JE 2016 ESEE 2 - MUSIKA Development Initiatives Banda A message from the Managing Director Musika is...

FISP Electronic Voucher programme to promote diversification

Jatropha growers cash in from emerging private investments

in bio-fuels

320,000 smallholders benefit from private sector investments in rural areas

NEWSLETTER | JUNE 2016Musika1

Dear reader,

We are glad to receive recognition from key players in the agricultural sector as an organisation that has played a major role in piloting various interventions that have changed the way the private sector views and interacts with the smallholder market.

The increasing interest by the private sector to partner with us and extend their operations to areas that were previously perceived as ‘commercially’ difficult areas, or test technologies that have never before been tried among smallholder producers, brings renewed hope in the fight against poverty.

To date, we have recorded over 320,000 smallholder farmers nationwide that are benefiting from ‘improved’ market access for inputs, agricultural products, services and finance. This has been propelled by the willingness by firms, with Musika support, to invest in the provision of extension services as a prerequisite to achieving the sustainable adoption of productivity enhancing technologies by farmers.

This edition highlights some of the major successes achieved over the years including our most recent partnership with the Zambian Government in piloting the ‘E-voucher’ system implemented in 13 pilot districts in Southern, Lusaka, Central and Copperbelt Provinces of Zambia. Apart from increasing private sector participation in the distribution of inputs coupled with extension services, the ‘e-voucher’ gives farmers a wide selection of inputs to choose from, giving them an opportunity to diversify.

The ‘e-voucher’ also allowed Musika and its partners in the insurance industry, to pilot the weather index insurance product in Southern Province, as a way of mitigating the massive crop loss experienced last season as a result of the poor weather and drought conditions. This is part of on-going efforts by Musika in promoting climate smart agriculture approaches among smallholders.

We continue to seek alternative funding options that are flexible, with no collateral required, for smallholders to grow their farming enterprises. Through our support to the Lima Chuma project activities including the provision of quality seed, fertiliser, agrochemicals and training for farmers, we recently launched an input financing scheme developed by KuduConsulting in Chikanta Chiefdom.

However, as we strive to achieve growth by bringing productivity enhancing technologies at the farmers’ doorstep plus flexible financing through our private sector partners, we continue to invest time and effort in ensuring that the impact of this growth to the natural environment and human health is mitigated to the greatest extent possible. With best wishes,

Reuben Banda

A message from the Managing Director

Musika is a Zambian non-profit company that stimulates and supports

private sector investment in the smallholder market.

VISION

Our vision is a dynamic Zambian agricultural market that works for all stakeholders and in particular the rural poor.

MISSION STATEMENT

To provide world class business development services to Zambia’s agricultural markets to deepen and broaden the impact of economic growth to all levels of rural society.

OUR STRATEGIC GOAL

Musika aims to “reduce rural poverty through integrating farming households in well-functioning agricultural markets”.

Musika is owned and managed by Zambians, developing home-grown solutions for the Zambian market.

CONTACT MUSIKA

+260 211 253 989 +260 211 250 355

(Fax) +260 211 255 502

6, Tukuluho Road, Long Acres Post Net No. 481, Private Bag E891

Lusaka, Zambia

www.musika.org.zm

CREATIVE AGENCY

Layout and Design by Global Research Insights Plus

+260 211 267 327/[email protected] www.grip.co.zm

Published in March 2014 by MUSIKA© All rights reserved.

Making Agricultural Markets Work for Zambia

Funded by Sweden and DFID Affiliated to Zambia National Farmers Union

JUNE 2016 | NEWSLETTER Musika 2

Inside this

editionManaging Director’s message 1


2

DuPont Pioneer collaborates with Musika to increase

smallholder productivity

4

320,000 smallholders benefit from private sector investments

in rural areas

5

Musika intern explores the opportunity to become an agent

6

Musika facilitates private sector expansion into isolated markets

7

KuduConsulting targets 5,000 smallholders with input financing

8

2016 Agritech EXPO; an informative and motivating experience – Farmers

9

Bimeda extends its reach to smallholder livestock producers

through intermediaries

10

Musika and ZEMA partner to integrate environmental

stewardship in agribusinesses

11

Jatropha growers cash in from emerging private investments

in bio-fuels

12

Smallholders turn to weather insurance to mitigate crop loss

13

Female agents take up challenge to increase adoption of renewable

energy products

14

COVER PICTURE: Page 2 story

BACK COVER PICTURE: Page 13 story. Women apply fertiliser in a maize field

in anticipation of a good rainfall pattern that will guarantee them a high yield.The FISP E-voucher programme gives farmers an opportunity to diversify into vegetable

gardening as an additional source of income to maize farming.

The Farmer Input Support Programme (FISP) Electronic Voucher initiative implemented by the Ministry

of Agriculture during the 2015/2016 farming season, has opened a window of opportunity for smallholder farmers to diversify their farming enterprises.

Chibombo District Branch Manager for Minelands Agric Development Services Limited, Evelyn Muyendekwa, observed that the electronic voucher had widened the choice of inputs for farmers engaged in both crop and livestock farming.

Under the conventional FISP, government distributes only seed and fertiliser, but in this case farmers will be buying what they require. Those in livestock can purchase feed while others can get farming implements,” she pointed out.

The ‘E-voucher’ programme is an effort by the Zambian Government, supported by Musika, which aims to improve the distribution of subsidised inputs to smallholder farmers. During the 2015/2016 farming season, 241,000 farmers across the 13 pilot districts in Southern, Lusaka, Central and Copperbelt Provinces received the input subsidy through pre-paid VISA bank cards as opposed to receiving physical inputs centrally procured by Government.

Apart from improving beneficiary targeting and promoting timely access to inputs by increasing private sector participation, the ‘E-voucher’ programme has the potential to accelerate diversification of the smallholder sector by allowing farmers to purchase a wide range of recommended inputs such as veterinary drugs, agricultural equipment, livestock, poultry and fingerlings.


By Pamela Hamasaka, Corporate Affairs Manager

To page 3


The E-voucher delighted farmers in Monze District who invested their input subsidy in livestock.

“With the e-voucher, we are free to choose exactly the type of fertiliser and variety of seed to buy, unlike in the past where we had no option but to receive whatever was made available, said Gertrude Chalekwa, a female farmer based in Kabwe.

Boyd Halwiindi, a member of Kaumba Depot Cooperative, was among the 88 smallholder farmers that used the ‘E-voucher’ subsidy to purchase cattle from Munzuma Estates, one of the approved agrodealers in Monze District.

“Investing in cattle production is more sustainable and profitable than growing maize because it has two production circles. We will also get milk as an extra source of income,” he pointed out.

Musika’s support to the Ministry’s ‘E-voucher’ pilot programme involved the facilitation of agrodealer trainings in each of the 13 pilot districts. The training programmes assisted in outlining the roles and responsibilities of the agrodealers in the scheme and involved presentations by banks on their Point-of-Sale offerings.

A total of 12 primary distributors and 180 local agrodealers participated in the pilot and recorded a general increase in sales due to the high demand for a variety of products by farmers.

“The response by the farmers has been good since the e-voucher program started. Though the demand was high for maize seed and fertiliser, farmers also bought vegetable seed, implements, poultry drugs and veterinary drugs. Others booked for day-old chicks from our outlet. Our sales volumes increased because we made sales from among all the products in stock,” said Isabel Mweendo of Eliezer Agro Limited in Choma.

Additionally, Musika’s support helped to promote strong interaction between input suppliers and farmers under the ‘E-voucher’ programme and this resulted in agribusinesses offering high quality inputs at competitive prices, bundled with extension and transport

services.

“As agrodealers, we followed the farmers right in the community with our products. The response from the fertiliser companies was good as they provided trucks to deliver the fertiliser to farmers in far flung areas,” said David Mshangu, the proprietor of Mshangu Agro Vet in Kapiri Mposhi.

Due to poor weather and drought conditions that characterised the 2015/2016 farming season, farmers in Southern Province who were mostly affected by the long dry spell opted to invest their subsidy in alternative sources of income, and planted drought tolerant crops alongside the maize crop.

I had decided to opt for cowpeas as opposed to planting maize in the last farming season because of the drought conditions that affected most of my maize crop. The cowpeas managed to survive the heat and I know I will manage to harvest something,” said Esphine Siamate, a female farmer from Kalomo District.

In addition, Musika facilitated access to weather index insurance product under a pilot project implemented at the end of 2015 in Choma District. As a result, over 1,500 farmers purchased weather index insurance to cover their FISP input costs.

Overall, Musika’s intervention in the E-voucher programme had major implications for accelerating a ‘digital evolution’ in agricultural transactions in the future. Equally, over 200 new points of sale devices were installed in the agricultural retail sector, the majority in district level agrodealers.

Following the success of the FISP e-voucher pilot, the Zambian Government extended the programme to 39 additional districts covering 602,521 farmers during the 2016/2017 season.

FISP Electronic Voucher programme to promote diversificationFrom page 2


By Gift Chanda – Communications Officer

Farmers in Kambeu community in Solwezi District, North-Western Province, inspect the maize crop in DuPont Pioneer’s demonstration plot.

DuPont Pioneer and Musika recently launched the Zambia Advanced Maize Seed Adoption Program (ZAMSAP), a collaborative initiative that will see smallholder farmers

access agricultural inputs, training and market linkages to increase their harvests and household incomes. Farmers participating in ZAMSAP will benefit from quality hybrid seed varieties from DuPont Pioneer and Pannar, agronomic education and on farm training, extension services and market facilitation support that will incorporate them into strong commodity supply chains.

ZAMSAP is modeled on the successful Advanced Maize Seed Adoption Program (AMSAP) launched by Dupont Pioneer in Ethiopia in 2013. Speaking at the launch held in Lusaka on February 16, 2016, Minister of Agriculture, Hon. Given Lubinda said the project will accelerate agricultural development as an engine of broad-based economic growth in the region. He said the programme will help boost the productivity of farmers through the adoption of new agricultural technologies in light of climate change.

Meanwhile, Minister of Gender, Professor Nkandu Luo, who was also present at the launch, said it was pleasing to see the project targeted at women who account for the majority of small holder farmers. The Program aims to reach 30,000 farmers in 2016, with the potential to scale up to reach approximately 100,000 maize farmers by 2018. Since January 2016, 274 demonstration plots have been planted through a pilot initiative involving 206 women groups, 57 youth groups, and 11 schools across the 10 districts in the North Western, Northern, Muchinga and Luapula Provinces.

DuPont Pioneer is committed to address the challenges which substantially impact the productivity of smallholder farmers in Zambia,” said Mr Prabdeep Bajwa, DuPont Pioneer Regional Director for Africa.

DuPont Pioneer collaborates with Musika to increase smallholder productivity

“ZAMSAP will address these challenges by giving farmers access to training, resources, technology and to markets, enabling them to boost their yields to improve their livelihoods,” he added.

DuPont Pioneer is working with the Zambian government through the Ministry of Agriculture, Ministry of Gender, and Musika to support women and youth farming communities. Musika is providing financial and technical support towards the establishment of ‘last mile’ buying points in isolated areas, training and deploying a well-equipped staff.

“By supporting DuPont Pioneer to provide a comprehensive and information-based ‘bundled’ service to smallholder farmers, Musika believes that an environment is created where farmers have the confidence and knowledge to invest in their production and improve their incomes,” said Musika Managing Director, Reuben Banda.

“Farmers will get access to productivity enhancing technologies, coupled with practical technical advice in the correct utilisation of the seed and associated inputs, leading to higher yields and contributing to poverty reduction.”

ZAMSAP will provided seed for demonstration plots and field training sessions in the Chembe, Mpika, Chinsali, Luwingu, Mungwi, Solwezi, Kasempa, Mufumbwe and Kabompo districts where market access is poor and extension services are limited. Maize is a staple crop and a significant contributor to Zambia’s economic and social development, providing jobs, income and food. The country currently has an average maize yield of about 2.4 metric tonnes per hectare, which is slightly above the average 2 tonnes per hectare of maize yields in Africa and 10 tons per hectare in the USA.

By adopting hybrid seed and using improved farming inputs and techniques, participating farmers expect to achieve significant productivity gains and increase their yields two-fold.


In Mukonchi area in the eastern part of Kapiri Mposhi district lives Mutinta Chikwilila Mwiinga, a female sales

agent and the only distributor of inputs to farmers in the community. Over the 15 years that she has spent as a farmer, access to seed and fertiliser remained a major challenge with farmers travelling over 80 kilometres to Kapiri Mposhi town, with the area becoming inaccessible during the rainy season.

As Mwinga attests, most small-scale farmers in Zambia are often crippled by the numerous challenges – such as a lack of access to market information, financing, new technologies to improve productivity and access to a ready market to sell their produce. Many are not linked to markets for a variety of reasons, such as remoteness, low production, low farm-gate prices, poorly organised markets, and lack of information.

However, Musika has been working with the private sector to help increase farmers’ access to inputs and output markets,

320,000 smallholders benefit from private sector investments in rural areas

By Gift Chanda, Communications Officer

service and information to boost their productivity by developing a wide range of innovations. With joint funding support from the Swedish Embassy in Lusaka and the UK Government’s Department for International Development (DFID) in Zambia, Musika provides its corporate clients with high quality, commercially focused technical advisory services and where relevant, smart subsidies to bring down some of the initial risks in testing and developing new business models relevant to the smallholder market.

As a result, over 320,000 smallholder farmers are now accessing improved input, output, agricultural services and finance markets because of the various interventions implemented by Musika in partnership with the private sector over a period of four years.

As a result of engaging in improved markets, additional incomes generated by the farmers have also improved.For instance, Mwiinga, who was identified as a potential sales point

in 2012 by Omnia Fertiliser Company and SeedCo, with Musika support, the benefits of accessing genuine inputs had an immediate impact at household and community level.

I am able to support our six children who are all in school and we live a relatively decent life because the availability of inputs has helped to expand our fields and diversify our household income,” Mwiinga says, adding that she has also been able to construct a house, a poultry house for rearing chickens, and bought a maize Sheller to provide shelling services to over 100 farmers.

“The entire community sees me as a solution to the extra costs incurred previously when fertiliser and seed had to be transported from Kapiri Mposhi and Kabwe,” she adds.

Musika facilitated, through its corporate

A Farmer in Mungwi district test-drives a tractor, supported by Musika, used by DecoAgro to stimulate demand for tillage services among smallholders in the community.

To page 6


partners, the transfer of technical information necessary to encourage adoption of productivity-enhancing technologies and maximise the benefit of their usage through private sector-led extension services.

“As a Zambian non-profit company which supports private investment in the smallholder agricultural market, Musika has helped businesses to develop mutually beneficial and transparent commercial relationships with smallholders that integrate the provision of information and technology adoption, and provide confidence and long term incentives for smallholders to invest in their farming business. This in our view is what qualifies as an improved market,” Musika Corporate Affairs Manager, Pamela Hamasaka explains.

Currently, the organisation is working with 70 corporate clients providing improved market access to smallholders in all the ten provinces of Zambia, leading to a general improvement in productivity and production among smallholders. Musika also strives to ensure women and the youth are key participants in improved agricultural markets.

As a result of Musika’s interventions, over 2,000 small businesses operating within rural communities provided critical links in the supply chain between agribusiness and smallholders in 2015. By close of 2016, Musika expects to exceed its five-year strategic target of achieving an improved functioning of productivity enhancing farming input markets.

Initiatives such as Musika’s support to the Ministry of Agriculture’s ‘e-voucher’ programme has accelerated the growth of the agricultural inputs market significantly in the districts in which it was piloted, and its intensified support to the growth of the agricultural markets in the more isolated regions of Northern, Muchinga and Luapula provinces previously un-served by private markets.

320,000 smallholders benefit from private sector investments in

rural areasFrom page 5

Musika intern explores the opportunity to become an agent

By Natasha Mhende, Data Management Officer

Elizabeth Malenga, is a determined and ambitious young agro-dealer working in Katembula area in Lufwanyama

district in the Copperbelt Povince. Malenga, now 36 years old, ventured into the agrodealership business in 2015, after spending one year as an intern at Musika. During the period she learnt about the agent business model that is considered as a vital element in developing the smallholder agricultural market.

Because of the internship programme and my growing interest in agricultural markets, I wanted to put into practice what I had learnt,” she explained.

With the knowledge acquired during the internship programme, Malenga registered a company called Delux Agro, a shop supplying seed and agrochemicals, and underwent training by ATS Agrochemicals which encompassed ‘safe use’, safe disposal of chemical containers, application and administration of chemicals. This was in addition to the training on the chemical combinations of different insecticides, pesticides and herbicides.

“One thing that I looked at was the distances farmers have to travel to access genuine and improved agricultural inputs and services and saw this as my opportunity and starting point,” she says.

Apart from bringing inputs closer to the farmers, Malenga is also providing agronomy information to farmers by

holding field days, and undertaking constant follow-up visits to the farmers’ fields. Delux Agro has been working with firms such as Seedco and ATS and recently signed contracts with Zamseed and DEKALB.

“The farmers are now receiving a variety of products and services at their doorstep rather than travel long distances, which often discourages them from using these new and improved agrochemicals,” she says.

Elizabeth explained that previously most farmers in the area were unable to buy agrochemicals as they lacked the knowledge on their benefits on productivity and how to utilise them. However, with the presence of Delux Agro, farmers in Katembula area are now aware of the benefits and how to effectively use agrochemicals.

Despite some of the challenges faced in establishing herself in the agro dealership business, Malenga urges the young generation who are skilled and knowledgeable to embark in the business. This would help to lower the levels of unemployment especially among the youth.

“Instead of waiting to be employed by others and getting low wages, which is often not sustainable, the young generation can take up the opportunity of becoming an agrodealer and even create employment for others,” she pointed out.


Mulenga Sichilima of Mulestus Agro Limited educating farmers in Kawambwa district on best farming practices.

Albina Bwalya, 65, is among the small-holder farmers in Kaunda village that would cover a 40 kilometre distance to Kawambwa town in Luapula Province on a bicycle to

purchase seed and fertiliser at least once every farming season.

“It was always a difficult trip to undertake especially for us women, and a lot of farmers would get discouraged and resorted to planting recycled seed,” she explains.

However, in November 2014 Mulestus agro services Limited, supported by Musika, engaged the Natwange Women’s Club as agents using collapsible containers located within the community.The container is stocked with different varieties of seed, fertiliser and agro chemicals from different companies, giving assurance of a steady supply of genuine products to smallholder farmers.An extension worker was employed to teach farmers correct farming practices, introduce new technologies, and encourage them to diversify their production.

Since then, we have been exposed to a wide range of products including herbicides and how to grow different varieties of vegetables such as cabbage, green paper, okra, and tomatoes. From the sale of these crops, we are assured of an income all year round,” Bwalya explains.

Mulestus Agro Limited was established as a two-man operation in 2011 with outlets in Mansa, Samfya and Chembe districts.With Musika support, the company rapidly expanded into isolated areas of Luapula province with outlets in Chipili, Kawambwa,

Nchelenge, Mwense, Chiengi, Kaputa, and Milengi areas within a period of eight months.

The firm has also built a network of over 25 sales points in various communities across Luapula province, servicing an average of 150 farmers per network. In Kawambwa and Mansa districts, Mulestus engaged the Natwange Women’s Club with 76 members and Chikoshi Women’s club with 41 members, respectively, as agents using collapsible containers located within the community.

Musika’s core objective in the input market is to support the development of a dynamic ‘last mile’ distribution network for seed, fertiliser, agrochemicals and farm equipment that reaches into the smallholder communities.

Apart from offering products, smallholder farmers receive the technical information necessary to encourage adoption of productivity-enhancing technologies in order to maximise the benefit of their usage. Musika utilises ‘smart subsidies’ to support its private sector clients’ early stage efforts to develop distribution chains into new, underserved markets which includes logistical and infrastructural support such as motorbikes and collapsible containers, respectively.

To date, over 2,000 new ‘intermediaries’ (stockists, sales agents, small traders, vet assistants, etc.) are providing critical links in the supply chain between agribusinesses and smallholders.

Musika facilitates private sector expansion into isolated markets



Over 70 smallholder farmers in Chikanta Chiefdom, Kalomo District, received financial assistance to purchase inputs under an input financing product developed and facilitated

by KuduConsulting, and piloted during the 2015/2016 farming season.

The input financing product is as a result of a collaborative effort between KuduConsulting, Medeem, Vision Fund and Chikanta Development Trust. The loan facility was targeted at smallholder farmers trained and equipped with knowledge in agro business, crop management and marketing and cultivated a total 125 hectares under the Lima Chuma© project supported by Musika.

Established in 2015 with Musika’s support, KuduConsulting; a company that provides agricultural finance advisory and intermediation services to financial institutions and agribusinesses, developed the input financing product utilising innovative collateral based on the ‘value’ of customary land using the Medeem ‘ParcelCert’ product as documented evidence of land rights for farmers in Chikanta Chiefdom.

The inputs including agrochemicals, fertiliser and maize seed were provided by BASF, Omnia Fertiliser, and DuPont Pioneer, respectively, who are the commercial partners in the Lima Chuma© consortium.

Speaking during a field day held in Chikanta Chiefdom on 4th May 2016, to demonstrate the impact of the loan facility on productivity, His Royal Highness Chief Chikanta explained that the combination of applying correct agronomy practices, extension support provided by Lima Chuma© Advisors, and the ability to afford quality seed and fertiliser, resulted in an increase in maize yields.

As one of the farmers that benefitted from the loan scheme, and the training under the Lima Chuma, I have harvested more maize inspite of the poor rains received last season. I’ll have no problems paying back the loan,” he said.

KuduConsulting targets 5,000 smallholders with input financing


KuduConsulting Managing Director, Lance Simwanza, explained that the success of the pilot gave the company confidence to extend the facility to 5,000 smallholders in Southern Province in the 2016/2017 season. The partnership with Lima Chuma© Consortium and other key stakeholders demonstrated the need to create an enabling environment for the private sector to operate in order to commercialise the smallholder sector.

“This partnership brings together key stakeholders that will help the farmer to be commercialised, in this case Pioneer Dupont supplying quality seed, Onmia supplying quality fertiliser, BASF supplying herbicides, provision of the credit facility by Vision Fund, and African Grey on insurance,” he explained.

BASF Managing Director Eike Hupe revealed that the Lima Chuma© Consortium partners have managed to work with over 45,000 smallholders since it was established in 2014.

“Lima Chuma aims to provide support to farmers so they can produce yields of up to 5 tonnes per hectare. Over the years, we have realised that the lack of access to finance prevents farmers from achieving their full potential but this is made possible through the introduction of the input financing scheme,” he said.

The Lima Chuma© consortium partners include BASF, Omnia Fertilizer and DuPont Pioneer, and is supported by the Conservation Farming Unit (CFU) and Musika. The consortium partners have invested in the training and deployment of Lima Chuma© supervisors and advisors that provide general agricultural information, advisory services, conduct on-farm research and visits, and training in financial literacy, agronomy practices, safe and effective use of crop protection products and chemical container disposal management by smallholder farmers.

The Lima Chuma© project demonstration plot in Chikanta Chiefdom that was used to train farmers in the application of correct crop management practices.

Chief Chikanta shows the quality of crop harvested from inputs financed under the KuduConsulting loan facility.


With a record-breaking attendance of 17, 605 visitors, the third edition of Agritech

Expo Zambia has firmly established itself as the leading outdoor agri event in the region. This year’s attendance saw a 50 per cent increase in visitors compared to last year’s figure of 11, 740.

Thousands of small-scale, emerging and commercial farmers arrived at the GART Research Centre in Chisamba from 14-16 April to be part of Agritech Expo Zambia and to view the latest farming products, services and technologies showcased by 160 exhibitors over 70, 000 square metres of space.

In an effort to further improve the Expo experience for farmers and agribusinesses, Musika, which has been a key partner of the Agritech Expo from 2014, provided free advisory services at its Pavillion.

These services, provided by a competent team of business advisors, were specifically targeted at individual farmers seeking practical solutions relating to suitable agricultural machinery and equipment,

and advice on the various funding options available to support the growth of their farming businesses.

Musika also played a key role in supporting agricultural SMEs in establishing linkages with large suppliers of agricultural products and services, advised them on business opportunities available in the sector, and offered practical solutions to business operational challenges.

Apart from equipping farmers with information and providing an opportunity to view live machinery, product, and crop trial demonstrations, the Agritech Expo has become a premier annual event where millions of dollars of business is done on the spot. Wayne Wiid, executive country manager of AFGRI, the returning platinum sponsors, attests: “The amount of leads we received during the show was extremely positive and some business deals have already been concluded”.

For Nalini Naidoo, Key Accounts Manager at Hydraform, one of the exhibitors from South Africa, the Expo helped his firm generate some great leads for future



business.

“We will definitely be back next year as it gave us the opportunity to showcase our presence in Zambia and our clients were very happy to see us at the event,” he said.

Farmers also had a thrilling experience.

The experience was absolutely enriching, especially in my preferred area of farming which is livestock. This year there was more than one breed of cattle as compared to last year when we had just Boran. This year we had two farms exhibiting Boran, one exhibiting Santa Gertrudis and yet another was exhibiting Tuli. This was the jewel in my crown. Now I know I have a choice within Zambia. Overall I was very glad that I attended this show. I was educated, motivated and inspired,” said Grace Musonda, a small scale farmer and Expo visitor.

President Edgar Lungu with minister of agriculture, Hon. Given Lubinda and ZNFU President, Dr Evelyn Nguleka touring the stands.

To page 10


The Zambian President H.E Mr Edgar Lungu, officially opened the event on the second day, Friday 15 April, saying “events such as this Expo provide a good platform upon which we together can share progressive ideas on how to develop agriculture as the mainstay of our economy.”

“This expo therefore appropriately brings together farmers, agro companies, researchers, agri solution providers and holistic stakeholders who are all here to share experiences and information, as well as to learn good agriculture practices to

improve productivity,” President Lungu said.

The President assured the farmers that his government will fully support agricultural development to enhance food security nationally and regionally.

He, however, explained that Zambia can only achieve the status of being the food basket for the region if smallholder farmers who are the major producers improved their productivity by adopting appropriate farming technologies, and became less dependent on rain fed agriculture.

From page 5


Gift Sibanda, 39, a farmer living in Nalubanda veterinary camp in Mumbwa district has been

supported by Bimeda’s extension service while accessing the company’s veterinary products from two intermediary firms namely; Greenpacks and DC Enterprises for his 50 herds of cattle and 30 goats.

My greatest benefit from Bimeda is the general knowledge I have received on improved cattle management practices and how to properly use their range of products,” he says.

Before Bimeda established its presence in Mumbwa, the married father of five watched helplessly as the cattle mortality rate continued to rise resulting in a loss of between 5 to 10 heads of cattle every year.

With the support of Bimeda’s extension staff, Sibanda ensures that his animals are sprayed on a weekly basis, using the Bimeda dip called Bimatraz that he buys from Greenpacks and DC Enterprises. As a result, none of his animals have died in the last two years.

“The training offered by Bimeda extension staff has exposed me to basic knowledge in common cattle disease diagnosis and taking preventive measures like deworming. My animals are healthier and I now get carcass weights at the abattoirs,” he observed.

Currently, Musika works with 11

veterinary firms and these extended their operations to 13 districts in 2015. About 290 additional points of access to key livestock services have been established in the smallholder livestock sector, bringing veterinary drugs and services, improved genetics and nutrition services at the farmers’ doorstep.

Musika’s 2015 Annual Household Survey revealed that farmers investing in drugs and services reported a 47 percent

decrease in mortality and a 52 percent decrease in morbidity.

Musika is facilitating the development of a robust private sector veterinary product distribution and service provision market in which smallholders are able to access affordable and appropriate products and services from commercial vet companies and their intermediaries, backed by technical knowledge provision and training services.

Bimeda extends its reach to smallholder livestock producers through intermediaries

By Dean Lihonde - Operations Manager, Livestock Markets

Musika Operations Manager, Mainecy Hampeyo, providing free advisory services to farmers during the Expo.

Gift Sibanda with his healthy animals.


Over 190 agro-dealers have been trained under the Chemical Safety Capacity Building and Certification of Agrochemicals Dealers’ Project by The Zambia Environmental Management

Agency (ZEMA) and CropLife Zambia in Southern and Central Provinces of Zambia.

The intervention aims to promote responsible use of agrochemicals along the supply chain and is targeted at 350 agrodealers, countrywide. Musika partnered with ZEMA and CropLife to undertake training and awareness raising activities to support the growth of the smallholder sector and ensure that this was compatible with the protection of the natural environment, and human health.

ZEMA Senior Inspector, Chris Kanema, observed that the smallholder agricultural sector had grown rapidly over the years due to the adoption of productivity enhancing technologies such as the use of agrochemicals.

“We have noticed a rise in the number of smallholder farmers using agrochemicals but most of them do not use these in a safe way. Therefore, those that are distributing chemicals must promote the use of personal protective equipment to avoid poisoning,” he said.

Under the intervention, trained agrodealers are certified by ZEMA as part of the legal requirement for them to supply agrochemicals. By March 2016, ZEMA had trained agrodealers in Choma, Monze, Mumbwa, Kapiri Mposhi and Mkushi and embarked on compliance inspections.

The trained agrodealers are expected to pass on the knowledge acquired on safe use, safe handling, storage of chemicals, and disposal of empty containers to their customers, mostly smallholder farmers.

“All dealers in chemicals are required by law to obtain a permit

or licence, and ZEMA follows up to ensure compliance by conducting inspections. The project that we are implementing with Musika includes awareness raising among agrodealers and users on the hazards that are presented by the use of chemicals,” explained ZEMA Acting Director General, Maxwell Nkoya.

Musika Managing Director Reuben Banda explained that the project was part of ongoing efforts to integrate environmental stewardship across all interventions being implemented together with its private sector partners, while supporting the development of a dynamic ‘last mile’ distribution network for inputs such as agro-chemicals, coupled with extension service support.

Apart from promoting adherence to agrochemical stewardship, we want to ensure that farmers have the basic product knowledge on how to safely use these chemicals and benefit from their use. As Musika we intend to complete the cycle through additional interventions on disposal management including recycling of empty agrochemical containers,” he said.

In 2015, Musika supported two primary agricultural chemical distributors to integrate ‘safe use’ messaging into their smallholder outreach initiatives.

ATS Agrochemicals Northern Regional Manager, Maninga Ntalasha, explained that the company takes advantage of events such as field days to disseminate information on ‘safe use’ and disposal management.

“As we promote the use of agrochemicals, we ensure that farmers are equipped with knowledge on how to handle chemicals. We stress the importance of them wearing correct protective clothing, and teach them the correct way of disposing empty containers,” he said.

Musika and ZEMA partner to integrate environmental stewardship in agribusinesses


ATS Agrochemicals Ltd Northern Region Manager, Maninga Ntalasha (Right), emphasises the importance of wearing correct protective clothing when spraying agro chemicals, and container disposal management during a farmer field day.

Agrodealers that were trained in safe use of agrochemicals and empty container management in Choma.


The growing of jatropha as a way of boosting farmers’ income and protecting the environment has become widespread in Lundazi after Tapera Industries, a company

engaged in processing and production of bio-fuels, started buying the crop in 2015.

The Jatropha plant grows all year round, can survive in drought conditions and grows in poor soils where other crops fail. Previously in Lundazi, the plant was considered a wild plant growing naturally with no commercial potential. However, the operations of Tapera Industries in the district have changed this perception.

Because the firm buys the Jatropha seed to make jatropha oil for bio-diesel and other auxiliary products such as soap and possibly animal feed after detox, farmers are now taking to the crop with gusto.

Same Mwanza is one such farmer, and he is looking to jatropha as an important source of income.

Mwanza harvests the seed and takes it to an established aggregation centre where a container is stationed to provide storage. The product is weighed and valued by an agent employed by Tapera Industries and payment is made immediately once all business processes are concluded.

“Before Tapera, we used to utilise the Jatropha for shade and fencing around the homesteads,” Mwanza explained. “But now we know we can make money out of it.”

Mwanza says it provides an income that allows him to take care of his family and ensure that his children are in school.

The goodness with jatropha is that you earn your income in a quick way and outside the traditional crop marketing season. The crop provides us the much needed income during this difficult financial period,” Mwanza added.

Marian Banda is a lead farmer and aggregator for Tapera Industries in Lundazi district.

She says, “We are seeing more farmers, especially women, jumping on the band wagon to exploit and benefit from this new source of income.”

“Women especially the elderly ones are looking at each having a tree of jatropha because they have seen it giving them an income at a time when there is nothing to sell,” she explained.Of the 2,500 farmers that supplied jatropha into the stable market offered by Tapera Industries in three districts in Eastern Province, 80 percent of these are women.

Tapera Industries, which received support from Musika in the

Jatropha growers cash in from emerging private investments in bio-fuels

By Gift Chanda – Communications Officer

Marian Banda (right) a Jatropha grower talks to a Tapera staff at one of the Musika supported aggregation centres.

form of three motor bikes, a three-tonne light truck and three 20ft containers, is targeting to engage 20,000 additional farmers in Chadiza, Katete, Sinda, and Petauke as suppliers by the end of 2016. Apart from being a source of income, farmers have considered other multiple uses for the Jatropha tree including using it as a windbreak, or acting as a fence that helps to slow down soil erosion. The Jatropha also helps to keep away animals from destroying food crops in the field and gardens using the jatropha branches as opposed to cutting down trees for poles, hence preventing deforestation.

“For decades, farmers around here have cut down trees to make poles for fencing their farms but with jatropha, things are changing. Farmers are using the jatropha trees as a way of preserving the environment and promoting biodiversity,” says Tapera Industries’ Sylvester Sakala.

By close of 2015, about 3,400 farmers were engaged in the production of renewable energy crops and products, supported by five firms. The feedstocks involved included bamboo, soya, jatropha, and forestry biomass.

Musika aims to stimulate private investment in the development of supply chains in which the rural poor are the producers of sources of renewable energy, primarily through biomass and biofuel production and aggregation systems.

The production of energy crops tied to elements of ‘improved markets’, links well into Musika’s wider objective of diversifying market opportunities for smallholders.


Like many female headed households, Adese Nkuwa single handedly takes care of her family’s needs and

ensures that there is enough food to feed on throughout the year. But lately, she has struggled to produce enough on her farm located in Chipopela village, Katete district, due to unpredictable rainfall pattern that has left her in a more vulnerable situation.

“Now we can’t just depend on rain-fed agriculture, so we plant two crops – one that fully depends on rain and one that does not,” she explained. “But even the one that does not fully rely on rain has not done very well this year.”

The long dry spells experienced during the 2015/2016 farming season affected both maize and cotton; the two crops that help Adese in raising an income to meet her family’s nutritional, health and educational needs for her six children since her husband died.

It’s been a very difficult year. I received a 25 kg bag of cotton seed loan under the NWK cotton out-grower scheme. I am expecting to harvest 2 bags. But if we had received good rains, I was going to pick at least 20 × 50kg bags of cotton. It’s tough but my only comfort is that my crops were insured against bad weather under the weather index insurance,” she says.

With the increasingly unpredictable weather conditions, farmers owning as little as one acre of land are increasingly insuring themselves against extreme weather. In the 2015/2016 farming season, over 60,000 farming households were insured against drought, dry spells and other adverse weather events in Zambia. This implies that approximately 380,000 people in rural-households have access to drought insurance and over 300,000 people also have access to Funeral insurance, through the coverage of the 60,000 farming households in the current season.

This significant scale-up has been facilitated by a collaborative partnership between Musika, Financial Sector Deepening Zambia (FSDZ) and Mayfair

Smallholders turn to weather insurance to mitigate crop lossBy Pamela Hamasaka, Corporate Affairs Manager and Gift Chanda, Communications Officer

Insurance Company Zambia Limited and Focus General Insurance Limited. The products have been developed with the support of Risk Shield Consultants Limited.

This was achieved by securing partnerships with a range of distribution channels including a contract farming operation, a farmer organisation, an international agency and by linking the insurance products with the Government’s Farmer Input Support Programme (FISP) ‘e-voucher’ pilot programme.

In total, approximately 58,800 small-scale farmers and 80 medium-scale farmers have been insured, with an effective outreach to over 60,000 farming households. An economic value of approximately K70 million has been insured. Additionally, over 50,000 farmers are being covered with life insurance via a product, which provides packaged weather-index and Funeral insurance coverage, together with farm inputs on credit.

“This is an incredibly exciting watershed moment where we have succeeded in scaling up agricultural insurance to a level where we’re working with tens of thousands of farmers, on a self-sustainable basis and we have some innovative features in the product to manage basis risk and maximise client value, while still being commercially viable for the insurers and reinsurers,” Agrotosh Mookerjee, Actuary and Managing Director of Risk Shield Consultants, said.

Risk Shield Consultants, in partnership with key stakeholders in the insurance and agriculture sectors, aims to increase the number of insured farming households to 500,000 in the next farming season.

Musika Managing Director, Reuben Banda, says with an increasingly unpredictable climate, weather index insurance is an important Climate Smart Agriculture approach that plays a critical role in cushioning some of the key climate risks and building climate resilience of smallholder farmers.

As an organisation that stimulates and supports private investment in the smallholder and rural markets, Musika partnered with FSDZ to provide both financial and technical support to Focus General Insurance and Mayfair Insurance Company towards the development of weather index and other agricultural insurance products for the lower end of the market.

Since 2013, Musika has been working with local and international insurance companies and agribusiness aggregators to bring the benefits of weather index insurance to the smallholder market.As part of its wider support to the Ministry of Agriculture’s FISP ‘e-voucher’ pilot programme, Musika was also instrumental in integrating weather insurance cover for smallholders accessing inputs under the programme in one of the 13 pilot districts.

Women apply fertiliser in a maize field in anticipation of a good rainfall pattern that will guarantee them a high yield.


When 45 year old Stella Malambo stumbled upon an unconventional cooking

device that was being promoted in her community in 2013, the prospect of cutting down the cost of fuel by almost 70 percent immediately caught her attention. Two years on, Malambo has become an ardent promoter of the fuel efficient stove that uses wood chips and pellets, distributed by an organisation called VITALITE Zambia. She has made it her mission to share her experience with dozens of women that bring their children to the under-five clinic at Chingwere Health Center in Chipata compound in Lusaka where she works as a volunteer.

Working with VITALITE Zambia staff, Malambo organises nutrition lessons for mothers with under weight babies accompanied by cooking demonstrations using the cooking device. She finds it easy to talk about the positive benefits because she has had firsthand experience.

“I use less fuel worth K55 for both the pellets and wood chips in a month compared to two 50kg bags of charcoal which cost me K90 each. I’m also able to warm bathing water for my husband and four children and prepare breakfast just from one load of a mix of the pellets and woodchips,” Malambo pointed out.

Modester Mubusu, 39, has sold over a hundred stoves in the peri-urban areas of the capital city where majority of the residents are self-employed. Driven by the passion to help reduce expenses incurred by women who run homes on a tight budget, Mubusu remains focused on her mission to have every household transition to using the cooking device.

It is the women that make the final decision on what household appliances to buy in a home, so they’re my target group. All my clients have found the stove to be cheaper and more efficient, and they say that the food tastes better than the one cooked on charcoal,” she says with a smile.

Female agents take up challenge to increase adoption of renewable energy products


For Janet Nalishebo Kawana, 50, convincing women to adopt the new stove has not been a difficult task because of her influential position in the community having worked as a HIV/AIDS Counselor and volunteer since 1995.

“I’m a trusted member of this community and people trust my judgment. I’ve shared my experiences with the stove and this has given others the confidence to try it, and no one has been disappointed with its performance,” she said.

In 2013, VITALITE Zambia partnered with Musika in developing effective and efficient distribution channels for its fuel efficient cook stoves by creating a demand pull for the supply of sustainably

produced biomass products as fuel. Over the last two years, VITALITE created 74 ‘energy entrepreneurs’ and 40 percent of these were women. The renewable energy distribution systems are generating jobs in rural and peri-urban Zambia.

Musika stimulates and supports the development of the market for renewable energy products and services targeting rural and peri-urban areas.

Starting initially with support to rural solar power distribution, both at household and community level, the interventions now encompass biomass for cooking energy as a replacement for unsustainably harvested charcoal.

The fuel efficient cookstove used during a cooking demonstration held in Chipata compound in Lusaka.

Making Agricultural Markets Work for Zambia

+260 211 253 989, +260 211 250 355, (Fax) +260 211 255 5026, Tukuluho Road, Long Acres, Post Net No. 481, Private Bag E891

Lusaka, Zambia

www.musika.org.zm

JE 2016 ESEE 2 - MUSIKA Development Initiatives Banda A message from the Managing Director Musika is...

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