Transcript RTIMP_Marketing_en

Regional Cassava Processing and Marketing Initiative


FIRST REGIONAL MEETING OF IFAD ROOTS & TUBERS PROJECTS
14-16 November 2007
Hotel Somatel - Douala, Cameroon
Cassava processing and marketing

ROOT AND TUBER IMPROVEMENT AND
MARKETING PROGRAMME (RTIMP) GHANA
MARKETING OF CASSAVA AND ITS
DERIVATIVES IN GHANA
PRESENTED BY :
DR. OPPONG MENSAH-ABORAMPAH
Cassava processing and marketing

NOVEMBER 2007
OUTLINE OF PRESENTATION
1. MAIN ACTIVITIES IMPLEMENTED
2. WAYS TO IMPLEMENT THEM
3. MAIN GOOD PRACTICES AND LESSONS LEARNT
4 MAIN SHORTCOMINGS (DIFFICULTIES) ENCOUNTERED
5 MAIN CHALLENGES AHEAD AND PLANNED ACTIONS TO
TACKLE THEM
Cassava processing and marketing

THE MARKETING & SME DEVELOPMENT
COMPONENT
OBJECTIVES
•
TO ASSIST R&T PROCESSORS ON HOW TO DEAL MORE
EFFECTIVELY WITH MARKET FORCES ;
•
TO TRAIN
BENEFICIARIES
IN THE ADOPTION OF
FORMAL BUSINESS PRACTICES;
3.
TO SUPPORT
BENEFICIARIES LEARN HOW
TO
ESTABLISH MUTUALLY BENEFICIAL LINKAGES WITH
OTHER ACTORS IN THE R&T COMMODITY CHAIN.
Cassava processing and marketing

THE MARKETING & SME DEVELOPMENT
COMPONENT
MAIN AREAS OF WORK
1. CONDUCT OF BUSINESS MANAGEMENT TRAINING;
2. CONDUCT OF MARKET IDENTIFICATION SURVEYS;
3. ESTABLISHMENT OF MARKET AND TRADE INFORMATION
SYSTEMS
Cassava processing and marketing

THE MICRO-ENTERPRISE FUND
OBJECTIVES
•
1.
TO INTRODUCE INNOVATIVE FINANCIAL SERVICES
(A MATCHING-GRANT FACILITY)
SPECIALLY
DESIGNED TO SUPPORT UPGRADING
OF
PROCESSING EQUIPMENT;
•
2.
TO SUPPORT A DRIVE OF MARKET-BASED R&T
COMMODITY
CHAIN
CREATION
THROUGH
PROCESSING.
Cassava processing and marketing

THE MICRO-ENTERPRISE FUND
MAIN AREAS OF WORK
1. TRAINING IN, AND SUPPORT TO,
BUSINESS PLANS
PREPARATION AND HAND-HOLDING OF CLIENTS TO
ACCESS FUNDS;
2 JOINT-MONITORING EFFORT FOR
BUSINESS PLAN IMPLEMENTATION .
Cassava processing and marketing

PROFIT-ORIENTED
DESCRIPTION OF MAIN ACTIVITIES IMPLEMENTED
A. Under RTIP:
 Training Needs Assessment (TNA) was conducted to identify training gaps
of beneficiaries. A study into the provision of a package of business support
services and innovative financial services was conducted;
 Conducted training in the utilization of High Quality Cassava Flour
(HQCF); this created demand base for HQCF in the country. Information
was collated on the potential market for cassava-based products in Ghana;
 Conducted capacity building trainings on marketing of cassava products and
information collated on potential markets for cassava-based products in
Ghana.
Cassava processing and marketing

DESCRIPTION OF MAIN ACTIVITIES IMPLEMENTED
B. Under RTIMP:
1. Initiated business development/marketing orientation and
sensitization sessions aimed at changing mind-set of beneficiaries
through programme launch presentations and other start-up
activities.
2. Started sensitization activities to stimulate the rural economy and
awakening of the entrepreneurial poors to build on the gains from
RTIP.
3. Sourced TSPs for the conduct of Business Development and
Marketing Training, in line with IFAD’s Private Sector policy.
Cassava processing and marketing

HIGHLIGHTS ON HOW ACTIVITIES WERE
IMPLEMENTED
1. Creating a market-based commodity chain system driven from processing
point of view.
2. Participation in a nation-wide corporate programme launch for target districts.
This offered opportunity for initial sensitization on innovative features of
RTIMP.
3. Innovative financial support to small-scale processing units – a Matching
Grant Credit /Lease System – The Micro-Enterprise Fund (MEF).
4. Involvement of a ARB-Apex Bank with downstream Rural and Community
Banks (closer to beneficiaries) in the management of the funds.
5. Risk minimization for participating financial institutions (PFIs) by way of
RTIMP supporting preparation of Business Plans and hand-holding
beneficiaries to access funds.
6. Joint post-financing monitoring efforts to ensure highest loan repayment rate.
Cassava processing and marketing

GOOD PRATICES AND LESSONS LEARNT
1. Use of technical working group partners meetings to address
trouble-shooting issues in business development/micro-enterprises
fund sub-components;
2. Design of business development and marketing training modules
and guidelines for conducting training based on experiences and
lessons learnt from other IFAD funded projects (ie: CBRDP, REPII );
3. Use of technical service providers (TSPs) to execute consultancies in
the Annual Work Plan;
4. Ensure institutional support and technical assistance subsidy in
development financing rather than subsidized interest rates which, in
the past, lead to distortion of rural financial markets;
Cassava processing and marketing

GOOD PRATICES AND LESSONS LEARNT
5. Introducing matching grants to replace confessionals interest
charges which had poor recovery rates;
6. Establishing stronger linkages within the chain to allow
production/supply and demand to meet.
Cassava processing and marketing

MAIN SHORTCOMINGS
(DIFFICULTIES ENCOUNTERED AND SOLUTION FOUND)
1.
Start-up activities extended a bit too long into actual implementation of
components – specific planned activities.

2.
Getting MOFA staff in target districts, key implementation partners (IPs)
and other stakeholders to be at the same level of understanding of departures
of RTIMP from RTIP has been quite challenging.

3.
Original planning had to be adapted to new circumstances.
District planning workshops, stakeholders and business fora are being used to bridge
gaps of understanding .
The fact that financial support is not being directly extended to farmer has
been a contentious issue at all fora.

The indirect but sustainable benefits to be accrued to farmers by enhancing
operational capacities and efficiency of processors is gradually settling.
Cassava processing and marketing

MAIN CHALLENGES AHEAD AND REQUIRED
ACTIONS
1.
Liquidity status of PFIs to provide funds under MEF is being
debated hectically at Technical Working Group Meetings.


RTIMP exploring means of drawing resources from CBRDP residual
funds;
RTIMP considering possibility of establishing wholesale medium –
term funds at ARB Apex Bank to be accessed by PFIs.
2.
Matching grant-leasing arrangements for the purchase of
processing equipments seems a bit complicated to PFIs and
beneficiaries.
3.
Having in place a
system for RTIMP.

cost-effective
market/trade information
RTIMP benefiting assistance from RCPMI.
Cassava processing and marketing

ROOT AND TUBER IMPROVEMENT AND
MARKETING PROGRAMME (RTIMP) GHANA
Cassava processing and marketing