Winning Markets for smallholders! Farm Concern International E-Warehouse a turnaround to...

Winning Markets for smallholders!

Farm Concern International

E-Warehouse a turnaround to facilitating Access to Markets and Finance for

Smallholder FarmersGrace Ruto

Associate Director DMEC


Farm Concern International, FCI.

An Africa wide development organization that builds Sustainable Economic Development focused on Markets and production systems

Pro-poor models benchmarked to private sector approaches to enhance smallholder competitiveness

Approach development through strategic value network partnerships across varied value chains

Appropriate technologies innovations that enhance smallholder competitiveness and resilience


Our Mission

To build and Implement innovative pro-poor market and Business

Models that catalyse solutions for smallholder commercialization

and Competitiveness in the value networks for household economic

growth and Community empowerment in Africa and

Beyond

Our Vision

Commercialized smallholder Communities with increased

incomes for improved, stabilized and sustainable livelihoods in Africa and

Beyond

http://www.presentermedia.com/files/animsp/00000000/725/dna_helix_md_wm.gif


• The Commercial Villages Model is a hybrid model through which typical social administrative villages are systematically evolved into commercialized competitive market-led agricultural production units.

• The model promotes collective proactive action that is market led responding to customer needs

The Commercial Villages Model

Learning Centres


3 bags

4 bags

1.5 bags

11 bags

15 bags12 bags6 bags

Typical village: Scattered production system with minimal Collective Action

20 Km

25 Km

17 Km

35 Km

33 Km

55 Km

440 Km

250 Km


Commercial Villages are Efficient trading blocks

215

Km

200 Km

150 Km

Communities are organized based on neighborliness

• Organized production systems• Structured governance• Business partnership with buyers• Information exchange platform established

http://www.funfonix.com/clipart1/road.jpg




Input suppliers CVs Extension services

Markets

Pooling Resources

Participation in CVs

Seeds, Fertilizers, Agro-chemicals,

Packaging materials

Participatory Market Chain

Approach

Market based

Support Services

Training &

Information

• Informal Markets• Industrial markets• Institutional markets•Relief agencies• Government markets

Export Requirement

Supports

Commercial Villages interaction with other Value Chains players interaction

Exports MarketsDomestic Markets Regional Markets

Trade policies and

Harmonized standards

Households


E-warehousing objectives• Increase the value retained by smallholder

farmers for their crop by facilitating access to mobile financial services, allowing for consumption smoothing while farmers store their grain and wait for a better price;

• Build capacity of smallholder farmers in proper post‐harvest storage practice to minimize risk of post‐harvest waste;

• Leverage technology to provide actionable agronomic and market information to farmers;

• Enable farmers to collectively store and sell grains at higher prices through use and development of appropriate technology;

• Use the pilot phase to develop a proof of concept and sustainable, scalable business plan to expand the model more broadly.


Key Project Achievements• Establishment of 30 Commercial Villages with 10,000

farmers reached• Participatory selection and training of 30 VKWs on

mobile technology in data capture and dissemination of agricultural information

• Training of 30 CVs on post harvest handling & quality control, commercialization and market development,

• Aggregation of an average of 251MT/month of grains for collective marketing

• Grain markets have been profiled and 21 informal and formal buyers have been linked to the Commercial Villages

• SMEP has opened 313 savings accounts with e-Warehouse farmers & advanced loans

• Commercial Villages have been linked to 14 Agro input Companies where farmers have been able to purchased farm inputs (certified seeds, fertilizers & chemicals) at a discounted rate as result of collecting sourcing of inputs.


Technology Development• E-Warehouse (a web-based database) that

houses;• Bio-data on the individual farmers enlisted• Production information on quantity, quality and

estimated value of grain stored for credit decisions

• E-Warehouse Surveys – monitoring field changes &Market information – pricing, buyer contacts & profiles

• Training modules on best practices• SMS functionality to transmit text messages to

participating farmers (information include confirmation of grain storage amount and estimated value, confirmation of loan amount released and repayment expected, confirmation of final sale and amount of final balance, and weekly market feed updates on value of grain stored for farmers that subscribe)


Village Knowledge Workers (VKW)

• Trained on production, commercialization & market development• Offer onsite Technical support to Commercial Villages • Equipped with training Kits – Mobile platforms, Moisture metres, Aflatoxin kits etc


Commercial Village Stores


One on One Support!


Financial Services


Commercial Village E-warehousing Programme Process Map

Households (HH)

Commercial Village (CV)

Seed Multipli

ers

Commercial Village Savings Scheme and Village Investments

Commercial Village Savings Scheme and Village Investments

Mobile Chipper

Commercial Village bulking

Unit

Traditional markets Traditional markets

Consumer Markets Consumer Markets

Supermarkets Supermarkets

RetailersRetailers

Regional MarketsRegional Markets

Commercial Village Stores

Food for household utilization

Food for household utilization

Commercial Producer

Groups (CPG)

Capacity Building (VKW)●Leadership & Governance Training● Village Governance and Structuring● Technical Services Provision on Processing•Commercial Village action & business planning ● Market, Business Skills and Business partnership●Technology & ICT

Capacity Building (VKW)●Leadership & Governance Training● Village Governance and Structuring● Technical Services Provision on Processing•Commercial Village action & business planning ● Market, Business Skills and Business partnership●Technology & ICT

Food Processors compnaies

Food Processors compnaies

•Food & Nutrition Security•Household Incomes

•Food & Nutrition Security•Household Incomes

INPUTS

OUTCOMES Sustainable Business Partnerships and Enhanced Trade

Sustainable Business Partnerships and Enhanced Trade

Distribution CompaniesDistribution Companies

Business Partnership Platforms•Commercial Village - Buyers Forums•Commercial Villages industrial and market Visits •Village to Village Forums

Business Partnership Platforms•Commercial Village - Buyers Forums•Commercial Villages industrial and market Visits •Village to Village Forums

Commercial Villages Action Plans


Clarion Call

Winning Markets

for smallholde

rs!!!Thank You!

Winning Markets for the Poor!

Winning Markets for smallholders! Farm Concern International E-Warehouse a turnaround to...

Documents

Transcript of Winning Markets for smallholders! Farm Concern International E-Warehouse a turnaround to...