Building a Reliable Supply of Agricultural Inputs in Mozambique
The biggest problem facing agrodealers in Mozambique is lack of capital to purchase agricultural inputs, particularly fertilizers and improved seed. For reasons such as lack of collateral, agrodealers in the districts can not access to loans from the main banks located in province capitals. In addition, there are few microfinance institutions operating in the districts, and those existing are financing the purchase of agricultural products and not inputs. As a result, agrodealers are unable to access soft loans and end up lacking funds for the purchase of inputs.
CNFA was a key collaborator in the USAID/Mozambique Agricultural Input Markets Strengthening (AIMS) project that was coordinated by the International Fertilizer Development Center (IFDC) and also involved the International Institute for Tropical Agriculture (IITA) and the International Crop Research Institute for the Semi-Arid Tropics (ICRISAT). The AIMS project, which ran from Nov. 1, 2006 to Apr. 1, 2009, contributed to USAID/Mozambique’s Strategic Objective 6: Sustained Increase in Rural Incomes and worked to address Mozambique’s challenges in achieving increased agricultural productivity and improved food security through the revitalization of the agricultural sector, which will ultimately result in rapid increases in rural incomes.
CNFA’s primary activity within AIMS was to train commercial trainers to deliver business management and accounting training courses to input retailers. Following successful completion of the course, participants were awarded recognition as CNFA/AIMS certified agro dealers.
The ultimate goal of AIMS was to open up and establish competitive markets and agrodealer networks as the primary mechanisms through which farmers access improved agricultural technologies for accelerated growth in agricultural production. AIMS was designed to work with both the public and private sectors in achieving the following explicit objectives:
- Increased availability of agricultural inputs (fertilizer, improved seed and crop protection products) in the Beira and Nacala corridors where USAID and other agricultural development programs are under way and where prospects for commercial development are improving.
- Increased adoption of best input technology packages for key commodities in the Beira and Nacala corridors based on profitability and potential for adoption by smallholders.
- Reduced fertilizer and seed costs to the smallholder farmers and increased input quality and diversity in the market.
- Increased crop productivity of selected commodities in target areas.
- Enhanced commercialization of smallholder agriculture through linkages with input/output markets.
- Well-functioning input supply systems.
During the lifetime of AIMS, CNFA developed, facilitated and supervised a basic Business Management Training Program; implemented two rounds of formal training of trainers programs for independent commercial trainers; forged relationships between agrodealers and supply companies; and assessed training benefits for agrodealers. Key highlights of CNFA achievements under AIMS are as follows:
- A total of 253 individual participants attended BMT sessions and 215 of these participants successful completed the course and were certified.
- A total of 36 sessions were conducted. These included 16 project presentation sessions and 20 formal trainings (5 TOT and 15 agrodealers).
- 36 training sessions and project presentations were conducted.
- 8 wholesalers, 4 representatives from MFIs and 4 GoM officials were retained for conducting BMT for agrodealers.
- 1 agrodealer received a loan from the Ribaué district Local Development fund. 14 additional agrodealers had submitted applications as of March 2009.
- 10 agrodealers are involved in the Government of Mozambique inputs supply program.

