For Immediate Release
Monday 7th December 2015
LAUNCH OF AGRICULTURE MECHANISATION SERVICES INTERVENTION BY DECO AGRO LIMITED, IN KASAMA DISTRICT
Deco Agro, a wholly owned Zambian company that supplies a range of agricultural machinery and inputs of major agricultural companies, successfully launched the company’s mechanisation services in Kasama on 7th December, 2015.
Deco Agro Limited’s investment, supported by Musika, aims to test and demonstrate the financial viability of providing mechanised services among smallholder communities in Northern Province; a region where key farm operations including land preparation is carried out by hand and where animal draft power is almost non-existent.
In addition to providing tillage services, Deco Agrowill, through its existing distribution network of service points in Mbala, Kasama and Luwingu districts, provide extension service support, technical information and product knowledge to its customers and clients using a team of well-trained extension staff who distribute a wide range of inputs including seed, agrochemicals and farming implements thereby providing a ‘bundled service’.
Under the intervention, Musika assisted in reducing the business risks involved in exploring, testing, and developing this new market through sharing some of the high costs associated with deploying a well-equipped and trained extension staff across the Province. This included offering a ‘no cost loan’; of a 50hp tractor to Deco Agro to be used in testing whether a market-based approach can be used in solving land preparation challenges faced by smallholder farmers, with the view to stimulating demand from other entrepreneurs to invest in tractors and other mechanised equipment to service the demand.
By supporting Deco Agro Limited to provide a comprehensive and information-based ‘bundled’ service to farmers in Northern Province, Musika believes that an environment is created where farmers have the confidence and knowledge to invest in their production and improve their incomes through greater access to productivity enhancing technologies leading to higher yields and contributing to poverty reduction.
Notes for Editors
Musika is an independent Zambian non-profit company supported by the Embassy of Sweden and the UK Government in Zambia to stimulate and support private sector investment in the smallholder and rural markets.
Musika’s operations are national in scope and stretch across the agricultural industry, working primarily with those corporate entities in the sector that are committed to engaging the rural poor as their clients, suppliers and consumers. Musika’s clients are those agribusinesses that demonstrate both the willingness and the ability to develop strong and constructive commercial relationships with the lower end of the agricultural market.
Through the provision of high quality, commercially focused technical support and a range of smart, catalytic investments aimed at reducing the initial risks involved in exploring, testing and developing new markets, Musika stimulates and deepens commercial engagement with the rural poor and seeks to fundamentally change the way agricultural markets work with and benefit the smallholder sector.
Pamela Hamasaka – Corporate Affairs Manager
+260 211 251371 / 0977475323