Context Agriculture enterprise development: a dynamic space but with critical gaps and limited connectivity.

Key challenges No ‘Go to’ place for local entrepreneurs/farmer organisations Limited farmer organisation Unorganised staple food markets Smallholder access to finance a sticking point. Lack of support

to small-scale farmer enterprises at a pre-competitive stage Lack of trust – perceptions of smallholder behaviour and

corporate exploitation

The Opportunities Making links from small farms to markets in Africa:

• Drivers of change often private & internal – local agency• Process – an enabling & facilitative approach - more

important than any specific form or model Rapidly expanding domestic markets as well as

increasing interest in sourcing from smallholders in export markets.

Interesting innovations in commercialisation of advisory and capacity building services

Recognition of gap and potential for solutions from the convergence of development and business thinking

African Agriculture Alliance

A brokerage, facilitation and knowledge serviceEnabling small-scale producers and processors in Africa to engage technical and business service providers and to access markets and investment.

A social enterprise, using a franchise business model to develop a sustainable and scalable way of supporting agricultural enterprise development.

Bringing together a multi-sector alliance to:

Responsive to the priorities of farmer organisations & entrepreneurs and local, regional & global market opportunities.

Share knowledge

Build capacity

Make connections

InfluenceLearn & build evidence of impact to reshape how system works

Aim - Impact

Wellbeing - Increase productivity and incomes of rural smallholders

Resilience - more resilient farming systems and value chains

Empowerment - Transforming the position and negotiating power of small-scale producers and processors

Values

I Integrity

Innovation

Inspiration

Principles

Accessibility

Sustainability

AAA Value Proposition

Producer & Processor Clients Producer organisations

Farmer associations

Cooperatives

Small/medium agro-processing enterprises

Local NGOs & CBOs

Entrepreneurs

Current challengeNowhere to go to get support to

develop own ideas, specific to their local context and capacity

AAA will provide anAccessible facilitator and mentoring service• Help to think through ideas and understand

different options.• Support in developing organisation and/or

enterprise plans • Link to relevant service providers, help develop

ToRs, engage services and provide feedback.• Support to access markets and investment

opportunities• Flexible service from one off engagement to

longer-term mentoring relationship

Market Clients

Local, regional, global markets

Private sector companies

Entrepreneurs

Current challengeSourcing the quantity and quality required of a

commodity, including timeliness and regularity of supply.Concern over resilience of value chains and

commitments to source from smallholders but limited capacity to identify/engage suppliers.

AAA will provide a Market Brokerage function

• Provide a screening service to help identify potential suppliers

• Introduce potential clients, providing a record of engagement with AAA and capability assessment

Current challengeLack of investor ready initiatives.

Hard to invest lower down the value chain & increase poverty impact whilst maintaining balance of risk. Capacity to

support pre-competitive stage

AAA will provide aInvestor Brokerage function

• Increase the number and scope of investor ready enterprises

• Refer potential clients who match investor’s profile, providing record of engagement with AAA and capability assessment

Investors Grants & loans

Impact investorsBanksMFIs

Foundations

Service providers in building:Technical capacity:• Agricultural production &

processing• Value chain development/

commodity platforms• Certification, auditing, quality

assurance• Logistics and technologyBusiness capacity:• Business strategy• Organisation development• Financial planning & control• Management skills• Farmer record management• Funding proposal development• Legal assistance• Communication

Current challengeMore likely to be driven by donors (or corporates) than respond to demand

from ground. No mechanism for small-scale producers/processors to

proactively access their services

AAA will provide anInformation platform and service market place

• Link AAA clients to service providers resources, skills and services

• Share knowledge products – help dissemination & uptake of high quality materials.

• Enable transparent client feedback • Bring together with other service providers,

markets and investors in building diverse support packages to meet clients specific needs

Facilitator Franchise

Technical support/capacity

building

Investment/Grants

Strategic Fund

Knowledge Bank Communication

tools

Potential core components

A hub & spoke modelFacilitator Franchisee

Raise awareness of AAA and build client base

Develop information platform of local service providers, resources and knowledge base

Manage facilitation & mentoring service – farmer organisation and individual entrepreneurs

Provide market & investor brokerage function

Engage in learning hub, franchise CoP and local learning networks

Manage records of engagement and outcomes

AAA Central hub Build alliance strategic partnerships Guidelines for facilitation service, market and

investment brokerages Quality control, monitoring & evaluation Mentoring support to franchisees Manage learning hub including franchise CoP,

documentation and dissemination of impact and learning – within AAA & externally

Support franchises in branding, IT, communication, Refine business model Secure investment for scaling up

Key Features A demand driven facilitation and mentoring service for

small-scale producers and processors A brokerage function for businesses and investors in agri-

enterprises in Africa. An accessible information platform linking rural users

with the most relevant knowledge resources and services. A learning hub enabling the sharing of experiences

internally, engagement in relevant national/global learning networks and evaluating the impact of the AAA model and different products and processes.

Quality assurance of knowledge, services and products.

AAA in Practice – case examplesNyimba District Farmers Association – Zambia

Meki Batu Cooperative – Ethiopia

Next Steps & Critical Questions

• Complete research phase – Produce scoping document and research report including stakeholder mapping. Client survey

• Develop business model – look at revenue streams and pathways to sustainability

• Pilot in 2 countries - where to start?• Secure investment

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AAA is being established by Self Help Africa with strategic partners