Value chain development can make significant contributions to achieving the Sustainable Development Goals (SDGs) because it is a powerful approach to address root causes and binding constraints that impede the sustainable development of food value chains.The first step in value chain development is selecting those value chains that, when upgraded, can have the biggest SDG impact. This publication provides practical guidelines on how to select value chains for which upgrading is feasible and impactful in terms of the potential for generating positive economic, social and environmental outcomes. The handbook describes a step-by-step process that helps to assess, compare and select value chains in a participatory and evidence-based manner. It presents a toolbox that can be customised to projects with different budgets, scopes and objectives.This publication forms part of a set of FAO handbooks on Sustainable Food Value Chain (SFVC) development, which together provide hands-on guidance for development practitioners, including international organizations, NGOs, regional bodies and national governments seeking to achieve sustainability objectives through agrifood value chain development projects