Presentation from the Livestock Inter-Agency Donor Group (IADG) Meeting 2010. 4-5 May 2010 Italy, Rome IFAD Headquarters. The event involved approximately 45 representatives from the international partner agencies to discuss critical needs for livestock development and research issues for the coming decade. [ Originally posted on http://www.cop-ppld.net/cop_knowledge_base ]

1. FARM-Africa
Our strategy
Work in 5 east
African countries Scale up, share and disseminate
3 areas of focus Develop as models of good practice
Pastoral Development
Community Forest Management
Implement grassroots projects
Smallholder Development

2. Key issues worked on in livestock
Food security->income generation->market
linkages
• Farmer/pastoral training
• Capacity-building farmer/pastoral orgs
• Supporting/diversifying pastoral livelihoods
• SME development
• Collaborates with GALVmed/CAHNET
• www.cahnetafrica.net

3. A new model of livestock service delivery
- franchising success through a social
enterprise

4. Background – vet services in flux
• Decline in state vet services with private vet services
generally limited to high potential areas
• Patchy coverage/quality of (largely) NGO community-
based animal health systems
• Poor execution of regulatory role, e.g. drug quality etc
• Interest in regional & international trade
Landscape of fragmented delivery
channels

5. FARM-Africa’s Three-tiered private animal
health network Private Veterinarian
VALUE
Animal Health Assistants
Community Animal Health Workers

6. The Franchise Model
MARKETING PARTNERS SUPPLIERS
•Livestock traders •Drug manufacturers
•Food processors •Vaccine suppliers
•Supermarkets •Insurance Providers
Livestock
Livestock
Services
Livestock Services
Franchise
Services Franchise
Franchise
FARMERS PASTORALISTS FARMERS

7. Problems addressed Solutions proposed through
franchise
• Lack of physical access to veterinary • National network of franchises
services by many livestock keepers in established including in under-served
Kenya, especially poorer livestock locations
farmers • Economies of scale will lower prices
• High prices of veterinary products • Quality assurance systems ensure
• High incidence of ineffective drugs and quality drugs procured and stocked
vaccines (up to 70% ineffective) • Start-up training and Continuing
• High incidence of ineffective advice and Professional Development ensure good
inaccurate diagnoses diagnostic skills and advice
• Weak business skills among veterinary • Business training provided to all
personnel and limited access to training franchises
in business management • Partnership with Equity Bank enables
• Limited access to credit to start or access to start up capital
expand veterinary businesses • Mobile-phone based infrastructure
• Weak infrastructure to deliver new supports data capture and transmission
products and information • Franchise network enables easy
• Lack of systematic collection of data on distribution of new products and
disease incidence services

8. Why franchising ?
• Quality-assured services
Meets (exceeds) regulatory standards (overcomes fears)
Drives out malpractice
Standards improve through CPD and rapid spread of
innovations
• Scaleable and durable
Ease of entry `Business in a Box’
Greater chance of business success
• Economies of scale
Drives down cost improving access of poor
Opens up marketing and processing opportunities

9. Some highlights from market
research in Kenya (n=1,700 farmers
& 357 vets)
• 2,000 vets (1,400 private sector not all
practising many in drug companies)
• 7,000 technicians
• 50% offer services <15km radius
• Most sell drugs, AI, feeds & farm inputs
• Few offer clinical treatments (27%),
vaccinations (10%) herd health (10%)
lab services (3%)

10. Vet businesses
Main problems:
Lack of capital, high/rising drug prices,
transport
Business partnerships? (85%
interested)
1) Access to high quality drugs
2) Access capital & marketing support
3) Technical and business training
4) Access new products and services

11. Regional Goat Programme
• Scaling up successful
model across E. Africa
• Breed improvement,
veterinary care, training
& links to markets
• Building capacity of local
farmers and CBOs
• 120,000 poor
households to double
their income
• $39 million over four
years

12. Regional Poultry Project
• Based on successful pilot
work of Maendeleo Fund
• Poultry production and
marketing project in
Kenya, Tanzania and
Uganda
• Increasing productivity,
reducing mortality and
developing links to
markets
• Funds required: $1.5
million over three years

13. Honey Trade Project, Ethiopia
• Two rural districts of
SNNPR region
• Improving bee-keeping
to increase quantity and
quality of honey
• Linking producers to
markets
• Funds required: $1.9
million over three years

14. Moyale Pastoralist Project,
Kenya
• Area is prone to drought
and livestock disease
• Building pastoralist
capacity to plan for and
cope with drought
• Income-generating and
marketing activities around
meat, skin and hides
• Currently planning next
phase

15. Food Security & Livelihoods Improvement
Project, Southern Sudan
• Working in Eastern
Equatoria
• Helping livestock keepers
with access to water and
animal healthcare
• Working with enterprise
groups on production and
marketing
• Funds required in 2011-
2012: $152,000