The AGENT programme is being implemented in Zimbabwe by CARE International
with support from a variety of donors. The objective is to develop
agricultural input retailers in communal areas. The programme started
in November 1995 with 17 agents, and reached 500 by 1999. CARE,
along with the community and Government staff, identified potential
agents in communal areas according to tightly defined criteria.
CARE provides basic 2 - 3 day training to the agents, covering information
about the agent programme, business training and basic information
on agricultural inputs and their role in agricultural production.
Follow-up training and support is also provided, particularly during
the first three months. Programme staff, agribusiness suppliers
and Agritex (Government extension staff) are involved in providing
training input.
CARE
acts as supplier of inputs to the agents: it receives their orders
monthly, consolidates these and makes bulk orders to the suppliers.
In some cases CARE orders direct from manufacturers, in others it
works through large wholesalers. In one area CARE is involved in
setting up a regional wholesaler. CARE organizes the transport to
the agents. Goods are supplied to the Agents on a 30-day credit
from CARE, after which time interest is charged at 3% per month.
The system is not directly subsidized:CARE charges for transport
and levies a 2.5% administration fee. A credit limit of Z$30-50,000
(US$ 3-5,000) is allowed per agent (depending on the region). There
is a systematic monitoring and auditing process by CARE: unsatisfactory
agents get closer support and monitoring, and may eventually be
excluded from the programme. Typical stock sold by agents is fertilizer
(Compound D base dressing and Ammonium Nitrate), hybrid seeds (mainly
maize), insecticides, animal feeds, animal treatments, cement, fencing
and doors and farm implements. The largest sales are of fertilizers.
Analysis
IFAD
evaluated the scheme in mid-1997 and found that:
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The pilot programme had demonstrated that the approach to improve
input supply based on market forces was viable.
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Agent turnover had averaged US$1,000 per month; the first 17 agents
had received US$220,000 worth of inputs; 95% of repayments were
made on time and no agent had yet defaulted.
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Agents were reaching 55% of farmers (i.e. an average of 1,100
farmers out of 2,000) in their catchment area. Farmers have to
travel an average of 5 km. Farmers make an average of five visits
to the agent per year and purchase both seed and fertilizer. Farmer
yearly purchases were in the range Z$500-3,000 (US$30-200). On
average agents were 16 km apart.
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The mark-up of agents ranged from 5-30% with an average of 16%;
most thought the mark-up would go up next year, but this would
depend on competition.
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Most farmers purchasing inputs suggest that these are additional
purchases (rather than a simple transfer of retail outlet use).
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The demonstrations had shown potential successful links between
input supply and extension efforts
The
Agent programme is interesting in that although it has a solid commercial
base, there is also a social side: agents are selected by their
community and there are certain expectations for them to provide
additional services, such as advice, to farmers.
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