Symbiosis Between Commercial Small-Scale Producers and Micro, Small and Medium Enterprises in the “Hidden Middle”: Evidence from the Horticulture Value Chains in Africa and Asia

Rapid urbanization and changing diets in Africa and South Asia are raising demand for horticultural products, creating opportunities for agrifood transformation. This report synthesizes evidence from the INCATA project (Linked Farms and Enterprises for Inclusive Agricultural Transformation in Africa and Asia). It finds that small-scale producers are highly commercial and often embedded in mutually beneficial relationships with micro, small, and medium enterprises (MSMEs) in the “hidden middle” of input supply, trading, logistics, and related services.

Farm Transformation of the Tomato Value Chain in Kenya

The Kenyan tomato value chain represents a hallmark of agricultural transformation, characterized by a massive twelve-fold expansion in production volume between 1980 and 2022 to meet a five-fold increase in domestic consumption.

Transformation of the Aquaculture Value Chain in Kenya

The Kenyan aquaculture sector has undergone a profound structural transformation over the last decade, evolving from a subsistence-based activity into a sophisticated commercial ecosystem. This growth is most evident in the cage-based segment of Lake Victoria, which saw an explosive 1,300-fold increase in production volume between 2014 and 2024.