1. IMPROVING THE LIVELIHOODS OF RURAL
SMALL SCALE COTTON FARMERS
THROUGH INNOVATIVE EXTENSION AND
ADVISORY SERVICES
A Case study of the Competitiveness of the African Cotton
Initiative (COMPACI) /Cotton Made in Africa (CMiA) program
implemented by Cargill Cotton Zambia.
May 10th 2013
HANS MUZOORA,MA SID 2013’
Advisor: Josh Ellsworth.
1

2. PRESENTATION OUTLINE
Introduction/Practicum -Case
study/Impacts of Reform on Agricultural
productivity in SSA.
Background/Development Problem
The Cargill/ COMPACI/ CmiA Approach
Lessons learnt/Successes
Challenges
Conclusions/Recommendations
2

3. ZAMBIA
Size approximately 752,614
square kilometers of which 47%
is arable land.
only 15 per cent is under
cultivation mostly by small scale
farmers.
Population is estimated at 13.3
million.
Out of the total population, 45%
or 4.6 million people depend on
agriculture for subsistence.
Small-holder farmers (cultivating
1-6 hectares) are the majority in
the agricultural sector and
account for over 70% of
production
3

4. INTRODUCTION CONTD
 Poverty in Zambia is high. An estimated 73% of the population
subsist on less than US $1 a day.
 The high rural poverty has been attributed to a poorly functioning
market for agricultural output, low productivity, low utilization of
agricultural inputs and ‘poor access to Extension and Advisory
services’.
 Brought about by disbandment of Public Ext by WB Reform policy
 Looking at Impact of Reform policies on Cotton Production and
marketing in SSA..
 Provision of E&A services particularly to the smallholder farmers is
fundamental to promoting economic growth necessary for
improving the standard of living of the majority of Zambian cotton
farmers. impacts of cotton marketing reforms on farm productivity,
a key element for poverty alleviation, in rural Zambia.
4

5. BACKGROUND EXTENSION.
,State funded Agric-Extn in 1960’S-
70’S(pre-determined packages) LINTCO
cotton targeted Extn
Top-down blanket recommendations
Liberalization 1994-Disbandment of Extn
Public Extn still exist (T&V-top-down tech
transfer. Failure to link recommendations
to market realities
Private agribusiness-Input supply due to
increased demand(G.REV). 5

6. EXTENSION
6
“Agricultural extension’ describes the services that provide
rural people with the access to knowledge and information
they need to increase productivity and sustainability of their
production systems and improve their quality of life and
livelihoods. It includes, but is not limited to, the transfer of
knowledge generated by agricultural research, farmers
(Two way). It has helped countries move towards meeting
food needs, conserving natural resources and developing
human and social capital”.

7. Seed cotton production in Zambia
prior to reform (1987 – 1995)
7

8. 8

9. Experimentation Models.
Decentralization: Shifting responsibility of
extension to local governments
Privatization: Ceding substantial or total
ownership and control to the private sector
Cost recovery, cost sharing and
outsourcing
Participatory and demand-led extension:
Group approaches, farmer-field schools and
farmer consultations in design and
implementation
9

10. Compaci-Innovative Extension
Systems to Improve Rural Livelihoods
Move away from the old traditional top-
down, technology transfer extension model
(Public extension) to Demand (farmer led)
and Market Driven. Pluralistic extn systms.
Create a more innovative extension/
advisory systems/integrated support and
services to rural communities Prices, yields
and cost of production, Ready Market.
strengthening these extension
systems(Feed back-Research)
Financial Services(Credit & Savings 10

11. Cargill –Compaci-Zambia operational areas
Katet
e
Mpongwe
Chibombo
Chama
Lundazi
Chipata –Cargill Main
Officeand Ginnery.
Nyimba
Mumbwa
Kapiri
Lufwanyama
Masaiti
Chongwe
Mukushi
Serenje
Central
Province
Copperbelt
Province
Northern Province
Western
Province
Southern
Province
LusakaProvince
North Western
Province
Luapula
Province
Kasama
Mpika
Mungwi
Lundazi/Chama
26,477
Katete 12,442
Petauke/Nyimba
12,173
Mumbwa/kabwe/chibombo
17,459
Chipata N/S &
Mambwe 32,112
11

12. COMPACI/Cmia
www.cottonmadeinafrica.com
12

13. COMPACI/CmiA
13
www.cottonmadeinafrica.com

14. .INCREASING SEED COTTON PRODUCTIVITY
&QUALITY IN AN ECOMONICALLY,
ENVIRONMENTAL AND SOCIALLY
SUSTAINABLE WAY
COTTON FARMERS SCHOOLS(2,119)/)/Copy and
paste-Learn by doing.
IPM/molasses traps/Beehives
Crop rotation (Soy bean)/Ecology/Food Security
Fardebia trees/Organic fertilizer
Post harvesting technologies & Quality Control
Literacy/reading and writing skills
Safe use and handling of pesticides
Basic business management & record keeping-Impact of
Yield on Profit.
Conservation Agriculture-Soil Fertility& Climate change.
14

15. 1.WOMEN EMPOWERMENT AND GENDER
EQUALITY
CCWCs (800)-
Highest producers.
Contracts/Social
Capital.
Women targeted
extension
Gender Policy
Increased yields
High Nutrition
High Child school
attendance. 15

16. 2.DEVELOPMENT OF A SUSTAINABLE
INPUTCREDIT SCHEME.
.
Rippers/Oxen/Herbicides/
Pesticides
Spray Pumps
Fertilizer (5,041
hectares).
Careful use of pesticides
Millie Meal
16

17. 3.BANKING & FINANCIAL ADVISORY
SERVICES.
MC² Bank Model -Afriland
Farmer/Community
owned(Savings& Credit)
Farmers save –Igenious
ways.
Local employment/Trust.
BDS/Contracts as
collateral.
Low interest rates
compared to money
lenders.
VP = M x C x C = MC²
17

18. 4..ESTABLISHMENT OF SUSTAINABLE BUSINESS
LINKAGES BETWEEN COTTON FARMERS, GINNERIES,
COTTON TRADERS, AND RETAILERS
http://www.cottoncampaign.org/pledge/
.
18

19. Some partners
19

20. 5.PLOUGHING BACK TO COMMUNITY-Building
trust and loyalty(CmiA)Demand Alliance
Community projects-AbtF
License fees
Schools Construction,
material &Desks.
Bore Holes
Solar powered Computer
labs.
Health-Blankets/Beddings
Mosquito nets
HIV/AIDS awareness
programs
Reforestation.
20

21. Transparency &Exposure
http://www.exposure-dialog.de/english/ueber_uns/ueberuns.html
21

22. Successes of COMPACI
Improved Yields (1,800kgs @hectare).Hi Demand for
COMPACI.Illteracy does not mean inability to learn.
Acquisition of draft power & agriculture
equipment/Increased production and crop
diversification(Food Security).
Early M&E indicates 25-40% income increase
and positive impact on food crops
Women empowerment/Self Esteem.
Optimum use of pesticides-Carbon Foot print
report/Environmental conservation/Health.
Better education attendance and opps for farmers
children/Punctual payment to farmers 22

23. CHALLENGES TO THE CCP
Side selling/unlimited entry-Importance of data base
Cultural perceptions/Adoption rates/Child labor.
Expensive demos
Price volatility/low prices-demoralize farmer training
participation
Quality has been compromised as ginners are not
grading crop at field level
Expensive Inputs/Rippers/Oxen/Tsetse Flies
Government Policy/Regulation/Fertilizer-Maize
Land tenure system.
Caliber of Extensionists.
Infrastructure (roads, communication, etc)
23

24. Challenges Contd
Multinational Pesticide Companies/Conflicting
Extension messages.
Cargill Overheads-Input distribution and credit
recovery. Paperless in the Bush
Research –Seed Underfunding.
Research Compromise by Ag. Chem companies.
University Ag research in the U.S. is far too
compromised to undertake such studies, since
industrial Ag funds so much of the research.
Production failure
Expensive paper work. Paperless in the Bush.
24

25. LESSONS LEARNT-policy implications
Trade off. The path chosen influences the types of
challenges a sector might have most difficulty meeting
(e.g. quality, input supply and productivity, competitive
prices to farmers). Competitive sectors are cost efficient
and pay attractive prices to farmers,but their inability to
provide input credit and extension, or to raise quality
makes them unlikely to make substantial contributions to
poverty reduction. Competition not necessarily good
A need for Cotton-contract growing/Outgrower schemes-
Extension. Donor funding-NGOs-Not sustainable
High Prices do not automatically translate into improved
livelihoods./Cost sharing is for commercial farmers.
Government has to promote policies that would ensure
diversification from maize to other cash Crops/Limited
entry.
25

26. Critical Requirements
NGOs to operate complementary to the functions
undertaken by the private sector
Role of each partner (companies, farmers,Govt and
facilitating organizations) is to be clearly defined and
understood. Strengthening of extension services of
ginning companies currently not benefitting from the
COMPACI program.
Government commitment to creating an enabling
environment i.e. improving infrastructure, provision of
incentives/ support for contact /outgrower
scheme/Regulatory/Appropriate laws and efficient legal
system(Child labor)
Farmer Database/Provision of a National identification
database.
Market linkages - assured market for smallholder
produce
Farmer Groups formation/Trained Extensionists. Timely
delivery of inputs and other services .
26

27. CONCLUSIONS
Case study is useful to identify the key reform challenges, predict
the impact of structural reforms and design/revise sector
strategies
There is not a single outgrower model that is ‘the best’ and would
suit all crops, as different crops have different requirements -
outgrower models relate to specific crop quality requirements ..
The role and responsibilities of donor-funded NGOs in supporting
of smallholder-private sector linkages need to be
reviewed/harmonized.
Any model should promote the move away from donor-
dependency and move towards self-sufficient, economically
viable supply chains, with each party knowing and recognizing its
role and responsibilities and undertaking them in a responsible,
profitable and sustainable fashion
A 21st century vision of agricultural extension is needed- this
means substantial reforms in public policies and services.Need
for analytical basis for public and private stakeholders to design
their own reform path. 27

28. Conclusions Contd’
Out grower schemes are not an end-goal in itself but should be
seen as a transition phase from linkage-dependent
relationships between producers and processors towards
linkage-independent, self-sustainable farmers and/or farmer
groups.
Outgrower models are not static - changes are being made all
the time to address certain constraints (especially defaulting)
Extension reform needs to move away from “best practices” to
“best fit” approaches. What works best in a particular situation
is entirely dependent on the starting conditions in that specific
location and point in time. The widely applicable blueprint
doesn’t exist and approaches conceived in that way shouldn’t
be attempted. To recommend a single best practice out grower
model that suits all of the diverse Country reform scenarios will
be difficult, if not impossible 28

29. Bye Extension, Hello Innovation!
PATNERSHIPS!!
Thank You.
Zikomo, Zikomo KwaMbili!!
29