Winning Markets for smallholders! Farm Concern International E-Warehouse a turnaround to facilitating Access to Markets and Finance for Smallholder Farmers Grace Ruto Associate Director DMEC

Winning Markets for smallholders! 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

Winning Markets for smallholders! 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

Winning Markets for smallholders! 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

Winning Markets for smallholders! 3 bags 4 bags 1.5 bags 11 bags 15 bags 12 bags 6 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

Winning Markets for smallholders! 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

Winning Markets for smallholders! Input suppliers Extension services Pooling Resources Participation in CVs Seeds, Fertilizers, Agro-chemicals, Packaging materials Participatory Market Chain Approach Market based Support Services Training & Information Export Requirement Supports Commercial Villages interaction with other Value Chains players interaction Exports Markets Domestic Markets Regional Markets Trade policies and Harmonized standards

Winning Markets for smallholders! 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.

Winning Markets for smallholders! 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.

Winning Markets for smallholders! 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 )

Winning Markets for smallholders! 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

Winning Markets for smallholders! Commercial Village Stores

Winning Markets for smallholders! Commercial Village Stores

Winning Markets for smallholders! One on One Support!

Winning Markets for smallholders! Financial Services

Winning Markets for smallholders! Commercial Village E-warehousing Programme Process Map Households (HH) Commercial Village (CV) Seed Multiplier s Commercial Village Savings Scheme and Village Investments Mobile Chipper Commercial Village bulking Unit Traditional markets Consumer Markets Supermarkets Retailers Regional Markets Commercial Village Stores 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 & Nutrition Security Household Incomes Food & Nutrition Security Household Incomes INPUTS OUTCOMES Sustainable Business Partnerships and Enhanced Trade Distribution 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

Winning Markets for smallholders! Clarion Call Winning Markets for smallholders!!! Thank You! Winning Markets for the Poor!