Farmer organisations (FOs) are playing an increasing role in supporting smallholder agriculture in Africa. However, previous experiences have been mixed: what support do they need to contribute effectively to poverty reduction?

Recent years have seen growing interest in FOs as mechanisms for supporting agricultural development. FOs are increasingly seen as an important bridge between the private sector and farmers. Research from Imperial College, UK, and the University of Malawi assesses what policies and practices can support FOs in this role.

In Malawi, as in many other countries, FOs have a mixed record and face several challenges. There are striking examples of successful FOs which have improved members’ incomes through better access to market and other services. However, many FOs have failed.

FO’s face several challenges, including:

• Conflicting interests and expectations among farmers, employees, governments, donors and non-governmental organisations. These groups may look to FOs to provide low cost commercial services to members, increased incomes or wider social services to rural commmunities.
• The need for strong leadership, but dangers of resource misuse by strong leaders in weak organisations where members lack basic literacy and business skills.
• A weak and often unhelpful business and institutional environment with high risks, poor security, traditional attitudes to business, political interference and unhelpful regulations governing FOs.
• Physical difficulties in agricultural production (for example, poor soils and uncertain rainfall).
• Poor infrastructure and rural services.
• Poor health status in rural areas, particularly the effects of HIV/AIDS.
• A difficult wider economy with high interest rates and inflation.
• Low literacy levels amongst farmers limiting their ability to contribute to the FO.

These challenges make FOs difficult to manage. They reduce the benefits of FO membership, increase uncertainty, encourage short-term planning strategies and limit members’ willingness and ability to invest in FOs. They also have implications for external support: the greater the challenges facing FOs, the more they need external support. Unfortunately, this often undermines FOs’ focus on their members’ long-term interests.

Establishing and governing FOs is difficult. Local adaptability, diversity and accountability to members must be balanced against the need for clear, stable and standard procedures. FOs must be effective and professional, but with low-cost management. They should focus on linking their members to other organisations providing technical, financial and market services, but limit the services they provide themselves to their members.

The research recommends that:

• FO establishment and governance, activities and external support must ‘fit’ each other and the challenges FOs face.
• FOs and their leadership must be independent of political influence.
• Some long-term support is justified for most FOs; this should build FO governance and encourage FOs to be more accountable to their members.
• Governments should provide a supportive legislative environment, including independent and transparent FO auditing.
• External support to FOs should be long-term to allow them to learn how to be effective and efficient before they expand.

Source(s):
‘Walking Tightropes: supporting farmer organisations for market access,’ Natural Resource Perspectives, Number 99, by Ephraim Chirwa, Andrew Dorward, Richard Kachule, Ian Kumwenda, Jonathan Kydd, Nigel Poole, Colin Poulton and Michael Stockbridge, November 2005 Full document.

Funded by: UK Department For International Development Crop Post Harvest Research Programme

id21 Research Highlight: 16 March 2006

Further Information:
Andrew Dorward
Centre for Development and Poverty Reduction
Centre for Environmental Policy
Imperial College London (Wye Campus)
Ashford
Kent, TN25 5AH
UK

Tel: +44 (0) 20 7594 2679
Fax: +44 (0) 20 7594 2838
Contact the contributor: a.dorward@imperial.ac.uk

Imperial College, UK

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