Constraints to smallholders participation in Cassava value ... - aaacp

Figure 3Moving value chain management towards partnerships5.5 Planting materialsFor the production of planting materials, two complementary approaches can be taken, building onprevious policies for the extension of cassava production into new growing regions:• MACO and local NGOs can work with local communities to identify sites and growersresponsible for production; these would be local community nurseries. Limited human andfinancial resources are necessary for this modality• In addition, planting materials can also be disseminated over a large scale by collectionand/or by purchase (possibly using public funds) of planting materials from major growingareas by MACO and local NGOs. Delivery of materials requires private contractors fundedout of public and/or donor funds, managed by NGOs.Timing of collection and distribution of planting materials is critical, but previous experience ofdistribution projects in recent years can be drawn upon. Geographical coverage of distribution needsto be coordinated and managed, by participating NGOs in association with MACO.5.6 FinanceAccess to finance for investment in anything like processing, small or large scale, is minimal.Appropriate lending mechanisms to large private sector firms and to smaller-scale processors are achallenge when lenders consider the enterprise to be high risk and low potential reward. Innovativesystems of financing need to be employed to channel development funds to lending organisationsthrough competitive tendering. Firms and organisations within the sector can engage in competitivetendering for grants and loans for enterprise development maybe in partnership with supply chainstakeholders, as has been practised in recent years by UK DFID (Poulton, C. 2009). IFAD have22