Agenda Introduction IFDC Projects & Achievements FY11 2011 – 2012 program Lessons learned www.ifdc.org Introduction to IFDC Name An International Fertilizer Development Centre . Legal Status in Mozambique . Since 2002 in Mozambique. Official status as Public Organization working with GOM & IAMM. As per 01.01.12 offices at IAMM buildings in Maputo. www.ifdc.org IFDCs Vision • IFDC works with more than fertilizer. • Vision is to build a world free of hunger. Long-term focus: Improving agricultural productivity in Developing countries and enhance the profitability of farming, reduce poverty, increase the efficiency of commercial markets, restore soil fertility, and promote a healthy environment. www.ifdc.org IFDC’s Mission Statement To increase sustainable agricultural productivity through the development and transfer of effective and environmentally sound plant nutrient technology and agricultural marketing expertise www.ifdc.org Average fertilizer use (kg/ha) www.ifdc.org IFDC works together in Mozambique and SSA AFAP AGRA Agro Dealers Agrifuturo BancoTerra BOM CAL – Nampula CDM / SABMiller DECA - Manica CLUSA DGIS IPI www.ifdc.org FAO IAMM / MINAG IPNI ICRISAT Mozambique Fertilizer company NEPAD OCDI / VOCA OLAM SUNSMILE USAID V&M WFP Projects & Achievements. IFDC in Mozambique 2011 Projects 1. 2. 3. 4. 5. 6. AIMS (Agricultural Input Marketing Strengthening in Mozambique) AMITSA (Regional Agricultural inputs Marketing Information System) BASIS ( Voucher measurement program) MADD (Mozambique Agro-Dealer Development) MIM (Maize Intensification in Mozambique (2008 – ongoing) CASSAVA+ (Cassava production with SABMiller / Cerveja de Mozambique) www.ifdc.org 1. AIMS Objective: Activity 1. Transfer of soil fertility management technologies Activity 2. Strengthening input supply chain and development of agro dealers in rural areas Activity 3. Input sector policy reforms and regulations Activity 4. Strengthening MIS (Market Information Systems) Activity 5. Strengthening agro dealers trade associations Activity 6. Fertilizer and seed voucher system for poor farmers Geographical area: Beira + Nacala Corridors Donor: USAID www.ifdc.org AIMS Achievements to date 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. Demonstrations on NPK / Urea: 80 Field days: 40 to 2400 farmer. (38% F) Technical handouts on fertilizer use: 5,000 Farmers benefited from technical know how: 14,000 Promotion of Integrated Soil Fertility Management: BC 1573 / NC 2500 Ha Agro Dealers trained: BC 59 / NC 71 + Study tours for 24 ADs Policy on fertilizer for GoM: 1 draft completed and tabled with GoM. Strategic workshop with Agr. Input Suppliers. BC 2 / NC 2 Legalization Agro Dealers: BC and NC: Total 8 Seed and voucher systems: Assisted 24,960 farmers in BC/NC •Legend: BC = Beira corridor/ NC = Nacala corridor www.ifdc.org 2. AMITSA Objective Improving access to market and agricultural technical inputs information in East Africa (Burundi, Kenya, Malawi, Mozambique, Rwanda, Tanzania, Uganda, Zambia) Donors: COMESA / EAC (East African Community) www.ifdc.org AMISTSA OBJECTIVES • Improve access to timely data and information on agricultural input markets for farmers, traders, manufacturers, etc. • Establish business linkages among agricultural input importers from different countries and regions and international input manufacturers and traders. • Reduce input procurement costs. • Increase the use of inputs; thereby increasing agricultural productivity. • Improve food security and accelerate economic growth. www.ifdc.org Achievements 1. Regional input prices available on fertilizers, seeds and agro chemicals. 2. See: www.amitsa.org www.ifdc.org Some tables on retail prices and trends fertilizer inputs. FY11 www.ifdc.org FERTILIZER CATEGORY FERTILIZER PRODUCT PESTICIDE CATEGORY PESTICIDE TYPE Complex fertilizers [NPK] Complex fertilizers [NPK] Complex fertilizers [NPK] NPK 12 24 12 NPK 23 21 0 + 4S NPK 25 5 10 Fungicide Herbicide Herbicide Nitrogen fertilizer [N] Nitrogen fertilizer [N] Nitrogen fertilizer [N] Phosphate fertilizers [P] Phosphate fertilizers [P] Potash fertilizers [K] Ammonium Nitrate CAN 28 0 0 UREA 46 0 0 DAP 38 Zn SSP MAP 39 Herbicide Herbicide Insecticide Insecticide Insecticide Insecticide Insecticide Insecticide Insecticide Sulfur (80%) Acetochlor Atrazine (50 %) Glyphosate (360 g/l or 480 g/l IPA) Paraquat (200 g/l) Aluminium Phosphide (57%) Chlorpyrifos-ethyl (480 g/l) Cypermethrin (200 g/l) Dimethoate (400 g/l) Lambdacyalothrin (50 g/l) Metamidofos (585 g/l) Volapromid SEED TYPE SEED PRODUCT (VARIETY) Bean Volta Bean Catarina Bean Magnum Cowpea IT 16 Cowpea IT 18 Maize - hybrid PAN 67 Maize - OPV Matuba Maize - OPV Mocuba Maize - OPV Sasuma Maize - OPV Tsanguma Rice C463 Rice Chupa Rice IITA 312 Rice Limpopo Rice Melanina www.ifdc.org Agr. Inputs measured available in Mozambique. IFDC 2011 3. BASIS Objective •Impact of fertilizer subsidy on economic and social indicators •Demand of fertilizer react to different prices? •Adoption of new agricultural technologies more sustainable? Options explored: •The use of a “smart subsidy” with a multiple year subsidy decreasing over time, •The combination of subsidies with access to savings accounts with trainings that encourage farmers to save enough money from harvest to purchase fertilizer in the next planting season. (Partner: BOM with AGRA hedge funding) Donor: USAID through University of Michigan & AGRA with BOM. www.ifdc.org Preliminary achievements on… The FAO voucher program offering agro-input subsidies to progressive farmers The savings program, which includes basic financial training, opening of savings accounts and financial incentives to open and use savings accounts Achievements are based on total 1;593 HHs : 351 households from Barue, 211 from Sussundenga and 1031 from the Manica district. www.ifdc.org Table 1: Uses of voucher among participants who received a voucher Different uses of the Voucher Maize Other agricultural production 57 (14%) Not used yet 21 (5%) Given away 0 Sold 3 (1%) Other 4 (1%) Total www.ifdc.org 320 (32%) 405 Table 2: Voucher lottery results and consequent use on maize Won the Voucher Lottery no yes no 730 547 Total 1277 yes 67 253 320 Total 794 800 1597 Used Voucher on Maize www.ifdc.org Some lessons learned •A significant number of households did not use any fertilizer during this campaign, that number reduces when we consider only those who won the voucher lottery and even more when we focus on those who received their voucher. However, there were still 52% among the individuals who got the voucher that didn’t used any fertilizer in maize production and 70% that used less that the 100kg subsidized through the voucher. www.ifdc.org Other lessons learned • Late start voucher program due to organizational problems; • Thus farmers used own money to plant and had no reserve to pay balance voucher • Rains failed at critical period • limited know how of beneficiaries on use of inputs on-farm • Fertilizer for maize was used for other crops (vegetables and tobacco) • Not measured: Yields and Gross Margins. www.ifdc.org 4. MADD Goals + Objective Goal: Intensification of agriculture (Manica and Tete Provinces). How? Increased use of agri-inputs, adoption of best-bet crop production technologies, and enhanced business transactions of agricultural commodities in rural markets. Where? Manica and Tete provinces. Donor: AGRA www.ifdc.org Objectives • Increased availability of agri-inputs (incl. Seeds) in the province through expanded and strengthened agri-input marketing chain from production / import to retail levels. • Reduction in agri-input transaction costs and increased quality assurance. • Increased adoption of right input use technology packages in selected agricultural areas resulting in higher yields and farm incomes. www.ifdc.org RESULTS MADD. May 2009 – October 2011 - Manica & Tete INDICATOR LOA TARGET % ACHIEVED [May 09-Oct LOA ACTUAL AGAINST 2011] TARGET No. ADs trained in Business Management 343 384 112 No. ADs trained in Technical knowledge No of demo plots established No. companies participating in demand creation activities 250 250 309 225 124 90 34 19 56 No. sessions of demand creation activities – Field days, seed fairs, exhibitions, etc. 180 225 125 No. Farmers adopting recommended technologies under demand creation activities 150,000 177,629 Number of agro-dealers trained in business plans. No. of ADs accessing Loans/Credit facilities 145 90 140 58 - 178 3,883 3,437 5,596 7,500 300 5,200 13,824 300 25 11 No. Of ADs accessing Loans/Credit facilities through the District Trade Association under the GF Volume of seed sold through project agro dealers (MT) Volume of fertilizer sold through projectagrodealers (MT) Number in attendance at field days. Number of soil samples analyzed per year. Number of Agro dealers contributing to MIS data collection Number of District Agro dealers Trade Association created Number of Province Agro Dealers Trade Association created REMARKS This increase include the lead farmers from villages surrounding the demo plot This is in progress The local companies doesn't exist in the project area Agro dealers themselves was motivated on sales and they organize some events alone without the project support 118 The demos inspire the farmers 97 64 This is in progress This include the Agro dealers start-up and retailers accessing credits facilities through the District - Trade Association In some areas mainly affected by starvation phenomenon the adoption of the new technology 89 are critical 93 184 100 The mobile phone introduced by AMITSA reduced 44 the number of Agro dealers expected to contribute on the data collection 13 13 100 This is completed 2 2 100 The legalization process is in progress 5. MIM Goal To demonstrate how farmers can intensify maize production where maize is produced under rain fed conditions. Objectives Increase maize yield, production, and nutritional properties trough improved management and increased use of fertilizer, quality seed and CCPs (crop production products); Increase incomes of smallholders and improve livelihoods by improved diets and purchasing power in rural areas trough increased access to input and product markets. Donors: www.ifdc.org Details on implementation • Areas: Beira corridor: Sofala, Manica and Tete. • Districts: 9 • Farmers Associations: 15 • Farmers: 253 (Female: 35%) www.ifdc.org Activities MIM 2011 1. Land preparation methods. 2. Planting times. 3. Methods of planting and planting density. 4. Fertilizer applications and different types of fertilizer. Not just NPK & UREA, but also Zn, S, Mn. 5. Weed control in Maize. 6. Evaluation of vegetative development of maize. www.ifdc.org Treatments T1 T2 T3 T4 T5 T6 www.ifdc.org Farmer saved seed without fertilizer application; Farmer saved seed with 50 Kg/ha of NPKS (12:24:12:6) as basal fertilizer and 50 Kg/ha of Urea (46%N) as top-dressing fertilizer; Farmer saved seed with 100 Kg/ha of NPKS (12:24:12:6) as basal fertilizer and 100 Kg/ha of Urea (46%N) as top-dressing fertilizer; Hybrid (PAN 67) without fertilizer application; Hybrid (PAN 67) with 50 Kg/ha of NPKS (12:24:12:6) as basal fertilizer and 50 Kg/ha of Urea (46%N) as top-dressing fertilizer; Hybrid (PAN 67) with 100 Kg/ha of NPKS (12:24:12:6) as basal fertilizer and 100 Kg/ha of Urea (46%N) as top-dressing fertilizer. Results • Hybrid PAN 76 applying 100 Kg/ha of NPKS (12-24-12-6) and 100 Kg/ha of Urea (46% N); • Gross margins under the AIMS (USAID funded) program G/M found in Nacala were. Beira corridor yield and Gross Margins AIMS FY11 T1 – Maize Matuba without fertilizers (0.0 kg N/ha + 0.0 kg P/ha) T2 – Maize Matuba + fertilizers rate (100 kg NPK/ha + 100 kg urea/ha) T3 – Maize PAN 67 without fertilizers (0.0 kg N/ha + 0.0 kg P/ha) T4 – Maize PAN 67 + fertilizers rate (100 kg NPK/ha + 100 kg urea/ha) Yields Kg/Ha Gross Margins MZM 1,315 -342.5 2,401 2430.5 1,605 502.5 3,155 5827.5 Yields Kg/Ha Nacala corridor yield and Gross Margins AIMS FY11 T1 – Maize without fertilizers (0.0 kg N/ha + 0.0 kg P/ha) T2 – Maize + half of recommended fertilizers rate (50 kg NPK/ha + 50 kg urea/ha) T3 – Maize PAN 67 + fertilizers rate (100 kg NPK/ha + 100 kg urea/ha) T4 – Cowpeas/Peanuts/Soybeans + 9 kg P/ha Gross Margins MZM 1,1165 -625 2,1895 2220 3,0225 3945 0,9295 -952.5 6. CASSAVA+ • Objective •Production of starch for flour and beer replacement and • Production of healthy virus free cassava in Nacala corridor •Success based on implementation in Nigeria. Donor: Private and possible Foreign Government donor funds/Dutch Partners: DADTCO, CAL, IFDC, SABMiller/CDM www.ifdc.org AMPU in Ribaue: DADTCO, IFDC, CAL November: 2012. Production: 5 Mt/Hr to make from roots “cake” for CDM / SABMiller. www.ifdc.org Role of IFDC in Cassava+ • Technical assistance to plant virus free varieties released by IAMM in Nampula • Baseline study of place of cassava in household economy • Assistance to CAL (Corridor Agriculture) to train + produce rapidly improved cassava vegetative planting material • Training in three locations 1,500 farmers in improved ISFM (Cassava / Pigeon Pease / Cow Peas. ) • Link agro dealers with framers to use inputs to increase production of cassava p/Ha. www.ifdc.org Nursery for 750,000 plants for rapid multiplication of improved cassava Var’s from IAMM/Nampula 7. Conclusions and Discussion Opportunities for the Fertilizer industry and Seed in a changing agricultural landscape in Africa www.ifdc.org Elements of success by IFDC in Mozambique • Private sector driven • Collaborate with Research (Platform/IAMM/PPP) • Markets for outputs exist and develop more • Entrepreneurship of all actors + Farmers organized • Best agricultural practices available • Focus on inputs accessibility and dealer networks • Access to finance (BOM) • Market information available and most important… • Focus on Private sector through PPP www.ifdc.org Plans for 2012 1. 2. 3. 4. AIMS AMITSA BASIS MADD. 5. 6. MIM CASSAVA+ 7. 2 SCALE: 8. SEED: 9. Pigeon Pea www.ifdc.org – - Ending September 2012. Ongoing 2nd survey: July – Aug – Sept 2012 MADD I ending April 2012. New proposal for MADD II for 4 x districts in Sofala and 3 districts in Zambezia. AGRA to confirm funding. - Ongoing - Expanding to Beira corridor and Inhambane – depending on funding - Optional. Start in Central and North to assist “chain leaders”. - Develop project to introduce Hybrid seeds exposure through agro dealers. - Collaborate with SNV to produce P Peas in Tete through IFDC agro dealers network. Way forwards for Platform 1. Collaborate & strengthen IAMM on capacity building (strategic, technical and commercial through projects on fertilizer / seed and other input uses ) 2. 3 monthly In-depth meetings on sector subject matter and cross-over synergies on fertilizer / seed / gross margins of crops 3. Focus on a commercial approach toward solving Food Security and Livelihoods issues. i.e. Agro dealers, Credit on farm demonstration of crops, seed production, horticulture, small livestock and post harvest. 4. Involve private sector (Producers and suppliers) through PPP. (Soil labs / OMNIA?) 5. Confirm with private sector to invest in agricultural, NRM and livestock projects which complement the 4 objectives of PEDSA CAADP and FtF strategy. www.ifdc.org Obrigado Thank you www.ifdc.org Mile Stone Delivery - Solutions for Africa Drivers Commodity Market has to pull the change Governments fully committed, favorable policies (See: Malawi) Commonalities There has to be an urge (famine, market etc) Technologies have to be available (and often are) Infrastructure (roads, warehouses, physical markets) Policies need to be conducive There has to be money – financial sector support and reasonable interest rates www.ifdc.org Mile Stone Delivery - Solutions for Africa What works Multiple investments are needed simultaneously extension improvement Private Strengthening strengthening input market linkages, dealer development & access to finance access to output markets A blanket approach will often not work – better to go for 1000’s of pockets of excellence Don’t expect change to happen overnight www.ifdc.org Risk factors Volatile markets / small local markets Policy changes – subsidies – border closures etc. Changing product quality requirements Climate risks www.ifdc.org Table 1: Sample distribution across the different treatments No savings offered Offered match at regular savings rate Offered savings with 50% match rate Total Receives agro-input voucher 267 hhs 283 hhs 245 hhs 795 hhs Does not receive agroinput voucher 247 hhs 311 hhs 240 hhs 798 hhs Total 514 hhs 594 hhs 485 hhs 1593 hhs www.ifdc.org Table 1: Voucher lottery results and consequent use on maize Won the Voucher Lottery no yes no 730 547 Total 1277 yes 67 253 320 Total 794 800 1597 Used Voucher on Maize www.ifdc.org SEED…. Not mentioned yet… but will be www.ifdc.org