Value addition means changing something it from its original state to a high quality state which enhances the overall end product. Value in simple terms is how something weighs vis-à-vis quality, cost, and importance. In the days of old, it encompassed, smoking meat and fish, sun drying, salting, wrapping in leaves and storage in granaries. In present day, with the development of technology, it involves innovation and product modification through processing, packaging, crafting, branding and quality assurance procedures both on small and large scale using modern machines. Value addition is very vital since it increases product quality and selling price thus increasing the profit margin.
In agriculture and a green business, value addition involves transformation of raw products into higher value goods. For example, processing maize into flour and packing it, drying herbs and grinding them into powder, canning products, pasteurizing milk, drying and packaging products, smoking, marinating, sun drying and curing fish. Crafts and trees can be made into different products like furniture, bags and ornaments. Different other products from different raw materials can also be made like perfume from flowers, herbal drugs and ailments.
Value addition can be done on both small and large scale. Small scale value addition is done at home, small farms and factories while on large scale its done in large factories and involves profuse production and use of complex machines for processing products into goods like processed foods, beauty products like perfumes, health products like drugs, and tangible goods like furniture, crafts, ornaments. Almost all the products on market today which we use in our daily lives are value added products.
Advantages of value addition
The value addition processes not only raise us income but also guarantees that the end product lasts for a long time through; 1. moisture reduction or elimination that prevents growth of bacteria and fungi. 2. packaging that protects the product keeping it in good physical condition and eliminates contact with the external environment. 3. processing that makes the product better in terms of taste,smell,appearance, and condition.
Value added products are usually packaged in tins, cans, bags thus can be moved longer distances and can reach greater markets thus increasing marketability and profits.The packaging also eases storage and handling.
Economic and post harvest loses of food and green products are prevented through value addition. This is crucial for economies and people who depend solely on agriculture for their survival without which wastage would result into breakdown. After growing, value addition is done and the products are then exported for sale at a higher price. The resulting profits can improve income and livelihoods substantially At home, money is saved as food doesn’t go to waste.
Industries and factories involved in value addition create employment opportunities for people who work there like; industrial chemists, food processors, factory laborers. Vertical integration can also be involved where for example a farmer, or gardener sells their products to a produce collector who in turn sells to a factory which in turn exports or sells to local markets. This results in easy income flow , job security and continuity in production.
More jobs are also created as various industries will rise up; for example those that make packaging, those that make industrial machinery and those involved in trade, transport and distribution. The cumulative benefits also include infrastructural development like roads and improved standards of living for the people.
It contributes to food security by ensuring that that food stays fresh and longer. This helps to avoid food loses , ensures availability, and quality maintenance. this helps to reduce global hunger for people every where around the world especially for those in arid and war torn areas. It thus contributes to sustainable development.
Wastage and disposal of unwanted refuse is curtailed since they can be made into different quality products. This helps to ensure zero waste and protect the environment. For example, making briquettes out of saw dust, processing waste cuts into dog food. it therefore facilitates waste recycling and re-usage.
Value addition is done in everything. it helps us get wealthy by being creative and innovative when we change raw materials into products that meet other people’s needs. As seen above, its important not only to us but also to our environment. By adding value, we can minimize wastage, reduce pollution and ensure eco sustainability.
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