NAADS Lauches Public/private Sector Partnerships
During the last 20 years, new world trading policies have liberalized and integrated markets putting smallholder farmers in a difficult position to
participate in the marketing of their products. Under the current global trends, small holder farmers are confronted with the need to acquire sufficient knowledge and information on markets in order to be able to respond appropriately in producing the right type of commodity that fetches premium price, and in the right quality and
marketable volume.
While NAADS has caused increased productivity at the farm level, there is growing need for close integration with agro-processing and marketing.
This integration is being developed through a public / private sector partnership strategy that aims at developing commodity value chains.
These chains are aimed at empowering smallholder farmers and transforming them from being passive actors in the marketing of their products to
being active players (actors) in market oriented value chains in which access to the market is achieved through organization and negotiated
terms of trade (price, quality, quantity, packaging, frequency etc.)
To date NAADS is implementing 37different partnerships at national, regional and district levels to strengthen value chain development. Some of
these partnerships are highlighted.
Value addition for Coffee.
Since the mid-1990s, Uganda's coffee industry has encountered problems of quality deterioration, a poor marketing position in the global market, a
weak regulatory framework, and poor infrastructure.
NAADS has initiated the arrangement where coffee farmers operate under value chains for improved coffee quality, outputs and smooth marketing of green coffee to world markets. One such value chain involves Bundibugyo coffee farmers in the partnership with NUCAFE and NAADS. Under this partnership, 106 farmer groups and associations have registered for organized production, value addition and marketing. Coffee nurseries have been established and 2.1 million seedlings distributed. NUCAFE is responsible for the export of farmers' outputs in the value chain. This kind of arrangement will be replicated elsewhere in Uganda to benefit more coffee farmers Uganda's current effort to export roasted coffee was initiated through establishment of roasting facilities, coffee shops and distribution network to restaurants and supermarkets in Beijing. The One café to drink coffee brand produced by Elgoniaonecafe International in Tororo is one other fine coffee packaged to international standards and the brand is exporting through a large supermarket chain with over 680 outlets in the Scandinavian countries and NAADS program is supporting the initiative by mobilizing farmers to produce good quality coffee for the value chain.
Already premium prices paid to farmers by Elgoniaonecafe has stabilized Arabica Coffeeprices in Bududa District.
Value Addition For Tea:
Tea value chains involving small-scale farmers have emerged in the districts of Kanungu, Bushenyi, Kabale, and Mityana. Farmer groups are assisted to enter into partnerships with tea processors to produce, quality green leaf tea for export through value chain. Igara and Kayonza Tea factories in Bushenyi and Kanungu districts have respectively have gone into partnership with over 9,000 farmers in this value chain. Green tea prices to farmers are now stable and with improved tea clones and farm inputs distributed under the value chains, farmer incomes in the
region are expected to increase considerably.
Value addition for Horticulture (Citrus fruits)
Farmers in the Eastern Uganda districts of Soroti, Kumi, Kaberaimaindo and some parts of Northern Uganda are currently reaping big from the production of Citrus and mangoes promoted by the NAADS program. The program has initiated a partnership between Jakana fresh foods limited and Teso Tropical Fruits Growers' Association, where Farmers are provided with advisory services and suitable citrus varieties for multiplication and production to supply the chain. It is anticipated to establish a primary processing plant in Soroti which will process citrus fruits into pulp for final
processing in fruit juice in Kampala both for local and export markets. In partnership with the Agro-business Development Component (ABDC)
of APEP, NAADS program has already facilitated the importation of improved packaging for Jakana fresh foods ltd to be able to penetrate niche markets in order purchase more of the farmer outputs.
The processing capacity for both Jakana fresh foods limited and Bella International limited will be expanded so that they can handle all farmers' outputs.
Value addition for Dry fruits
NAADS intends to support value chain for died fruits for both local and export niche markets in the European Union. NAADS is promoting value addition of perishable fruits like pineapples, apple bananas and mangoes by introducing appropriate solar drying technologies through lead farmers. In Kajungangoma, Kabigambe was selected as lead/host farmer for 4000 pineapple farmers and provided with two solar pineapple driers. The farmers learn and also utilize post harvest handling facilities at this farm to dry their fruits and pack it for sell to local super markets especially in Jinja.
The major constrain for exporters of dried fruits to EU niche markets has been photosanitory and trace ability certification. This calls for mobilizing
farmer production groups to conform to EU product standards and production practices at farm level. Dry fruit exporters have requested for
NAADS intervention to mobilize fruit farmers for joint inspection and certification for exports to EU markets.
Value addition to livestock products:
The value chain for goat meat involves small-scale farmers and big players like Sembeguya Estates and Katebe Goat Farm Uganda Ltd to support farmer groups and associations for organized goat production and marketing. Ultimately, the aim is to create a reliable local supply source for goat, which justifies the establishment of goat meat processing plant in the country for export to the Middle East.
It is in this respect therefore that on the 19th March 2007, NAADS programme will officially launch public/private sector partnerships at hotel Africana as one way of integrating the activities of small scale farmers into, value chains for accelerated commercialization of Agriculture.
