OpenIDEO is an open innovation platform. Join our global community to solve big challenges for social good. Sign Up / Login or Learn more

Farm Credit Service in a model of One Stop Farming Solution: Green Agro Mechanization

This project hired 19 youths and serves poor small holders by offering access to mechanization, farm credit service & financial literacy.

Photo of Abrhame Endrias

Written by

EXPLAIN YOUR IDEA

Green Agro Mechanization works with small land holder farmers in Arsi and Bale zone of Oromiya region where 65% of the country’s wheat production is sourced. While writing this story, 19 full time employees are working for the company under one shared value: “Making farms and markets work to the farmer” My company is renting tractors, planters, crop chemicals and harvesters to small land holder farmers for affordable price and supplying crop chemicals. Emphasis has been given also on offering ploughing, harrowing, planting, harvesting and facilitating farm credit services. I arranged farm credit service for poor farmers in a way that they pay only 60% of the mechanization service and chemical expenses during farming season. The rest will be covered by our company as interest free farm loan to be paid during harvesting season. By introducing this innovative credit facility I aim to (1) create loan access to pro-poor small land holder farmers, most of them are women, who have been ignored/marginalized by big banks and local financial institutions due to huge collateral requirements; (2) encourage farmers to become more innovative and market oriented; and (3) maintain long term relationship so that we can sustain and grow together. I believe my company helped small holder to improve productivity and moreover to minimize loss during harvesting and post harvesting loss. 30% of the yield is expected to be lost if small holders harvest traditionally using oxen.

WHO BENEFITS?

The Ethiopian agricultural system is predominantly subsistence, characterized by the use of traditional farming implements and practices. The beneficiaries this project are small holder living in Arsi and Bale zone of Oromiya region. Tbese area is known for consisting more than 10 million small holders growing wheat, barely and various vegetables. The farm credit service specifically target youth and women who have good and hardworking farming track recor

WHERE WILL YOUR IDEA BE IMPLEMENTED?

My company operates in Arsi and Bale zone of Oromiya region, Ethiopia. The area is known for its productivity and more than 8 million small holders grow wheat, barley and various vegetables which has huge potential for mechanization and pesticide.

ARE YOU IMPLEMENTING IN AN ELIGIBLE COUNTRY?

  • Yes

EXPERTISE IN SECTOR

  • I’ve worked in a sector related to my idea for over a year

EXPERIENCE IN IMPLEMENTATION COUNTRY(IES)

  • Yes, for more than one year.

TELL US MORE ABOUT YOU!

Abrhame Endrias is a 29 years old agripreneur from Ethiopia. I established Green Agro Mechanization in 2013 and offering inclusive services to small holder. I am also a lecturer in Arsi University and teach various business courses and interested in innovation, productivity and sustainable farming.

25 comments

Join the conversation:

Comment
Spam
Photo of William Lanier
Team

Hello Abrhame,
Would Green Agro Mechanization be interested to add moisture testing to its service poackage? The Moisture testing team would like to hear comments from Ethiopia at <https://challenges.openideo.com/goto/challenge/agricultural-innovation/jobs-for-youth-to-reverse-cereal-grain-postharvest-loss>
Regards,
William

Spam
Photo of Abrhame Endrias
Team

Dear William, I think your product is very helpful for storage precaution and specially for highland areas. I am trying to understand how it works,
Thank you William.  

Spam
Photo of William Lanier
Team

Hello Abrhame,
Well see the graphic with the parts  and try and find a farmer who is tired of stacking  sacks in warehouses so someone else profits!
How it Mobile utility works.
In the outside environment, moving air of low relative humidity, coupled with for example, the heating effects of sunshine will dry grain. Dried standing, grains spend less time on the ground exposed to pests like fungi that produces aflatoxin. When moisture testing governs the harvest of standing grain, it can go directly into well located and wide opening storage (optimal). Long lasting and low maintenance metal roofs breathe to mitigate condensation, walls and raised cone shaped floors stop rats and ground water and let gravity enhance processing at markets and cleaning (utility). Combining optimal, utility and integral wheels means GDLI is suitably mobile and “parks cost-effectively so trucks, trailers and wagons [transport] can go to haul heavy loads” (Bessonova, 2015).

For tenure-insecure agriculture, mobility is step one to “Rights that creates incentives for technology adoption” (Easterly, 2015) when and where growers need utility storage to bridge gaps to peace-of-mind.”
- It works because the grower does not need to own the land to build a warehouse.
- It works because it moves to where it is needed, when it is needed.

Regards,
William

Spam
Photo of Abrhame Endrias
Team

Dear William,
Mobile containers are relatively expensive but are durable, reusable and easy to clean.
When empty, they can be nested to save space in storage or transport. When filled
they can be stacked if every other crate is turned in the direction opposite to the one
below. Small holder will love the idea as it helps them to move yields from field to either home or market place.
Thank you for your outstanding contribution.
Abrhame

Spam
Photo of William Lanier
Team

Hello Abrhame,
Did you have time to look at the picture?
Mobile utility is big and on wheels like a wagon a tractor would pull. Mobile utility bins are never nested or turned in the opposite direction. Mobile utility only moves when it is empty. Mobile utility is not a truck it is storage for grains. Mobile utility is very appropriate for the New Holland combine harvester that is pictured in your Idea decription.
William

Spam
Photo of Abrhame Endrias
Team

Dear William , Very interesting. I thought the storage is movable. In Ethiopia most of the small holders own storage adjacent to their residence. It would have been great if the storage can be driven by tractor to transport yield from farmland to farmer storage area which usually distance 3 to 5 KM. But I still see the importance of this storage given that my reservations under consideration.
I wish if I could design this product to my level of need. 
Regards

Spam
Photo of William Lanier
Team

Hello Endrias,

Thank you for the question.
Ethiopia already has wagons, tucks and trailers. But notice how many wheels and axles the wagons, trucks and trailers need to move heavy loads! Designed to haul heavy loads wagons, trucks and trailers do not park cost-effectively.

Mobile utility storage does park cost-effectively.
Mobile and parking cost-effectively mean the benefits of utility storage leaves stationary storage behind. Mobile storage is beneficial at many locations. For example when Mobile utility storage is located at the harvest field it stops PHL like aflatoxin. Then later mobile utility can be adjacent to residences for long storage or when prices rise enhance aggregation and processing surplus at markets.

When empty mobile storage is very light. And so when the tractor is towing the loaded wagon or truck is loaded or pulling loaded trailers, they can also tow a mobile utility storage bin that is attached behind them. At the destination the wagon or truck or trailer is unloaded into the storage bin, so the tractor, wagon, truck or trailer is free to go and haul more heavy loads.
Willliam

Spam
Photo of William Lanier
Team

Hello Abrhame Endrias,
William (NeverIdle) hopes you are doing well and wish to invite you to the "1st All African Postharvest Congress and Exhibition (March 28 - 31) Nairobi"
<http://africa-postharvestconference.uonbi.ac.ke/>. We hope to meet and discuss more about Moisture meters and testing to Reverse Grain Postharvest Loss."
Regards,
William

View all comments