Enhancing Agriculture Through Diversification and Entrepreneurship with Technical Service Providers

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This initiative aims to transform agriculture by promoting diversification and entrepreneurship, focusing on various commodities like beef, honey, potato, soybean, and dairy products. Technical service providers engage in targeted districts to enhance the value chain, form win-win partnerships, and support smallholder producers in accessing formal markets and contract farming. The project involves clusters for specific value chains, with a minimum project duration of 24 months and funding ranging from USD 150,000 to USD 500,000.

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Transforming Agriculture Through Diversification and Entrepreneurship INTERVENTIONS BY TECHNICAL SERVICE PROVIDERS INTERVENTIONS BY TECHNICAL SERVICE PROVIDERS TRADE PMU DATE: 14TH FEBRUARY 2024

TRADE Geographical Targeting and Commodities Value chain District Targeted EPA (s) Beef Chitipa Chisenga and Lufita Beef Karonga Vinthukutu, Mpata, Lupembe and Nyungwe Beef and Honey Rumphi Bolero, Mhuju, Ntchenachena and Mwazisi Honey Nkhatabay Mzenga, Mpamba, Chintheche and Chikwina Potato, Soybean, Groundnuts Soybean and Sunflower Ntchisi Chikwatula, Kalira and Malomo Kasungu Chulu Chingothi, Chitekwere, Mpingu, Ukwe and Ming'ongo Soybean and Sunflower Lilongwe Rural Soybean, Groundnuts, Sunflowers and Potato Mchinji Mlonyeni, Zulu, Chioshya and Mkanda Potato and Groundnuts Dedza Mayani, Kanyama and Chafumbwa Dairy Thyolo Thyolo Central, Khonjeni, Dwale and Matapwata Dairy Blantyre Rural Ntonda and Chipande

Technical SP engagement Project duration of minimum 24 months and maximum of 36 months Project funding of minimum USD 150,000 to maximum USD 500,000 with a maximum of 15% going towards overhead costs. The organisation contribution of at least 10% cash during the project implementation period

CLUSTERS FOR THE VALUE CHAIN Target districts Target value chains and clusters 1 Chitipa and Karonga Beef Cluster 1 2 Rumphi Beef Cluster 2 3 Rumphi and NkhataBay Honey Cluster 4 Kasungu and Ntchisi Legumes and Oilseeds Cluster 1 5 Lilongwe and Dedza Legumes and Oilseeds Cluster 2 6 Mchinji Legumes and Oilseeds Cluster 3 7 Dedza Potato Cluster 1 8 Ntchisi and Mchinji Potato Cluster 2 9 Blantyre and Thyolo Dairy Cluster 10 All Districts Outreach and Digital Extension Cluster

Output 1: Win-Win partnerships between smallholder Producers and Public and Private (4P) entities Supported Linkage of FBOs to formal market agreements Provision of technical support to ACIF grant awardees Facilitation of contract farming initiatives

Output 2: Strengthened business skills of smallholder producers to engage in commercial agriculture Capacity building of farmers in market oriented farming

Output 3: Strengthened FBOs skills for collective services & market linkages Capacity building of farmer groups in FBO management Maximization of usage of infrastructures i.e warehouses, Milk bulking houses, market sheds and honey collection centers among FBOs Enhance collective marketing and aggregation for FBOs Promote value addition initiatives among FBOs Facilitate MBS certification of FBO value added products Linkage of FBOs to input and output markets

Output 4: Smallholder producers and FBOs access to financial services increased. Linkage of FBOs and youth clubs to microfinance institutions Establishment and Strengthening of Village Savings and Loans groups within the target FBOs Build FBOs in financial literacy Linkage of FBOs to benefit from financial products promoted by FARMSE Explore digital financing with FBOs

Output 5: Production skills of smallholder producers to engage in commercial agriculture strengthened Improve commodity productivity and quality Promote youth involvement in value chain development Identification and Promotion of effective post- harvest handling Participate in research on technologies that enhance productivity Promote adoption of improved technologies among farmers Promote labor saving technologies among farmers

Output 6: Increased knowledge and access to CSA technologies/practices. Build the capacity of at least 70% of targeted farmers in CSA technologies such as: Agroforestry Manure making and use Low Carbon Stoves/Briquette Making and Use Conservation Agriculture (CA) Soil and water conservation (Contour and box ridges, grass) Disaster Risk Reduction Biogas making and use Woodlot establishment and management 9. Natural Forest Regeneration Small Scale/Drip Irrigation/Winter Cropping

Output 7: Increased policy Influencing capacity and formal business arrangements. Capacity development of EPA commodity platforms

Output 8: Infrastructure to support VCs development build/rehabilitated. Participate in infrastructure needs assessments for FBOs

Output 9: Strengthened institutional capacity and knowledge mgt. for VC development. Capacity building of government extension workers in emerging and recommended technologies