By Michael Hamp, IFAD
The creative partnerships and innovative solutions showcased at the 2nd Mekong Knowledge and Learning Fair (MKLF) held in Bangkok last week (10-12 July 2019) have sparked interest not only in the region, but also participants from Africa.
MKLF was organized by the IFAD Mekong sub-regional hub with the support of the Government of Thailand, the Bank for Agriculture and Agricultural Cooperatives (BAAC), public and private agro-industrial and food conglomerates and several producer cooperatives. Smallholder producers, agribusinesses and financial institutions shared innovations and good practices related to inclusive and resilient smallholder agricultural transformation in Cambodia, Lao PDR, Myanmar, Vietnam and the Philippines. The fair combined lessons learnt from IFAD-supported projects with government programmes, business initiatives, NGOs' and other stakeholders' work on agricultural productivity, profitability, environmental sustainability and equitable rural economic development. The aim of the fair was to learn from each other and to build a community in development of inclusive and sustainable agricultural value chains and market initiatives. The strategy behind it was to access and leverage knowledge, expertise, share insights and mutually exchange experiences.
I was fascinated by the "learning cycle" approach introduced by the organizers that addressed behavioral change and engaged creative, positive mindsets as a powerful means to listen, inform and to improve knowledge exchange.
My key take aways from the learning cycle are certain trends of Public-Private Partnerships (PPPs) across the ASEAN countries as well as the rest of Asia.
This might be a major reason for the widespread smallholder–private sector linkages in various forms of contract farming, collaborative farming for market-oriented production supported by agricultural extension services, including subject matter specialists and advisers from food processing and retail businesses. Latest technological developments in contract farming – besides modern farming techniques - relate to digitally secure data exchange and electronic payment solutions, such as pay-as-you-go solar water pumps for farmers, market intelligence systems (price, weather, production data), and corresponding e-wallet mechanisms between farmer and off-taker.
Several countries highlighted their achievements in leveraging systems for improved food security and environment protection. In particular how standards and food safety get harmonized with internationally recognized standard setting bodies applied by all stakeholders in the value chain. Audits and certifications ensure the compliance of quality, clean and safe practices for agricultural produce, including agricultural waste for fertilizer production (e.g. vermicomposting), non-toxic plant treatment, organic farming systems and traceability (for example: QR Trace system for SMEs to create confidence of consumers that the products are standardized, safe and good quality; Digital Farm online market website to link high quality products from farmers to consumers directly).
I really got excited by the trend to use digital solutions to reach younger smallholder farmers and the more tech-savvy youth in smallholder households who own a mobile phone. There are more and more online matching platforms emerging that aim at connecting farmers and entrepreneurs with financial service providers for short-term working capital, payments, savings and investment needs. Latest platform developments are not only about their catalytic role for financial services, but they also provide access to exclusive learning materials, enable peer-learning among local producers, liaising with key stakeholders and businesses in the local ecosystem.
One tech-enabled platform that is committed to creating a community of young farmers and rural entrepreneurs in Cambodia was really outstanding. Therefore, I would like to give special attention to BRONX Technology Ltd, a technology solution start-up company in Phnom Penh that will render its services to the IFAD supported Sustainable Assets for Agriculture Markets, Business and Trade (SAAMBAT) project, co-funded by the Korean supplementary grant. The product is called Chamka App, an ICT4D application for direct dial extension and as a cloud-based market platform. The mobile technology is key for enabling farmers, particularly Cambodian young farmers to access services such as knowledge, finance, markets, weather, etc. First of all, the farmer will be trained to use the mobile app, to learn about SAAMBAT and other relevant programmes (videos, online documents). Then, data regarding his farming system (land size, cultivated commodities, etc.) get recorded to allow the user to track his cash flow and to specify request for advice and supply. Assessed and trusted suppliers can publish their quality products for sale through the app. Chat messaging (voice, video, text, image, etc.) with subject matter specialists is the new type of extension service. On top of this, market information and linkages with wholesale buyers for purchase contract can be provided.
The creative partnerships and innovative solutions showcased at the 2nd Mekong Knowledge and Learning Fair (MKLF) held in Bangkok last week (10-12 July 2019) have sparked interest not only in the region, but also participants from Africa.
MKLF was organized by the IFAD Mekong sub-regional hub with the support of the Government of Thailand, the Bank for Agriculture and Agricultural Cooperatives (BAAC), public and private agro-industrial and food conglomerates and several producer cooperatives. Smallholder producers, agribusinesses and financial institutions shared innovations and good practices related to inclusive and resilient smallholder agricultural transformation in Cambodia, Lao PDR, Myanmar, Vietnam and the Philippines. The fair combined lessons learnt from IFAD-supported projects with government programmes, business initiatives, NGOs' and other stakeholders' work on agricultural productivity, profitability, environmental sustainability and equitable rural economic development. The aim of the fair was to learn from each other and to build a community in development of inclusive and sustainable agricultural value chains and market initiatives. The strategy behind it was to access and leverage knowledge, expertise, share insights and mutually exchange experiences.
I was fascinated by the "learning cycle" approach introduced by the organizers that addressed behavioral change and engaged creative, positive mindsets as a powerful means to listen, inform and to improve knowledge exchange.
My key take aways from the learning cycle are certain trends of Public-Private Partnerships (PPPs) across the ASEAN countries as well as the rest of Asia.
- Multi-stakeholder partnerships and – more institutionalized – multi-stakeholder platforms have become foundational for inclusive, economically viable and environmentally sustainable development.
- Technology has become the buzzword that is now intrinsically intertwined with economic and financial inclusion and radically improving the linkages between smallholder producers, farmers' organizations and cooperatives, private sector agribusinesses and financial service providers.
This might be a major reason for the widespread smallholder–private sector linkages in various forms of contract farming, collaborative farming for market-oriented production supported by agricultural extension services, including subject matter specialists and advisers from food processing and retail businesses. Latest technological developments in contract farming – besides modern farming techniques - relate to digitally secure data exchange and electronic payment solutions, such as pay-as-you-go solar water pumps for farmers, market intelligence systems (price, weather, production data), and corresponding e-wallet mechanisms between farmer and off-taker.
Several countries highlighted their achievements in leveraging systems for improved food security and environment protection. In particular how standards and food safety get harmonized with internationally recognized standard setting bodies applied by all stakeholders in the value chain. Audits and certifications ensure the compliance of quality, clean and safe practices for agricultural produce, including agricultural waste for fertilizer production (e.g. vermicomposting), non-toxic plant treatment, organic farming systems and traceability (for example: QR Trace system for SMEs to create confidence of consumers that the products are standardized, safe and good quality; Digital Farm online market website to link high quality products from farmers to consumers directly).
I really got excited by the trend to use digital solutions to reach younger smallholder farmers and the more tech-savvy youth in smallholder households who own a mobile phone. There are more and more online matching platforms emerging that aim at connecting farmers and entrepreneurs with financial service providers for short-term working capital, payments, savings and investment needs. Latest platform developments are not only about their catalytic role for financial services, but they also provide access to exclusive learning materials, enable peer-learning among local producers, liaising with key stakeholders and businesses in the local ecosystem.
One tech-enabled platform that is committed to creating a community of young farmers and rural entrepreneurs in Cambodia was really outstanding. Therefore, I would like to give special attention to BRONX Technology Ltd, a technology solution start-up company in Phnom Penh that will render its services to the IFAD supported Sustainable Assets for Agriculture Markets, Business and Trade (SAAMBAT) project, co-funded by the Korean supplementary grant. The product is called Chamka App, an ICT4D application for direct dial extension and as a cloud-based market platform. The mobile technology is key for enabling farmers, particularly Cambodian young farmers to access services such as knowledge, finance, markets, weather, etc. First of all, the farmer will be trained to use the mobile app, to learn about SAAMBAT and other relevant programmes (videos, online documents). Then, data regarding his farming system (land size, cultivated commodities, etc.) get recorded to allow the user to track his cash flow and to specify request for advice and supply. Assessed and trusted suppliers can publish their quality products for sale through the app. Chat messaging (voice, video, text, image, etc.) with subject matter specialists is the new type of extension service. On top of this, market information and linkages with wholesale buyers for purchase contract can be provided.
The Chamka App is also a tool for the farmer to access collateral-free microloans (up to around US$100) by partner MFIs based on the business profile and payment history the farmer has built with BRONX' own lending scheme. Last but not least, the farmer will be allowed to place his product on the virtual market place for sale to traders, restaurants, markets and consumers via the app. Payment will be made via bank transfer, e-wallet or VISA card, directly deposited in the farmer's digital wallet with immediate notification and balance information. A team of developers will need to assess the quality of the app and further develop and improve the platform over time.
Moving forward such multi-stakeholder partnerships and platforms will be crucial to addressing the challenges of sustainable and inclusive agricultural value chains and food security. At this point, besides all excitement, I remain humble by the complex task ahead, new partnerships and the nuanced youth farming ecosystem.
Moving forward such multi-stakeholder partnerships and platforms will be crucial to addressing the challenges of sustainable and inclusive agricultural value chains and food security. At this point, besides all excitement, I remain humble by the complex task ahead, new partnerships and the nuanced youth farming ecosystem.