Aquaculture farmer organizations and cluster management: concepts and experiences

5.2
THE ROLE OF THE STATE
As noted above, the government has a key role to play in improving the institutional 
and wider enabling environment for FOs, without which FOs will find it hard to 
succeed. Developing-country governments are responsible for providing FOs with 
a responsive policy environment that encourages growth and does not distort trade, 
for a legal framework and registration process that ensures FOs can compete on an 
equal basis with other businesses, and for the necessary investments in infrastructure, 
communication and other public services that are vital for the success of FOs. At the 
same time, developed country governments must adopt policies that do not distort 
smallholder competitiveness in developing countries.
It is, however, very important that FOs are not seen by government as an instrument 
of public (or private) service delivery to rural areas (as this can undermine their 
organizational viability) but rather as autonomous business-oriented organizations 
in their own right, representing the needs of farmers. Mechanisms should be 
institutionalized at all levels of government for the inclusion and participation of FOs in 
agricultural, rural development and agrarian reform policies and programmes. Further, 
the government must ensure that public-sector institutional support to FOs is given 
priority, and funds must be allocated for such support to ensure a high probability of 
success for FOs and to encourage and facilitate their formation and spread.
5.3
THE ROLE OF NGOs AND OTHER DEVELOPMENT ORGANIZATIONS
Penrose-Buckley (2007) identifies a number of strategic roles for development NGOs 
(which also apply to other development organizations and donors) in supporting FOs. 
These roles include those summarized below.
5.3.1 Accompaniment 
The main role that NGOs and other development organizations play is as an FO’s 
long-term development partner, supporting and “accompanying” the development 
of the organization and supporting capacity development in the key areas outlined 
in Section 5.1. It is important to note, however, that the way in which capacity 
development services are delivered is important. Training and capacity-building needs 
will develop and change with the FO and are not a one-time need. As such, provision 
of training services must be undertaken in a sustainable way, perhaps through an 
established institution rather than directly by NGO or donor project staff in order to 
be sustainable beyond the life of any externally assisted project. Cost recovery needs to 
be considered from the start, and “accompanying” organizations must ensure that their 
support services become self-financing or are sustainable in the long run. Aside from 
capacity building, the main accompanying role of NGOs and donor organizations is 
to help FOs analyse and identify their own needs and priorities and together develop 
a support strategy.