Tag: Amhara

Farmers see a demonstration of how the two-wheel tractor functions. (Photo: Simret Yasabu/CIMMYT)

Leasing scheme helps farmers purchase small-scale agricultural machinery

Written by Rodrigo Ordóñez on January 27, 2020. Posted in Features.

A new small-scale agricultural machinery leasing scheme became operational in Amhara region, Ethiopia, in December 2019. The initiative offers farmers and group of farmers the opportunity to buy agricultural machineries with only 15-20% advance payment and the rest to be paid during a three-year period. Three farmers participated in the pilot phase of the project.

This initiative, led by the International Maize and Wheat Improvement Center (CIMMYT) and the German Development Agency (GIZ), is one more step to expand small-scale agricultural mechanization in Ethiopia. CIMMYT and GIZ have explored this area of work since 2015, in collaboration with government and private partners.

Subsistence modes of production, shortage of quality agricultural inputs and farm machinery services are some of the impediments to expand agricultural productivity and enhance food security in Ethiopia.

Small-scale agricultural mechanization, in the Ethiopian context, improves the quality of field operations. For example, farmers are benefiting from row planting, optimal plant population, more precise seed and fertilizer placement, efficient utilization of soil moisture during planting window. The timing of operations is also very important — delays in planting could have a serious negative impact on yield, and harvesting and threshing must be done at a time when there is no labor shortages. Small-scale mechanization drastically saves time and labor compared to conventional crop establishment systems, and reduces yield loss at the time of harvesting and threshing.

Farmers walk by irrigated potato fields during a field day to learn about the use of small-scale agricultural mechanization. (Photo: Simret Yasabu/CIMMYT)

Despite these advantages, the adoption rate has been too low. A survey conducted by IFPRI and Ethiopia’s Central Statistical Agency in 2015 shows that only 9% of farmers in Ethiopia use machine power to plough their land, harvest their output, or thresh their crops. A significant number of farmers continues to use conventional farming systems, using animal and human labor.

Ephrem Tadesse, small-scale mechanization project agribusiness specialist with CIMMYT, said that most of the land holdings in Ethiopia are small and fragmented, and thus not suitable for large agricultural machineries.

CIMMYT and its partners introduced the two-wheel tractor and tested it in different parts of the country. One of the challenges has been the issue of access to finance to buy tractors and their accessories, because of their relatively high costs for individual farmers to buy with their own cash, noted Ephrem.

CIMMYT and GIZ have been working with selected microfinance institutes to pilot a machinery leasing scheme for small-scale agricultural mechanization. For several years, they have partnered with Waliya Capital Goods Finance Business Share in the Amhara region and with Oromia Capital Goods Lease Finance Business Share Company in the Oromia region. In December 2019, three farmers in the Machakel district of the Amhara region were the first ones to receive their machines through this scheme.

Farmers in the district of Machakel participate in a field day to learn about the use of small-scale agricultural mechanization. (Photo: Simret Yasabu/CIMMYT)

Tesfaw Workneh is the father of one of the beneficiaries. “This is great opportunity for farmers like my son to access small-scale agricultural machinery,” said Tesfaw. His son only paid 30,000 Ethiopian birr, about $1,000 — that is 20% of the total cost to own the different agricultural implements. Now, he is able to provide service to other farmers and get income, he explained.

Several types of machinery are being considered for this leasing scheme, using the two wheel-tractor as the source of power: planters, harvesters/reapers, threshers/shellers, trailers and water pumps.

For farmers like Alemayew Ewnetu, this kind of machinery is a novelty that makes farming easier. “Today, my eyes have seen miracles. This is my first time seeing such machineries doing everything in a few minutes. We have always relayed on ourselves and the animals. Now I am considering selling some of my animals to buy the implements,” said Alemayew.

Demelsah Ynew, Deputy Director of Waliya Capital Goods Finance Business Share, noted that his company was established six years ago to provide services in the manufacturing sector. However, after a discussion with CIMMYT and GIZ, the company agreed to extend its services to the agriculture sector. When revising our role, he noted, we considered the limitations farmers have in adopting technologies and the vast opportunity presented in the agricultural sector. Demelsah explained that to benefit from the leasing scheme, farmers will have to fulfill a few minimal criteria, including being residents of the area and saving 15-20% of the total cost.

Researchers visit maize fields in Ethiopia's Wondo Genet Agricultural Research Center. (Photo: Peter Lowe/CIMMYT)

New tools guide interventions against acid soils in Africa using lime

Written by Jérôme Bossuet on October 31, 2019. Posted in Blogs.

One major reason why maize productivity in sub-Saharan Africa is very low is poor soil health. Soil acidity is often mentioned because of its impact on crop yields and the extent of acid soils in the region. A recent soil mapping exercise, conducted by the Ethiopian Soil Information System (EthioSIS) under the administration of the Ethiopian Agricultural Transformation Agency (ATA), estimated that 43% of arable lands were affected by acid soils and that 3.6 million people, about 10% of the total rural population, live in areas with acidic soils.

Very acid soils — those with a pH below 5.5, roughly one hundred times more acidic than neutral soils — are associated with certain toxicities, like aluminum and iron excess, and some nutrient deficiencies. Soil acidity pushes soil nutrients out of reach of the plant, leading to stunting of root system and plant. As a result, the plant becomes also less tolerant to drought.

Soil acidification depends on soil nature, agroecology and farming systems. It happens through natural leaching of CO2 after rainfall and excess application of nitrogenous fertilizer or organic matter, for instance.

As a result, soil acidity significantly affects maize yields. In Ethiopia, studies have revealed substantial impacts on crop productivity related to acid soils and the importance of acid soil management for Ethiopia’s food security. The Ethiopian Institute of Agricultural Research (EIAR) estimated that soil acidity on wheat production alone costed the country over 9 billion Ethiopian Birr, about $300 million per year.

Acidic soils in the limelight

Preliminary analysis led by the International Food Policy Research Institute (IFPRI) suggests that yields of major cereal crops, such as wheat and barley, could increase by 20 to 40% with the application of lime in acidic areas of the country.

While these preliminary results are significant, we need to know more about local farmers’ experience with acidic soil and their mitigation strategies. Such impact assessments are however typically determined at either the national or experimental plot level and do not map where mitigating against acid soils would be the most profitable.

To improve acid soils, farmers may apply lime on their fields to raise the pH, a practice known as liming. How much lime to apply will depend on the crop, soil type but also on the quality of lime available. Liming has multiple beneficial effects like improving nitrogen fixation of legume nodules, boosting yields of legume crops.

But liming has a cost. It can quickly become a very bulky affair as we need to apply 3 to 4 tons per hectare for sandy soils and up to 8 tons per hectare for clay and humifere soils.

Furthermore, existing lime markets are quite limited or even non-existent in many areas, even those where acidic soils are prevalent. Developing supply chains from scratch is difficult and costly. Understanding the costs and potential returns to such investments is important. There are many questions to ask at different levels, from the farm and farming system to the lime supply chain. What are the available lime sources — calcitic, dolomite or blend — and lime quality? Where are the lime processing units and how could you assess the transport cost to the farms? What could be the crop yield response depending on the lime application?

User-friendly and scalable dashboard

IFPRI, in collaboration with EIAR, the International Maize and Wheat Improvement Center (CIMMYT) and the German aid agency GIZ, developed a pilot in Ethiopia’s Amhara region to help better target lime interventions for a greater impact. Amhara region was chosen because of the importance of acid soils, and access to extensive soil data.

Combination of several spatial datasets on soil quality, agroecological, weather, long-term agronomic trials and crop modelling tools enabled to generate at scale, georeferenced estimates of crop yield responses for different lime applications. Calibration of this spatial model for wheat estimated a yield increase of approximately 30% increasing the pH from 5.5 to 6.5, which is relatively consistent with general research data and expert opinion.

Mapped estimates of the grain prices and the delivered costs of lime, based on the location of the lime crushers in the region and transport costs, enables then to map out the spatial profitability of lime operations.

Initial calculations revealed a great variability of lime costs at the farmgate, with transportation representing at least half of total lime costs. It showed also that farmers often do not use the most cost-effective combination of inputs to tackle soil acidity.

Another possible application is to determine maize growing areas where lime benefits outweigh the costs, which would be ideal sites for demonstrating to farmers the positive impact lime applications could have to their livelihoods.

This Amhara lime dashboard prototype demonstrated its scalability. A national dashboard is currently being developed, which includes lime sources GPS location, grain prices and district-level soil quality mapping. This approach is tested also in Tanzania.

CIMMYT and its partners plan to package such tool in a user-friendly open-access web version that can be rapidly updated and customized depending on the area of intervention, for instance integrating a new lime source, and applied for different crops, and across the Eastern African region. Such dashboards will help development organizations and government make better informed decisions regarding lime investments.