SWOT analysis of the argan value chain: State of art, challenges and prospects

Abstract

Since the entry into force of the programme contract signed in 2012 as part of the Morocco Green Plan, the argane sector has experienced remarkable development thanks to the efforts made by professionals and public authorities. The potential advantages and prospects of the argane sector is in a need for a comprehensive review from the upstream to downstream of the value chain to understand the true potential of the sector and its development, considering the associated strengths and weaknesses. Therefore, this paper aims to assess the argane sector using a SWOT analysis (strengths, weaknesses, opportunities, threats). The strengths include the exclusivity of exploitation of the raw material at the national level, the possibility of argane fruit storage for a long time and the development of the mechanization of the production processes. Weaknesses include the dependence of production on climatic conditions, fluctuating raw material prices and the persistence of the informal sector in the argan value chain. Opportunities include growing international demand for argan oil and the emergence of new international markets, especially in Asia and America. Threats include the presence of the argane ecosystem in areas vulnerable to climate change and subject to the constraints of desertification and the risk of commodity monopoly by intermediaries. The SWOT analysis shows that despite serious constraints, the argane is still a vital sector for the entire region where it is present with significant development potential.

Keywords: Sustainable development, argane sector, SWOT analysis