The Commercial Villages Model PDF Print E-mail

CV-Structure_thIn Africa, small scale farmers are riddled with many challenges, which combine to make their produce uncompetitive in the local, regional and international markets.
They lack capacity and therefore produce in small, inconsistent quantities, making bulking difficult. There is no quality control and so produce is not standardized. Smallholders depend on rain-fed agriculture, do not adhere to seasons and this makes it difficult to plan for production and marketing of agricultural produce.


To address these drawbacks, FCI designed the CVs model in 2005. The model evolves typical African villages into trading blocs, branded commercial villages (CVs). The CVs which are registered and patented under the laws of Kenya are made up of a hybrid of farmer groups, farmer associations, co-operatives and agro-enterprise, who work together as trading partners. The production and marketing capacities of these blocs are systematically developed and strategic partnerships formed with buyers, input suppliers, extension service providers and other stakeholders.

Under the CV model, different business units engage in market-led production and marketing of agricultural and non-agricultural commodities. This enhances collective bargaining, economies of scale and a competitive advantage over large scale producers. The model has been tested and proven across different communities, countries and commodity chains such as groundnuts, assorted vegetables, onions Irish potatoes, cassava, sweet potatoes, nuts, pulses e.t.c.

 

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