Market integration of small holder farmers through CA in Zimbabwe michael jenrich


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A presentation from the WCCA 2011 conference in Brisbane.

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Market integration of small holder farmers through CA in Zimbabwe michael jenrich

  1. 1. Market Integration of Small Holder Farmers through CA in ZimbabweMichael Jenrich, FAO ZW
  2. 2. Summary Smallholder farming in Africa is largely subsistence based Little or no market integration, few farmers generate income (support for food security..)  low yields (food insecurity)  poverty and migration  low investments (e. g. mechanization, irrigation, improved inputs and credits) Many small holders’ lands holdings could be sufficient to generate income, if utilized efficiently  farmers are not able to increase production and productivity  lack of access to markets, funding and adequate technical support Involvement of private sector would be key for change (input, output, capital), but does require productivity increases as entry...
  3. 3. Background
  4. 4. Background Low productivity, farmers don’t make money Rural families do not see farming as a way to generate income Governments support for agriculture, specially small holders is low Private sector involvement is very limited, small holder sector is “problematic” (small areas, low yields, poor infrastructure, farmers not organized, insecure tenure, no credit, poor track record...) Result: →even less money and migration (poor old weak and uneducated stay behind)
  5. 5. Limiting factors Funds, credits, collateral Low yields, poor farming practice Inputs Markets Farmers’ organizational set up Bad track record Infrastructure Tenure
  6. 6. Interventions Improve yield levels swiftly and sustainably and without major capital investments. Integrate farmers into input and output markets Support farmers to organize Complement with extension and training Initial funding and credit systems
  7. 7. Support Activities Improved land and crop management (CA+) Input and Output Support (Contract Growing, including initial funding) Community and Farmer Capacity Building Part funding
  8. 8. Improved land and crop management(CA +) CA is central, provides quick & reliable way to increase and stabilize yields without capital investments Farmers are achieving higher production levels and production security, which is attracting private sector Improved productivity opens opportunities to participate in markets and generating on farm incomes
  9. 9. Improved Agronomy, builds confidence CA, (backed by strong extension, IPM, etc).  Precise & Timely (planting holes), increasing yield potentials significantly  Inputs (lime, fertilizer, manure) used efficiently (concentrate in planting basins)  Reducing costs  Farmers can do the land preparation in the dry (winter, off season) Land preparation by hand maybe seen as a step backwards, but it gives resource poor farmers an opportunity to do land preparation timely and precise and establish crops well...  Timely and precise operations through CA is giving private sector confidence to invest
  10. 10. Complementing activities Initial input support, based on market agreement Capacity building, in cooperation with farmers unions Monitoring & arbitration (if needed) Credits (inputs or bank guarantee) for private sector Weather insurance CA machinery development and contracting Plant protection and fertilizer contractors
  11. 11. Ongoing Link private sector to farmers (this season 20.000 farmers, Ø 1ha each) Support –and supervise- contract growing agreements Integrate relevant stake holders (farmers, private sector, farmers unions, government and donors) Lobby for role out...... (policy & private sector)
  12. 12. Crops Maize, Sorghum Paprika, Chilly Seed (Cowpea, Sorghum, Groundnu ts, OPV maize, Beans) Cotton Tobacco Plantation (Tea, Coffee, Bananas) Soya, Cowpea Livestock
  13. 13. Impacts Currently 20.000 farmers (12 companies > 20.000ha, requests for 50.000 farmers) Significant impact on HH and economy Funds goes to and circulates in rural areas Indirect income (weeding at $ 5/day in plantation areas) Potential for huge scale up in region
  14. 14. Lessons Some small holders can and will commercialize if supported appropriately (change of agronomy & mind set) Many small holders can generate sufficient income from their farms Private sector could facilitate the utilization of the vast potential of small holder agriculture Farmers, private sector and economy benefit Inputs, credits, tenure security, extension systems need to be improved parallel
  15. 15. Conclusion Through CA small holder farmers can improve productivity, link to private sector and commercialize swiftly and without major capital investment Given the vast potential of South Eastern Africa, CA in combination with market linkages can unlock huge farming potentials in the region CA could be part of the key to increase very low yields and productivity in the region...