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US$20K grants for smallholder farmers

Leonard Ncube ,[email protected]
SMALLholder farmers across selected provinces in Zimbabwe can now access grants of up to US$20 000 for agricultural projects under the Smallholder Agriculture Cluster Project (SACP), a Government initiative aimed at fostering market-led, climate-smart agriculture.


The SACP is a six-year programme running from 2021 to 2027, and it is being implemented by the Ministry of Lands, Agriculture, Fisheries, Water, and Rural Development in collaboration with the International Fund for Agricultural Development (IFAD) and the Opec Fund for International Development (Ofid).


Focusing on 18 districts across five provinces — Matabeleland North, Mashonaland Central, Mashonaland East, Mashonaland West, and parts of Midlands — the project seeks to develop value chains, enhance resilience to climate change, and improve irrigation systems to cushion farmers from adverse weather conditions.
SACP national project co-ordinator, Dr Godfrey Nehanda, said the project has three components which include value chain development, formation of agriculture producer groups, and micro and small enterprises.


Activities include capacity building, business development and financial literacy for farmers.
Dr Nehanda said SACP is working with the Reserve Bank for Zimbabwe (RBZ) on the line of credit for smallholder farmer groups.
“The focus is on value chain mobilisation where there is the identification of key lead enterprises and formation of agriculture producer groups constituted by smallholder farmers of which 50 percent should be women and 30 percent youth operating in specific value chains,” he said.


“The idea is to build the capacity of those producer groups to increase production and productivity.”
Dr Nehanda said the third component is the micro and small enterprises that offer services to smallholder farmers.
SACP, in collaboration with the Reserve Bank of Zimbabwe (RBZ) and partner financial institutions, is introducing a line of credit and matching grants for smallholder farmers.


“We are also assisting smallholder farmers to be able to produce business plans that can attract funding. SACP is putting money in the form of a line of credit to be administered through the Reserve Bank of Zimbabwe working with partner financial institutions that will onward lend,” said Dr Nehanda.
The grants will be provided on an 80:20 matching ratio, where the project contributes 80 percent of the required funding, while beneficiaries provide the remaining 20 percent. The maximum grant amount ranges from US$15 000 to US$20 000.


Dr Nehanda said the project borders around climate-proofed infrastructure components, value chain, and irrigation schemes rehabilitation where a total of 1 780ha will be worked on, fenced, and drip irrigation facilities installed.
The project also focuses on the development of “last mile feeder roads “where a maximum of 89km will be worked on in rural areas connecting main roads to the main activity areas such as the market to facilitate the movement of goods.


SACP is also targeting prolific boreholes in partnership with the Zimbabwe National Water Authority and Rural Development Agency.
Boreholes are being solarised and installed with 10 000 litre tanks.
“We are introducing climate-smart agriculture providing drinking troughs, washing basins, and potable water points for the targeted communities as we complement the efforts of Government.


“There is a fourth contingency component where the lead funder can mobilise funding to respond to issues. We are trying to respond to drought issues in collaboration with Government,” said Dr Nehanda.
The project works closely with Government agencies, including Agritex, Zinwa, and the Irrigation Department, to ensure effective implementation. SACP’s team is currently operational in Matabeleland North, while capacity testing for boreholes is ongoing in other provinces to identify sites for the next phase. — @ncubeleon

Sinokubonga Nkala

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