CONCEPT NOTE
SUPPORT FOR THE
MECHANISATION OF
RICE PRODUCTION
INTRODUCTION
• MoFA policies, (FASDEP II & METASIP)
Strategies to modernise agricultural
sector through
–mechanisation
–income diversification
• Targets - poor and risk prone and riskaverse producers.
INTRODUCTION CON’TD
Rice - one of the selected
commodities.
Targets
◦ 80 % small scale rice farmers and
◦ 20% emergent commercial rice
farmers (METASIP & NRDS).
INTRODUCTION CON’TD
• Rice sector specific objectives:
– Improving the capacity of local rice industry
to compete with imported rice in terms of
price and quality.
– Increasing the market share of local rice as
against imported rice
– Establish strategic stocks in rice.
INTRODUCTION CON’TD
Interventions Proposed (METASIP)
• Assist Private Sector to set-up commercially
viable Agricultural Mechanization Services
Enterprise Centres (AMSECs) at strategic
locations.
• Purpose: enhancing farmers and agroprocessors accessibility to mechanise services
at affordable cost
JUSTIFICATION
• Raise the self-sufficiency
– 35% to about 75% by 2015
– agricultural mechanisation seen as one of the
vehicles.
• average age of tractors in use - 15 years.
• Most farming districts and communities do
not have access to agricultural machinery for
all stages of crop production.
JUSTIFICATION CON’TD
 The current high level of farm losses of
produce(30%)
- partly attributable to limited and untimely
availability of agricultural machines
 farm power relies overwhelmingly on human
muscle power (hoe and other hand tools).
 Hence
◦ Serious limitations on amount of land cultivated per
family
◦ Reduces and limits the effectiveness of essential farm
operations thereby reducing crop yields.
JUSTIFICATION CON’TD
• large scale investment in agricultural
mechanisation services
• medium to large commercial farmers.
• Few tractor hire schemes meant for small scale
farmers not effectively utilised
• The way forward
– ensure availability of appropriate equipment through
private distributors and service providers
•
JUSTIFICATION CON’TD
– Ministry’s Accelerated Agricultural Mechanisation
policy - 5,000 tractors ( 30-50kW) made available
to farmers and other private sector operators.
– Use of KR2 (Japanese grant) to support
underprivileged rice farmers’
– This Concept Note seeks to offer options for a
large scale replication of the Scheme.
POTENTIAL INTERVENTION ZONES
AND TARGET GROUPS
Zones
 By growing systems
◦ irrigated, rainfed-lowland and upland,
 Potentially high rice producing districts
Targeted groups
 farmers, machine fabricators and repairers, processors
and millers, traders, transporters (haulers), local
researches
 Beneficiaries with high willingness and commitment
OBJECTIVES - Main Objective
To accelerate modernisation
and commercialisation of rice
production through expanded
use of mechanisation services
Specific Objectives
1. To enhance the use of agricultural machinery to
improve the timeliness and efficiency of farm
operations to commercialise rice production.
2. To provide support for private sector led
entrepreneurship and investment in agricultural
machinery management, maintenance, and
service provision.
3. Build capacity of experts and technicians for
improved operations and maintenance of
agricultural machinery.
COMPONENTS & OUTPUTS
COMPONENTS
OUTPUTS
1. Enhancing
Agricultural
Machinery Usage
1.1Private sector to own
agricultural machinery
plant pools collaborated
with.
1.2 Mechanism for the 20%
large scale actors along the
value chain to acquire or
lease agricultural
machinery subsidies and
credit facilitated.
COMPONENTS & OUTPUTS
COMPONENTS
2. Equipment
Maintenance
and
Management
OUTPUTS
2.1 Maintenance cycles
for sets of equipment
drawn and operated
2.2 Capacity of
specialised garages to
maintain the
machinery identified
and built.
COMPONENTS & OUTPUTS
COMPONENTS
3. Capacity
Building and
Farm Power
R&D
OUTPUTS
3.1. Academic and research
institutions to run short
courses in agricultural
machinery (assembling,
fabrication and maintenance)
supported.
3.2. Capacity of RTIU of AESD
to develop extension
dissemination modules of R &
D findings strengthened.
COMPONENTS & OUTPUTS
COMPONENTS
4. Artisanal
Development and
Fabrication of
Machinery and
Parts
OUTPUTS
4.1. Capacity of 50 -100 local artisans
and entrepreneurs to manage the
assembling/fabrication plants built
4.2 Experts to collaborate with
relevant manufacturers to develop
machinery prototypes in joint efforts
trained.
4.3 Design modifications in
machinery prototypes to reduce the
local manufacturing and production
costs incorporated
ACTIVITIES
• Facilitate fabricators' access to credit to
establish/expand machinery pools
• Ensuring that assembling/fabrication centres
are appropriated sited
• Generate commercial demand for the locally
produced prototypes through promotional
activities and demonstrations through Fairs
and exhibitions.
ACTIVITIES CON’TD
• Build capacity of fabricators in the
manufacture of appropriate machinery and
equipment for the rice sector
• Identify rice machinery operators and
mechanics for training
• Conduct training-needs assessment and
develop training modules
ACTIVITIES CON’TD
• Train selected mechanics on maintenance of
machinery like tractor, power tillers, pumps,
mills, threshers, par-boilers, cleaners etc.
• Set up a collaborative mechanism with the
engineering faculties of relevant institutions
for research and training.
• Organise scheduled in-service training for
MoFA staff on the use of agricultural
machinery.
COSTING AND FINANCING
• Estimated Amount needed $100m
IMPLEMENTATION STRATEGY OF THE
PROJECT
 Typical PPP arrangement
 Government initiates & facilitates importation of the
machines
 Private sector entrepreneurs acquire and operate as
business enterprise.
 Oversight committee set up to ensure commitment of
repayment
 Committee composition - representatives of MoFA,
Financial Institution, Mechanised Services Centres,
Farmer Representatives and District Assembly.
PROJECT ORGANISATION AND
MANAGEMENT
• Execution led by MoFA through
– steering committee
• national level.
• District level.
• Committees co-chaired by
– Ministry Rep and
– Private sector Rep.
MONITORING AND EVALUATION
M & E system designed for the project.
◦ data required to be collected defined
◦ Indicators outlined
logical framework
RISKS
Inflation and lending rate
Effects of Climate change & disasters
Lack of factors such as
◦ improved seeds, rainfall, GAP
Inability to fabricate or stock back up
parts
Government inability to source enough
funds
THANK YOU
AMEN & AMEN