Chair

Dr Dirk Willem te Velde - Head of the International Economic Development Group of ODI

Speakers:

Dr Ganeshan Wignaraja - Director of Research, Asian Development Bank Institute in Tokyo

Dr Yurendra Basnett - Research Fellow, ODI

Jodie Keane - Research Fellow, ODI

Mr Frans Lammersen - Principal Administrator, Development Co-operation Directorate, Organisation for Economic Cooperation and Development (OECD)

Dr Ganeshan Wignaraja, Director of Research at the Asian Development Bank Institute, noted that some firms and some countries gain – but not all. He argued that opening up markets isn’t enough; industrial policy and social security nets are vital for dealing with adjustment issues.

Jodie Keane, ODI’s resident expert on value chains, discussed how chains are governed. Drawing on the example of textile production in Cambodia, she described how one firm may take the lead for the entire chain, setting the rules and norms for participation. 

ODI’s Dr Yurendra Basnett, who has worked on Nepal’s economic transformation and industrial policy, questioned the importance of global value chains and argued that poor countries should focus on getting the basics right: improving infrastructure; investment policies; and labour skills. These remain key whether a country participates in GVCs or not. He also noted the importance of networking with firms leading these GVCs.

Frans Lammersen, Principal Administrator of OECD’s Development Co-operation Directorate, examined the results of an OECD/WTO questionnaire, which revealed that governments are taking GVCs much more seriously than previously.