Supporting small-scale supply chains in the energy and agricultural sectors: Lessons from Sierra Leone
July 10, 2023
According to the OECD, there are approximately 2.5 billion people in the world involved in full- or part-time small-scale agriculture, managing an estimated 500 million small farms. Despite their modest resources, small-scale producers are responsible for producing an estimated 70% of the planet’s food. As opposed to industrial producers, small-scale producers tend to face much greater challenges in terms of price volatility, agricultural inputs and equipment and access to international markets. For this reason, many of the world’s small-scale farmers are trapped in an endless cycle of poverty.
In the context of our previous work to support sustainable and social impact projects, particularly in southern countries, VIVACE has focused on advocating for strengthening the transformation and distribution value chains in developing markets (bringing enhanced value-capture for commodity-producing countries in Africa), adopting a community-led model in project origination and development, advocating for a streamlined supply and purchase network to bring the world’s 2.5 billion small-scale producers together and building hybrid partnerships that bring financial and industrial partners alongside cooperative and civil society organizations. VIVACE recently completed a third mission to Sierra Leone to support the PRIDO agricultural cooperative network, which despite much hard work and optimism, remains handicapped by structural weaknesses in the rural agricultural sector in Africa.
During our previous missions, some of the challenges we observed related to obstacles that impede (i) the development of profitable small-scale agricultural value chains; (ii) access to resources that promote efficient management of farming resources; and (iii) access to resources that alleviate the inherent challenges of working mothers. During this trip, we sought to first, enhance the overall understanding of small-scale supply chains and cooperative enterprise business models; second, strengthen the overall understanding of good agricultural practice and sharing of information between farmers; and third, roll out education solutions that alleviate the limited access to schools and childcare arrangements. Here are some key action-oriented takeaways from our mission.
Strengthen regional and national cooperative networks: To achieve greater economies of scale, it is crucial to bolster regional and national cooperative networks in West Africa. By establishing strong connections, small scale producers can leverage collective bargaining power, negotiate more favorable pricing, and access larger customer bases, including abroad. During our training sessions on cooperative enterprises, we provided a comprehensive understanding of how transformed commodities can significantly increase value capture as opposed to simply exporting raw materials. Using cassava production as an illustrative case, we walked participants through the entire journey of transforming raw cassava into high-value products such as cassava flour, bread, cakes and other food products. By empowering farmers and producers with knowledge and practical skills at all levels of the value chain, we enable them to establish thriving businesses and capitalize on the value-added potential of their harvests.
Develop clean energy solutions: The need for adapted, clean energy solutions is particularly obvious in Sierra Leone. Solar powered water pumps can provide access to safe drinking water, while efficient lighting can help reduce electricity bills. Other clean energy solutions for West Africa include biomass-based systems such as biogas digesters, which transform organic waste into combustible gas. With the right technical support, these technologies can be adapted to meet local needs in a way that is aligned with how society is organized. Centralized innovation systems such as charging stations, mobile processing units and centralized kitchens can help enhance energy efficiency while support food and water security in a way that is complementary to the existing rural setup.
Facilitate tax-free donations of expertise and equipment: Another significant challenge faced by these communities is the lack of access to equipment or the high costs associated with acquiring them. However, companies operating in the relevant sectors can play a crucial role in addressing this issue. For instance, manufacturing and industrial suppliers have the opportunity to make a significant impact by donating equipment to projects in need. Other industry players, such as packaging and transportation brands, can extend their support by offering to facilitate services at a subsidized cost. By collaborating with brands, communities can access cost-effective packaging and transportation solutions, thereby reducing operational expenses. Moreover, these collaborative efforts can potentially qualify for tax credits, benefiting both the supporting companies and the projects themselves. These “shared value” approaches not only enable the communities to access essential equipment and services, but also allow companies to fulfill their CSR commitments.
Alleviate the burden on rural caretakers and educators: Rural teachers face numerous challenges, including a shortage of educators and limited access to necessary resources, exacerbated by the issue of inadequate salaries. While there is an urgent need to improve the working conditions of rural teachers, it is equally vital to explore innovative teaching methods that can overcome these obstacles. During our mission, we piloted an innovative, gamified approach to positive habit formation. Known as HabitGo, the game is designed to help children build development-focused habits in the area of health, nutrition, eduction, hygiene, communication and social interaction. The game, played in small circles of up to five students, takes a peer-driven, co-learning approach to foster student empowerment and indepdence, all while reducing the teaching burden of rural educators. Exploring innovative teaching methods such as these can help maximize the impact of limited resources and enhance educational outcomes for students.
Our journey in Sierra Leone shed light on the significant challenges faced by small-scale agricultural producers and their rural communities. While our mission has provided valuable insights and action-oriented strategies, it is evident that there is still much work to be done in uplifting these societies. To address these complex challenges, collaboration and strong partnerships are paramount, particularly between actors in finance, industry, development and civil society. It is through collective efforts that we can drive sustainable development and empower these communities. We call upon organizations and individuals to join forces, combining expertise, resources, and innovative approaches to create inclusive and transformative solutions. As we reflect on our experiences in Sierra Leone, we are reminded of the resilience, strength, and potential that exists within these communities. It is our shared responsibility to provide them with the tools, opportunities, and support they need to thrive
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