Milk production. Interventions focused on increasing fodder production in order to improve animal health and milk yields. We brought together four input suppliers and nine farmer cooperatives. Fodder varieties were selected and planted in demonstration plots. Seeds were supplied by local SME partners, who are optimistic about growth of the dairy value chain and therefore willing to invest. To support farmer training we developed a fodder production manual in Portuguese, based on a manual produced by 2SCALE partners in Kenya. The manual is now being used by trainers and extension staff at local level; wider dissemination will begin next month. An informal agrodealer network has been created to distribute feed concentrates and forage seeds. Ten coaches were recruited and trained, and are now working with farmer groups to improve feeding practices.
Agribusiness training. In August and October, agribusiness coaches were trained on financial literacy, including saving options, budgeting and credit sourcing. The coaches are now training dairy farmers in their community. The goal is to help farmers save, and pool their savings to invest in feeds, veterinary care and milk transport.
Processing, marketing and distribution. Agromaco has invested in a major expansion. A new factory with modern processing equipment was installed recently. We helped broker a contract between Agromaco and dairy cooperatives, specifying quality standards and pricing mechanisms. Farmers now have a guaranteed market, the company has a secure supply of high-quality fresh milk. Agromaco is now developing new dairy products such as yogurt and long-life milk, and exploring a new distribution system (designed with help from 2SCALE marketing experts) using a network of street vendors.
2SCALE funding for this partnership has now phased out, but activities continue to expand. Agromaco’s supplier network – currently 500 farmers from six cooperatives – is growing. New partners have come on board, providing technical services and business support. Transformation will not happen overnight, but with Mozambican entrepreneurs taking the lead, expect this growth to continue.