Deadline: 21-May-21
The Ministry of Commerce, Trade, and Industry (MCTI) through the Zambia Agribusiness and Trade Project (ZATP) are looking for Business Proposals/Business Models from Cooperatives/Producer Organizations. The proposal shall be based on strong concepts or innovative ideas with a high potential for developmental impact and strong financial sustainability.
The ZATP aims to increase market linkages and firm growth in Agribusiness in Zambia, by working with Producer Organizations. Examples of the types of Producer Organizations (POs) that are targeted are: Cooperatives, District Business Associations, District Farmers’ Associations, and Community Based Organizations that have Business Registration. The Project supports small scale and emerging farmers already involved in production and value addition to sustainably link into commercially viable value chains based on agreements with larger end markets.
The Project aims to achieve this by facilitating the formation of ‘Productive Alliances’ that bring together producers and buyers into medium to long term commercial relationships. The project support focuses on strengthening the linkage between producers and buyers in commercial alliances, through the provision of core inputs, productive investments, technical assistance, and business development services.
The project will accept proposals from the following five provinces, in the listed districts and surrounding areas:
- Lusaka Province: Lusaka, Chilanga, Chongwe, and Kafue
- Eastern Province: Chipata, Lundazi, Katete and Petauke
- Central Province: Kabwe, Kapiri Mposhi, Chisamba and Mumbwa
- Copperbelt Province: Ndola, Kitwe, Lufwanyama and Mpongwe
- Southern Province: Livingstone, Choma, Monze, and Mazabuka
What will the Project Support?
The project will provide the following assistance:
- Market Brokerage: Linkages to new and high-value markets to enable farmers to get better prices and earn assured incomes.
- Matching Grants: For the acquisition of productive inputs and small infrastructure investments that will enhance the productivity and market position such as irrigation equipment, transportation, packing facilities, or storage facilities.
- Complementary Infrastructure Investments to enhance the productivity of Producer Organizations (POs’) and unlock more local areas that have economic potential and therefore facilitate the creation of more Productive Alliances. As such, the project will fund small scale basic access or rehabilitate market infrastructure.
- Technical assistance including Mentoring and Coaching.
Eligibility Criteria
The Project supports smallholder producers (emerging and poor farmers) from selected districts of Zambia, who meet the following requirements:
- Must be Zambians and domiciled in the subproject areas;
- Legally registered Cooperatives and groups able to do business in Zambia and possibly beyond;
- Should be tax compliant with a valid tax clearance certificate;
- Should have proof of land ownership;
- Have at least two years of experience in the productive activity proposed for the Alliance;
- Be market-oriented and willing to be assisted to be linked to specific markets, with specific agreements, having established (or potential) demand from the private sector or public sector for the types of products and services they are offering;
- Attach Letters of Intent from prospective/existing Buyers and Off takers, where applicable;
- Have a track record of success in group enterprises and good governance practices;
- Develop a viable business/sub-project proposal and financing plan, based on a sound organizational profile that includes evidence of:
- a cohesive group which is in good standing with registration authorities and having no less than TEN (1o) paid-up members willing to participate;
- No history of fraud or illegal activity;
- No current or active grants from donors or government (except FISP), to ensure that assistance goes to those who actually need it; and
- Financial stability and capacity to match the competitively allocated grant financing as per grant financing guidelines of 30%: 70% match.
- Active bank account showing at least 3 months’ statement;
- Be smallholder farmers, whose land holding is less than 5 hectares (ha) for small scale and between 6 and 20 hectares (ha) for emerging farmers? Their major source of income should be from production/harvesting and sale of commodities produced from this land;
- Be producers of the crop, livestock, aquaculture, or non-timber forestry commodities, working together in the production of one (or one set of) commodities to an agreed set of market requirements as determined and should be in active discussion with a buyer or buyers;
- Be a non-public servant
For more information, visit http://www.zatp.org.zm/?page_id=2897