The Horticulture World

Farmers Guide

THW is committed to creating mutual value with the fruits and vegetables out–growers and independent farmers. Guiding these farmers in navigating the entire value chain is, therefore, an imperative. Find below the Farmers Guide for the growing of fruits and vegetables, processing them and linking the produce/products to ready markets.

Farm Supplies

The choice of fruits and vegetables grown by out-growers is strictly governed by THW’s Grow-to-Demand (G2D) policy – a policy that ensures that the types of the fruits and vegetables grown by contracted farmers, the timing for growing them and quantity thereof is informed by market demand. This assures the growers premium prices in the market and, in turn, minimises losses to the growers through “dumping” of the produce in the market. Embracing the G2D policy by the contracted growers is, therefore, mandatory.

The tables below give the “crop basket” of fruits and vegetables to be canvassed in both the export and local market for deployment to growers.

Fruits

Mangoes
Mangoes
Bananas
Oranges
Naartjies
Avocados
Pineapples
Strawberries
Peaches
Plums
Watermelons
Export
Local

Vegetable

Export
Mangetout
Sugar Snap Peas
Chillies
Tomatoes
Paprika
Baby Corn
Blueberries
Baby Marrow
Cabbages
Cabbages
Pepper (Green, Yellow & Red)
Onions
Tomatoes
Butternut
Okra
Rape
Carrots
Carrots
Potatoes
Sweet Potatoes
Brocoli
Cauliflower
Cucumber
Muboora/Mutikiti
Local

Farm Supplies oils the wheels for Going Farming by providing the out–growers access to such strategic inputs like vegetable seedlings, fruit tree saplings, etc, at competitive prices. The varieties of vegetable seedlings and fruit tree saplings propagated, the timing for propagating them as well as the quantities are also informed by the G2D policy.

Other services provided by Farm Supplies include-

  • Access to capital(both capital expenditure and working capital) through the following financing instruments:
  • Smallholder Revolving Fund;
  • Repayable Grants(with or without matching); and
  • Equity Financing.
  • Access to irrigation systems, accessories and equipment;
  • Installation of irrigation systems, accessories and equipment;
  • greenhouseyellow Access to appropriate technology (e.g greenhouses/family kits, energy conservation technology); and
  • greenhouse Installation of appropriate technology

Going Farming

To THW, “Nurtured Prosperity” is not an empty slogan!

Through the Going Farming business unit, THW is committed to nurturing select fruits and vegetables out–growers in efficiently and effectively producing quality fruits and vegetables on a sustainable basis. The out–growers are provided with access to a team of highly experienced Agronomists/Farmer Partners who work with AGRITEX’s Agricultural Extension Officers to nurture the out–growers to prosperity. This nurturing is anchored on three critical success factors, namely:

1

Farm and Agribusiness Management

This, inter alia, covers the following-

  • Setting of the farm enterprise goals;
  • Establishing Production, Quality and Transformation Systems;
  • Developing Cash Flows for the various crops;
  • Crop planning and budgeting (inclusive of crop combinations and rotation regimes);
  • Management of resources;
  • Produce Processing and/or Marketing arrangements;
  • Sustainable Development plan; and
  • Business Leadership(inclusive of teamwork strategies)
2

Sound Agronomic Practices

This focuses on improving farm production and productivity, covering the following for the various crops-

  • Variety selection;
  • Basics of productive crop farming;
  • Soil and water conservation;
  • Land preparation;
  • Application of fertilisers and manure;
  • Planting and planting time;
  • Irrigation;
  • Crop protection (Pests and weeds control);
  • Harvest preparation and harvesting;
  • Transportation of produce to The Processing Plant or to the Packhouse; and
  • Accreditation on Food Safety and Quality Standards Compliance (an export markets requirement!)
3

Use of Appropriate Technology

This focuses on-

  • Choice of appropriate technology/machinery and equipment such as the right tractors and implements, Greenhouses/tunnel kits, drip irrigation, energy conservation technology.
  • Appreciation of how to adapt and use the technology.

The Processing Plant

THW offers out–growers and independent farmers to sell their produce either in processed/dry form or in fresh form. If the farmers elect to sell produce in processed/dry form, they deliver the produce to the Processing Plant, currently in Harare only.

When the produce arrives at the Processing Plant, it is:

  • Weighed
  • Inspected
  • Processed/Dried
  • Graded
  • Packed
  • Package
  • Phytosanitory certification
  • Dispatched to the Market (Local/Export

Quality is paramount in this process!

The Division of proceeds (Dop) ratio between out-growers/independent farmers and THW will be negotiated based on the following formula:

Gross revenue – Total THW costs = Net revenue.

The Net revenue shall be distributed to the out – growers/independent farmers according to the negotiated Dop ratio, taking into account the produce/product volume contribution and quality of the produce/product from each out – grower/independent farmer.

Proceeds from the Export market and Local market shall be determined separately and paid separately.

Payment to the out – grower/independent farmer is effected as and when the cash is received from the customer.

The option of an advance payment may be negotiated but is subject to cash flows and interest charges.

VAT is paid by THW from its share of the Dop.

In the event of a major Processing Plant breakdown, THW Marketing shall advise the out – grower/independent farmer to:

  • Stop harvesting the produce; and
  • Redirect any harvested produce and any produce harvested after THW Marketing has advised the out – grower/independent farmer of the Plant breakdown to THW Packhouse for sale as fresh produce.

Any additional transport costs shall be borne by THW Marketing.

THW Marketing

THW Marketing, the marketing business unit, links farmers to ready markets, both local and export. The farmers are guaranteed a ready market for their quality produce/products at premium prices. The following vehicles are being used:

  • SendReceive
  • Exports
Shop

Exports

Leading marketing agents/buyers of fresh and dried fruits and vegetables have been retained. It is the farmer’s responsibility to understand buyer requirements and needs and to ensure compliance with these requirements.

Once fresh produce has been received  at the Packhouse from the out – growers/independent farmers, THW Marketing engages in:

  • Auditing for farmers’ accreditations on safety, quality and social standards, per market requirements;
  • Postharvest handling of the produce(ie weighing, inspecting/testing, cleaning, cooling, sorting, packing, and packaging – per buyers specifications);
  • Cold chain management;
  • Phytosanitory certification;
  • Freight(road, air, sea(where applicable) and freight forwarding and clearance; and
  • Administration(liaison with the retained Marketing Agents, insurance, documentation, product recalls, claims management, client feedback, etc).
  •  

The Division of proceeds (Dop) ratio between out-growers/independent farmers and THW Marketing will be negotiated based on the following formula:

Gross revenue – Total THW costs = Net revenue

The Net revenue shall be distributed to the out – growers/independent farmers according to the negotiated Dop ratio, taking into account the produce/product volume contribution and quality of the produce/product from each out – grower/independent farmer.

Payment to the out – grower/independent farmer is effected as and when the cash is received from the customer.

The option of an advance payment may be negotiated but is subject to cash flows and interest charges.