A value chain is a set of linked processes and activities that add value to the consumers. Agriculture value chain is of particular importance in attaining efficient and effective fieldto- fork functions in agribusiness and thereby benefiting all the value chain actors in the chain. A case study was carried out to assess the state of implementation of value chain approach in Commercial Agriculture Development Project (CADP). The study revealed that understanding about the concept and approaches of value chain and its strategic implementation was insufficient among the practioners and stakeholders of value chains. It was found that the project intended to mainly focus on establishing strategic alliances among different stakeholders for their mutual benefits and did not view the value chain development from consumer perspective for value. The sub-project formulation was not based on a chainwide value analysis. Although stakeholders' participation was ensured while developing value chain development plan, sub-projects being implemented were not exactly as per the value chain development plan. The sub-projects were mainly focused on reinforcing one particular tier of the chain and not a whole chain.

Based on the findings it can be concluded that there is gap between value chain principles and its actual implementation in CADP context. To overcome the gap and to ensure real implementation of value chain approach within the Ministry of Agriculture and Cooperatives (MOAC) framework, capacity building of extension workers and other related staff involved in implementation of the value chain approach seems to be vital task. Moreover, MOAC should also mull over gradually transforming present extension system to a value chain approach based one for commercial crops/commodities.