Farmers in Kieni Constituency, Nyeri County, are defying the notion that smallholder farmers cannot meet private sector market demands. The private sector often shuns conducting business with smallholder farmers because they often have a challenge meeting the quantity and quality market requirements. 

Conversely, FCI under the DoHoMa intervention, a programme supported by the Bill and Melinda Gates Foundation, has proven that when farmers are able to meet the bulk demanded, they too can effectively participate in trade as key players. FCI assesses every opportunity that is viable for smallholder farmers and designs and develops business models that allow the participation and competitiveness of smallholder farmers in markets. 

FCI’s Commercial Village Model (CVM) brings smallholder producers together for collective action so that the small volumes produced are marketed collectively through the Commercial Village. Farmers produce in various farmland units and market in large volumes in order to meet market requirements.

Mercy Nyambura has been in the onion business for over eight years operating from Karatina, East Africa’s largest open air market. She initially began from as low as 100kg volumes but now she sells about ten tonnes of onions per month.

Mercy testifies that farmers in Kieni are meeting Karatina market’s demands, attracting traders and sustaining business. This is evidenced by the fact that four years ago, before the inception of the DoHoMa project, Mercy and her fellow traders would mainly source their onions from Tanzania; Tanzania had the best quality of onions as the market demanded.

“Although Kieni is closer to Karatina, farmers would grow the open pollinated varieties which are very low quality and do not sell in this market. So traders would not source from them. However, right now, I can verify that Kieni has the best quality of onions. FCI has trained farmers on how to grow hybrid onions which are being demanded by this market, and so we no longer need to travel to Tanzania to source for the onions, except during some months” she says. 

Through direct linkages between traders and buyers, middlemen who often exploited both the farmer and the trader have been eliminated, enabling both parties to negotiate for prices directly. 

“FCI linked me and my fellow traders to the Commercial Villages. It is now easier to communicate directly to the farmers. When the onions are ready, the Commercial Village chairmen contact me and we negotiate on the price and when we agree, we go and pick the onions up. I can also contact the chairmen when I need to know what volumes are available,” she says.

Mercy collaborates with her fellow traders. For example, if she is not able to buy the entire amount bulked by the farmers, she passes this information to other traders. When she does not have money to pay the farmers, then she borrows from her fellow traders and refunds after selling. This networking has ensured that farmers have ready market for their onions.

The vibrant onion business in the area has also created employment for the youth. The youth are involved in sorting and grading the onions when they arrive at Karatina market. They also load up the lorries.

Mercy says the biggest challenge for the traders is the poor road network. 

“We hope the roads can be repaired because this will also enable us to buy at better prices from the farmers. Because of the poor roads, the drivers charge a risk allowance, and this cost is transferred to the farmers,” she says.

Nevertheless, Mercy remains optimistic about the future.

“As a trader, I am assured of thriving business because I am able to meet my customers’ need from the regular supply. From the onion business, I have been able to educate my children. I am able to send my children to the best schools in Kieni. I am planning to buy a car in the next four months, and in the next five years, a plot,” she says.

The Semi- Arid Region Commercialization Programme implemented by World Vision Kenya and Farm Concern International with support from World Vision Australia enabled smallholder farmers in Kalawa and Mwala to post impressive sales in the month of June. In Kalawa, sales worth Ksh 921,970 were realized in while in Mwala, farmers managed to make sales worth 319,450. Farmers made the sales primarily from the sale of green grams, tomatoes and cowpeas in Kalawa and tomatoes, watermelons and onions in Mwala. . 

A year ago Ezekiel Mutuku, commonly known as Katethya (trade name), one of the most successful green gram traders in the region was linked to 742 farmers in Kathulumbi, Kathongo, Ndauni, Kavumbu and Miageni Commercial Villages under the Programme. This made it convenient for him to access the green grams because of collective action. According to Katethya, before the market linkage, he used to travel long distances looking for produce to buy which would consume a lot of time and money. 

One of the factors necessary for sustaining the economic impact of smallholder farmers and enhancing their livelihood resilience is savings. From the onset, the Semi- Arid Region Commercialization intervention in Mwala and Kalawa Integrated Programme Areas (IPAs) set out to increase the financial capital through market led savings.. 

Success stories  

The success stories from Mithanga Horticultural CPG & Muamba CPG give an indication of what the Programme has been able to achieve through its Commercial Village savings model.

Mithanga Horticultural Commercial Producer Group, in Mwala IPA,  was formed by 20 members five years ago with the purpose of increasing their income through growing and selling vegetables as well as savings through “merry go round” system. 

Each member of the group would save Ksh 100 per month and receive Ksh 2,000 after 20 months. With this system of saving, it took one and a half years and the amount of money received was too little to investment in business. However, through capacity building initiatives by World Vision in partnership with Farm Concern International (FCI), the 20 farmers were trained on cash flow and loans managements, record keeping and investment. 

 As a result, 10 members borrowed Kshs 100,000 from the savings scheme and were able to purchase moneymaker pumps and construct back herds for water harvesting. In addition, four members of Mithanga Horticultural CPG used the water pumps for onion farming and got total sales worth Kshs 32,000. 

Currently the CPG has been linked to Vision SACC0 and trained on loan management. Seven members applied for a loan of Kshs 200, 000 to purchase drip irrigation kit.

A few years ago, Isabella Paul, a widowed mother of two from Muruguma village in Eastern Kenya, considered farming an inadequate way to earn a living. This was because all her previous endeavours to make profit from farming carrots and cabbages had proved futile. However, two years after joining the Domestic Markets Regional programme implemented by Farm Concern International and funded by Bill and Melinda Gates, she has been able to pay school fees for her daughter from onion and Irish potato farming.

“We surely attest that onion farming has been a good source of income for us. The income from sales enabled me to send my daughter Nkirote to Ruiri Girls where I comfortably paid her school fees until she joined Egerton University,” says Isabella. Onion and Irish potato farming has now improved her income and raised her family's standard of living.

The programme was designed for domestic market mainstreaming with a focus on Traditional Africa Vegetables (TAVs), bulb onion and Irish potatoes. FCI has been implementing the Programme with the aim of empowering farmers such as Isabella, through enhanced market access for smallholder farmers. The selected crops were primarily based on relatively high market share potential, growing demand, higher returns on investment and relatively easy agronomic husbandry requirements for the crops. The Programme predominantly targets domestic markets in Maua, Gakoromone, Isiolo, Laare, Nkubu and Nanyuki.

Isabella has a four-acre farm within the busy and commercially active Muruguma village on which she planted onions and Irish potatoes on two acres. She attributes her success to the knowledge received from FCI staff that horticulture farming is a viable enterprise.

She planted Irish potato in the last season and sold 182 bags at Ksh 2,500 per bag at farm gate price to Makena Christine and received Ksh. 455,000 within the month of May. She was able to secure the fair price as a result of market linkages by FCI.

Her journey to opulence started with a visit to Kisima Farm, Nanyuki, Kenya, where she saw how Irish potato enterprise was changing fortunes of farmers. “Use of certified seed is something I thought only belonged to the class of rich and wealthy,’’ Isabella remarked. She added that, "Derek Roulston taught us the importance of using certified seed, and I came to realize clean seed pays. Look at me now,” she says.

As the Irish potato enterprise flourishes, Isabella and other members of Muruguma Commercial Village recognize that Irish Potato farming can bring newfound prosperity to their community. They have learned to grow quality varieties and have become competitive suppliers at the Meru Slopes Hotel, West Wind Hotel and Continental hotel within Meru town.

“Going forward, our target is to seek certification from KEPHIS and other regulators to enable us commercially produce potato seed for the Meru County and beyond,” avers Isabella. 

Isabella intends to continue cultivating Irish potato for the rest of her life now that through DoHoMa programme, her life has been transformed.

DoHoMa is covering two districts in the Southern Region of Malawi: Zomba and Thyolo. One of the objectives of the program is to increase competitiveness through a value chain-wide capacity building for smallholders in order to achieve commercialization. Mrs. Asidi of Thokozani CPG in Mandala Commercial Village in Zomba has widely benefited from adopting the agricultural practices promoted in the program.

Mrs. Asidi joined the CPG in 2011 and has been one of the exemplary members of Thokozani CPG. Over the period she has been in the program, she increased her land acreage and from the maize, pigeon peas, cassava, rice, onion and vegetables sales, she was able to buy to build a house in 2013.

Mrs. Asidi is also a member of Thokozani CPG savings and internal lending scheme. In May, she realized K 60,000 (USD 150) and used part of the money to buy a pig expanding her enterprise. From adopting Good Agricultural Practices such as growing in volumes and planting quality clean seed, she has also been able to attract buyers. FCI linked her to Matia and Jali markets where she sells her produce.