Monday, August 25, 2014

Partners inject USD25m to increase fertiliser supply in Tanzania, Ghana

By Prosper Makene
African Fertiliser and Agribusiness Partnership (AFAP)
The African Fertiliser and Agribusiness Partnership (AFAP) through a Soil Health Programme has set aside USD25m to increase fertiliser supply, reduce the price by at least 15 percent, and double total use in Tanzania, Ghana and Mozambique.

 
AFAP is collaborating with the New Partnership for Africa’s Development (NEPAD), the Alliance for Green Revolution in Africa (AGRA), the International Fertiliser Development Center (IFDC), the African Development Bank (AfDB), and the Agricultural Market Development Trust - Africa (AGMARK). 
 
The partners are working together to promote the development of sustainable fertiliser markets in Africa and have designed AFAP to specifically increase private sector participation and investment in their ongoing initiatives.
 
According to AGRA’s new report launched late last week, AFAP’s intervention promises to have nine new or improved blending and/or granulation plant facilities, 600 new or improved retail or cooperative storage facilities, and to deliver 225,000 tonnes to farmers in the three focal countries, the goal is in addition to the 187,000 tonnes that the Soil Health Programme is targeting.
 
“The principal operating mechanism of AFAP is through Agribusiness Partnership Contracts under which eligible international, regional or local agribusinesses apply to AFAP for assistance and, in exchange, agree to perform significant market development activities with local farmers and/or businesses,” the report says. 
 
 “AFAP is also working to develop “hub agro dealers” who have large storage capacity and a business that can support smaller dealers in their area as a move to enhance the process, AFAP provides both matching grants and technical support,” reads the report.
 
The report which is titled ‘Seeking Fertile Ground for a Green Revolution in Africa’, says that AFAP has set credit guarantee facilities with eight banks for suppliers and others in need of large credits and has leveraged USD1.1 million from other donors, with further proposals submitted and approved valued at USD 3 million. 
 
It notes that AFAP has so far invested about USD 5.2 million with seven fertiliser companies and approved 35 partnership contracts. 
 
“AFAP has also signed agreements with the United States Agency for International Development (USAID), NEPAD, and the Common Market for Eastern and Southern Africa (COMESA), and has developed agreements with the Ministries of Agriculture in Tanzania, Ghana, and Mozambique,” the report reveals.
 
The analysis AGRA focuses on intensive efforts initiated five years ago to move aggressively to support smallholder farmers in sub-Saharan Africa, where lack of agriculture extension services and a scarcity of basic soil supplements have contributed to severely depressed yields for crucial staples like maize, banana and cassava. 
 
While farmers in many parts of the world regularly harvest up to five tons of maize per hectare (about 2.5 acres), African farmers typically harvest one tonne. Overall, depleted soils cost African farmers USD4 billion each year in lost productivity.
 
  “We’ve shown that it’s possible to work on a very large scale to help smallholder farmers adopt sustainable and profitable approaches to crop production, with the proof there for all to see in the form of significantly larger yields,” said Dr. Bashir Jama, director of AGRA’s Soil Health Program.
 
 The new evidence of success in addressing what many agriculture experts view as the most significant soil health crisis in the world comes in the wake of a June summit in Equatorial Guinea, during which the leaders of African Union member countries pledged to significantly step up their support for the continent’s long neglected agricultural sector.
 
As part of their commitment to ending hunger in Africa by 2025, the heads of state cited the need to double agricultural productivity, with access to high quality “inputs” for crops at the top of the list.
 
 According to the AGRA analysis, unsustainable farming practices, like failure to rotate crops or apply mineral or organic fertilisers along with persistent soil erosion are depriving croplands across sub-Saharan Africa of 30 to 80 kilos per hectare of essential plant nutrients like phosphorous and nitrogen.
The report warns that such losses threaten to “kill Africa’s hopes for a food-secure future.”

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