agricultrual enterprise development 2013 2014 overivew
TRANSCRIPT
SaveAct Savings and Credit Groupsand Small Enterprise Development
2014
What does SaveAct do?
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo engcono ngokulondoloza imali!
A stepped-approach, with self-selection ‘filters’:Channelling human capital
Mobilisation of Savings & Credit Groups:• Savings as a ‘glue’ stimulating social capital• Social fund• Platform for efficient & effective support strategies
Savings & Credit
Life skills training & financial education
• Enhances awareness of risks & opportunities
• Economic literacy
• Improved coping strategies
• Consumption smoothing
• Improved capacity to take risk
Enterprise development
• Stimulates formation of enterprises
• Incubated in savings groups & commodity investment groups
• Fed by savings & credit, share-outs, Isiqalo Training
• Improved capacity for self-reliant action
People choose to participate in a structured process with rewards ...
What to do?
Towards more sustainable livelihoods & financial services for the poor
How does SaveAct support enterprise development
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo engcono ngokulondoloza imali!
1. Savings Groups express interest (2-4 )- More mature
- Finalised financial education-Specific interest and groups
(FOs, CBPs)
2. CIG Initiaton process:- Introduction
-PVCA
- Prioritization of commodities
(FOs, CBPs EDOs)
3. Commodity Interest Groups (CIGs) formed
- registration of members- Action plan developed
-Chronology of intervnetions per commodity of interest defined
(FOs, CBPs EDOs)
4. Isiqalo (enterprise) training
Business plans developed (factoring in share-outs/ loan
capital & collective opportunity, eg bulk buying)
(EDOs, businses trainers)
5. CIG Activities : -Input supply, bulk buying
-production support , training
and farmer innovation
-Marketing support; joint initaitves, innovative ideas,
agribusiness inolvement and negotiation.
(EDOs , agric trainers)
6. CIGs mentored- Including bulk buying
- Further business plan mentoring- Monitoring of individual
pariticipants-Special interest meetings
-Support for local facilitators (EDOs research staff, interns, FOs)
PVCA: participatory value chain assessment
• Helps to prioritize commodities of interest for the area based on criteria developed by participants. Includes local ‘’market assessment”
• People interested in business start up training chosen from these groups – members belong to a number of local SCGS
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo engcono ngokulondoloza imali!
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo engcono ngokulondoloza imali!
Commodity Interest Groups (CIGs)
• CIGS set up in Matatiele for potatoes, vegetables, maize, sheep, cattle and pigs
•
Sthathi. Khubetsoana,
Mpharane, Moyaneng
Thinana/Ghobo Khubetsonana,
Mpharane, Moyaneng
Thafa, Mehloloaneng,
Nchodu, Hebron
Lubisini
Conservation Agriculture
CIGs
Scaling out with CIGs
Farmer Centre – Pontsheng;
inputs, advice, access to tolos for sharing, hiring etc
Sekhutlong-CIG
-CA learning group-5 new farmer based trials
Mapheng-CIG
-CA learning group- 2-3 farmer based trials
Pontsheng-CIG
-CA learning group -7 CA farmer mentors 2ndary level
experimentation- 35 Farmer participants linked to farmer
mentors
Nkau-CIG
-CA learning group-CA farmer mentor with 5
farmer volunteers
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo engcono ngokulondoloza imali!
Inputs supply and access• Bulk buying; vegetable seedlings, potato
seed, poultry inputs– Potatoes - >300bags– Seedlings - ~25 000 (Jan-April 2014)– Poultry (chicks plus inputs)- 300– Livestock feed – 4 bags
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo engcono ngokulondoloza imali!
R1-R200 R201-R500
R501-R1000
R1001-R2000
>R20000
2
4
6
8
10
12
14
16
Bulk buying; Matatiele N=40
Seed PotatoVegetable SeedlingsPoultry PackageBreeding Stock
Business start up training; Isiqalo• Linked to the CIGs and commodities
of interest. • 4 day training leading into CIG process
of mentoring and production support.
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo engcono ngokulondoloza imali!
Isiqalo training summary (2013)
Matatiele Bergville
TOTAL
Isiqalo trainee days 102 52 154Improvement of current business (acc to
business plans submitted)40 (n=69) 30 70
New businesses (Acc to new business plans submitted)
16 (n=69) 31 47
Isiqalo themes per training group: Maize
1
Poultry; broiler production 1Sheep; meat and wool 1Vegetable production and sheep
management1
Vegetable production and poultry 2
Production support• Training through local and other
specialists e.g pig production• Mentoring; short and practical
sessions on issues of concern in a commodity e.g. Grading of wool for sheep production
• Farmer innovation; tackle a whole production system and issues of efficiency ,e.g. Conservation Agriculture
• Include stakeholders in market chain e.g. Seed suppliers, agribusiness (Grain Sa and
Poultry SA)
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo engcono ngokulondoloza imali!
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo
engcono ngokulondoloza imali!
Marketing• Local marketing mainly; Joint discussions around the issues – oversupply
at certain times, developing niches, different types of crop (e.g. different varieties of potato seed or planting different times,),joint activities such as joining together for pension days.
• New ideas – e.g. Local milling, production and supply of animal fodder – different types- teff, lucerne
• Some individual marketing in town, or buyers coming to them.• Still the best option – becomes more of an issue as production increases
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo
engcono ngokulondoloza imali!
Involvement in CIGs; improvements and issues
Has not improved
16%Income
improved5%
Inputs cheaper
29%
Inputs easier to access
2%
Knowledge
gained14%
Markets found
3%
Other7%
Produc-tion bet -
ter19%
Working together with community
members5%
Business improvement through involvement in CIGs; Matatiele
N=85
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo engcono ngokulondoloza imali!
Credit3%
Inputs25%
Knowledge1%
Market4%
No issues18%Other
12%
Production factors
18%
Weather19%
Present business issues; Matatiele, N=85
Livelihood concerns
• Track the complex interactions between multiple and diverse livelihood activities and their contribution towards overall livelihoods
• Track increase in production, enterprise activities and income through involvement in CIGS
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo engcono ngokulondoloza imali!
R1-R500 R501-R1000 R1001-R2000
R2 001-R3000
R3001-R4000
02468
101214
Income Distribution of Respondents ; Bergville N=40
CIG MemberNon-Member
Average Monthly Income
Num
ber o
f Peo
ple
>R6 0002%
Don't know2%
R1001-R200055%
R1-R5005%
R2 001-R300016%
R3001-R40004%
R4001-R60001%
R501-R100014%
Income distribution of CIG members in Matatiele N=100
Livelihoods tracking• E surveys (Dooblo) – for
tracking CIGs, isiqalo and livelihoods outcomes
• Uploaded and analysed in Excel
• Individual reports with photos and GPS points possible.
• Building up over time – interview the same people over time, increase number of people included in monitoring, provide baselines through those involved in SCGs but not in CIGS
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo
engcono ngokulondoloza imali!
Maize None Potato Poultry Sheep Vegetables0
5
10
15
20
25
30
35
40
45
Agricultural enterprise involvement; main en-terprise Matatiele N=100
No
of p
eopl
e in
volv
ed
Agricultural enterprise
CIG member; Main enterprise
Non member Total
Single enterprise
Total no Cig members involved in enterprise
Maize 16 16 1 47
None 1 14 15 15
Potato 40 1 41 3 41
Poultry 13 13 11 42
Sheep 2 2 2 12
Vegetables 13 13 8 53
Pigs - - - - 15
Total 85 15 100 25
Use of SCG loans for enterprise development
Agric E
nterpris
e
Basic N
eeds
Educati
on
House Im
provemen
ts
Non-agric
ultural
enter
prise
Other: st
art en
terpris
e
Other: Pay
off debt
Other0
10
20
30
40
50
60
Use of SCG loans in 2013 cycle; Matatiele
No
of p
eopl
e
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo
engcono ngokulondoloza imali!
Livelihoods cont.: E survey example
Financial Services & Sustainable Livelihoods for the Poor
Question ID
Question: CIG involvement Answer
50 What activities have you been involved with in your CIG Meetings,Learning sessions,Implementation,Joint action
51 Describe any new activities you have been involved in CA trial52 How has your business improved since you have been
involved with the CIGs?Inputs cheaper, Inputs easier to access,
Production better, Knowledge gained
53 What are your present business issues? Weather, Knowledge, Moles on potatoes and insect pests
54 What further support would you like to receive? Training on production as well as home remedies in dealing with pests as chemicals
are expensive and difficult to follow properly.
Livelihoods cont.
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo
engcono ngokulondoloza imali!
Question
ID
ISIQALO: Question Answer
55 Have you received Isiqalo business training from SaveAct?
Yes
56 Do you want to receive Isiqalo business training from SaveAct?
57 In what year did you receive this training? 2012
58 What was the theme of your Isiqalo training?
Vegetables
59 Would you be interested in repeating the training or have additional similar training?
Yes
60 Did you fill in a business plan? Yes61 Why have you decided not to fill in a
business plan?62 What was the enterprise you filled out the
business plan for?Vegetables
63 Have you implemented your business plan?
No
64 Why have you not implemented your business plan?
She decided not to follow through vegetables as an
enterprise. Doesn’t see viable enterprise as yet but thinks
maize may be it, waiting to see on the performance.
65 What has the income been from THIS enterprise in the last year?
R 0
66 Please rate the Isiqalo training in terms of how helpful you found it.
4
Income from Agricultural Enterprises -Matatiele
• Incomes a ‘slow’ to increase through involvement in AEs and CIGs due to larger economic and structural issues of market access
• Participants mainly use production for household consumption but do contribute around 15% to their overall incomes with these activities.
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo
engcono ngokulondoloza imali!
Do not participate in this enterprise
R0
R1001-R1500
R1501-R2000
R201-R500
R3001-R4000
Poul
try
0 1 2 3 4 5 6 7
Income from Poultry production
Total
Do not participate in this enterprise
I don't know
R0
R1-R200
R201-R500
R501-R1000
Vege
tabl
es
0 2 4 6
Income from Vegetable pro-duction
Total
Potato member I don't know
Potato member R1501-R2000
Potato member R2001-R2500
Potato member R501-R1000
Potato non member R0
0 5 10 15 20 25
Income from potato production
Total
Financial Services & Sustainable Livelihoods for the Poor – Yakha Impilo engcono ngokulondoloza imali!