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www.ifdc.org

www.ifdc.org. Agenda. Introduction IFDC Projects & Achievements FY11 2011 – 2012 program Lessons learned. www.ifdc.org. Introduction to IFDC . Name An I nternational F ertilizer D evelopment C entre . Legal Status in Mozambique . Since 2002 in Mozambique.

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www.ifdc.org

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  1. www.ifdc.org Agenda • Introduction IFDC • Projects & Achievements FY11 • 2011 – 2012 program • Lessons learned

  2. 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.

  3. 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.

  4. 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

  5. www.ifdc.org Average fertilizer use (kg/ha)

  6. 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 FAO IAMM / MINAG IPNI ICRISAT Mozambique Fertilizer company NEPAD OCDI / VOCA OLAM SUNSMILE USAID V&M WFP

  7. www.ifdc.org Projects & Achievements. IFDC in Mozambique 2011 Projects 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)

  8. www.ifdc.org 1. AIMS 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 Objective: Geographical area: Beira + Nacala Corridors Donor: USAID

  9. www.ifdc.org AIMS Achievements to date • 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

  10. 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)

  11. 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.

  12. www.ifdc.org Achievements • Regional input prices available on fertilizers, seeds and agro chemicals. • See: www.amitsa.org

  13. www.ifdc.org Some tables on retail prices and trends fertilizer inputs. FY11

  14. www.ifdc.org

  15. www.ifdc.org • 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) 3. BASIS Objective Donor: USAID through University of Michigan & AGRA with BOM.

  16. 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.

  17. www.ifdc.org Table 1: Uses of voucher among participants who received a voucher

  18. www.ifdc.org Table 2: Voucher lottery results and consequent use on maize

  19. 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.

  20. 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.

  21. www.ifdc.org 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. 4. MADD Goals + Objective Donor: AGRA

  22. 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.

  23. RESULTS MADD. May 2009 – October 2011 - Manica & Tete

  24. www.ifdc.org To demonstrate how farmers can intensify maize production where maize is produced under rain fed conditions. Objectives 5. MIM • 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. Goal Donors:

  25. www.ifdc.org Details on implementation • Areas: Beira corridor: Sofala, Manica and Tete. • Districts: 9 • Farmers Associations: 15 • Farmers: 253 (Female: 35%)

  26. www.ifdc.org Activities MIM 2011 • Land preparation methods. • Planting times. • Methods of planting and planting density. • Fertilizer applications and different types of fertilizer. Not just NPK & UREA, but also Zn, S, Mn. • Weed control in Maize. • Evaluation of vegetative development of maize.

  27. www.ifdc.org Treatments T1Farmer saved seed without fertilizer application; T2 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; T3 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; T4 Hybrid (PAN 67) without fertilizer application; T5 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; T6Hybrid (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.

  28. 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.

  29. www.ifdc.org 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

  30. www.ifdc.org AMPU in Ribaue: DADTCO, IFDC, CAL November: 2012. Production: 5 Mt/Hr to make from roots “cake” for CDM / SABMiller.

  31. 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. Nursery for 750,000 plants for rapid multiplication of improved cassava Var’s from IAMM/Nampula

  32. www.ifdc.org 7. Conclusions and Discussion Opportunities for the Fertilizer industry and Seed in a changing agricultural landscape in Africa

  33. 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

  34. www.ifdc.org www.ifdc.org Plans for 2012 AIMS - Ending September 2012. AMITSA - Ongoing BASIS – 2nd survey: July – Aug – Sept 2012 MADD. - 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. MIM - Ongoing CASSAVA+ - Expanding to Beira corridor and Inhambane – depending on funding 2 SCALE: - Optional. Start in Central and North to assist “chain leaders”. SEED: - Develop project to introduce Hybrid seeds exposure through agro dealers. Pigeon Pea - Collaborate with SNV to produce P Peas in Tete through IFDC agro dealers network.

  35. www.ifdc.org Way forwards for Platform • Collaborate & strengthen IAMM on capacity building (strategic, technical and commercial through projects on fertilizer / seed and other input uses ) • 3 monthly In-depth meetings on sector subject matter and cross-over synergies on fertilizer / seed / gross margins of crops • 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. • Involve private sector (Producers and suppliers) through PPP. (Soil labs / OMNIA?) • Confirm with private sector to invest in agricultural, NRM and livestock projects which complement the 4 objectives of PEDSA CAADP and FtF strategy.

  36. www.ifdc.org Obrigado Thank you

  37. 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

  38. 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

  39. www.ifdc.org Risk factors • Volatile markets / small local markets • Policy changes – subsidies – border closures etc. • Changing product quality requirements • Climate risks

  40. www.ifdc.org Table 1: Sample distribution across the different treatments

  41. www.ifdc.org Table 1: Voucher lottery results and consequent use on maize

  42. www.ifdc.org SEED…. Not mentioned yet… but will be

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