Empowering small emerging commercial farmers: A Mozambique success story

Having seen so many smallholder farmers trapped in low agricultural productivity in Mozambique, I had always wondered what models could help transform the sector. It turns out that a little boost in Mozambique can help emerging smallholder farmers create partnerships with and pull others out of subsistence farming. This approach has the potential to gradually reshape the narrative for Mozambican farmers, a staggering 98% of whom currently rely on subsistence farming.

On a recent trip to the Meconta district, Nampula Province, I met Laura José, an inspiring 43-year-old farmer from the Naperere community. Laura harbored a deep-seated aspiration to become a successful farmer and uplift fellow subsistence farmers to enhance their agricultural output. Her journey as a small emerging commercial farmer on a 6-hectare plot of land gained momentum when she learned about an opportunity through the World Bank-supported Sustainable Rural Economy Program, MozRural. This initiative solicited business plans from small emerging commercial farmers to bolster agricultural production by collaborating closely with subsistence smallholder farmers.

This model facilitated by Laura involved small emerging commercial farmers doubling as private sector extension agents, offering support and commercial services to networks of smallholder subsistence farmers. These emerging farmers crafted business plans, underwent competitive evaluation, and, upon success, contributed a minimum of 20% towards the investment and remained matched by the project. This funding covered productive assets, agricultural inputs, and technical assistance, addressing the challenges of low agricultural productivity in Mozambique due to various factors like limited access to inputs and markets and inadequate extension services and mechanization. Among the assets included a tractor, which helped to increase her mechanization efforts on her land and assist other smallholder farmers she worked with.

Although Mozambique's agricultural sector contributes significantly to GDP and employment, it faces productivity issues compared to its regional counterparts. Laura was among the 608 smallholder emerging commercial farmers supported by MozRural, which has disbursed $51 million in matching grants. Her business plan, approved in 2022, allocated funds for sesame, maize, and pigeon peas production, including acquiring a tractor and input kits.

Through Laura's initiative, 80 smallholder subsistence farmers, including 21 women, received support with agricultural inputs, market assurance, and extension services. Over two agricultural campaigns, Laura expanded her farmland to nearly four times its original size, with a notable focus on sesame production to meet market demand. This expansion led to a three-fold increase in sesame production and a substantial rise in revenues - eight-fold. Improved use of inputs, technical assistance, and adoption of agronomic practices contributed to enhanced yields and significant revenue growth for Laura, enabling her to substantially improve her family's living standards.

The success of Laura's venture underscores essential lessons:

1. Ownership drives commitment: Laura's personal investment in her business plan fostered a sense of ownership and responsibility, crucial for sustainable growth and effective partnerships with smallholder farmers.
2. Group mobilization enhances cohesion: Organizing farmers into groups promoted unity towards shared goals, facilitating targeted extension services and collective bargaining for better prices.
3. Assured markets stimulate production: Laura's role as an aggregator and buyer provided smallholder farmers with market security, reducing post-harvest losses and encouraging increased production.
4. Technical assistance spurs growth: Integrated support for improved inputs and technical assistance yielded significant productivity gains, highlighting the importance of technological advancement in agricultural development.

Moving forward, efforts should focus on strengthening market linkages for aggregated produce, potentially exploring value-addition opportunities. Access to market information, digital marketing tools, and infrastructural improvements will be critical. Moreover, integrating resilience measures to combat the effects of climate change is imperative for sustainable agricultural production and broader societal benefits.

Laura's story exemplifies the transformative potential of empowering small farmers. She realized her aspirations by leveraging partnerships, innovation, and a commitment to agricultural advancement. She catalyzed positive change within her community, laying the foundation for a more prosperous agricultural sector in Mozambique.