The Sunday Mail
Word from the market with AMA
The provision of irrigation has been a set objective of the Government of Zimbabwe right from the onset of independence. Even though some irrigations schemes used to exist before independence, there has been an expansion in irrigation schemes and facilities in the post- independence era and this has brought with it multiple benefits to rural communities that include among others security of livelihoods, food and nutrition security, job creation and the broadening of economic activity along different agribusiness value chains.
Irrigation schemes as hubs of economic activity for Agro-dealers
Research in Manicaland province has shown that irrigation schemes serve as hubs of economic activity for agro-dealer enterprises located at growth points either within the irrigation schemes or near irrigation schemes.
Irrigation schemes generate demand for inputs such as seeds of field crops and horticultural crops, inorganic and organic fertilisers, agrochemicals and farming implements just to mention a few.
The demand for these inputs, creates business opportunities for inputs suppliers such as agrichemicals companies, fertiliser companies and seed companies.
Seed companies and research Institutions are now conducting crop variety testing trials at irrigation schemes and this further raises the uptake of new crop varieties, raising demand for seeds.
The year round production of different crops at irrigation schemes and the high intensity of crop cultivation means that the demand for farming inputs is constant throughout the year and hence it generates a steady flow of cash for agro-dealer enterprises linked to irrigation schemes.
The output from the irrigation hub farming activities include fresh horticultural produce, different types of dry grains and incomes from the marketing of the produce. In irrigation schemes that are also producing for export, it means that the national economy is also benefiting from the foreign currency that is generated.
Studies have also shown that there are significant differences in annual household incomes between households that have a plot in the local irrigation schemes, and those ones that do not have a plot.
Surveys at irrigation schemes such as Nyakomba and Nyamaropa in Nyanga district, Marange and Chitora in Mutare district, Chakohwa and Nyanyadzi in Chimanimani district, and Murambinda and Dewure in Buhera district have shown a high correlation between farming activities in irrigation schemes, and business opportunities created for the local agro-dealer shops located within the adjacent growth points.
Opportunities for Value addition
There is also great scope for the value addition enterprises to process produce that comes from irrigation schemes. An excellent example of localized value addition is the Tabasco chili processing plant at Nyakomba Irrigation Scheme in Nyanga district . The processing plant has created jobs for local people and generates business opportunities for agro-dealers based at Nyamaropa Growth point.
The fact that the processing plant is located within the irrigation scheme cuts down on transport costs to the plant and there are fewer post-harvest losses because of the short distance to deliver the produce.
If such models can be replicated in other irrigation schemes this can go a long way in improving community resilience and sustenance of livelihoods.
The thrust to grow the irrigation infrastructure in Zimbabwe is one route to cushion the agriculture industry from the vagaries of climate change.
The business activities that are generated from irrigation scheme hubs are contributing towards the growth of the national economy especially in building resilience in local communities. The agro-dealer enterprises play a key role in supplying irrigation scheme hubs with the required farming inputs thus generating business opportunities for whole communities
This article was written by Dr Walter Manyangarirwa of Africa University. Word from the market is a column produced by Agricultural Marketing Authority. Feedback [email protected] or [email protected]
