The new grain depot in Petauke, Zambia enables smallholder farmers to deposit their grain close to their farms and receive competitive ratesLack of grain storage infrastructure in Zambia has restricted the ability of small scale farmers in remote areas to market their maize, soy, and other crops at competitive prices. The Strategic Partnership Grant from USAID’s Southern Africa Trade Hub to AFGRI facilitated the construction of a satellite storage/buying facility in Petauke to provide market access to smallholder farmers.

 AFGRI is a South African registered entity which operates subsidiaries in Mozambique and Zambia and aims to buy more of its grain directly from small-scale farmers in these countries. Petauke is located in the rural Eastern Province of Zambia, approximately 400 km from the capital city of Lusaka.

Objectives

  • To enable AFGRI to establish a depot in Petauke and buy maize and soy directly from farmers, moving consolidated loads to markets.

Beneficiaries

  • Farming families granted access to the new storage/market facility and the formal market for maize and soy that the facility makes possible.

Results and Outcomes

  • The depot in Petauke was established.
  • Community members have been provided with employment and training.
  • AFGRI purchased soy and maize bought from local farmers at market-related prices during the 2014 grain trading season.
  • AFGRI Corporation has invested additional funds into their Petauke storage facility in silos, warehousing, grain testing facilities, and a new weighbridge.
  • As a result of the grant, AFGRI is planning to open more storage depots throughout Zambia through various rounds of investment.

Photo: The new grain depot in Petauke, Zambia enables smallholder farmers to deposit their grain close to their farms and receive competitive rates

 

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