Vanduzi | Outgrowers Assessment

Transcription

Assessment of potential outgrower farmers
for Companhia de Vanduzi-Mozfoods
market linkages expansion programme
JULY 2012
Final Report
Consultant:
Tatenda Mutenga
Email: [email protected]
Tel: +258 84 8007545
Tel: +258 82 3233330
Delivering Freshness
“Assessment of potential outgrower farmers for Companhia de Vanduzi-Mozfoods market linkages expansion programme”
Consultant: Tatenda Mutenga
| [email protected]
| Tel: +258 84 8007545
Assessment of potential outgrower farmers
for Companhia de Vanduzi-Mozfoods market
linkages expansion programme
Final Report
Written by: Tatenda Mutenga
Photography by: Tatenda Mutenga
Design by: Daniela Cristofori
Consultant:
Tatenda Mutenga
“Assessment
of potential
outgrower
farmers for Companhia de Vanduzi-Mozfoods market linkages expansion programme”
Tel:
+258 84
8007545/
82 3233330
| [email protected]
| Tel: +258 84 8007545
Table of Contents
1.Executive Summary
2.Introduction
7
16
3.Objective AND scope of the assessment 16
9.Recommendations
40
Rapid Vanduzi SWOT analysis
40
A profitable market
40
Outgrower farmers
41
4. Methodology and limitations
17
Managing the outgrowers scheme project
42
4.1Methodology
17
Coordinating production
42
4.2Limitations
18
Managing the agronomy
42
5.Definitions
19
Outgrower farmer-management relations
43
Ripple effects
43
6. Key questions
20
Road access
43
6.1
Geographic coverage, farmer
distribution and demographics
Strategy44
20
Outgrower farmers model
44
22
10. Annex
45
6.4 Horticulture crops grown
22
ANNEX 1: Database (attached in a separate file)
6.5 Land availability and tenure
23
ANNEX 2: Terms of reference
46
6.6 The physical environment
24
ANNEX 3: Methodology
47
6.7 Access to water
26
Annex 3A: Geographic distribution and demographics
50
6.8 Utilities and communications
28
ANNEX 4: List of main bibliography
51
7. Farmer constraints
31
ANNEX 5: Letter requesting Vanduzi support
52
ANNEX 6: List of meetings 54
6.2 Farmer gender distribution
21
6.3 Experience in horticulture production
8. Overall Conclusions
33
Annex 7: Map outgrowers assessment
67
8.1 Rapid Vanduzi SWOT analysis
38
Annex 7A: Map outgrowers assessment
68
8.2 Outgrower farmer model
38
Annex 8: List of crops grown
69
8.3 Centralized model
39
ANNEX 9: Farmer distribution per district 70
8.4 Nucleus estate model
39
Annex 10: Additional commercial farmers
71
LIST OF ACRONYMS
List of Acronyms
ADEM AgDevCo
BAGC
DPA
GIS Ha ITC
PROIRRI
SDAE
SNV
ToR
UCAMA
UDAC
UNAC
Vanduzi
Agencia de Desenvolvimento Economico da Provincia de Manica
Agricultural Development Company
Beira Agricultural Growth Corridor
Provincial Directorate of Agriculture
Geographical Information Systems
Hectare
Iniciativa Para Terras Comunitarias
Projecto de Desenvolvimento de Irrigação Sustentável
District Services for Economic Activities
Netherlands Development Organization
Terms of Reference
União Das Cooperativas Agrícolas de Manica
União Distrital de Asociacoes de Camponeses
União Nacional de Camponeses
Companhia de Vanduzi
5
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Acknowledgements
Acknowledgements
The consultant (Tatenda Mutenga) would like to thank all the individuals and organizations that supported
with information for the elaboration of the report for the “Assessment of potential outgrower farmers for
Companhia de Vanduzi-Mozfoods market linkages expansion programme” with special reference to Farai
Manhanga including invalid support from Carlos Correia, Augusto Jaime and staff at Companhia de Vanduzi.
6
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Executive Summary
1. Executive Summary
Introduction
1. Companhia de Vanduzi is an agricultural company in Mozambique specialized at growing different
varieties of vegetables and fruits for export. The company is the largest exporter of fresh produce in
Mozambique and has BRC and EUROGAP certification on its products that are of excellent quality.
2. Companhia de Vanduzi is based in Manica province about 32km from Chimoio city. It is a subsidiary of
Mozfoods, a Mozambican Group that specializes in rice production, seed and fresh produce.
3. After having been more inclined towards the export market supplying South Africa and Europe, the
advent of the mega projects in the central and northern regions of the country has increased local
demand for high quality horticulture produce, opening a window of opportunity for Vanduzi given its
availability and ability to supply through local production.
4. An assessment was commissioned to find out information to better inform Vanduzi on the way forward
about a market linkages programme with outgrower farmers for additional products.
5. Based on a participatory approach and the TORs, the assessment consisted of the following steps:
Collection and review of the documentation; Briefing at Vanduzi; District and grassroots individualized
field visits; Creation of an outgrower farmer database; Iterative preparation of the report. The report is
organized based on the key questions from the ToRs.
Objective of the assessment
6. The objective was to get an understanding of the current and short to medium-term vegetable and fruit
production capacity to enable Companhia de Vanduzi to establish an outgrowers scheme for additional
vegetable and fruit products with the vision of becoming a fresh produce (vegetable and fruit) marketing
hub for Mozambique and the Region.
7. The rapid appraisal also aimed at evaluating the “fitness for purpose” of the different geographic areas
within the 160km radius to allow selection of suitable interventions and crops which should be prioritized.
This would not only support the consolidation and expansion of the current pilot outgrower activities but
also put in place back-up production programs for Vanduzi while at the same time contributing to the
elaboration of a viable outgrowers strategy for the current and new geographical production areas in the
province.
Findings and Conclusions
8. The assessment of potential outgrower farmers for Companhia de Vanduzi-Mozfoods market linkages
expansion programme targeted the highly productive areas of the 4 identified districts of Manica,
Sussundenga, Gondola and Barue in Manica province covering over 15 Administrative Posts/Localities
within a 160km radius from the Vanduzi packhouse.
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Executive Summary
9. A total of 626 farmers were identified, 88% of whom were farmer associations, 10% small-holder farmers
and 2% commercial farmers.
10. The farmers had profound experience in agriculture and specifically horticulture production with more
than 81% possessing over 10 years experience while remaining 11% and 8% of the farmers had
between 5-10 years and 1-5 years of production experience respectively. Such background production
experience, facilitates the rapid and smooth transformation of the Vanduzi outgrowers scheme.
11. The physical environment is one of the preconditions necessary for the success of Vanduzi outgrowers
scheme. The extent to which all these factors interact determines production yields, quality and
profitability of the outgrowers scheme. As in table 4, road access, distance and altitude were the most
limiting distinctive physical environmental properties forming the basis of the distinguishing criteria for
the 4 districts of Gondola, Manica, Sussundenga, and Barue. Generally the district of Barue was the most
distinctive among the 4 visited districts demonstrating the most outstanding favourable characteristics
from road access to altitude. The districts of Manica and Gondola also had fairly good road access
conditions however Manica district had a better leverage over Gondola in terms of altitude despite
Gondola being much closer to the packhouse. Gondola altitude was lower than the average altitude at
the current Vanduzi farms with a mean of 563m and a range of between 472 and 700m above sea level.
12. Despite Sussundenga district having only 32km of tarred1 road from the packhouse, with the remaining
under dust road, there exists very high potential in the district, evidenced by that fact that 66% of
the assessed farmers reside in this high potential district with access to good soils, good altitude for
horticulture production and abundant water resources. Administrative posts of Rotanda in Tsetsere
and Mussapa communities have inherent high altitude levels of over 820-934m above sea level. The
successful pilot outgrower activities in Rotanda sede is proof for the potential in the area and further
expansion to Tsetsere and Mussapa including other areas of Sussundenga will only but give Vanduzi an
economies of scale advantage using the identified outgrower associations.
13. Out of a list of 41 horticulture crops identified, see annex 8, Vanduzi produced only 26 whilst the remaining
were produced by the assessed farmers. There was intersection in about 10 crops leaving 14 completely
new crops for Vanduzi. The difference in crops could be explained by the different niche markets each
of the producers between Vanduzi and the farmers was targeting. Whilst Vanduzi had a stronger bias
towards the export market, the farmers were solely focused at producing to satisfy the local market needs.
In this sense there exists 14 additional crops that Vanduzi may also focus on for local (Mozambique)
demand needs, pending a comprehensive market study. Asparagus is also another potential crop with
promising demand for the export and local markets.
14. All the assessed farmers directly “own” or have customary land use rights to a total of over 4,773 Ha
of land. The NGO Iniciativa Para Terras Comunitarias (ITC) was dealing with land tenure issues for
farmer associations, supporting them in the land legalization processes and thus protecting their land
use rights. The majority of the farmers in associations had fields ranging up to 5 Ha with an average of
1.3 Ha. The smallholder farmers production areas were classified between 5 and 50 Ha and had an
average of about 16.2 Ha. The commercial farmers owned land of up to 1000 Ha with a general average
of 405 Ha. Of all the total land from the assessed farmers, only 24% (1,125 Ha) was being exploited for
agriculture due to a number of constraints outstandingly dominated by the farmers lack of markets for
their produce. The lack of working capital and credit facilities was a huge draw-back for the whole bandwidth of farmers (commercial, associations and smallholder farmers) and the exorbitant interest rates
further limited access to the few commercial bank loans available.
1
See Section 6.8 on Utilities and Communications
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Executive Summary
15. Overall, the lack of proper inputs, technical skills and appropriate infrastructure heavily contributes to
the farmers low production and productivity. The quality of horticulture products produced is poor due
to poor quality inputs, poor crop management and poor harvest and post harvest handling. Reversal
of these can however be done with little effort through Vanduzi support using a properly controlled
outgrowers scheme.
16. As compared to Vanduzi, the associations and small-holder farmers have marginally low production
costs, given the nature of their less mechanised production processes that are heavily dependent on
household and or collective community labour as shown in table 5.
17. Unsustainably high production and overhead costs incurred by Vanduzi are detrimental to the
competitiveness of the company in the long run. A strategic move to expanding the current outgrower
scheme is a step in the right direction to reduce unnecessary production and overhead costs that
can be passed on the outgrower farmers. Through the outgrower scheme, Vanduzi faces less risk by
not being responsible for production. In addition to it being a politically acceptable move, given that
99% of the farmers in Mozambique are small farmers, working with small farmers also overcomes land
availability constraints including the advantage of using various altitudes to grow quality horticulture
produce throughout the year.
18. The use of outgrower farmers conveniently slashes down one of the farmers major constraints, the lack
of market for their produce. In this sense, Vanduzi will open new markets for the outgrowers which would
otherwise be unavailable to them while at the same time also reducing their price risk as the contracts
specify prices in advance. This will give the farmers futures markets window, help them make informed
decisions on crop choices including futures revenues from the crops they will sell to Vanduzi. This
may promote ripple benefits for the farmers as with futures revenues, the commercial banks lending
confidence rate is increased.
Rapid Vanduzi SWOT Analysis
19. The rapid appraisal revealed that the Vanduzi Strengths and Opportunities clearly outweigh the Threats
and Weaknesses. However, despite a higher leverage for example in terms of ability to supply high
quantities of high quality produce, and its strategic geographic location in the country, Vanduzi should
not undermine the small companies or individual producers also eyeing the same local market emerging
with the advent of the mega projects in the central and northern regions of the country.
20. Vanduzi lacks a clear designed strategy for its operations in the country, therefore making it vulnerable at
making clear cut decisions in response to changes in the environment especially the market and growth
dynamics. Vanduzi therefore needs to elaborate the company’s large-scale future oriented plans in the
competitive environment to optimize the achievement of organizational objectives and thus becoming the
leading horticulture fresh produce marketing firm in Mozambique.
Outgrower farmer model
21. In line with the strategic objective of increasing the outgrowers scheme, it is worthwhile to consider the
Vanduzi outgrower scheme under two models:
•
•
The Centralized Model
The Nucleus Estate Model
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Executive Summary
Farmer constraints
22. The most outstanding constraint faced by the farmers was the lack of markets for their produce which is
one of the reasons why some of them confined themselves to exploiting small pieces of land despite its
abundance and availability of water throughout the year. The associations, smallholder and commercial
farmers face these challenges in marketing their horticulture produce as there are inefficient marketing
chains, which means that even when farmers manage to produce good quality produce they fail to find a
market for their produce or there is no incentive for quality, that is, farmers with good quality vegetables
get the same price as those with poor quality ones. Even though most farmers belong to associations,
they fail to use their organisations in increasing economies of scale in input procurement and marketing
due to poor organisational development skills.
23. An association (Matimati) in Sussundenga was selling a 20kg box of tomatoes at a shocking 25 Meticais
per box for a product that sells at 10 times that price. The return on investment was negative aggravated
by the poor quality of the tomatoes that further pushed down the price including other forces such as
oversupply to the small Sussundenga administrative post market.
24. None of the farmers had access to working capital, which tended to be a huge constraint across the
whole band-width of farmers (commercial, associations and smallholder farmers). The lack of credit
facilities for improved seed, fertiliser and pesticides was a huge draw-back, let-alone access to other
capital investment funds for improving mechanization through draught power or tractors or funding
for improving irrigation facilities. Access to finance is limited with the banks offering agricultural credit
charging exorbitant interest rates on the loans with the problem exacerbated by the farmers’ lack of
credit management skills. Despite the recent presence of the Agricultural Development Company
(AgDevCo) and the Beira Agricultural Growth Corridor (BAGC) supporting forms of investment funds to
promising agricultural entrepreneurs and or farmers the gap for funding is vast. On the other hand the
government project on sustainable irrigation development – PROIRRI has also targeted high potential
irrigation schemes in Manica province through construction and or rehabilitation, most of which were
visited for this assessment. Despite these measures, access to irrigation is still limiting especially for the
associations and small-holder farmers throughout the province.
25. The low levels of alphabetization, aggravated by the limited number of public extension officers
greatly undermines the associations and smallholder farmers agricultural production potential in the
visited districts. For the few public extension officers available, a hoard of constraints exacerbates the
inefficiencies in servicing the overload of farmers in their areas.
26. Access to electricity adds to the long list of farmers’ constraints, covering only 1% of the visited farmers
in addition to other constraints cited, which include; lack of sufficient labour force and draught power,
absence of suitable conservation agriculture farming systems, and the rising number of chronically sick,
elderly-headed, female-headed and orphan-headed households, as a result of the HIV/AIDS pandemic.
to poor quality inputs, poor crop management and poor harvest and post harvest handling, however
reversal of these can be done with little activation energy from Vanduzi support through a properly
controlled outgrowers scheme.
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Executive Summary: RECOMMENDATIONS
Recommendations
The recommendations are organized in themes that are crucial for ensuring a sustainable Vanduzi outgrowers
scheme.
R1
In the current dynamic environment, Vanduzi should not undermine the aggressiveness and
potential threat of small companies or individual horticulture producers also eyeing the emerging
local market with the advent of the mega projects in the central and northern regions of the
country. Despite the rapid SWOT Analysis showing a Vanduzi leverage over the competitors the
Vanduzi Weaknesses and Threats are still valid.
A Profitable Market
R2
Vanduzi should strengthen its local market quest thrust. An in depth market study for high
quality horticulture produce in Mozambique should be done.
R3
The market study should Identify the markets(s) for the planned production with concrete
quantities that the market(s) can consume, stratified per town or province, periodicity/frequency
of supply etc.
R4
Production should be demand driven therefore the local horticulture produce demand will
determine the level of outgrower expected production and likewise the crops to concentrate
effort.
R5
Vanduzi needs to certify that identified markets can be supplied profitably on a long-term
basis in order to in-turn bear the increased produce supply from farmers and support the
sustainability of the outgrowers scheme.
R6
Projections should be made to approximate potential returns for the outgrower farmers, certifying
that they are more attractive than returns from alternative activities with a relatively acceptable
level of risk for the farmer.
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Executive Summary: Recommendations
R7
Estimates on the potential farmer returns must be demonstrated on the basis of realistic yield
estimates according to the different production physical environments in the four districts of
Gondola, Manica, Sussundenga and Barue.
R8
Vanduzi should look at the possibility of opening fresh produce vegetable shops in the major
cities Cabo Delgado, Nampula, Chimoio, Tete, Beira and Maputo as a local market ramification
measure.
R9
Vanduzi should embark on possibility of higher levels of vegetable processing such as freezing,
canning and juicing. This will not only broaden the sales market but it will increase Vanduzi’s
demand from outgrower farmers while simultaneously increasing their income.
Outgrower farmers
R10
The Vanduzi contractual arrangement with outgrowers should consider each of the following
three areas:
• Market provision: The outgrower farmer and Vanduzi agree to terms and conditions for the
future sale and purchase of horticulture produce;
• Resource provision: In conjunction with the marketing arrangements Vanduzi agrees to
supply selected inputs and technical assistance;
• Management specifications: The outgrower farmer agrees to follow the Vanduzi recommended
production methods, inputs regimes, and cultivation and harvesting specifications.
Managing the outgrowers scheme project/ Coordinating production
R11
Vanduzi should provide the farmers with required inputs for production and not in monetary
form to minimize/prevent diversion.
R12
Even though 626 farmers were assessed, the selection of actual outgrower farmers should
factor a criteria that will vary according to the crop and intensity of the contractual relationship.
R13
While commercial farmers and small-scale farmers tended to be more organised due to the
nature of their sole proprietorship, Vanduzi should also promote use of farmer associations
whose potential can be harnessed through economies of scale for provision of extension advice,
delivery of inputs and crop collection.
R14
Small farmers to produce on small and manageable plots and Vanduzi to take advantage
of economies of scale. Over 81% of the farmers had more than 10 years of experience in
horticulture production. They are already knowledgeable in farming only that they need further
technical assistance to take their farming to another level.
R15
Availability of the market through Vanduzi will encourage production of higher volumes. While
it is cheaper to produce using outgrowers, Vanduzi needs to be vigilant on quality needs.
Promoting quality production has implications on increasing the extension staff based in the
outgrower areas to oversee production and quality issues.
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R16
While vegetable production is easier to manage with associations and small-scale farmers, for
fruits, Vanduzi should deal with the commercial farmers and only with smaller farmers with
sizeable orchards of uniform varieties.
R17
In-order to guarantee production of high quality produce, Vanduzi needs to provide for sufficient
technical assistance to outgrower farmers through the whole production process including
harvesting and post-harvest handling up to the point of collection by Vanduzi.
R18
It is of fundamental importance that full-time technical assistance – manager and extensionist(s)
are rendered to vigilantly move around the outgrowers schemes.
R19
The Vanduzi field extension staff must be fully familiar with each of the horticulture products
promoted and, preferably, have local knowledge.
R20
During transfer of technology to outgrowers, Vanduzi needs to be aware and take notice of
adaptation problems that farmers could face.
R21
To manage various farmers and crop types, the use of cropping schedules to ensure the correct
timing and sequencing of all contractual activities is essential, including the quantities of crops
required and the buying price.
R22
Training extension staff and farmers, is essential, considering minimum or gradual changes to
the farmers cultivation practices.
R23
Vanduzi should promote the establishment of outgrower farmer-management forums, which
link Vanduzi management and farmers, for purposes of interaction and negotiation to avoid
problems caused by a lack of communication.
R24
Outgrower farmer-management relations should be strengthened by paying attention to Malefemale relationships, which can be adversely affected by contract farming through:
• Payments to men for work largely carried out by women.
• Conflict between contract requirements and women’s priorities with regard to subsistence
farming.
R25
Vanduzi should consider participation in some community affairs, which helps to create a
positive atmosphere of partnership, (eg. sponsoring small local events).
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Ripple effects
R26
Vanduzi outgrowers contracts with futures markets will help farmers make informed decision
on crop choices including futures revenues from identified crops. Contracts are established
with Vanduzi at the beginning of the season with the farmer knowing how much she/he will
receive from production. Ripple effects of such contracts include increased commercial banks’
confidence to lend the farmers for further production.
R27
Prices offered by Vanduzi will determine farmers adherence especially by the commercial farmers
who prefer high volume yield crops – with higher returns per weight produced. Vanduzi should
fairly compensate farmers production so as to establish a sustainable win-win outgrowers scheme.
Road Access R28
Where local access roads were inadequate, Vanduzi should task the local Administrative Posts
and farmer associations with the responsibility for ensuring that transport can reach the fields.
In this case Vanduzi, farmer associations and local government must agree on who will ensure
access to and maintain feeder roads.
Strategy
R29
The lack of a clear designed strategy for Vanduzi makes it vulnerable at making clear cut decisions
in response to changes or market dynamics. Vanduzi needs to elaborate the company’s largescale future oriented plans with the competitive environment to optimize the achievement of
organizational objectives in becoming the leading horticulture fresh produce marketing firm in
Mozambique. Overall, Vanduzi needs to elaborate a strategy for the overall company processes
in the country.
R30
Additionally, Vanduzi should contract or hire a facilitator for the development of the outgrowing
operations, clearly elaborating a roadmap for the future outgrower operations of the company.
+
R31
For the mean time Vanduzi should continue with production at its own farms combined with
the simultaneous production expansion through outgrower farmers – the Nucleus Estate Model.
Own farms will guarantee throughput for the factory, while the outgrower scheme expands
and acustomises to producing for Vanduzi. Eventual phase out of own farms should only be
considered after analysis of the sustainability and effectiveness and faithfulness of selected
outgrower farmers. Naturally market forces are the driving forces to the sustainability of the
scheme and as long as Vanduzi offers a guaranteed and favourable market for their produce,
outgrower farmers will be in a position to produce and supply the packhouse.
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is an agricultural company in
Mozambique specialized at
growing different varieties of
vegetables and fruits for export.
The company is the largest
exporter of fresh produce in
Mozambique.
This assessment was
commissioned is to find out
information to better inform
Vanduzi on the way forward
about a market linkages
programme with outgrower
farmers for additional
products.
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Introduction/ Objective and scope of the assessment
2. Introduction
28. Companhia de Vanduzi is an agricultural company in Mozambique specialized at growing different
varieties of vegetables and fruits for export. The company is the largest exporter of fresh produce in
Mozambique and has BRC and EUROGAP certification on its products that are of excellent quality.
29. Companhia de Vanduzi is based in Manica province about 32km from Chimoio city. It is a subsidiary of
Mozfoods, a Mozambican Group that specializes in rice production, seed and fresh produce.
30. Additionally, Vanduzi should contract or hire a facilitator for the development of clear roadmap for the
future outgrower operations of the company.
31. An assessment was commissioned is to find out information to better inform Vanduzi on the way
forward about a market linkages programme with outgrower farmers for additional products.
32. For the purpose of this report the name Companhia de Vanduzi-Mozfoods will be referred to as Vanduzi
which is the more common name used with reference to the company.
3. Objective and scope of the assessment
33. The appraisal focused on assessing potential outgrower farmers for the Companhia de Vanduzi-
Mozfoods market linkages expansion programme” within a 160km driving distance (radius) from the
packhouse in Manica province.
34. The objective was to get an understanding of the current and short to medium-term vegetable and
fruit production capacity to enable Companhia de Vanduzi to establish an outgrowers scheme for
additional vegetable and fruit products with the vision of becoming a fresh produce (vegetable and
fruit) marketing hub for Mozambique and the Region.
35. The rapid appraisal also aimed at evaluating the “fitness for purpose” of the different geographic
areas within the 160km radius to allow selection of suitable interventions and crops which should be
prioritized. This would not only support the consolidation and expansion of the current pilot outgrower
activities but also put in place back-up production programs for Vanduzi while at the same time
contributing to the elaboration of a viable outgrowers strategy for the current and new geographical
production areas in the province
36. The scope of the assessment covers the following points:
37. To research, find and identify growers with capacity and desire to sell products to Vanduzi elaborating
on:
•
Identification of the grower, whether individual, association, small holder or commercial
•
Period growing in the area
•
Experience in horticulture
•
Size of area
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Objective and scope of the assessment/ Methodology and limitations
•
Type of crops grown
•
Types of crops currently not grown that could be
•
Periods in which these crops could be grown
•
Types of soil (sandy, heavy, light, rocky, clay)
•
Access to water and irrigation type
•
Access to electricity
•
Altitude
•
Type of implements available to them
•
Road access
•
Access to working capital
•
Availability of other structures such as storage,
local manpower
•
Certifications in any
•
Address, telephone number and/or email.
38. For detailed Terms of Reference see Annex 2.
4. Methodology and limitations
4.1 Methodology
The details of the methodology are in annex 3.
39. Based on a participatory approach and TORs the assessment included the following steps:
•
Collection and review of the documentation
•
Briefing at Vanduzi
•
District and grassroot individualized field visits
•
Creation of an outgrower farmer database
•
Iterative preparation of the report
40. In these visits, the consultant collected information of 626 farmers (commercial, smallscale and
associations) besides the various Partners, Government authorities and other stakeholders. The
distribution of the identified farmers is shown in table 1. All interviews were structured based on the key
questions from the ToR.
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Methodology and limitations
Table 1: Distribution of identified and assessed farmers
Type of Farmer
District
Females
Males
Total
Associations
Manica
36
41
77
Sussundenga
158
236
394
Gondola
6
6
12
Barue
36
35
71
Individual Smallholder-farmers
Manica
0
10
10
Sussundenga
0
17
17
Gondola
0
1
1
Barue
17
16
33
Commercial farmers
Manica
0
3
3
Sussundenga
0
2
2
Gondola
0
3
3
Barue
1
Total
2
254
3
372
626
4.2 Limitations
There are several methodological factors that limited the assessment activities:
1. The short time allowed for field visits: due in part to budgetary constraints but above all to the deadline
imposed for the consultancy period.
2. Due to the limitation of travel time and logistical constraints in some areas, not every farmer could be
visited in all communities especially for the Associations. About 50% of all potential Commercial farmers
were visited. The remaining Commercial farmers (mainly fruit producers), see annex 10 were met at a
field day in Gondola, however individual visits were limited due to time and non-availability of some of
the farmers.
3. The number of interviews was limited due to the time constraints and occasionally the unavailability of
the key officials/farmers with the required information.
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Definitions
5. Definitions
41. Outgrower
scheme: in this report the term outgrower scheme is a contractual partnership between
growers and a company for the production of commercial products. In this case Vanduzi is the central
processing, marketing and exporting unit that purchases the harvests of farmers, and the terms of
the purchase are arranged through contracts. Variable definitions make it difficult to establish a rigid
categorization between outgrower scheme and contract farming therefore for the purposes of this report
these two terms are used interchangeably.
42. Commercial
farmer: Is a large scale producer of agricultural products for the market to make a profit.
Production is usually mechanised.
43. Small-holder
farmer: Farmers that produce relatively small volumes of farm produce on relatively small
plots of land, generally less well-resourced than commercial farmers.
44. Farmer Association: An organization, owned and governed by farmers which work for farmers’ interests
– (organization by farmers for farmers). It is a group of farmer families that get together to: develop a
sense of team-work, promote new ideas in agricultural production, work together in the solution of
common production problems, adopt new agriculture technology and techniques.
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KEY QUESTIONS
6. Key questions
45. This chapter is organized around 30 key questions formulated on the basis of the Terms of Reference
of this assessment and whose database (see annex 1) was approved by Vanduzi personnel. Each
section will include the findings from direct observations, focus group discussions and analysis of the
questionnaire. Broader strategic or cross cutting issues will be discussed in the general conclusions and
recommendations.
Findings:
6.1 Geographic coverage, Farmer Distribution and Demographics
46. The geographic stratification of the assessment covered the four districts of Manica, Sussundenga,
Gondola and Barue over a total of 15 Administrative Posts/Localities of Manica province as in figure 1.
47. A total of 626 farmers were identified and assessed, with domination by farmer associations (88%),
followed by small holder and commercial farmers making up 10% and 2% of the total farmers respectively
as in figure 2.
Zimbabwe
Figure 1: Assessment
geographic coverage
Legend:
Primary Road
Secondary Road
Tertiary Road
Administrative posts visited
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Key questions
48. According to the assessment data, 59% of the farmers were male while 41% were women, despite the
51%:49% female to male ratio in the country. Despite women farmers being the pillars of Mozambican
agriculture they are still marginalised in the agriculture business relations given their minimal
control over access to resources and cultural norms among other reasons. This was well noted after
disaggregating the data according to the type of farmer. The gender imbalance margins were at their
least in farmer associations as opposed to the smallholder and commercial farmers as in figure 2A
below. One of the factors that has contributed to higher involvement of women in farmer associations has
mostly been increased sensitisation and awareness programmes through the various stakeholders
operating in the province.
49. The farmer distribution and demographics segment has eight components derived from the farmer
name, gender and type of farmer, (see database, annex 1).
Figure 2: PERCENTAGE distribution of farmers by type
Figure 2A: Farmer gender distribution per
farmer type
associations
FEMALE
43%
MALE
57%
Smallholder
Farmers
88%
Smallholder
Farmers
10%
Commercial
Farmers
FEMALE
28%
MALE
72%
Commercial
Farmers
associations
2%
Figure 3: TOTAL Farmer
gender distribution
FEMALE
9%
MALE
MALE
59%
6.2 Farmer gender distribution
FEMALE
41%
91%
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Key questions
6.3 Experience in horticulture production
50. Agriculture is the backbone of Mozambique’s economy, providing employment and livelihoods for over
80 percent of the population despite still contributing about 20 percent of the country’s Gross Domestic
Product (GDP). All of the assessed farmers depend on agriculture for their livelihoods and the majority of
them (81%) had over ten years of experience in agriculture and specifically horticulture production. The
remaining 11% and 8% of the farmers had between 5-10 years and 1-5 years of experience respectively,
see figure 4 below.
6.4 Horticulture Crops Grown
51. The small-holder farmers and farmer associations mainly concentrated on production of the following
17 horticulture crops; Cabbage, Covo, Lettuce, Onion, Potato, Sugar beans, Tomato, Green pepper,
Carrots, Peas, Green beans, Okra, Garlic, Butternut, Pumpkin,Strawberry and Green mealies. On the
other hand, the Commercial farmers in addition to the above crops also produced the following 10
horticulture crops; Chinese cabbage, Spinach, Cauliflower, Broccoli, Sweet corn, Paprika, Chillies, Yellow
pepper, Watermelon and Beetroot, with special reference to high bulk horticulture crops that tend to
have high investment return per unit area. Out of a list of 41 horticulture crops, identified, see annex 8,
Vanduzi produced only 26 of these whilst the remaining were produced by the assessed farmers. There
was intersection in about 10 crops leaving 14 completely new crops for Vanduzi. The difference in crops
could be explained by the different niche markets each of the producers; that is Vanduzi versus the
farmers was targeting. Whilst Vanduzi had a stronger bias towards the export market (in the past), the
farmers were solely focused at producing to satisfy the local market needs. In this sense there exists 14
additional crops that Vanduzi may also focus on for local (Mozambique) demand needs see annex 8.
Another potential crop with promising demand for the export market and possibly locally (for the catering
niche market, - hotels, restaurants, tourism industry) is Asparagus. A more concrete measure of demand
can only be reached after an exhaustive market study.
Figure 4: Years experience in horticulture production
1-5
YEARS
5-10
YEARS
>10
YEARS
8%
11%
81%
Commercial
farmers tended to
favour high bulk
horticulture crops
that tend to have high
investment return
per unit area.
Broccoli
Carrots
Cauliflower
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Key questions
6.5 Land availability and tenure
52. All the assessed farmers directly “own” land, have customary land use rights or have the official land use
rights through DUAT. In some districts such as Manica, Barue the NGO Iniciativa Para Terras Comunitarias
(ITC) was dealing with land tenure issues for farmer associations, supporting them in the land legalization
processes to obtain the land use rights certificate (DUAT) and thus protecting their land use rights
53. The universal number of farmers assessed owned a total of 4,773 Ha of land, however only 24% (1,125
Ha) was being exploited for agricultural activities. The majority of the farmers in associations had fields
ranging between zero and 5 Ha with an average of 1.3 Ha. The smallholder farmers production areas
were classified between 5 and 50 Ha and had an average of about 16.2 Ha. The commercial farmers
owned land of up to 1000 Ha with a general average of 405 Ha as in figure 7.
54. At the time the assessment was carried out, the areas under horticulture production were very reduced as
compared to the average land areas that each type of farmer possessed. There was no difference in land
areas exploited for horticulture production between the smallholder and farmer associations, averaging
1 Ha per farmer, irrespective of abundance of water as most them had perennial water sources. The
commercial farmers had an average of about 20 Ha under horticulture produce, with a higher of around
50 Ha2.
2
Considering outliers.
Figure 7: Average land areas per type of farmer
450
400
Average area in Ha
405.0Ha
350
300
250
Figure 6: Smallholder farmer in
Rotanda – Mussapa
200
150
100
1.3Ha
50
16.2Ha
0
(Ha)
Figure 8: Commercial farmers had
areas of up to 1000 Ha
associations
(Up to 5Ha)
Smallholder
(5.1 to 50Ha)
Commercial
(50 to 1000Ha)
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Key questions
6.6 The physical environment
scheme. The physical environment is composed of, the general suitability of the topography, altitude,
climate, soil fertility and water availability. An additional factor is the suitability of the physical environment
for the specific horticulture crop demanded by the market. The extent to which all these factors interact
determines production yields, quality and profitability of the outgrowers scheme.
56. Using figure 9 as reference for assessment of soil texture, Sandy loam was the most common type of soil
in the visited areas of the four districts, followed by Clay loam as shown in figure 10. The Soil Pyramid in
figure 11 also helps to shows how the different clay, silt and sand compositions determine soil texture.
Figure 10: Percentage Area with Soil Type - texture
50
SANDY LOAM
40
CLAY LOAM
38%
25%
30
SANDY
20
10
%
9%
CLAY 18%
LOAM 8%
0
SANDY CLAY 1%
Figure 9: Assessment of soil texture
START
SAND
LOAMY SAND
SANDY LOAM
SANDY SILT LOAM
SILT LOAM
CLAY LOAM
SANDY CLAY LOAM
SILTY CLAY LOAM
CLAY
SANDY CLAY
SILTY CLAY
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Key questions
57. Overall, it can be concluded that the farmers’ soil textures were more on the favourable side, demonstrating
apparent good fertility. Only 9% of the assessed areas had Sandy soil with apparent high propensity for
leaching and plant deprivation of water soluble nutrients. Soils tests are however required to determine
the exact soil properties and fertility.
58. The majority of the assessed farmers’ land was slightly inclined to levelled making it suitable for various
forms of irrigation. A total of 19% of the land was located on relatively steep slopes, some of which was
already terraced or contoured given the hilly and mountainous areas where these farmers lived.
59. Over 53% of the farmers had their fields at an altitude of 800m and above whilst the remaining 47% had
an altitude of between 500 and 800m, see figure 13.
60. Annex 7 and 7A show the distribution of some of the visited farmers at different altitudes.
Figure 13: Altitude of visited farms
Figure 12: Nature of terrain
% 50
70%
Slightly
Inclined
42%
30
19%
Levelled
47%
40
11%
20
Steep
Slope
11%
10
0
500-800m
90
(Source: The Permaculture
Podcast 2012)
10
20
80
30
70
t
Sli
of
ge
nta
rce
Pe
40
60
50
50
60
40
70
30
80
20
90
10
0
<1000m
100
Figure 11: Soil Pyramid
Pe
rce
nta
ge
of
Cla
y
800-1000m
100
100
90
80
70
60
50
40
30
20
10
0
Percentage of Sand
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Key questions
6.7 Access to water
61. All assessed farmers had a perennial source of
water supply, mainly dominated by rivers and
streams. Only 2% of the farmers depended only
on dam/reservoir and borehole water. Gravitational
flood irrigation was the most common mode of
irrigation used by 95% of the farmers with the
remaining 5% using other forms of irrigation such
as overhead, hose pipe, PVC pipes, watering cans
and in one case centre pivot. Despite abundance
of water in the perennial water sources across the
four districts, there is still limited exploitation of the
precious liquid for agricultural production in the
visited areas, evidenced by the small areas exploited
by the farmers.
62. Evidently gravitational irrigation was the most
common mode of irrigation, despite its wastefulness
including other disadvantages such as soil erosion
aggravated by unlined/uncemented irrigation canals
and unterraced fields on high ground.
Figure 14: Source of water
Figure 15: Forms of irrigation
100
90
95%
80
70
60
50
40
30
20
10
DAM 1%
BOREHOLE 1%
STREAM 23%
RIVER 75%
5%
0
(%)
Other forms
of irrigation
Gravitational
flood
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95%
of the farmers use
gravitational
flood irrigation.
75%
of the farmers
source their water
from rivers
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Key questions
6.8 Utilities and communications
63. A major precondition for agricultural investment is the existence of an adequate communication systems
that includes roads, transport, telephones and other telecommunication services. Reliable power and
water supplies are particularly vital for fresh produce.
64. Vanduzi needs to be assured that the outgrower produce can be easily transported and that inputs can
be delivered to their outgrower farmers. While major road infrastructure were adequate, feeder roads
to outgrower farmers were not. This is particularly important in the case of the perishable horticulture
crops, that need to be processed stored in a suitable environment soon after harvest.
65. Telecommunication services in the remote areas of the 4 visited districts was greatly improving with the
presence of the new mobile phone provider – Movitel, which was proving to be very effective.
66. The assessment was limited to a radius of 160km around the Vanduzi processing packhouse, to
guarantee collection and delivery of horticulture produce from the outgrower farmers within a maximum
period of 3 hours. High producing areas were selected and 66% of the farmers (see figure 16) were
located in Sussundenga district within a range of 74 to 158km from Vanduzi. Only the first 32km from
the Vanduzi factory are tarred, see table 3 and annex 9.
Table 3: Farmer distribution by district and distance
Road
Gondola
Distance (km) from Vanduzi
Packhouse in Mainroad - Tarred road
Distance (km) from Vanduzi
Packhouse in Dust and Feeder-road
Range of Distance (km)
Manica
Sussundenga
Barue
20-32
60-75
32
125
5-40
0-30
42-126
3-31
20-72
60-105
74-158
125-156
3%
14%
66%
17%
% Distribution of farmers by district
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Key questions
67. Barue district hosted 17% of the outgrower farmers within a range of 125 to 156km from the factory. The
district proved to have the best road access infrastructure with up to 125km from the factory in tarred
road and feeder roads ranging between 3 and 31 km. The furthest farmers were found at Serra Choa
where the feeder roads are relatively bad despite advantages that can be poised by the high altitude of
over 1000m above sea level.
68. The district of Manica also had relatively good road access from Vanduzi, tolling a range of 60 to 105km
of which 60 to 75km were tarred. The farmers made up 14% of the assessed producers who were
distributed in a range of up to 30 km from the tarred road.
69. The district of Manica also had relatively good road access from Vanduzi, tolling a range of 60 to 105km
of which 60 to 75km were tarred. The farmers made up 14% of the assessed producers who were
distributed in a range of up to 30 km from the tarred road.
70. Gondola harboured only 3% of the assessed farmers, more importantly, the commercial farmers who
owned large tracks of land around Chimoio city with the small-holder farmers and associations scattered
further off into the interior of the district. The distance from the Vanduzi factory varied between 20 and
72 km of which 20 to 32km are tarred.
71. Where local access roads were inadequate, Vanduzi should task the local Administrative Posts and
farmer associations with the responsibility for ensuring that transport can reach the fields. In this case
Vanduzi, farmer associations and local government must agree on who will ensure access to and maintain
feeder roads.
Figure 16:
Farmer distribution by district
Legend:
Barue 3%
Manica 14%
Gondola 17%
Sussundenga 66%
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17%
of the outgrower
farmers can be found in
Barue district, that proved
to have the best road
access infrastructure.
A major
precondition for agricultural
investment is the existence of
an adequate communication
systems that includes roads,
transport, telephones and other
telecommunication services. Reliable
power and water supplies are
particularly vital for
fresh produce.
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Farmer constraints
7. Farmer constraints
71. The most outstanding constraint faced by the farmers was the lack of markets for their produce which is
one of the reasons why some of them confined themselves to exploiting small pieces of land despite its
abundance and availability of water throughout the year. The associations, small-holder and commercial
farmers face these marketing challenges because there exists inefficient marketing chains, which means
that even when farmers manage to produce good quality produce they fail to find a market. At the same
time there is no incentive for quality, that is, farmers with good quality vegetables get the same price as
those with poor quality ones. As in the assessment, even though most farmers belong to associations,
they fail to use their organisations at increasing economies of scale in input procurement and marketing
due to poor organisational skills.
72. None of the farmers had access to working capital, which tended to be a huge constraint across the whole
band-width of farmers (commercial, associations and smallholder farmers). The lack of credit facilities
for improved seed, fertiliser and pesticides was a huge draw-back, let-alone access to other capital
investment funds for improving mechanisation through draught power or tractors or funding for improving
irrigation facilities. Access to finance is limited, with the commercial banks offering agricultural credit
charging exorbitant interest rates, exacerbated by the farmers’ lack of credit management skills. Despite
the recent presence of the Agricultural Development Company (AgDevCo) and the Beira Agricultural
Growth Corridor (BAGC) supporting forms of investment funds to promising agricultural entrepreneurs
and or farmers, the gap for funding is still vast. On the other hand the government project on sustainable
irrigation development – PROIRRI has also targeted high potential irrigation schemes in Manica province
through construction and or rehabilitation, most of which were visited for this assessment. Despite these
measures, access to irrigation is still limiting especially for the associations and small-holder farmers
throughout the province.
73. The low levels of alphabetization aggravated by the limited number of public extension officers greatly
undermines the associations and smallholder farmers’ agricultural production potential in the visited
districts. For the few public extension officers available, a hoard of constraints exacerbates the
inefficiencies in servicing the overload of farmers in their areas. See annex 5 showing a letter from one
of the administrative posts visited. The administrative post officer in-charge was concerned about the
lack of means of transport for the extension officer and was even more worried with the potential Vanduzi
outgrower expansion programme as without any means of transport for the extension officer, delivery of
technical expertise to farmers was at jeopardy and hence requested assistance from Vanduzi to provide
a motorbike.
74. Access to electricity adds to the long list of farmers’ constraints, covering only 1% of the visited farmers
in addition to other constraints cited, which include; lack of sufficient labour force and draught power,
absence of suitable conservation agriculture farming systems, and the rising number of chronically sick,
elderly-headed, female-headed and orphan-headed households, as a result of the HIV/AIDS pandemic.
to poor quality inputs, poor crop management and poor harvest and post harvest handling. The reversal
or minimization of these constraints can be done with Vanduzi support through a properly controlled
outgrowers scheme, see figure 23.
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The most
outstanding constraint
faced by the farmers
was the lack of markets
for their produce
An association
(Matimati) in Sussundenga
was selling a 20kg box of tomatoes at a
shocking 25 Meticais per box for a product
that sells at 10 times that price.
The return on investment was negative
aggravated by the poor quality of the
tomatoes that further pushed down the
price including other forces such
as oversupply to the small
Sussundenga Administrative
Post market.
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Overall Conclusions
8. Overall Conclusions 76. The assessment of potential outgrower farmers for Companhia de Vanduzi-Mozfoods market linkages
expansion programme targeted the highly productive areas of the 4 identified districts of of Manica,
Sussundenga, Gondola and Barue in Manica province covering over 15 Administrative Posts/Localities
within a 160km radius from the Vanduzi packhouse.
77. A total of 626 farmers were identified, 88% of whom were farmer associations, 10% small-holder farmers
and 2% commercial farmers.
78. The farmers had profound experience in agriculture and specifically horticulture production with over
81% possessing over 10 years experience while remaining 11% and 8% of the farmers had between 5-10
years and 1-5 years of production experience respectively. Such background production experience,
facilitates the rapid and smooth transformation of the Vanduzi outgrowers scheme.
scheme. The extent to which all these factors interact determines production yields, quality and profitability
of the outgrowers scheme. As in table 4 below road access, distance and altitude are the most limiting
distinctive physical environment properties that form the basis of the distinguishing criteria for the 4 districts
of Gondola, Manica, Sussundenga, and Barue. Generally the district of Barue was the most distinctive
among the 4 visited districts demonstrating the most outstanding favourable characteristics from road
access to altitude. The districts of Manica and Gondola also had fairly good road access conditions however
Manica district had a better leverage over Gondola in terms of altitude despite Gondola being much closer
to the packhouse. Gondola altitude is lower than the average altitude at the current Vanduzi farms with a
mean of 563m and a range of between 472 and 700m above sea level.
Table 4: District physical environment and farmer distribution
District
Road Access
Distance*
Altitude**
Soil Type
Water
Access
% Distribution
of farmers
Gondola
Good
20-72
472-700
Good
Abundant
3%
Manica
Good
60-105
630-951
Good
Abundant
14%
Moderate
74-158
560-934
Good
Abundant
66%
Very Good
125-156
518-1143
Good
Abundant
17%
Sussundenga
Barue
* from Packhouse (km)
** metres above sea level
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Overall Conclusions
80. Despite Sussundenga district having only 32km of tarred3 road from the packhouse, with the remaining
under dust road, there exists very high potential in the district, evidenced by that fact that 66% of the
assessed farmers reside in this high potential district with access to good soils good altitude for horticulture
production and abundant water resources. The Rotanda Administrative post, Tsetsere and Mussapa
communities have inherent high altitude levels of over 820-934m above sea level. The successful pilot
outgrower activities in Rotanda sede is proof for the potential in the area and further expansion to Tsetsere
and Mussapa including other areas of Sussundenga will only but give Vanduzi a economies of scale
advantage using the identified outgrower associations.
81. Out of a list of 41 horticulture crops identified, see annex 8, Vanduzi produced only 26 whilst the remaining
were produced by the assessed farmers. There was intersection in about 10 crops leaving 14 completely
new crops for Vanduzi. The difference in crops could be explained by the different niche markets each of
the producers between Vanduzi and the farmers was targeting. Whilst Vanduzi had a stronger bias towards
the export market, the farmers were solely focused at producing to satisfy the local market needs. In this
sense there exists 14 additional crops that Vanduzi may also focus on for local (Mozambique) demand
needs, pending a comprehensive market study. Asparagus is also another potential crop with promising
demand for the export and local markets.
82. All the assessed farmers directly “own” or have customary land use rights or DUAT for a total of over 4,773
Ha of land. The NGO Iniciativa Para Terras Comunitarias (ITC) was dealing with land tenure issues for
farmer associations supporting them in the land legalization processes, and thus protecting their land use
rights. The majority of the farmers in associations had fields ranging up to 5 Ha with an average of 1.3 Ha.
The smallholder farmers production areas were classified between 5 and 50 Ha and had an average of
about 16.2 Ha. The commercial farmers owned land of up to 1000 Ha with a general average of 405 Ha.
3
See Section 6.8 on Utilities and Communications
Table 5: Production costs comparison
Activity
Smallholder
Association
Commercial
Vanduzi
Labour intensive,
draught power
Labour intensive,
draught power
Tractor
Tractor
Manual –
labour intensive
Manual –
labour intensive
Mechanised plus
labour intensive
Mechanised plus
labour intensive
Low
mechanisation
Low
mechanisation
High
mechanisation
High
mechanisation
Gravitational flood,
PVC, Hose-pipe
Gravitational flood,
PVC, Hose-pipe
Overhead,
Center pivot
Center pivot,
Drip
Overhead Costs
Low cost
Low cost
High cost
High cost
Overall Cost
Low cost
Low cost
High cost
High cost
Ploughing
Labour
Level of
mechanisation
Irrigation
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Overall Conclusions
Of all the total land, from the assessed farmers, only 24% (1,125 Ha) was being exploited for agricultural
purposes due to a number of constraints outstandingly dominated by the farmers lack of markets for
their produce. The lack of working capital and credit facilities was a huge draw-back for the whole bandwidth of farmers (commercial, associations and smallholder farmers) and the exorbitant interest rates
further limited access for the few commercial bank loans available.
to poor quality inputs, poor crop management and poor harvest and post harvest handling. Reversal
of these can however be done with little effort through Vanduzi support using a properly controlled
outgrowers scheme.
84. As compared to Vanduzi, the associations and small-holder farmers have marginally low production
costs, given the nature of their less mechanised production processes that are heavily dependent on
household and or collective community labour as shown in table 5.
85. Unsustainably high production and overhead costs incurred by Vanduzi are detrimental to the
competitiveness of the company in the long run. A strategic move to expanding the current outgrower
scheme is a step in the right direction to reduce unnecessary production and overhead costs that can
be passed on the outgrower farmers. Through the outgrower scheme, Vanduzi faces less risk delegating
responsibility for production. In addition to it being a politically acceptable move, given that 99% of the
farmers in Mozambique are small farmers, working with small farmers also overcomes land availability
constraints including the advantage of using various altitudes to grow quality horticulture produce
throughout the year. Figure 18 summarises some of the advantages and problems faced by a Vanduzi
outgrowers scheme.
Figure 18: Problems AND Advantages of a Vanduzi outgrowers scheme
Advantages weigh higher
Farmers side selling outside the contract thereby
reducing Vanduzi processing throughput;
Farmers diverting inputs supplied on credit to
other purposes, thereby reducing yields
Vanduzi faces less risk by not being
responsible for production
Social and cultural constraints affecting farmers’
ability to produce to required specifications
Politically acceptable given that 99% farmers
in Mozambique are small farmers
Poor management and lack of consultation with
farmers leading to farmer discontent
Working with small farmers over-comes land
availability constraints
Production costs drastically reduced and is
more reliable than open-market purchases
Problems faced by Vanduzi
Advantages for Vanduzi
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Overall Conclusions
86. The use of outgrower farmers conveniently slashes
down one of the farmers major constraints; the lack
of market for their produce. In this sense, Vanduzi will
open new markets for the outgrowers which would
otherwise be unavailable to them while at the same
time also reducing their price risk as the contracts
specify prices in advance. This will give the farmers
a futures markets window, help them make informed
decisions on crop choices including creating futures
revenues from the crops they will sell to Vanduzi.
With futures revenues, the commercial banks
lending confidence rate is increased and hence
create a positive ripple effect. Figure 19 summarizes
the farmers advantages and problems in the Vanduzi
outgrowers scheme.
87. Vanduzi
can minimize the problems through
increased efficient management that consults
frequently with farmers including close monitoring of
field operations.
Figure 20: Pilot Vanduzi outgrower farmers in the Rotanda Administrative
Post of Sussundenga district.
Figure 19: Farmers Advantages and Problems in the Vanduzi Outgrowers scheme
Vanduzi opens new markets for outgrowers
which would otherwise be unavailable
Indebtedness and overreliance on advances
Inputs and production services
are supplied by Vanduzi
Production problems for new crops
Inputs provided on credit by Vanduzi and
or with commercial banks - futures market
Not all contracted production may be bought
by Vanduzi
Advantages weigh higher
Farmers introduced to new technology and
they learn new skills
Outgrowers’ price risk is reduced as contracts
specify prices in advance
Problems faced by outgrowers
Advantages for outgrowers
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The lack of
credit facilities is one of
the biggest draw-backs for
smallholder farmers.
Access to finance is limited
with the banks offering
loans with exorbitant
interest rates.
The use
of outgrower farmers
conveniently slashes down one
of the farmers major constraints;
the lack of market for their
produce. In this sense, Vanduzi
will open new markets
previously unavailable to
many of them.
37
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Overall Conclusions
8.1 Rapid Vanduzi SWOT Analysis
88. The rapid appraisal revealed that the Vanduzi’s Strengths and Opportunities clearly outweigh the Threats
and Weaknesses. Despite a higher leverage for example in terms of ability to supply high quantities of
high quality produce, and its strategic geographic location in the country, Vanduzi should however not
undermine the small companies or individual producers also eyeing the same local market emerging
with the advent of the mega projects in the central and northern regions of the country. Figure 21
summarises the rapid Vanduzi SWOT Analysis.
89. Vanduzi lacks a clear designed strategy for its operations in the country, making it vulnerable at making
clear cut decisions in response to changes in the environment especially the market and growth
dynamics. Vanduzi therefore needs to elaborate the company’s large-scale future oriented plan in the
competitive environment to optimize the achievement of organizational objectives and thus becoming the
leading horticulture fresh produce marketing firm in Mozambique.
8.2 Outgrower farmer model
90. In line with the strategic objective of increasing the outgrowers scheme, it is worthwhile to consider the
Vanduzi outgrower scheme under two models:
•
The Centralized Model
•
The Nucleus Estate Model
Figure 21: Summary of the rapid Vanduzi SWOT Analysis
Strengths
Weaknesses
Long experience in the
horticulture industry; Established
high standard packhouse
Established strong network with
external market; Supplies diverse
horticulture produce; Strategic
geographic location in highly
productive province; Established
goodwill in the country
High production costs,
High overheads;
Concentration on export
market; Lack of a
company strategy
Opportunities
Demand for high quality
horticulture produce on the local
market (Mozambique) increasing;
Weak local supply chain; Higher
competitive advantage with imported
vegetables; Availability of outgrower
farmers to produce
for Vanduzi
Threats
Exists a few new
companies or
individuals with
simpler and profitable
structures
38
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Overall Conclusions
8.3 Centralized Model
91. This is a vertically coordinated model where Vanduzi purchases the crop from outgrower farmers and
processes (grading, sorting and packaging as well as the provision of cool storage facilities) and markets
the product, see figure 22. The outgrower farmer quotas are distributed at the beginning of each growing
season and quality is tightly controlled
8.4 Nucleus Estate Model
92. The Nucleus Estates Model is a variation of the Centralized Model. This is the current model used by
Vanduzi where there is the combined production of Vanduzi and outgrowers, supplying the processing
packhouse. The Vanduzi farms are meant to be large enough to provide some guarantee of throughput
for the processing packhouse.
93. The tendency for Vanduzi to transform itself into a fresh produce marketing hub may eventually converge
at weaning off it’s own farms and concentrate on outgrower farmers and hence adopt the Centralized
model, see figure 24, showing the Evolution of Companhia de Vanduzi.
Figure 22: The Centralized Model
Management and Administration
Technical Staff
The Outgrowers Scheme Project
Production
determinants
Climatic factors, Farmer response,
Quality of management, Quality of
technology, Financial incentives,
Government support, External
influences. with simpler and
profitable structures
Outgrower Farmers
39
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RECOMMENDATIONS
9. Recommendations
R1
In the current dynamic environment, Vanduzi should not undermine the aggressiveness and
potential threat of small companies or individual horticulture producers also eyeing the emerging
local market with the advent of the mega projects in the central and northern regions of the
country. Despite the rapid SWOT Analysis showing a Vanduzi leverage over the competitors the
Vanduzi Weaknesses and Threats are still valid.
A Profitable Market
R2
Vanduzi should strengthen its local market quest thrust. An in depth market study for high
quality horticulture produce in Mozambique should be done.
R3
The market study should Identify the markets(s) for the planned production with concrete
quantities that the market(s) can consume, stratified per town or province, periodicity/frequency
of supply etc.
R4
Production should be demand driven therefore the local horticulture produce demand will
determine the level of outgrower expected production and likewise the crops to concentrate
effort. The horticulture crops grown by the associations, small-holder farmers and commercial
farmers give an indication on the actual crops demanded on the local market.
R5
Vanduzi needs to certify that identified markets can be supplied profitably on a long-term
basis inorder to in-turn bear the increased produce supply from farmers and support the
sustainability of the outgrowers scheme.
R6
Projections should be made to approximate potential returns for the outgrower farmers, certifying
that they are more attractive than returns from alternative activities with a relatively acceptable
level of risk for the farmer.
R7
Estimates on the potential farmer returns must be demonstrated on the basis of realistic yield
estimates according to the different production physical environments in the four districts of
Gondola, Manica, Sussundenga and Barue.
R8
Vanduzi should look at the possibility of opening fresh produce vegetable shops in the major
cities Cabo Delgado, Nampula, Chimoio, Tete, Beira and Maputo as a local market ramification
measure.
R9
Vanduzi should embark on possibility of higher levels of vegetable processing such as freezing,
canning and juicing. This will not only broaden the sales market but it will increase Vanduzi’s
demand from outgrower farmers while simultaneously increasing their income.
40
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Recommendations
Outgrower farmers
R10
The Vanduzi contractual arrangement with outgrowers should consider each of the following
three areas:
•
Market provision: The outgrower farmer and Vanduzi agree to terms and conditions for the
future sale and purchase of horticulture produce;
•
Resource provision: In conjunction with the marketing arrangements Vanduzi agrees to
supply selected inputs and technical assistance;
•
Management specifications: The outgrower farmer agrees to follow the Vanduzi recommended
production methods, inputs regimes, and cultivation and harvesting specifications.
Figure 23: Hypothetical Vanduzi Outgrowers Scheme Framework
Vanduzi
Outgrower farmers
Contract
Preconditions
•
•
•
•
•
•
Market Environment
Land tenure
Financing
Infrastructure
Materials
Communications
Sustainable irrigation
development project
(PROIRRI)
Management and
administration
Outgrower scheme
components
•
•
•
•
•
•
•
•
•
•
•
•
Crop schedules
Pricing policies
Extension services
Contract formulas
Contract formats
Farmer selection
Field selection
Technical inputs
Farmer advances
Research & trials
Staff/farmer training
Farmer forums
Irrigation
Outgrowers scheme
Production performance
Government Support
•
•
•
•
•
•
•
•
•
Political stability
General legislation
Industry regulation
Public utilities
Community services
Quarantine controls
Plant pathology
Environment
Land tenure
Monitoring
Land tenure
Iniciativa Para Terras
Comunitarias ITC
Feedback to Outgrowers and Vanduzi. Price adjustments and contract amendments,
innovations and adaptations
41
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Recommendations
Managing the outgrowers scheme project/ Coordinating production
R11
Vanduzi should provide the farmers with required inputs for production and not in monetary
form to minimize/prevent diversion.
R12
Even though 626 farmers were assessed, the selection of actual outgrower farmers should
factor a criteria that will vary according to the crop and intensity of the contractual relationship.
R13
While commercial farmers and small-scale farmers tended to be more organised due to the
nature of their sole proprietorship, Vanduzi should also promote use of farmer associations
whose potential can be harnessed through economies of scale for provision of extension advice,
delivery of inputs and crop collection.
R14
Small farmers to produce on small and manageable plots and Vanduzi to take advantage
of economies of scale. Over 81% of the farmers had more than 10 years of experience in
horticulture production. They are already knowledgeable in farming only that they need further
technical assistance to take their farming to another level.
R15
Availability of the market through Vanduzi will encourage production of higher volumes. While
it is cheaper to produce using outgrowers, Vanduzi needs to be vigilant on quality needs.
Promoting quality production has implications on increasing the extension staff based in the
outgrower areas to oversee production and quality issues.
R16
While vegetable production is easier to manage with associations and small-scale farmers, for
fruits, Vanduzi should deal with the commercial farmers and only with smaller farmers with
sizeable orchards of uniform varieties.
R17
In-order to guarantee production of high quality produce, Vanduzi needs to provide for sufficient
technical assistance to outgrower farmers through the whole production process including
harvesting and post-harvest handling up to the point of collection by Vanduzi.
R18
It is of fundamental importance that full-time technical assistance – manager and extensionist(s)
are rendered to vigilantly move around the outgrowers schemes.
R19
The Vanduzi field extension staff must be fully familiar with each of the horticulture products
promoted and, preferably, have local knowledge.
R20
During transfer of technology to outgrowers, Vanduzi needs to be aware and take notice of
adaptation problems that farmers could face.
R21
To manage various farmers and crop types, the use of cropping schedules to ensure the correct
timing and sequencing of all contractual activities is essential, including the quantities of crops
required and the buying price.
R22
Training extension staff and farmers, is essential, considering minimum or gradual changes to
the farmers cultivation practices.
42
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Recommendations
R23
Vanduzi should promote the establishment of outgrower farmer-management forums, which
link Vanduzi management and farmers, for purposes of interaction and negotiation to avoid
problems caused by a lack of communication.
R24
Outgrower farmer-management relations should be strengthened by paying attention to Malefemale relationships, which can be adversely affected by contract farming through:
• Payments to men for work largely carried out by women
• Conflict between contract requirements and women’s priorities with regard to subsistence
farming
R25
Vanduzi should consider participation in some community affairs, which helps to create a
positive atmosphere of partnership, (eg. sponsoring small local events).
Ripple effects
R26
Vanduzi outgrowers contracts with futures markets will help farmers make informed decision
on crop choices including futures revenues from identified crops. Contracts are established
with Vanduzi at the beginning of the season with the farmer knowing how much she/he will
receive from production. Ripple effects of such contracts include increased commercial banks’
confidence to lend the farmers for further production.
R27
Prices offered by Vanduzi will determine farmers adherence especially by the commercial
farmers who prefer high volume yield crops – with higher returns per weight produced. Vanduzi
should fairly compensate farmers production so as to establish a sustainable win-win outgrowers
scheme.
Road Access R28
Where local access roads were inadequate, Vanduzi should task the local Administrative Posts
and farmer associations with the responsibility for ensuring that transport can reach the fields.
In this case Vanduzi, farmer associations and local government must agree on who will ensure
access to and maintain feeder roads.
43
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Recommendations
Strategy
R29
The lack of a clear designed strategy for Vanduzi makes it vulnerable at making clear cut decisions
in response to changes or market dynamics. Vanduzi needs to elaborate the company’s largescale future oriented plans with the competitive environment to optimize the achievement of
organizational objectives in becoming the leading horticulture fresh produce marketing firm in
Mozambique. Overall, Vanduzi needs to elaborate a strategy for the overall company processes
in the country.
R30
Additionally, Vanduzi should contract or hire a facilitator for the development of clear roadmap
for the future outgrower operations of the company.
+
R31
For the mean time Vanduzi should continue with production at its own farms combined with
the simultaneous production expansion through outgrower farmers – the Nucleus Estate Model.
Own farms will guarantee throughput for the factory, while the outgrower scheme expands
and acustomises to producing for Vanduzi. Eventual phase out of own farms should only be
considered after analysis of the sustainability and effectiveness and faithfulness of selected
outgrower farmers. Naturally market forces are the driving forces to the sustainability of the
scheme and as long as Vanduzi offers a guaranteed and favourable market for their produce,
outgrower farmers will be in a position to produce and supply the packhouse. The tendency
for Vanduzi to transform itself into a fresh produce marketing hub may eventually converge
at weaning off it’s own farms and concentrate on outgrower farmers and hence adopt the
Centralized model, see figure 24, showing the Evolution of Companhia de Vanduzi.
Figure 24: Evolution of Companhia de Vanduzi over time
Past
Present
Sole
Entrepreneur
Nucleus
Estate Model
Future
Centralized
Model
Outgrower farmers
Own farms +
Outgrower farmers
Own farm(s)
44
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10. ANNEX
45
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ANNEX 2: Terms of Reference
(ANNEX 1 is the Database attached in a separate file)
ANNEX 2: Terms of Reference
Background
1. With the commencement of a number of mega projects in the middle and north of Mozambique the demand
of high quality vegetables and fruit is increasing. As such Vanduzi management has decided to take advantage
of this business opportunity and is looking to grow for this market as well as sourcing from producers in the
local market as well as Zimbabwe.
vegetables and fruit in the driving distance from the packhouse of 160km in Mozambique.
3. The purpose of this consultancy agreement is to find out the above information to enable Vanduzi to start
purchasing and growing programs for them to source additional products than they grow and to put in place
back up programs for their own production.
Scope of work
4. The consultant needs to research, find and identify growers with capacity and desire to sell products to
Vanduzi in these regions.
5. The information required on these growers includes:
•
Identification of the grower, whether individual, association, small holder or commercial
Size of area
Type of crops grown
Periods in which these crops could be grown
Altitude
Road access
Access to working capital
Availability of other structure such as storage, local manpower
Certifications in any.
•
Address, telephone number and/or email.
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
6. Upon arrival the consultant should research what information is available on growers in the region:
a. He should visit the local offices of the Ministry of Agriculture
b. Speak to local NGOs, Devco, Mozseeds, Vanduzi staff etc
3. In order to compile a list of growers that he can visit to collect the relevant information
4. The consultant will need to visit each area grower to physically verify the information that he is collecting and
ask the grower the possibilities of them selling to Vanduzi the products that they produce.
2. As such, Vanduzi management need to understand the current and short term capacity for producing
5. At the end of each week, the consultant should provide a report on each grower identified to Vanduzi
management including the information above and an indication of the growing program that he advises
Vanduzi to offer.
46
Consultant: Tatenda Mutenga | [email protected] | Tel: +258 84 8007545
46
The assessment, based on the TORs, included the following steps:
• Collection and review of the documentation
• Briefing at Vanduzi
• District and grassroot individualized field visits
• Creation of an outgrower farmer database
• Iterative preparation of the report
The consultant collected and analysed documents available from diverse sources including Vanduzi, NGOs, DPA,
SDAEs, PROIRRI and others. A listing of the most relevant bibliography is attached as annex to the report.
Briefing at Companhia de Vanduzi
Various briefings at the Companhia de Vanduzi offices in Manica Province permitted to clarify the objectives and
terms of reference of this assessment.
The first briefing provided an opportunity to obtain further information about the consultancy activities and general
overview of Companhia de Vanduzi. It also helped consolidate the mode of itinerary and schedule selection, agree on
the final definition of the methodology, the planning of the reports and the consolidation of the Terms of Reference.
According to the TOR the consultant was expected to visit each area and grower to physically verify the information
collected including evaluating the farmers’ willingness and ability to sell vegetable produce to Vanduzi.
As per TORs progress reports on the outgrowers identified were presented at the end of each week to Vanduzi
management.
Field visits
Selection of the districts and communities
The selection criteria stratified the geographic area within the 160km radius from the Vanduzi Packhouse into
districts, communities. Disaggregation was done identifying the type of farmer, whether they were commercial
farmers, small-scale farmers, or associations, as in diagram below.
Sample size
Sample
Geographic
Stratification
Geographic
Stratification
Type of Farmer
Manica
Community
Association
Gondola
Community
Smallholder
Sussundenga
Commercial
Documentation Review
Barue
47
47
Province
District
Administrative Post
No. of Farmers
Manhene
Manica
Mavonde
Machipanda
90 Farmers
(36 Women,
54 Men)
Macate
Manica
Matsinho
Matica
Sussundenga
Sussundenga
Mouha
413 Farmers
(158 women,
255 men)
Dombe
Tsetsere
Mussapa
Barue
107 Farmers
(54 women,
53 men)
Catandica
Serra Choa
Selection of the farmers
Due to the limitation of travel time and logistical constraints in some areas, not every farmer could be visited in all
communities especially for the Associations. All field visits were carried out in the presence of the local extension
officers and/or the UCAMA field personnel who supported identification of the distinctive potential outgrowers in
each of the areas.
•
•
•
•
•
•
•
•
•
•
•
•
•
•
Criteria included the following:
Agricultural potential of the identified areas
Accessibility of the site
Size of area
Type of crops grown
Altitude
Availability of other structures such as storage, local manpower
Gondola
16 Farmers
(6 women,
10 men)
48
48
Interviews
Extensive field visits wee carried out in the 4 districts namely Gondola, Sussundenga, Barue and Manica. The visits
provided the required overall information and visual assessment of the farmer and the areas and their geographic
and edaphic characteristics.
In each district, the first meeting took take place with District Services for Economic Activities (SDAE). A general
introductory meeting with the extension department was organized on this first day to present the mission and its
objectives and in some cases a meeting was held with all potential partners and potential outgrower farmers for
the same effect depending on the level of coordination per district. The table below shows the distribution of the
identified and sampled farmers.
Type of Farmer
District
Females
Males
Total
Associations
Manica
36
41
77
Sussundenga
158
236
394
Gondola
6
6
12
Barue
36
35
71
Manica
0
10
10
Sussundenga
0
17
17
Gondola
0
1
1
Barue
17
16
33
Manica
0
3
3
Individual Smallholder-farmers
Commercial farmers
Sussundenga
0
2
2
Gondola
0
3
3
Barue
1
2
3
254
372
626
Total
In addition to meetings with the farmers, individual interviews took place with other key stakeholders. The number
of these interviews was limited due to the time constraints and occasionally the unavailability of the key officials.
All interviews were based on a structured database checklist based on the key questions of the Terms of reference.
Focus groups discussions
While visiting actual farmers in the field, the consultant with the support SDAEs and UDAC organized focus groups,
at the inception meetings with potential outgrower farmers from associations inorder to get an understanding on the
level of potential participation in an outgrower programme, their needs and constraints.
Limitations
There are several methodological factors that could have affected the validity of this evaluation:
• The short time allowed for field visits: due in part to budgetary constraints but above all to the deadline
imposed for the consultancy period.
• Due to the limitation of travel time and logistical constraints in some areas, not every farmer could be
visited in all communities especially for the Associations.
• The number of these interviews was limited due to the time constraints and occasionally the unavailability
of the key officials with the required information.
Table 1: Number of farmers identified and assessed
49
49
ANNEX 3A: Geographic distribution and farmer demographics
Annex 3A: Geographic distribution and
farmer demographics
Province
District
Administrative Post /
Locality
Manica
Manica
Manhene
Female
farmers
Male
farmers
Total No
farmers
36
54
90
158
255
413
6
10
16
54
53
107
254
372
626
Mavonde
Manica
Machipanda
Sussundenga
Matica
Sussundenga
Mouha
Dombe
Tsetsere
Mussapa
Gondola
Macate
Matsinho - IAC
Chimoio
Barue
Catandica
Serra Choa
Total
Table 2: Assessment geographic coverage
50
50
ANNEX 4: Main Bibliography
ANNEX 4: List of Main Bibliography
Projecto de Desenvolvimento de Irrigação
Sustentável (PROIRRI); (Fevereiro de 2012)
Relatório da Análise Rápida e Pré-viabilidade dos
Locais Piloto nas Províncias de Manica e Sofala.
Controlling soil erosion: a field guide for an erosion
risk assessment for farmers and consultants
MAFF, PB 4092 © Crown Copyright 1999;
http://www.scotland.gov.uk/
Publications/2005/12/01130314/03158
A guide, Contract Farming-Partnership for Growth
FAO Agricultural Services Bulletin 145
Eaton C. and A.W. Shepherd. 2001.
The Permaculture Podcast 2012
www.thepermaculturepodcast.com/2011/pdc-soilstructure/
51
51
52
52
53
53
ANNEX 6: List of Meetings
ANNEX 6: List of Meetings Held during the Outgrowers Assessment
Date
Meeting / Activity
Venue
Participants
10/05/12
Arrival from Maputo
Vanduzi Office
Tatenda Mutenga
Date
Meeting / Activity
Venue
Participants
11/05/12
Meeting with Carlos Correia.
Vanduzi Office
Carlos Correia
Financial Director
Compania de Vanduzi
N102 Vanduzi
Tel: +258 843012560 Email:[email protected]
Vanduzi Office
Dinho
Tel: +258 843980621
Friday 11 May 2012
Briefing on consultancy activities
and general overview of
Compania de Vanduzi
11/05/12
Meeting with Dinho
Contacts of outgowers
11/05/12
Meeting with William
Vanduzi Office
William Zirebwa
Tel: +258 822501770
11/05/12
Meeting with Agusto
Vanduzi Office
Agusto
Production Manager
Tel: +258 843061018
11/05/12
Meeting with Bryn
Vanduzi Office
Bryn
Packhouse tour – general
overview of the packaging
process.
Thursday 10 May 2012
54
54
Saturday 12 May 2012
Date
Meeting / Activity
Venue
Participants
11/05/12
Meeting with Jose Domingos
dos Santos Chiocho DPA
Manica - Chefe de Extensão.
DPA Manica
Jose Domingos dos Santos Chiocho
DPA Manica - Chefe de Extensão
Tel: +258 825911540
Identified areas include:
Manica cede,
Gondola (Zembe, Zona Hereo
Mocambicano perto de IAC,)
Sussundenga (Mouha, Rotanda)
Vanduzi (Belas)
Contacts:
Manica
Supervisor de Rede:
Flamingo Antonio
Tel: +258 825436450
ADAMA
Presidente:
Tel: +258 825730780
Vice president:
Tel: +258 825221492
SDAE - Sixpence:
Tel: +258 823877720
Sussundenga
Supervisor de Rede:
Rosario Cabungaidze
Tel: +258 827492433
SDAE Director
Castigo Mofana
Tel: +258 825881270
Barue
SDAE Director:
Zacarius Moises
Tel: +258 829752470
The DPA extension director also
recommended for discussions
with:
PROIRRI Director:
Lemos Chalulo
Tel: +258 846684213
ITC Director:
Sergio Ye
Tel: +258 829921507
General information on high
agricultural potential regions in
Manica province.
55
55
Monday 14 May 2012
Date
Meeting / Activity
Venue
Participants
14/05/12
Meeting with Augosto.
Vanduzi Office
Augusto
Production Manager
Tel: +258 843061018
Vanduzi Office
Carlos Correia
Financial Director
Compania de Vanduzi
N102 Vanduzi
Tel: +258 843012560 Email:[email protected]
PROIRRI office
Lemos Chalulo
PROIRRI Director
Projecto de Desenvolvimento de
Irrigação Sustentável (PROIRRI)
Tel: +258 846684213
General information about the
Vanduzi Chitundo, Catandica
farms’ edaphic and altitude data
including the small-scale Belas,
Rotanda and Nhamatanda.
Catandica farm
Soil: argilosos, franco argilosos,
arrenosos
Altitude: 500m
Small-scale Belas
Soil: argilisos, arrenosos
Altitude: 600 to 700m
Small-scale Rotanda
Soil: arrenosos, argilosos
Altutude: 900 to 1100m
Small-scale Nhamatanda
Soil: franco arrenoso
Altitude: 40m
14/05/12
Meeting with Carlos Correia.
General discussion on Vanduzi
total production including
Vanduzi planting program.
14/05/12
Meeting with Lemos Chalulo
PROIRRI Director.
According to the PROIRRI
Director for this first year they
already have already assisted
10 associations of whom 8 are
a working with Compania de
Vanduzi.
DPA Manica
Chimoio
A report with information on
potential associations was
provided.
Chitundo farm
Soil: argiloso, franco arrenoso
Altitude: 600 to 620m
56
56
Date
Meeting / Activity
Venue
Participants
14/05/12
Meeting with Claudio Ezequiel
Gundana.
ADEM Office
Chimoio
Claudio Ezequiel Gundana
Director de Produção
ADEM – Agencia de Desenvolvimento
Economico da Provincia de Manica
Tel: +258 822510780
Tel: +258 25122414
Fax: +258 25122418
Magariro Office
Chimoio
João Paulo
Magariro
Tel: +258 820301927
ADEM has 2 associations with
Local Economic Development
Committees in Gondola Macate
and Manica Manhene that have
been involved in horticulture
production.
14/05/12
Meeting with João Paulo and
Joe Boulter at Magariro.
Through SIWAMA a 2nd level
organisation of producer farmers
they have som associations in
Vanduzi and Sussundenga.
Joe Boulter
ACDI VOCA
Tel: +258 848706047
Further contacts to be made
including field visits.
14/05/12
Meeting with Argola – officer
at ITC
ITC Office
Chimoio
Argola
Programme Officer
ITC – Iniciativa Para Terras
Comunitarias
Tel: +258 828842530
Tel: +258 845094602
ITC has the mandate to register
and legalise land use rights land titles for associations.
Meeting booked with Director
Sergio Ye 16-05-2012 afternoon.
Monday 15 May 2012
Date
Meeting / Activity
Venue
Participants
15/05/12
Departure to Macate, Gondola
district, visiting Associação
Seenzaugarike, see data base
Macate,
Gondola district
Associação Seenzaugarike members
Macate
ADEM officer
Ipolito:
Tel: +258827749276
Tel: +258 84610794
Field visit planned on the 15th
and 16th of May 2012.
57
57
Date
Meeting / Activity
Venue
Participants
15/05/12
Meeting with Jose Basquete
and Pedro João, UCAMA
President.
UCAMA Office
Chimoio
Jose Basquete
UCAMA President
Tel: +258 822955460
Pedro João
Tel: +258 823623209
UCAMA has the mandate to
coordinate farmers associations
in Manica Province.
Manica District
Chinhamacungu
Sangotinopawaneta
Eduardo Mondlane
Sahwira
Simba Mukaka
Contact
Sr. Pacanate:
Tel: +258 825221492
Emilia:
Tel: +258 825218964
Gondola District
1 de Maio
16 de Junho
Contact
Zacarius:
Tel: +258 825180244
Sussundenga District
Badza Rotanda in Rotanda
Nhararaimuone
Contact
Tel: +258 826147267
Chimoio town
Kurima kwakanaka
Matoleboke
Contact
Tel: +258 822429600
15/05/12
Meeting with Martinus Ruijten,
SNV Senior Adviser Agrobusiness Development.
Negotiations on market linkages
partnership had been fruitless
with Compania de Vanduzi in
the past and SNV is open to
partnership in this initiative.
SNV Office
Chimoio
Martinus Ruijten
SNV (Netherlands Development
Organization)
Senior Adviser Agro-business
Development
Tel: +258 823059337
Tel: +258 25123098
Further contacts to be made and
field visits to associations.
The following associations
with irrigations schemes were
recommended.
58
58
Date
Meeting / Activity
Venue
Participants
16/05/12
Departure to Manhene,
Manica district visiting:
Manhene,
Manica district
Associação Nova Esperança,
Associação Kutamba Kuguta,
Associação Nzombe,
Associação Rerai Nherera,
Associação Hundi
ADEM officer
Associação Nova Esperança,
Associação Kutamba Kuguta,
Associação Nzombe,
Associação Rerai Nherera,
Associação Hundi,
(see data base)
Date
Meeting / Activity
Venue
Participants
17/05/12
Meeting with Sergio Ye, ITC
Provincial Fund Manager.
ITC Office
Chimoio
Sergio Ye
Provincial Fund Manager
Comunitarias
Tel: +258 829921507
Tel: +258 846085069
The following associations were
recommended:
Regadio de Rotanda,
Mussambuzi, Rusapa
Argola
Programme Officer
Comunitarias
Tel: +258 828842530
Tel: +258 845094602
Sussundenga District
Murorue after Munhinga where
they are doing gold panning.
Manica
Belas, 7 de Abril 1,
7 de Abril 2, Campo 4,
Munhaurari
Barue
Chakwaedzera in Honde,
Sr Magassosso, Rissina (Pissina)
ADAMA – Assocoacao de
Agricultores de Manica:
Kubatanadororo,
Kufumaishungu, Manhimu,
Ziyazana, Forte Massekese,
Demodera, Kugutakushinga,
Nhamandembe (Vanduzi em
direcao belas – farma Deca),
via Movinde – Chitunga sede de
distrioi em cima da montanha),
Gidi rigadio
Friday 18 May 2012
Date
Meeting / Activity
Venue
Participants
18/05/12
Compilation of progress report,
the Outgrowers database, Crop
calendar.
Vanduzi
Tatenda Mutenga
Wednesday 16 May 2012
59
59
Monday 21 May 2012
Date
Meeting / Activity
Venue
Participants
21/05/12
Departure to Macate,
Gondola district.
Macate, Gondola Associação Seenzaugarike members
district
Macate
Visiting Associação
Seenzaugarike
Date
Meeting / Activity
Venue
Participants
22/05/12
calendar.
Vanduzi
Tatenda Mutenga
Date
Meeting / Activity
Venue
Participants
23-25/05/12
Departure to Manica district
visiting:
Manica
Tatenda Mutenga
Sr. Pacanate
Uniao Distrital de Asociacoes de
Camponeses (UDAC)
Tel: +258 825221492
Gutsarujinji, Sangorinopawaneta,
Chinhamacunhu, Sahwira,
Small-holder farmers,
Commercial farmers
Monday 28 May 2012
Date
Meeting / Activity
Venue
Participants
28/05/12
Departure to Sussundenga
district:
SDAE office
Sussundenga
Eng Domingos
Chefe de Extensao
SDAE Sussundenga
Tel: +258 82 5391279
Meeting with SDAE to get an
overview about the districts
potential areas, associations,
individuals and commercial
farmers.
According to Eng Domingos the
following are recommended:
Tatenda Mutenga
Sra Paulina Agusto
Camponeses (UDAC)
Tel: +258 827516226
Associacao Muroorue (with
70 Ha potentially irrigated
land currently using 44Ha),
Mupandeia - Grupo de Tamissai,
AgroVilar - Sr Vieira, Privado,
Everisto Tamissai, Amelia
Rendissau, Chikwereti grupo,
Munhadza in Mohua, Rotanda,
Mossapa - Sr Azeite,
Sr Matavele -Dombe -busca
agua no Rio Russiti.
Tuesday 22 May 2012
Also visiting:
Matimati Association,
Commercial farmer.
60
60
Tuesday 29 May 2012
Date
Meeting / Activity
Venue
Participants
29/05/12
district visiting:
Mouha
Administrative
Post Offices
Itai Manuel Lino
Mouha Administrative Post,
Chefe de Secretaria,
Tel: +258 825645688
Meeting with Mouha
Administrative Post, Chefe de
Secretaria, Itai Manuel Lino in
the absence of Extension officer
Julio Antonio to get an overview
about Mouha potential areas.
Julio Antonio
Mouha Administrative Post,
Extension officer
Tel: +258 826987617
Sra Paulina Agusto
Camponeses (UDAC)
Tel: +258 827516226
Date
Meeting / Activity
Venue
Participants
30/05/12
district:
Rotanda
Administrative
Post Offices
Joaquim Azeite
Rotanda Administrative Post
Extension officer
Meeting with Rotanda SDAE
Extension officer Joaquim
Azeite to get an overview about
Rotanda potential areas.
Sra Paulina Agusto
Camponeses (UDAC)
Tel: +258 827516226
According to Extension officer
Joaquim Azeite the following are
recommended:
Mussapa locality:
has 6 principal canals and
about 190 Ha irrigated land.
To talk to Mussapa Chefe da
localidade, Carlos Sairosse
Ramai (Mambo Herude)
and Zacarius Tengwa Saene
extension officer
Testsere locality:
has 8 principal canals irrigating
about 145 Ha. To talk to Lucas
Manuel Feijao extension officer.
Tatenda Mutenga
Departure to Mouha areas
visiting:
Kubatana, Murorwe,
Small-farmers
61
61
Meeting / Activity
30/05/12
Departure to Rotanda areas
visiting:
Mussapa locality:
Meeting with Mussapa Chefe
da localidade, Carlos Sairosse
extension officer. Before any
field work in registering potential
farmers the local authorities
instructed on first holding a
community meeting to get the
community’s participatory green
light. A participatory meeting
with the community was set
for Saturday 2 June 2012 at
10:00hrs. After the community
meeting the field visits and GPS
coordinates recording would be
done on Monday 4 June 2012.
( in this case 3 days would be
used/lost assessing one locality
- Mussapa).
Venue
Mussapa
Community /
Tsetsere
Community
Participants
Carlos Sairosse Ramai
(Mambo Herude)
Mussapa locality,
Chefe da localidade,
825477383
863321240
Zacarius Tengwa Saene
Mussapa locality,
Extension officer
825909277
Calisto Albano
Tsetsere locality,
Lucas Manuel Feijao
Tsetsere locality,
Extension officer
Testsere locality:
Meeting with Tsetsere Chefe da
localidade, Calisto Albano and
Lucas Manuel Feijao extension
officer. Before any field work
in registering potential farmers
the local authorities instructed
on first holding a community
meeting to get the community’s
participatory green light. A
participatory meeting with the
community was set for Saturday
2 June 2012 at 14:00hrs. After
the community meeting the
field visits and GPS coordinates
recording would be done on
Monday 5 June 2012. ( in this
case 3 days would be used/
lost assessing one locality Tsetsere).
Date
62
62
Date
Meeting / Activity
Venue
Participants
31/05/12
Departure to Gondola
district:
Mr Eussof
Valy’s farm
Mr Eussof Valy’s farm
Commercial farmers
Attending a field day at
Mr Eussof Valy’s farm and
meeting with Commercial
farmers attending the field day.
Sulemane Hosseni
Beira Agricultural Growth
Corridor (BAGC)
Tel: +258 843015951
Greatest concern and problem
raised by commercial farmers
was the price offered by
Vanduzi to buy the vegetables
produced. Apparently some
of the farmers had some bad
experiences of working with
Vanduzi and were no happy with
the Vanduzi buying price which
they stated was not profitable to
the commercial farmers given
the production costs and the
investment that the commercial
farmers make (eg irrigation,
labour costs).
Tatenda Mutenga
Friday 01 June 2012
Date
Meeting / Activity
01/06/12
Conversation with Barue SDAE
Director on the phone and trip
to Catandica aborted as he was
not there. Reschedule trip to
Monday 4 June 2012.
Venue
Participants
Tatenda Mutenga
calendar.
Agusto
Vanduzi Production Manager
Tel: +258 843061018
63
63
Saturday 02 June 2012
Date
Meeting / Activity
Venue
Participants
02/06/12
district, Rotanda areas visiting:
Mussapa
Community
/Tsetsere
Community
Sra Paulina Agusto
Camponeses (UDAC)
Tel: +258 827516226
Meeting with Mussapa
Community including Chefe
da localidade, Carlos Sairosse
extension officer. Community
meeting was held to get the
light. There was agreement
with the community to take
part in the potential outgrowers
programme. The field visits
and GPS coordinates recording
was set for another day on
Wednesday 6 June 2012. (In
this case 3 days would be used/
lost assessing one locality Mussapa).
Carlos Sairosse Ramai
(Mambo Herude)
Mussapa locality,
Tel: +258 825477383
Tel: +258 863321240
Mussapa locality,
Extension officer
Tel: +258 825909277
Testsere locality:
Meeting with Tsetsere
Community. Community
meeting was held to get the
light. There was agreement
with the community to take
part in the potential outgrowers
programme. The field visits and
GPS coordinates recording was
set for another day on Tuesday 5
June 2012. (In this case 3 days
would be used/lost assessing
one locality - Tsetsere).
Monday 04 June 2012
Date
Meeting / Activity
Venue
Participants
04/06/12
Departure to Barue
district:
Barue
Zacarius Moises
SDAE Director - Barue
Tel: +258 829752470
Tel: +258 842472085
Meeting with SDAE Director
Zacarius Moises. Field visits
were scheduled for Thursday
7 and Friday 8 June 2012,
targeting Catandica sede and
Sera Chowa.
Tatenda Mutenga
Mussapa locality:
64
64
Tuesday 05 June 2012
Date
Meeting / Activity
05/06/12
district:
Venue
Participants
Sra Paulina Agusto
Camponeses (UDAC)
Tel: +258 827516226
Rotanda areas visiting Tsetsere
locality.
Tatenda Mutenga
Date
Meeting / Activity
06/06/12
district:
Venue
Participants
Sra Paulina Agusto
Camponeses (UDAC)
Tel: +258 827516226
Rotanda areas visiting Mussapa
locality.
Mussapa locality,
Extension officer
Tel: +258 825909277
Tatenda Mutenga
Thursday 07 June 2012
Date
Meeting / Activity
Venue
Participants
07/06/12
Departure to Barue
district:
Barue
Tatenda Mutenga
Meetings with associations of
producers in Catandica sede.
Friday 08 June 2012
Date
Meeting / Activity
Venue
Participants
08/06/12
Departure to Barue
district:
Barue
Tatenda Mutenga
Meeting with commercial
farmers.
Wednesday 06 June 2012
65
65
Saturday 09 June 2012
Date
Meeting / Activity
Venue
Participants
09/06/12
Gondola – Vanduzi, Chimoio
Gondola –
Vanduzi,
Chimoio
Tatenda Mutenga
Field Visit not effected as
available car had mechanical
problems.
Monday 11 June 2012
Date
Meeting / Activity
Venue
Participants
11/06/12
Gondola –Vanduzi, Chimoio
Gondola –
Vanduzi,
Chimoio
Tatenda Mutenga
11/06/12
Debriefing of activities
Vanduzi
Offices
Reporting
Tatenda Mutenga
Reporting - Compilation of
final report , the Outgrowers
database, Crop calendar.
calendar
66
66
ANNEX 7 Map: Outgrowers Assessment
ANNEX 7 Map: Outgrowers Assessment
67
67
ANNEX 7A Map: Outgrowers Assessment
ANNEX 7A Map: Outgrowers Assessment
68
68
ANNEX 8: List of Crops Grown
Annex 8: List of Crops Grown
Baby Corn
Vanduzi
Birds-Eye Chillies
Fine Beans
Mange Tout
Sugar Snap
Sweet Corn
Okra
Passion Fruit
Papaya
Patty Pans
Courgettes
Finger Chillis
Cabbages
Tomatoes
Butternut
Peppers
Carrots
Lettuce
Cucumbers
Soya
Cherry Tomatoes
Sugar Beans
Green beans
Cow Peas
Potatoes
Chinese cabbage
Covo
Spinach
Cauliflower
Broccoli
Paprika
Watermelon
Beetroot
Onion
Peas
Pumpkin
Garlic
Green mealies
Strawberry
Small-holder
Association
Sweet corn
Serenade Chillies
Commercial
Crop
69
69
ANNEX 9: Farmer distribution per district and DISTANCE FROM Vanduzi
Table 3 Annex: Farmer distribution by district and distance
Road
Gondola
Manica
Sussundenga
Barue
Distance (km) from Vanduzi Packhouse
in Mainroad - Tarred road
20-32
60-75
32
125
Distance (km) from Vanduzi Packhouse
in Dust and Feeder-road
5-40
0-30
42-126
3-31
20-72
60-105
74-158
125-156
3%
14%
66%
17%
Range of Distance (km)
% Distribution of farmers by district
ANNEX 9: Farmer distribution per district
and radius range from Vanduzi factory
70
70
ANNEX 10: Additional commercial farmers
ANNEX 10: Additional commercial farmers
Name of Farmer
Type of Farmer
Contact Telephone
Lukman Hassam
Commercial farmer
825098000, [email protected]
Shawne Botha
Commercial farmer
823051401
Jac Smit
Commercial farmer
843200660
Pedro Paulino
Commercial farmer
825013390
Malcolm Clyde Wiggins
Commercial farmer
825094110, 842042990, [email protected]
Chris Serfontein
Commercial farmer
823003004
Kevin Giffid
Commercial farmer
Glen Morgan
Commercial farmer
Monty Hunter
Commercial farmer
825095480, [email protected]
Mutatisse Arsenio
ISPM
825121131
The following table is a list of additional commercial farmers mainly fruit growers. As a result of stated constraints
field visits to the individual farmers farms could not be effected.
71
71
| [email protected]
| Tel: +258 84 8007545
Contact:
Tatenda Mutenga
Tel: +258 84 8007545
Tel: +258 82 3233330
Consultant:
Tatenda Mutenga
Tel: +258 84 8007545
Tel: +258 82 3233330
DISCLAIMER
This report has been financed by and produced at the request of the
Companhia de Vanduzi. The comments contained herein reflect the
opinions of the consultant only.

Vanduzi | Outgrowers Assessment

Transcription

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