by Eastern African Farmers Federation, EAFF
e-GRANARY is a mobile based digital platform that facilitates the meeting of demand and supply of agricultural output and inputs, reduces cost to serve and risks to enable service providers gainfully invest/serve small holder farmers. The e-GRANARY is a unique blend between a public body (EAFF) that represents famers and farmer groups, and a commercial business model, e-GRANARY that builds on that to generate sustainable economic returns and stimulate investment across the value chain.
The structure of EAFF allows the e-GRANARY to effectively organize and aggregate the otherwise dispersed producer base, in order to achieve scale and engage as a significant stakeholder in the agricultural economy.
The business goal of the e-GRANARY is to increase farming profitability by improving the productivity of participating farmers through input provision and technical services, as well as resolving bottlenecks and improving efficiencies of the value chain leading to access to markets and improved trade. The business is hinged on these four key components;
- Direct and efficient access to markets – e-GRANARY secures supply contracts, giving farmers a predictable and consistent market. This ensures farmers are paid fair prices for their commodities and enabled to sell in bulk since partner off-takers have the capacity to purchase large quantities.
- Farmer groups for marketing – It is very expensive to serve individual smallholder farmers. Thus, EAFF aggregates farmers into viable economic groups to enable them to access their network of service providers.
- Pooled purchasing – Grouping farmers enable e-GRANARY to aggregates the demand for advantageous rates/bulk purchase discounts and ease of access for certified inputs, small loans and crop insurance.
- Digital financial services – Farmers now receive payments via mobile money. They are able to pay for inputs and rent tractors through their mobile phones, and access to credit is envisaged through the mobile digital platform.
Progress to date
So slightly over 200,000 farmers have been recruited on e-Granary, enabling access to inputs and crop markets, while 30,000 farmers are accessing extension messages.
Key value chain partner already secured and validated