Regional Markets
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3 Cases<br />
than 7,000 smallholders in the Eastern Highlands region of Zimbabwe were involved<br />
in banana production. These farmers were potential new association members. An average<br />
banana farmer had 2.5 hectares of land, of which only 0.5 hectares was planted with<br />
bananas, generating an income of around USD 200 per year. For around 60% of these<br />
smallholders, bananas generated a third of their total income (SNV 2010).<br />
Based on the outcomes of the study, SNV facilitated development of a strategy for<br />
implementing an inclusive value chain with active participation of smallholders and<br />
private sector actors. The main interventions areas are outlined below.<br />
Private sector engagement<br />
At the start a private company with substantial experience in banana production and<br />
marketing, Matanuska Private Limited, was selected as a strategic market partner. Its<br />
main task was to develop an inclusive banana value chain that can integrate the many<br />
smallholders. Although Matanuska wanted exclusive rights to partner with banana<br />
smallholders, the farmers declined this offer. This would have created a monopoly for<br />
Matanuska, closing off other opportunities to partner with other banana marketing<br />
companies. Later on, the project developed linkages with other companies, including<br />
ZN Fruits, Kutapira Produce, City Market, Mutserwa, Favco and Sunspan.<br />
Banana stakeholder platform<br />
SNV brought together the relevant actors that had a potential to bring change to the<br />
smallholder banana sector. They included farmer associations, the private company<br />
Matanuska, the Government extension department (Agritex), the Chimanimani business<br />
Trust (CBT) and rural district councils. An informal stakeholder forum was established<br />
to facilitate value chain improvements, such as strengthening producer organisations,<br />
provision of market information to farmers, enhancing production and business<br />
skills, facilitating value chain financing, and strengthening market links.<br />
Strengthening producer groups<br />
RVFGMT was assisted in mobilising more farmers to increase its membership in order<br />
to improve economies of scale and increase its market bargaining position. The strategy<br />
was to providing tangible services that addressed the burning questions for their members.<br />
The services included organising transport logistics to the market, paying cash on<br />
site and selling in profitable markets. This was so attractive to farmers that membership<br />
increased from 300 to 1,000, with women farmers increasing from 24% to 32%. In Honde<br />
Valley, 1,500 farmers formed the Honde Valley Fruit Producers Association (HVFPA).<br />
More women joined because the opening of nearby markets allowed them to participate<br />
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