Saturday, July 26, 2008

Kufufuza Msika (Market Research)

We decided to set off on the market research tour to assess the markets in the Luangwa area.This time of year any vehicle heading towards Lusaka is very difficult to access. Many of the farmers have just sold their crops and are eager to head to the big city. We waited by the roadside from 9:30 until 15:30 which is a new record. The truck was overloaded and we didn't get there until after 17:00. We arrived at the school well after dark to find that the guest accommodation was occupied so we crashed on the couches and it was freezing! The demand was less than we had anticipated but it will still be profitable even if it won't be a get-rich-quick miracle. I'm trying to stay positive. Rome wasn't built in a day. An overwhelmingly large operation as the groups introduction to contract farming might have been a disaster anyway. At least that is what I'm going to tell myself.
All three boarding schools made tentative agreements to buy Cabbage, Onion and Tomato from us although two of the schools were only interested in recieving shipments for two of the three terms. Luangwa high school also said that they would buy 100 bags of maize from us.

The follow up meeting went well although three of the farmers were not in attendance. Everyone that came has said that they are financially sound to source the inputs required, which is good. Now our next step is to find a cheap way to order fertilizer (it will have to come from Lusaka or Malawi). We are looking into collaborating with other farmer groups to minimize transport costs. Mr. Chaala at the head office in Nyimba is assisting us in drafting the contracts. It seems like everything could go great but time is really winding down so things have to happen somewhat fast!

The First Farmer Meeting

At Thursdays meeting all of the members attended, which was great. Bassa kept me guessing and he showed up a few hours late. None of the old men from his area made it. That was kind of a drag but I guess thats the breaks. Initiative is something that has to just be there to some degree. If someone won't make the effort, they can't be forced. In the meeting first we talked about crop profitability. We also brainstormed potential markets where our farmers could have a comparative advantage and we arranged a market research tour. They decided that everyone should contribute an equal amount and that Pio and I should go. I think that Pio and I probably have the most marketability, but just the two of us going will be limiting the amount of learning that can be happening for the group. In the end the decision belonged to the group. Most of the profitable crops that we talked about like tomato and cabbage require a substantial amount of inputs, such as fertilizer and insecticide. It made me somewhat worried about the farmers that have less financial capital.
I was also nervous about all of the farmers being able to come up with the 18,000ZK for the research tour. especially because those that have more access to inputs might profit a lot more and dominate the enterprise. I was really worried about Bassa coming up with the cash to contribute for the tour but he was the first one to bring it at the next meeting. Its great to see his enthusiasm. I really hope that the project can work out as well for him as it does for the other farmers involved....

Reaching the poorest of the poor and seeing unexpected Capital

JUNE 12th
I've been thinking a lot about my goals at the beginning of the summer and have been making an effort to stay critical of my partner organization. One thing that had made me very uncomfortable about the organization initially was the 30,000 ZK joining fee. How can I help the poorest of the poor with this restriction? It made me think that maybe working as a government extension worker like some of the JFs in Ghana would have been a placement that provides a more pro-poor approach. This week I was wrapping up the last of the farmer interviews. Yesterday I went to Peter's place. He was accompanying me to interpret interviews for some more farmers.
Peter is a farmer that has shown some serious initiative to take his farming operation to a more commercial level. Food security is not an issue for his family, increasing profits is the main goal. We walked from his place deeper into the bush to visit the next farmer, about ten kilometers from the road. As we walked he explained the purpose of the visitor who had come while we were taking our breakfast. The man had been doing piecewoork, digging furrows for Pio's garden with three other labourers. This man prematurely collected more than his fair share of wages. When the other three had found that their share was less than expected, Pio stood firm and said that it was an issue that shouldn't be resolved by him paying more but that they should resolve the issue themselves. After all he had payed the agreed price. I asked him how much he paid them I was astonished to hear that it was 2,500 ZK, which amounts to 71.4 cents. It occured to me that these were those living on less than a dollar a day that the millenium development goals describe. It really troubled me and the rest of the walk I struggled with the nature of my placement. Maybe I could justify that helping build the capacity of the member farmers will help them send their children to school, which would add to the capacity of the nation as a whole. The walk was pretty long and so was my pessimistic internal dialogue.
When we reached our destination at Bassa's place, thinkgs looked OK the irrigation farrows looked similar as some of the other skilled, productive farmers. Then the interview process started. I was further impressed to learn that Bassa as well as his neighbours were completely organic, and had never seen fertilizer use. He grows sweet potato, cabbage, bananas and even rice. Rice is not normally grown in Eastern province, maize is the much more in demand staple crop. When the issue of maize production was (finally) raised. We found that Bassa had planted 8 lima, which is two hectares. His yield unfortunately was less than ten bags (totalling 500 kgs.) Peter looked at me and informed me that this size of a field should be producing something in the neighbourhood of 400 bags. It had been a difficult farming season due to flooding but to me that news was shocking.
When we talked about the main challenges of farming, Bassa's neighbour mentioned hunger. He also mentioned that with small yields one can be forced into doing piecework for other farmers to secure food. It was as if divine intervention had heard my internal struggle on the long walk over and immediately addressed it by bringing these farmers into contact with me. His neighbour was especially interested in the potential link to organic markets.
Peter and I started going through some 'farming as a business' concepts with the farmers over lunch. They expressed that road access was very difficult. They had tried pitching the idea of building a road to the community but most of the elder farmers rejected it as a waste of time and labour when hunger was still a source of adversity. Bassa called for one of the children to fetch his step father, one of those who staunchly opposed the road building idea. (Road Building meaning cutting down trees so that an oxcart can pass). The stepfather arrived with a firend and upon arriving, the other old man said to me in English,
"We can join, but we need to know when we will get the fertilizer." I explained that directly giving inputs was not one of the activites of the association.
"What benefits have you seen from the association?" The old man challenged Bassa (who is a member)
"None! because nobody in this community will collaborate with me." The two men explained that the reason they would never join is because their current problem was one of inputs and initial capital. They said that membership could only be considered once their problem of initial capital was addressed.
"You have no capital?" Peter asked.
"No." The old man replied.
"What do you use to buy things like soap? Don't you have any crops which don't require fertilizer? That you could sell to raise some small amount of capital?" Peter further challenged.
"No."
"Irriko! (its there)" Bassa thundered in. It was become somewhat clear that there was an attitude limitation on the capital which could be realized by the farmers.
We started doing some inputs minus outputs calculations to assess the profitability of the maize field which we were gazing out over....

Planting, weeding and harvesting... 75 days labour @ 2,500 ZK (piecework charge) = 187,500
Transport to hammermill .... = 120,000
Grinding at hammermill .... =160,000
Total input cost = 467,500

Total value of the 10 bags of maize... = 450,000

Some were shocked, some laughed and a lot of conversation ensued. We talked about the importance of individual labour as capital. If one wastes their main source of capital like this, how are they supposed to increase their income? At the end of the conversation, Peter asked again,

"So do you have capital?"
"Yes" they all replied with smiles and nods.
"We wont give money but there is money in sharing idea, so you are free to come to the meeting on Thursday and see how much more we can benefits, when we are an even larger group."

"Tizaonana pa Chennai (We will meet on Thursday)" we all said as we parted.
I was so impressed and proud of Peter. After that brief period of time their answers had completely shifted from "no" to "yes". Now I felt like we really had the opportunity to reach 'Dorothy'.

Z-UNIT

Z-UNIT
Team Zambia Arrives

Freedom

Freedom
Me and Brian in Lusaka at the Freedom Statue

Bringing home Dinner in Lusaka