European funded projects.
Evidence of success
Thanks to joining forces under a regional agri-food cluster organisation,
local producers have taken ownership of the value chain.
23 local agri-food producers, including organic, are able to sell products with reasonable margins, maintaining own brands, on the highest markets - the urban hypermarkets, due to joint negotiation conditions held under the umbrella of the cluster.
local producers have taken ownership of the value chain.
23 local agri-food producers, including organic, are able to sell products with reasonable margins, maintaining own brands, on the highest markets - the urban hypermarkets, due to joint negotiation conditions held under the umbrella of the cluster.
Potential for learning or transfer
The cluster model establishing a joint business activity can be transferred and multiplied once there is a cooperation between local producers and the cluster management dedicate staff and will to administrate the joint business and to negotiate with the supermarkets.
Further information
Website
Good practice owner
You can contact the good practice owner below for more detailed information.
Organisation
AgroTransilvania Cluster
Romania
Nord-Vest
Contact
Project manager