Some examples of value chains where smallholder farmers have benefitted from linkages with funded agribusinesses are as follows:
ZADT has supported sorghum production in Chiredzi, Binga and Mbire. This has been achieved through agribusinesses accessing ZADT Working Capital facilities to finance contract farming inputs and sorghum grain purchases from smallholder farmers. One of the clients was a Mahewu (non-alcoholic beverage) brewing company who used sorghum as input in their plant. Smallholder farmers have also benefitted from Traders accessing the ZADT Fund to avail a ready market of sorghum thus reducing travelling costs.
One of the farmers in Chiredzi, Mr Nyathi noted that they used to face challenges with accessing inputs, transportation for their produce and access to packaging materials which the ZADT client now provided for free.
Due to the favourable contractual arrangements for sorghum production, the Nyathi family had managed to improve their lives and enjoyed the following achievements; purchased a 10 tonne Nissan UDI Truck, built a proper homestead for his family and purchased a tractor drawn cultivator.
Smallholder farmers have benefitted from contracting companies for maize production. Farmer groups have also accessed direct loans from Banks and Microfinance Institutions under the ZADT Fund.
One community project operating in Murehwa and Makoni benefitted from direct lending from CBZ Bank. 5,000 smallholder farmers were organized into groups and funded for inputs into maize production under conservation farming method. Farmers were also provided with technical backstopping and marketing arrangements of the produce under the project.
In another project funded by ZADT, more than 1,000 farmers were supported to grow maize in Chiweshe, Goromonzi and Zvimba under contract arrangements. The company supplied inputs for up to 1 hectare per farmer. The inputs included seeds, basal and top-dressing fertilizer, herbicides and insecticides. Farmers would pay for the inputs after harvesting and marketing of the produce. Inputs for one hectare of maize were repayable by two tonnes of maize.
ZADT funded an agribusiness that was into contract farming and training of smallholder farmers in mung bean production. Over 500 smallholder farmers benefitted through access to inputs, access to viable market and extension services for mung bean production. The company provided farmers with a variety of products ranging from seed, chemicals, fertilizers, irrigation equipment, tunnels, spray equipment and this enabled the farmers to achieve top commercial yields in the supported cropping season.
Farmers in Manicaland Province, Zimbabwe were supported to grow Michigan Pea Beans by a food processor borrowing from ZADT Fund. The borrower provided inputs in the form of seed to Michigan Pea Bean farmers. The borrower also facilitated agreements with Micro Finance Institutions who provided fertilizers and herbicides on credit to all contracted smallholder farmers for repayment at harvest.
Farmers also enjoyed a viable market for their Michigan Pea Bean produce. Smallholder farmers also benefitted from technical assistance offered by the borrower through the company’s agronomists.
Over 100 small holder farmers were contracted by a ZADT Fund borrower to grow paprika in Hurungwe, Mberengwa and Mutambara communal areas.
More than 5,000 smallholder farmers from different parts of the country have ventured into Sesame production where agribusinesses have established off-take agreements.
In the Lowveld, close to 900 smallholder farmers have ventured into sugarcane production as out growers for Hippo Valley.
About 1,000 smallholder farmers in Mutasa and Chipinge districts have entered into contract production of bananas for ZADT borrowing companies . More and more companies are buying bananas from these areas.
About 1000 smallholder farmers with access to water resources are engaging in production of horticultural crops such as fruits for sale to food processors who have accessed the ZADT Fund through disbursing financial institutions.
More than 1500 smallholder farmers in Honde and Save Valleys have established tea plots in out grower arrangements with tea companies borrowing from the ZADT Fund. These companies have accessed value chain financing under the ZADT Fund for working capital purposes which has enabled them to provide inputs and buy the harvested produce from the contracted farmers under off-take arrangements.
Thousands of smallholder farmers have benefited from Agribusinesses and Micro Finance Institutions funded under the ZADT Fund. Range of benefits under beef production include;
Several actors in the poultry industry have accessed the ZADT Fund. These have benefitted over 50,000 smallholder farmers in various parts of the country. Actors such as Feed Manufacturers, Chicken producers, Chick suppliers and producers themselves have accessed the ZADT Fund since 2012 to date.
Nature of benefits for smallholder farmers through these borrowing actors are as follows;
The ZADT Fund has benefitted smallholder farmers engaged in piggery production in various communal areas including Gokwe. Most of these farmers were funded with microloans for their projects by Microfinance institutions participating under the ZADT Fund.
One of the farmers Mr. Munyariwa mentioned that he accessed a working capital loan to purchase stock feed for the piggery. He expressed his gratefulness for the loans offered under the ZADT Fund as they allowed his family to engage in various agricultural activities which in turn availed him opportunities to fend for his family.