Uganda exports its coffee thanks to its 1.7 million smallholder farmers. The country is now the largest exporter of coffee in Africa and also ranks eighth in the world. In the last 20 years, the coffee export business has accounted for 20% to 30% of the country’s foreign exchange earnings. This kind of success has been made possible because of exporters who have offered to work directly with farmers to ensure quality management in the farms. The elimination of middlemen is crucial because it motivates farmers to mind the quality of their crops so that they can fetch higher prices for their produce. The existence of a ready market and instant pay also motivates farmers to adopt good farming practices. About 60-80% of export revenues go directly into farmers’ pockets. The country can still do better if farmers see increased government support and collaboration with exporters. Read the article at African Business Magazine.
Dear D –
Do you know that most of the population in Sub-saharan Africa is rural-based? Moreover, there are lots of idle farms in the remote areas that could be used productively, yet many farmers practice subsistence farming. There is so much unexploited potential for money generation. What many African countries are lacking are the structures to support small-scale farmers in rural Africa. There is need to create institutions which connect farmers to a ready market that will offer them direct remuneration to better their livelihoods and have surplus capital to support commercial agriculture. Farmers also need access to farming technology, financing, and good infrastructure. Africans in the diaspora can assist rural farmers by sharing their knowledge to help them adopt better farming practices. They can also help formalize the sector and create opportunities for produce exchange or exportation to help small-scale farmers earn a living.