EMRC Workshop iv Fred Muhhuku, agra

COMMERCIAL OPPORTUNITIES

FOR AGRI-INPUTS:

By Fred Muhhuku

AgriBusiness Forum 2010 | 3 – 6 October 2010 | Kampala, Uganda.

• OUTLINE OF PRESENTATION:

• State of Agriculture in SSA

• Agri-inputs as drivers of

production

• Business opportunities in agri-

inputs


• State of Agriculture in SSA.

• Low use of improved inputs=Low

productivity

• Limited local production – availability,

accessibility, cost

• Limited germplasm [seeds]/Raw materials

• Financial constraints

• Marketing & distribution constraints

• Low demand among smallholders

• Policy constraints

Maize yield trends in selected

regions

Use of improved maize varieties in

SSA

http://www.agra-alliance.org/

Agri-inputs as drivers of production

Poor maize crop Good maize crop


The Chemical Fertilizer industry in China

The Technology Works! – even for

Poor, Smallholder Farmers

0

200

400

600

800

1000

1200

1400

1600

1800

2000

Local Variety, No Fertilizer

Local Variety Plus Fertilizer

Hybrid Variety, No Fertilizer

Hybrid Variety Plus Fertilizer

838,125

1271,25 1215

1935

Kg

Mai

ze G

rain

pe

r H

a

Effect on Maize Yields Among Smallholder Farmers in Western Kenya from Adoption of Improved Seed and Fertilizer, 1997-2007


• The Opportunities

AWARE

FAMILIAR

CONSIDER

HAVE USED

CURRENTLY USE

LOYAL

Building Your Customer Base

UNIVERSE OF POSSIBLE CUSTOMERS

Country

Area

(x mil

ha)

Seed

demand

(x1000 mt)

Ethiopia 1.7 42

Kenya 1.6 39

Tanzania 2.6 64

Uganda 0.7 17

Angola 0.8 19

Malawi 1.4 35

Mozambique 1.2 30

Zambia 0.6 14

Zimbabwe 1.4 34

Benin 0.7 16

Ghana 0.7 19

Mali 0.3 8

Nigeria 3.6 89

Total 17.3 427

Seed sales (1000mt)

OPV Hybrids % DD

2.0 6.2 19

1.7 26.3 72

3.9 7.3 18

3.5 2.2 35

0.8 0.2 5

5.4 2.5 22

3.1 0.2 11

0.5 9.7 73

2.2 25.9 80

na na na

0.2 0.001 1

0.02 0.0 0.3

2.4 1.8 5

25.7 82.3 28

Estimated maize seed demand and supply in Africa in 2006/07

Building on recent progress

• New tools for breeding, etc

• New tools for networking

• New ways of learning

• Emerging private sector

• Public > Private licensing

• Regional Economic Communities


• SOME OPPORTUNITIES:• Crop Breeding & Variety Development

• Seed Multiplication

• Seed Processing & Packaging

• Local fertiliser production – phosphates,

oil/Gas

• Fertiliser blending & packaging

• Agri-input distribution systems


• THANK YOUFred Muhhuku,

Alliance for a Green Revolution in

Africa [AGRA],

P.O. Box 66773-00800,

Nairobi, Kenya.

[email protected]


Documents

EMRC Workshop iv Fred Muhhuku, agra