Agribusiness Out Growers

5 replies, 2 voices Last updated by  K. Afrane Okese 2 days, 17 hours ago
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  • #5396

    Kwabena Opoku
    Participant
    • Topics - 1
    • Replies - 3
    @opax1955

    I want to form out growers for my cassava plantation; what are some of the agreement should I have for them?
    Is it good to have your own hire worker?
    if you are doing mechanize farming what should be the spacing if you are using ridger?

    These are further information you requested:

    What are they producing for you?  Cassava  Raw Tubers

    Are you financing their production: They will be using the land developed by our company, supplying them all the needed materials and equipment.

    Can you come clearer on “your own hired worker”? : Company’s own Nucleus farm.

  • #5399

    K. Afrane Okese
    Keymaster
    • Topics - 18
    • Replies - 92
    @kafraneokese

    Kwabena, you will basically need to know what exactly you want to produce, the quantity and probably the quality. After the preferred output is determined then the roles the various parties need to play to achieve the preferred output. In this case your input and the input of the out growers.

    Make sure the two parties are satisfied with the agreement or farmers wouldn’t mind selling to other buyers at the end of the season.

    I have attached a sample MOU with farmers that will guide you. You will need to customize it to suit your arrangements.

    The planting distance when using a ridger should be 1m x 1m to ensure good planting population. This is the planting distance if you are producing cassava tubers.

  • #5410

    Kwabena Opoku
    Participant
    • Topics - 1
    • Replies - 3
    @opax1955

    OPAX AFRICA LIMITED
    OUT GROWERS’ PROGRAMME
    Opax Africa Limited will have a robust out growers’ programme. The out growers will be located around 50km radius from the factory in 3 different local governments, 6 clusters and 10 farmers’ organization. As OF2018, Opax Africa Limited will have more than 1000 committed farmers cultivating 2500 hectares and several others who attend Opax Africa Limited but not on her database. There is a plan of increasing the farmers base to 1500 committed farmers by 2020. The farmers will have an average of 20-25 tonnes per hectare with the plan of increasing it to average of 25-30 tonnes with the use of fertilizer and best agronomic practices. Opax Africa Limited shall offer the following services to her out growers’ Farmers:
    TRACTORIZATION:  Opax Africa Limited will give support to the farmers in terms of land preparations by offering them tractors for both 1st ; 2nd plough and ridging. Opax Africa Limited currently will have its own tractors,  ploughs, harrows, 1000 liters boom sprayer with planter and harvester in view for next planting season. Opax Africa Limited have a team led by Mechanization/Agric Engineer; tractor technicians and operators dedicated for this purpose

    PROVISION OF INPUTS: Inputs such as chemicals (both systemic and contact herbicide), fertilizer, and stem cuttings are provided for the farmers in the out growers’ scheme.

    LINKING THEM TO BANK FOR FINANCE: Opax Africa link farmers to bank in order to access loan to maintain their farm. This service is only provided to trusted and committed farmers.

    EXTENSION SERVICES:  Opax Africa will have a robust extension team of 8 staff who work round the clock to supervise the farms of her farmers, provide consultancy services and training as needs arise and also monitor their farms

    TRUST:  An unbroken trust will exists between Opax Africa and her out growers’ farmers. This has to be developed to attracted many farmers to join in the largesse of the scheme. Farmers are carried along before major decisions are carried out and most of the policies of Opax Africa are bottom-top approach i.e it emanates from them.

     

  • #5418

    K. Afrane Okese
    Keymaster
    • Topics - 18
    • Replies - 92
    @kafraneokese

    Very clear and elaborate. This is your part of the MOU.

    The details of what you expect from them farmers will now also be added on the MOU.

    • #5419

      Kwabena Opoku
      Participant
      • Topics - 1
      • Replies - 3
      @opax1955

      what will you advice on our expectation from them?

      • #5422

        K. Afrane Okese
        Keymaster
        • Topics - 18
        • Replies - 92
        @kafraneokese

        I remember you said the farmers will be producing for you cassava tubers.

        So the farmers part of the MOU is that they will sell or give you the cassava tubers after harvest or after an agreeable period.

        If they will sell to you, then a price and terms of payment must be stated.

        Is your agency also going to take care of the cost of harvesting? That needs to be understood by the outgrowers.

         

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