AMHARA REGION HORTICULTURE DEVELOPMENT STRATEGY (2015 … · AMHARA REGION HORTICULTURE DEVELOPMENT...
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0 AMHARA REGION HORTICULTURE DEVELOPMENT STRATEGY (2015-2019) Amhara National Regional State Bureau of Agriculture የአማራ ብሄራዊ ክልላዊ መንግስት ግብርና ቢሮ
Transcript of AMHARA REGION HORTICULTURE DEVELOPMENT STRATEGY (2015 … · AMHARA REGION HORTICULTURE DEVELOPMENT...
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AMHARA REGION HORTICULTURE
DEVELOPMENT
STRATEGY (2015-2019)
Amhara National Regional State Bureau of Agriculture
የአማራ ብሄራዊ ክልላዊ መንግስት ግብርና ቢሮ
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Amhara Region Horticulture Development Strategy
(2015-2019)
Prepared
By
Team of Consultants
Dr. Melkamu Alemayehu
Mr. Fentahun Tessafa
Mr. Solomon Bizuayehu
Dr. Belayneh Ayele
College of Agriculture Environmental Sciences
Bahir Dar University
February 2015
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Table of Contents
List of Figures ....................................................................................................................................... 4
List of tables .......................................................................................................................................... 5
Acronyms .............................................................................................................................................. 6
Acknowledgment .................................................................................................................................. 8
The Consultant Team ............................................................................................................................ 8
Executive Summary .............................................................................................................................. 9
1. Introduction ..................................................................................................................................... 11
1.1. Horticulture Subsector Development in Ethiopia .................................................................... 12
1.2. Horticulture Subsector Development in Amhara Region ........................................................ 15
1.2.1. Overview of Horticulture Subsector in Amhara Region ................................................... 15
1.2.2. Opportunities of Horticulture Subsector Development in Amhara Region ...................... 20
1.2.3. Constraints of Horticulture Development in Amhara Region ........................................... 28
1.3. National and Regional Agricultural Development Policies, Strategies and Plans ................... 30
1.4. The Rationale to Formulate Regional Horticulture Development Strategy ............................. 32
1.5 Alignment of the Regional Strategy with National Horticulture Development Strategy ......... 33
1.6 Scope of the Strategy................................................................................................................. 33
1.7 Approaches followed in the Strategy Development .................................................................. 34
2. Vision, Goals and Objectives of the Strategy ................................................................................ 35
3. SWOT Analysis .............................................................................................................................. 36
4. Strategic Issues............................................................................................................................... 42
4.1 Poor market linkage and information among producers and potential buyers .......................... 46
4.2 Diseases and insect pest incidences .......................................................................................... 47
4.3 Inadequate and untimely supply of quality seeds...................................................................... 48
4.4 Inadequate skilled and qualified human resources .................................................................... 48
4.5 Poor postharvest handling technologies .................................................................................... 49
4.6 Improper agronomic practices ................................................................................................... 50
4.7 Low focus in extension and research to horticulture sector ...................................................... 51
4.8 Uncoordinated linkage among stakeholders ............................................................................. 51
4.9 Absence of agro-processing industries ...................................................................................... 52
4.10 Limited access to financial institutions and poor investment participation ............................ 52
5. Strategic Interventions .................................................................................................................... 54
5.1 Market linkages ......................................................................................................................... 58
5.1.1 Contract farming (out-grower) schemes ............................................................................. 58
5.1.2 Fresh vegetable and fruit market center for producers ....................................................... 65
5.1.3 Market oriented horticulture production and export diversification and improvement ..... 65
5.1.4 Structural framework needed to address marketing problems ........................................... 68
5.2 Proper production and management practices .......................................................................... 69
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5.2.1 Site selection, planting material, land preparation ............................................................. 69
5.2.2 Adequate and timely supply of quality seeds/planting materials ....................................... 70
5.2.3 Disease and insect pest incidences ..................................................................................... 72
5.3 Capacity building ...................................................................................................................... 73
5.3.1 Technological capacity building in Horticulture sector ..................................................... 74
5.3.2 Human capacity building in Horticulture sector................................................................. 76
5.4 Institutions and policies ............................................................................................................. 77
5.5 Cross cutting issues ................................................................................................................... 83
5.5.1 Women and youths participation in horticulture sector ...................................................... 83
5.5.2 Environmental issues in Horticulture sector .......................................................................... 84
6. Implementation Plan ....................................................................................................................... 86
7. Logical framework analysis ............................................................................................................ 92
8. Monitoring and Evaluation Plan ................................................................................................... 101
9. Stakeholders for Amhara Region Horticulture Sector Development ........................................... 109
9.1 Stakeholder Analysis ............................................................................................................... 109
9.2 Responsibilities/Roles of Stakeholders ................................................................................... 112
References ......................................................................................................................................... 115
Annex ................................................................................................................................................ 118
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List of Figures
Figure 1 Vegetable production of Amhara region compared with selected regions in Ethiopia ........ 16
Figure 2 Fruit production of Amhara region compared with selected regions in Ethiopia ................ 17
Figure 3 Development of vegetable area coverage & production compared to the year 2006/7 Meher
season by Smallholder farmers in Amhara Region ............................................................................. 19
Figure 4 Development of fruit area coverage & production compared to the year 2006/7 Meher
season by Smallholder farmers in Amhara Region ............................................................................. 19
Figure 5 High rainfall, moisture deficit and pastoralist zones in Ethiopia based on rainfall and evapo-
transpiration ........................................................................................................................................ 23
Figure 6Underground Water Potential of Ethiopia ............................................................................. 24
Figure 7 Existing large, medium and small scale irrigation Schemes in Ethiopia ............................. 24
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List of tables
Table 1. Share of fruits and vegetables on crop production and cultivated area by private peasant holdings in
2012/13 (2005 E.C) cropping season in Ethiopia ............................................................................................. 13
Table 2. Area, production and productivity of commonly grown vegetable crops by private peasant holdings
for Meher season 2012/13 (2005 E.C.) in Ethiopia .......................................................................................... 14
Table 3 Area, production and productivity of commonly grown fruit crops by private peasant holdings for
Meher season 2012/13 (2005 E.C.) in Ethiopia ................................................................................................ 15
Table 4: Area coverage and production of fruits, vegetables and other crops during 2012/13 cropping season
(private peasant holdings) in Amhara region .................................................................................................... 16
Table 5 Area coverage, production and productivity of commonly grown vegetable crops by private peasant
holdings for Meher season 2012/13 (2005 E.C.) in Amhara region ................................................................. 18
Table 6 Area coverage, production and productivity of commonly grown fruit crops by private peasant
holdings for Meher season 2012/13 (2005 E.C.) in Amhara region ................................................................. 18
Table 7 Major agro-ecological zones (AEZs) of Amhara region ..................................................................... 21
Table 8 Areas suitable for commercial production of fruits and vegetables across four major regions in
Ethiopia ............................................................................................................................................................. 22
Table 9 Main exported vegetables in 2011 ....................................................................................................... 26
Table 10 Strengths, weaknesses, opportunities and threats of horticulture industry in Amhara region ........... 37
Table 11 Identification of strategic issues ......................................................................................................... 44
Table 12 Analysis of strategic issues ................................................................................................................ 44
Table 13 Analysis of strategic interventions ..................................................................................................... 54
Table 14 Implementation plan .......................................................................................................................... 86
Table 15 Logical framework analysis ............................................................................................................... 92
Table 16 Monitoring and evaluation plan ....................................................................................................... 102
Table 17 Responsibilities of stakeholders for Amhara region horticulture sector .......................................... 112
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Acronyms
ACSI Amhara Credit and Saving Institute
ADLI Agricultural Led Development Industrialization
AEZ Agro Ecology Zone
AGP Agricultural Growth Program
AGRO-BIG Agro-Business-Induced Economic Growth Program Amhara Region
AISCO Agricultural Input Supply Corporation
ANRS Amhara National Regional State
ARARI Amhara Agricultural Research Institutes
ASE Amhara Seed Enterprise
ATA Agricultural Transformation Agency
BoA Bureau of Agriculture
BoFED Bureau of Finance and Economic Development
BoEPLUA Bureau of Environmental Protection and Land Use Authority
BoT Bureau of Trade
BoWR Bureau of Water Resources
CF Contract farming
CPA Cooperative Promotion Agency
CSA Central Statics Authority
DAs Development Agents
EHPEA Ethiopian Horticulture Producers and Exporters Association
EIA Ethiopian Investment Agency
ESE Ethiopia Seed Enterprise
FAO Food and Agriculture Organization
FIs Financial Institutions
FTCs Farmers Training Centers
FVFMCP Fresh Vegetable and Fruit Marketing Center for Producers
GDP Gross Domestic Product
GTP Growth and Transformation Plan
IFAD International Fund for Agricultural Development
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IPA Investment Promotion Agency
IWMI International Water Management Institute
M&E Monitoring and Evaluation
MFIs Micro-Finance Institution
MIDS Market Information Dissemination System
MoA Ministry of Agriculture
MoFED Ministry of Finance and Economic Development
MoWR Ministry of Water Resource
NGOs Non Governmental Organizations
O&M Organization and Management
PAP Proper Agronomic Practices
RDPS Rural Development Policy and Strategies
SNNP Southern Nations Nationalities and People
SWOT Strength Weakness Opportunity and Threat
USAID United States Agency for International Development
WUA Water Use Associations
WUC Water Use Cooperatives
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Acknowledgment
The preparation of this Regional Horticultural Development Strategy involved many stakeholders.
Our first word of gratitude goes to the Bureau of Agriculture of the Amhara National Regional State
for their cooperation in preparing such an important document which will help to improve the
livelihood of smallholder farmers in the region. Furthermore, our especial thank goes to Dr.
Teshome Walle, Head of Bureau of Agriculture for the leadership he provided and his participation
in forwarding valuable comments for the improvement of the daft strategy during the Regional
Stakeholder Workshop presented on December 29, 2014 in Bahir Dar.
In addition the process leading to the completion of this Strategy, involved a large number of people
from various institutions, farmers, traders, extension workers and researchers; whose contributions
have been vital to the success of the undertaking. Institutions represented during the process include:
Government Institutions like the Bureau of Agriculture at its different levels (regional, zonal, woreda
and kebele), Bureau of Finance and Economic Development, Regional Investment Promotion Office,
Amhara Region Agriculture Research Institute, Agricultural Input Supply Corporation; Development
Partners like AgroBig and various Water Use Associations. All have actively participated in
supplying information which was very vital for the formulation of the Regional Horticulture
Development Strategy.
We also appreciate Mr. Sintayehu Misiker and Mr. Tesfaye Mengistu for their commitment and
support in realizing the strategic document preparation and their role in facilitating the Regional
Stakeholders` Workshop.
We are also grateful to all regional horticulture stakeholders for their full participation in discussing
the Horticulture Strategy draft document during the Regional Stakeholders’ Meeting held in
December 2014, leading to the improvement of the document, their important and valuable
contributions made the document what it is today.
Finally, it will not be easy to mention each and everyone who participated in making this document a
reality but we thank all who were involved in different stages of making the entire task a success.
The Consultant Team
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Executive Summary
Amhara region has different agro-ecologies and fertile soil that are suitable for production of
different types of fruits and vegetables. The production practice of fruits and vegetables is
predominantly using traditional farming system for local markets as cash crops. The area allocated
for production of these crops, and their production and productivity in the region are very low.
Currently, fruit and vegetable production covered about 0.06% and 2.14% of the total area covered
by crops in the region, respectively.
To avert these situations a comprehensive horticulture development strategy is vital. Despite some
efforts done by various development partners, there is barely any comprehensive horticulture
development strategy in Amhara Region and at country level. The Horticultural Exporters
Association of Ethiopia has attempted to develop a strategy for the horticulture industry in 2007. The
focus, however, was mainly to promote exportable horticultural crops, especially floriculture. The
fruit and vegetable crops were neglected and/or insufficiently addressed. The Ministry of Agriculture
is currently trying to develop a national horticulture development strategy. Therefore, the preparation
of a regional horticulture development strategy is timely and relevant.
This strategy was developed in line with the national horticultural strategy document. Both strategies
give due emphasize for exploiting the potential, aiming to enhance efficiency of smallholder fruit
and vegetable producers and underline the role of agro-processing industries in alleviating the
marketing problems of horticultural crops and thus their significance on the development of the
horticulture industry. In line with the national strategic plan, this strategy gives due attention in
creating jobs and livelihood improvement for youths and women in the sector.
In view of that the five year (2015-2019) Regional Horticulture Development Strategy was
developed with the following objectives:
Fruit and vegetable production will increase three times the current level in the region.
Share of Amhara region to fruits and vegetables exports will increase five times the current
level
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Share of horticulture sector to the regional crop production will increase from nine to twenty
percent
Vegetable seeds’ and fruit planting materials’ production will increase four folds of its current
level
Smallholder farmers will derive maximum gross margin from fruit and vegetable sub-sector, at
least twice the current level
Participation of youths and women in fruit and vegetable sub-sector will increase from 1.6 to 5
million beneficiaries
Post-harvest losses in horticulture sector will reduce by 50%
Traditional horticultural production will be reduced by 50%
Participation in the agro-processing and commercial production will be three times the current
level
Water use efficiency of the irrigation schemes will be improved from 40% to 60%
In the strategy document various bottlenecks and opportunities of Horticulture sector in the region
have been identified. Among the bottlenecks marketing problems, improper agronomic practices,
disease and insect pest incidence and input supply problems are the major ones. However, the region
has also opportunities in the horticulture industry development, among which suitable agro-ecology,
abundant surface and ground water potentials, infrastructure, cheap labor force and increasing
demand for horticultural produces both in the domestic and international markets can be mentioned.
These opportunities and constraints of the Horticulture sector of the region have been critically
assessed. Based on the major challenges, 12 strategic issues were identified and the respective
strategic interventions are indicated in the analysis of the document. After critical analysis of the
constraints, a total of thirty eight strategic interventions are identified and categorized in to five
strategic pillars. The five pillars in strategic analysis include capacity building, production and
management practices, marketing, institutional and policy, and crosscutting issues. Among many
interventions, establishing out grower schemes, establishing fruit and vegetable agro-processing and
marketing centers, specialized education and training for experts and farmers, strengthening tissue
cultures in the region, construction of horticulture training centers and adopting commercial
production and modern irrigation could be mentioned.
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1. Introduction
Ethiopia is one of the fastest growing economies and the second largest population in Africa. The
total area of the country is estimated to be about 1.13 million km2. Of which about 51.3 million
hectares are arable land. Only about 11.7 million hectares of land, however, are currently being
cultivated; just over 20% of the total arable land (CSA, 2007). The country`s economy is highly
dependent on agriculture. More than 85% of the Ethiopian population, residing in the rural area, is
engaged in agriculture sector for its livelihood. Agriculture sector contributes about 45% of the
Gross Domestic Product (GDP) and employs about 85% of the labor force and generates about 90%
of the export earnings of the country (Diao et al., 2010; MoFED, 2010; Geiger and Moller, 2013).
Improvement in farm incomes of the majority of the rural population is, therefore, a precondition for
reduction of poverty whose economic growth depends on agriculture.
The country has different agro-ecology, fertile soil and suitable policies and strategies for the
development of the horticulture subsector of agriculture. Both tropical subtropical and temperate
crops of horticultural crops can be grown in different parts of the country. Besides, the country has
tremendous surface irrigation water potential which is estimated to be 122 Billion M3 (EHPEA,
2013). The underground water potential of the country is estimated to be 40 billion M3
(Abiti
Getaneh, 2011). The water potential of the country is enough to develop 10 million hectares of
irrigable land however until now only 1% of the water potential is used for crop production (EIA,
2012).
Likewise, in Amhara National Regional State (ANRS), Agriculture remains base of the economy. It
is practiced by more than 85% of the population residing in the rural areas. Agriculture is the major
source of food, raw materials for local industries and export earnings. In 2010/11, GDP growth rate
estimated to be 8.4% and the contribution of agriculture to the regional GDP was 55.4%. The fact
that the region is endowed with diverse agro-ecologies, fertile soil and plenty of water potential, it
has a huge potential for production of a variety of agricultural products including horticultural crops
both for export purpose and domestic consumption. However, so far the horticulture sector of the
region is not well developed and its contribution to regional and export markets is very low. Besides,
only small assortments of fruits and vegetables are produced in the region.
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Horticultural crops such as fruits and vegetables in the region are produced mostly by smallholder
private peasants in small patches of lands using traditional farming practices where no improved
varieties, fertilizers, chemicals and other inputs are used. The areas allocated for the production of
fruits and vegetables are also very small. Thus the production and productivity of fruits and
vegetables in the region as well as at country level is very low. Currently, very few commercial
farms are participated in the production of fruits and vegetables in the region compared to Oromia
and SNNP states (Joonsten et al., 2011).
Generally, horticulture industry in the region is facing a number of challenges in both production and
marketing aspects. Some of the production constraints include improper agronomic practices
because of lack of skills and knowledge in the production and management practices; limited
accessibility to improved agricultural technologies; shortage of inputs like fertilizers, improved seeds
and pesticides; occurrence of diseases and insect pests; improper harvesting and harvest handling;
poor packaging, sorting, and processing which do not add value to the products and do not increase
the shelf life and safety of the products. Among the market constraints multiplicity of actors and
unfair competition, lack of market information, seasonal price fluctuation, unavailability of market
facilities and infrastructure, poor handling and transportation, absence of norms and regulations for
fair marketing, considerable role of middlemen or brokers, etc are the major once.
Preparation of a comprehensive horticulture development strategy that gives more emphasis on the
fruit and vegetable sub-sector is therefore a prime prerequisite to solve the above mentioned
constraints of the sector in the region.
1.1. Horticulture Subsector Development in Ethiopia
The production of horticultural crops like fruits and vegetables is certainly not a new activity in
Ethiopia. It has been undertaken for decades. However, the subsector is still not well developed. The
area devoted for the production of fruits and vegetables and the quantity produced is much less than
the other grain crops. In 2012/13 cropping season for instance, the share of fruits and vegetables
from total crop production was 1.6 and 15.1%, respectively. Of the total area under crop cultivation
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in the country during the same year, the area under fruits and vegetables was 0.5 and 2.9 %
respectively which is insignificant as compared to cereals and other crops (Table 1).
Table 1. Share of fruits and vegetables on crop production and cultivated area by private peasant holdings in
2012/13 (2005 E.C) cropping season in Ethiopia
Type of crop
Area coverage Production Productivity
(ton/ha) Hectare % share Tons % share
Cereals 9,601,035.26 71.2 19,651,151.60 66.1 2.05
Oil seeds 1,863,445.42 13.8 2,751,031.20 9.3 1.48
Pulses 818,449.30 6.1 726,664.40 2.4 0.89
Cash crops 747,929.20 5.5 1,625,820.70 5.5 2.17
Vegetable including
root crops
396,513.54 2.9 4,482,170.00 15.1 11.30
Fruit crops 61,972.60 0.5 479,336.10 1.6 7.73
Total 13,489,345.32 100 29,716,174.00
Source: Summarized from Central Statistic Agency, Statistical Bulletin (2013)
Fruits and vegetables in the country are produced mostly by smallholder farmers on small patches of
land using traditional farming practices, which accounts 95% of the total fruit and vegetable
production of the country. The production practices are characterized by low input and low output
production systems. Most smallholder farmers do not use appropriate agronomic practices specific to
the crops. The use of improved seeds and planting materials of high yielding varieties and other
inputs such as fertilizers and plant protection material is not common in most farms of peasant
smallholders. Technical training and extension services on improved crop husbandry techniques are
rear. As a result average productivity levels of fruits and vegetables in the country are very low.
Besides, only limited and common types of fruits and vegetables are produced in the country. Red
pepper, potato, sweet potato, Taro/Godere and Ethiopian cabbage are the dominant vegetables
produced in the country with the area coverage of about 34.4%, 18.9%, 10.5%, 10.4% and 8.8%,
respectively. In terms of production only five vegetables account more than 75% of the total
vegetable production of the country with the share of sweet potato 26.4 %, Taro/godere 24.9%,
potato 19.3 %, and Ethiopian cabbage 8.3% (Table 2).
Recently however some commercial private farms are partly engaged in the production of fruits and
vegetables which are concentrated in central rift-valley regions of the country, in Oromia and
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SNNPR (EHPEA, 2011). Most of the commercial fruit and vegetable producers are still at the
pioneer stage and their contribution to the national fruit and vegetable production is very low which
accounts only about 5%. Most of the commercial farms are testing different types of crops and
varieties to find the optimal product-marketing mix.
Table 2. Area, production and productivity of commonly grown vegetable crops by private peasant
holdings for Meher season 2012/13 (2005 E.C.) in Ethiopia
Source: Summarized from Central Statistic Agency, Statistical Bulletin 2013
Fruit production in general is rear in the country. The fruit crops grown by the private smallholder
farmers as well as by commercial farmers cover only a small token area and production in the
country compared to other crops. Although the country is endowed with various agro-ecologies
which can be suitable for the production of all temperate, tropical and subtropical fruit, only some
tropical and subtropical fruits are produced in the country. Banana is the dominant fruit produced in
the country and covered about 58.1% of the total fruit crop area followed by avocado (14.4%) and
mangoes (14.2%). From the total 479,336.0 tons of fruits produced in 2012/13 cropping season
banana, mango, papaya and orange contributed 63%, 14.6%, 8.1% and 7.5%, respectively (Table 3).
Vegetable crops
Area coverage Production Productivity
(ton/ha) Hectare % share Tons % share
Lettuce 75.01 0.02 * * *
Head cabbage 3,049.01 0.77 23,224.70 0.52 7.6
Ethiopian Cabbage 34,791.05 8.77 370,995.20 8.28 10.7
Tomatoes 7,237.35 1.83 55,514.30 1.24 7.7
Green peppers 10,588.52 2.67 85,547.80 1.91 8.1
Red peppers 136,503.73 34.43 316,561.50 7.06 2.3
Swiss chard 310.7 0.08 329.00 0.01 1.1
Beetroot 1,795.25 0.45 16,848.50 0.38 9.4
Onion 1,132.94 0.29 5,104.70 0.11 4.5
Potatoes 21,865.37 5.51 219,188.60 4.89 10.0
Garlic 74,934.57 18.90 863,347.80 19.26 11.5
Taro/Godere 21,258.43 5.36 222,547.90 4.97 10.5
Sweet potatoes 41,337.62 10.43 1,117,773.40 24.94 27.0
Others 41,633.95 10.50 1,185,050.80 26.44 28.5
Total 396,513.50 100 4,482,034.20 100 7.6
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Table 3 Area, production and productivity of commonly grown fruit crops by private peasant holdings for
Meher season 2012/13 (2005 E.C.) in Ethiopia
Fruit crops
Area coverage Production Productivity
(tons/ha) Hectare % share Tons % share
Avocado 8,938.24 14.4 25,633.20 5.3 2.87
Banana 36,012.19 58.1 302,502.20 63.1 8.40
Guava 1,492.32 2.4 1,173.00 0.2 0.79
Lemon 754.23 1.2 5,516.80 1.2 7.31
Mango 8,808.64 14.2 69,750.70 14.6 7.92
Oranges 2,999.21 4.8 35,745.80 7.5 11.92
Papaya 2,752.08 4.4 38,694.30 8.1 14.06
Others 215.69 0.3 320.00 0.1 1.48
Total 61,972.60 100 479,336.00 100
Source: Summarized from Central Statistic Agency, Statistical Bulletin 2013
1.2. Horticulture Subsector Development in Amhara Region
1.2.1. Overview of Horticulture Subsector in Amhara Region
Amhara region has different agro-ecologies and fertile soil that are suitable for production of
different types of fruits and vegetables. The production of fruits and vegetables is usually practiced
by smallholder farmers throughout the region like it is in the country. According to the information
obtained from Regional Investment Agency, some private commercial investors are currently
starting to engage in the horticulture sector. However, their contribution to the regional fruit and
vegetable production is very low.
The production practice of fruits and vegetables is predominantly using traditional farming system
for local market as cash crops. The area allocated for the production of fruits and vegetables and
their production and productivity in the region is very low. According to CSA data from 2013, from
the total area covered by crops, about 0.06% and 2.14% of the area is covered by fruits and
vegetables, respectively. The remaining 97.8% of the cultivated area in Amhara region is covered by
grain and other crops (Table 4).
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Table 4: Area coverage and production of fruits, vegetables and other crops during 2012/13 cropping season
(private peasant holdings) in Amhara region
Type of crops
Area coverage Production
Hectare % share Tons % share
Grain Crops 4,366,386.09 97.04 7,312,204.50 88.7
Vegetables(+ root and tuber crops) 96,220.00 2.14 707,285.40 8.6
Fruits 2,881.41 0.06 20,993.90 0.3
Others (Chat, Coffee, Hops) 33,996.00 0.76 198,710.70 2.4
Total 4,499,483.50 100 8,239,194.50 100
Source: Central Statistic Agency, 2013
The contribution of the region to the national fruits and vegetables production compared to the other
regions of the country is very low. Based on four year data the region contributed on average 17.2%
to the national vegetable production. Whereas South Nations and Nationalities and People and
Oromia Regional state contributed on average about 42.7% and 37.8%, respectively in the national
vegetable crops production (Figure 1). Similarly the contribution of Amhara region to the national
fruit production was very low which accounted only 4.9%. On average 61.7% of the national fruit
production was contributed from SNNP region, whereas the contribution of Oromia Regional State
was about 29.7% (Figure 2).
0
10
20
30
40
50
2003 E.C. 2004 E.C. 2005 EC 2006 E.C.
SNNP Oromia Amhara Others
Figure 1 Vegetable production of Amhara region compared with selected regions in Ethiopia
17
0
10
20
30
40
50
60
70
2003 E.C. 2004 E.C. 2005 E.C 2006 E.C
SNNP Oromia Amhara Others
Figure 2 Fruit production of Amhara region compared with selected regions in Ethiopia
Similar to the country, only some assortments of fruits and vegetables are produced in the region.
Common vegetables and fruits produced by smallholder farmers in the region are summarized in
Table 5 and Table 6. Currently about 707.3 thousand tons of vegetables of various types including
root and tuber crops are produced on about 96 thousand hectares of land in the region. Vegetables
like red pepper, potato, onion and garlic are the dominant vegetables grown in ANRS. Currently
only two crops namely red pepper and potato covered more that 75% of the vegetable areas. In terms
of production, potato and garlic accounted more than 65% of the total vegetable production in the
same year. Fruit production in ANRS is much lower than vegetables. Only 20,993.9 tones of fruits
are produced for instance 2012/13 cropping season on 2,881.4 hectares of land which is very low
compared to the area and production of vegetables in the same year (CSA, 2013).
18
Table 5 Area coverage, production and productivity of commonly grown vegetable crops by private peasant
holdings for Meher season 2012/13 (2005 E.C.) in Amhara region
Vegetable crops Area coverage Production Productivity
(ton/ha) Hectare % share Tons % share
Lettuce 23.68 0.02 54.90 0.01 2.3
Head cabbage 578.02 0.60 6,179.50 0.87 10.7
Ethiopian cabbage 976.58 1.01 9,234.70 1.31 9.5
Tomato 657.37 0.68 5,325.10 0.75 8.1
Green pepper 1,508.06 1.57 12,017.40 1.70 8.0
Red pepper 50,585.59 52.57 97,901.90 13.84 1.9
Swiss chard 35.06 0.04 169.70 0.02 4.8
Beetroot 200.17 0.21 1,504.90 0.21 7.5
Carrot 147.09 0.15 774.40 0.11 5.3
Onion 7,917.65 8.23 99,972.60 14.13 12.6
Potato 22,513.17 23.40 348,835.80 49.32 15.5
Garlic 10,362.70 10.77 115,339.30 16.31 11.1
Sweet potato 714.22 0.74 9,975.20 1.41 14.0
Total 96,219.36 100 707,285.40 100
Source: Summarized from Central Statistic Agency, Statistical Bulletin 2013
Table 6 Area coverage, production and productivity of commonly grown fruit crops by private peasant
holdings for Meher season 2012/13 (2005 E.C.) in Amhara region
Fruit crops Area coverage Production Productivity
(ton/ha) Hectare % share Tons % share
Banana 689.36 23.92 1,496.60 7.13 2.17
Guava 331.57 11.51 330.40 1.57 1.00
Mango 246.85 8.57 1,040.90 4.96 4.22
Oranges 937.48 32.54 12,831.50 61.12 13.69
Papaya 309.53 10.74 1,288.90 6.14 4.16
Others 366.62 12.72 4,005.60 19.08 10.93
Total 2,881.41 100.00 20,993.90 100.00
Source: Summarized from Central Statistic Agency, Statistical Bulletin 2013
Although the fruit and vegetable subsector of horticulture in Amhara region is at low level of
development, it shows an encouraging improvement both in area coverage and production in the last
years. However the improvement both in area coverage and production were fluctuating from year to
year. According to the data from Central Statistic Agency of the country the vegetable production
19
increased from 2007/8 to 2010/11 yearly on average by 27% and 40% in area and production
respectively, compared to the 2006/7 meher season in stallholder farmers (Figure 3). The fruit
production increased in the same year interval by 60% and 63% in area and production respectively
which was relatively higher than that of the vegetables (Figure 4).
0
20
40
60
80
2007/8 2008/9 2009/10 2010/11
Area Production
Figure 3 Development of vegetable area coverage & production compared to the year 2006/7 Meher
season by Smallholder farmers in Amhara Region
Source: CSA, 2007-2012
0
20
40
60
80
100
120
2007/8 2008/9 2009/10 2010/11
Area Production
Figure 4 Development of fruit area coverage & production compared to the year 2006/7 Meher season by
Smallholder farmers in Amhara Region
Source: CSA, 2007-2012
20
The relative minimal increment both in area and production of fruits and vegetables could be
attributed by greater attention given by the regional government and extension services for the
subsector. This is because, that the subsector has been identified as one of the priority sectors of the
regional government in the improvement of the livelihood and income of the smallholder farmers in
the region. The government has invested a lot in the development of infrastructures such as roads,
construction of irrigation dams and capacity building activities both for the farmers and experts that
facilitate the growth and development of the subsector.
1.2.2. Opportunities of Horticulture Subsector Development in Amhara Region
Amhara National Regional State is an agrarian region where more than 85% of its population is
living in the rural area and practicing crop production as their source of its livelihood (USAID,
2000). The region is endowed with favorable environmental conditions and plenty of natural
resources that are required for the production of crops including horticultural crops.
Suitable agro-climatic conditions and fertile soil
As a result of altitudinal differences existing in the region, ANRS has diverse agro-climatic
conditions which are suitable for the production of various types of horticultural crops (Table 7). In
highlands where the temperature is relatively cool, temperate fruits and vegetables like apple, pear,
plum, peach, cabbages, potatoes and others can be grown, whereas in low lands with relatively high
annual average temperatures typical tropical and subtropical horticultural crops can be grown in the
region.
21
Table 7 Major agro-ecological zones (AEZs) of Amhara region
AEZ Description
Area
(km2)
Percentage
of total area
Biophysical
constraints Potential/recommendation
SA1 Hot to warm semi-
arid
77 0.1 Very low
moisture
Moisture conservation and
irrigation
SM1 Hot to warm sub-
moist
17,830 10.2 Low moisture Supplementary irrigation
SM2 Tepid to cool sub-
moist
39,352 22.4 Low moisture Supplementary irrigation
SM3 Cold to very cold
sub-moist
2,143 1.2 Very cold Restricted to afro-alpine
M1 Hot to warm moist 27,319 15.6 Soil workability
(vertisols)
High agricultural potential
M2 Tepid to cool
moist
66,521 37.9 Soil workability
(vertisols)
High agricultural potential
M3 Cold to very cold
moist
7,041 4.0 Very cold Restricted annual crops
SH1 Hot to warm sub-
humid
4,162 2.4 Rugged
topography and
stony soils
Very high agricultural
potential but marginal for
perennial crops
SH2 Tepid to cool sub-
humid
5,316 3.0 Rugged
topography and
shallow soils
Very high agricultural
potential but marginal for
perennial crops
A1 Hot to warm arid 3,242 1.8 n.a. n.a. Lake Tana 2,412 1.4 n.a. n.a.
Total 175,415 100.0
n.a. = not available.
Source: CEDEP (1999).
Based on the suitability of environmental conditions, the availability of irrigation water and soil
fertility, Joonsten, et al., (2011) identified various areas in the region which are suitable for
commercial production of fruits and vegetables (Table 8).
22
Table 8 Areas suitable for commercial production of fruits and vegetables across four major regions in Ethiopia
Regions Zone Weredas Drainage Soil
Depth
Soil
Texture
Altitude
masl
RF
(mm)
Temp (0C)
Max Min
Amhara
West
Gojam
Achefer Well
drained
50-150 Clayey 1500 1430 24 11
West
Gojam
Bahidar Zuria Well
drained
50-100 Clayey 1870 1400 23 12
South
Gondar
Fogera Imperfectly
drained
> 150 Clayey 1980 1285 23 10
SNNPR
Sidama Hawasa Zuria Well
drained
> 150 Loamy 1700 1034 25 11
Northern
Omo
Arbaminch
Zuria
Well
drained
> 150 Clayey 1290 1092 23 12
Northern
Omo
Chencha Well
drained
50-150 Clayey 2130 1060 20 10
Oromiya
Eastern
Showa
Fentale Well
drained
50-150 Loamy 930 517 28 12
Eastern
Showa
Aadamitulu
&
J. Kombolcha
Well
drained
> 150 Loamy 1640 730 27 12
Tigray Southern Mekele Zuria Well
drained
50-100 Loamy 1970 500 25 10
Southern Raya Azebo Well
drained
> 100 Loamy 1600 760 27 12
Central Laelay
Maychew
Well
drained
50-150 Clayey 1980 700 25 11
Source: Joonsten, et al., 2011
Water resource potential
The mean annual rainfall of the region varies from 300 mm in the east (Habru and Kobo woredas of
North Wello) to over 2000 mm in the Awi zone in the west, specifically, the Banja Shikudad, Sekela
and Guangua woredas. Generally, the western parts of the region are characterized as high rainfall
and high agricultural potential areas including irrigation potential, with precipitation exceeding 1200
mm annually and irrigation potential (Figure 5). Relatively low rainfall and agricultural potential
areas are found in the North Wello and Wag Hemra zones. The region experiences both unimodal
and bimodal rainfall patterns, generally, in the west and east, respectively (BoA, 1990).
23
Figure 5 High rainfall, moisture deficit and pastoralist zones in Ethiopia based on rainfall and evapo-transpiration
Source: Seleshe Bekele Awulachew, 2010
Besides, the region has both underground (Figure 6) and surface water potential that can be used as
source of irrigation water. Surface water potential of the region includes lakes and rivers such as
Abay (the Blue Nile), Belese, Tekezie, Anghereb, Athbara, Mile, Kessem, Jema, Tana, Zengena,
Ardibo and Logo (ANRS BoFED, 2011). The regional and national governments are thus
developing large, medium and small scale irrigation in different parts of the region to enhance the
production of fruits, vegetables and other cash crops so that to improve the livelihood of the
smallholder farmers (Figure 7).
24
Figure 6Underground Water Potential of Ethiopia
Source: Seleshe Bekele Awulachew, 2010
Figure 7 Existing large, medium and small scale irrigation Schemes in Ethiopia
Source: Joonsten et al., 2011
25
Infrastructure development
Nowadays most districts in the region have access to roads, electricity and telecommunications
through the rural road development and electrification strategy of the regional and national
governments. The presence of cold storage in Bahir Dar international airport facilitates the export
market of horticultural produces in the region. Besides, two new cold storage structures are under
construction in Merawi and Kobo towns which may increase potentials of the region for the
development of fruit and vegetable sub-sector.
Labor force
Horticulture farming is a labor-intensive system of crops production which requires about 30 man-
days per hectare (EIA, 2012). The Amhara region is a very big and probably the most populated
region in Ethiopia. According to the estimate of CSA in 2008 the population of Amhara region is
20,136,000. More than 50% of the population is being at working age (BoFED, 2003) that can be
actively engaged in the production of horticultural crops. Besides labor cost for unskilled as well as
university graduates is very low as it is also at country level (EIA, 2012).
Increased demand in export and local markets
The horticulture industry is one of the most significant sectors of agriculture in the world. The
demand for horticultural crops including fruits, vegetables and flowers has shown an increasing
trend. The economic growth in horticulture has by far exceeded that in most agricultural
commodities during the last decayed. Since 1970s, annual growth rates for horticultural crop
supplies have surpassed cereals (http://www.prnewswrire.com ). The annual growth rate between
2001 and 2008 was on average about 13% (HODECT, 2010). The increasing world consumption of
horticultural products is driven by different factors including rising incomes, urbanization, and
awareness of health, development of new production practices, postharvest technology, shipping and
storage facilities. Such technologies allow the distribution of produces throughout the world,
providing year-round product availability, and increased market opportunities (Patrick Brown,
2005).
The current annual world fruit production is estimated to be about 636.5 million tons and that of
vegetable is about 1.1 billion tons (FAO STAT, 2012). The industry plays a significant role in the
26
economy of the various countries including Ethiopia. The United States and Europe are the largest
importers of horticultural produce. However, the highest growth in export markets is recorded in
Russia, India, and UAE. Most horticultural crops imported by these markets are grown in Latin
America and the Caribbean, and Africa, respectively (HODECT, 2010). The growth of world export
market can be considered as an important opportunity for farmers in Ethiopia including those in
Amhara Region to produce fruits and vegetables having export quality, since the country is near to
the world market compared to other exporters (Joonsten, et al., 2011).
The export of Ethiopian fruits and vegetables to the world market is generally very low. However,
there is an increasing trend in the last few years. The exported fruits and vegetables increased from
25,300 tons in 2002/03 to 63,140 tons in 2009/10. In the same year interval, the foreign exchange
earnings of the sector increased from 9.6 to 30 million US dollars (Table 9). The export destination
of Ethiopian fruits and vegetables are mostly neighboring countries like Djibouti, Sudan and Somalia
where by more than 85% of fruits like citrus, avocado and banana are exported to Djibouti followed
by United Arab Emirates. High value fresh vegetables like green beans and peas including herbs are
also exported to United Kingdom, United Arab Emirates and the Netherlands which may create an
opportunity for the improvement of fruit and vegetable sectors in the country (MoA, 2013) at large
and in the Amhara Region in particular.
Table 9 Main exported vegetables in 2011
Type of crops Quantity (tons) Export value ($,USD)
Fresh vegetables 44,352 237,787,000
Dehydrated vegetables 198 6,808,000
Green beans (Phaseolus) 3,699 6,385,000
Tomato 17,665 6,224,000
Pepper 2,835 5,127,000
Source: Ministry of Agriculture, 2013
Fresh and processed fruits and vegetables have also a large domestic market in Ethiopia,
significantly higher than the exported volumes. The population of the region as well as the country is
27
in increasing trend which creates high potential demand for fruits and vegetables. Although there are
limited number of processing plants in the region and in Ethiopia, fruits and vegetables are important
inputs for agro-processing industries producing products for local or export markets.
Investment incentives, guarantees and protections
The Ethiopian Government has developed a package of incentives under Regulations No.84/2003 for
investors engaged in new enterprises and expansions, across a range of sectors including
horticulture. These incentives are available to both domestic and foreign investors without any
difference in their nationalities. The following are types of incentives available to both foreign and
domestic investors (EIA, 2012):
Customs duty exemption
A 100 percent exemption from the payment of import customs duty and other taxes imposed on
imports is granted to investment capital goods and construction materials necessary for the
establishment of a new enterprise or for the expansion or upgrading of an existing enterprise as
well as spare parts worth up to 15 percent of the value of the imported capital goods;
Investment capital goods imported without the payment of import customs duties and other
taxes imposed on imports may be transferred to investors enjoying similar privileges;
Exemptions from customs duties or other taxes levied on imports are granted for raw materials
and packing materials necessary for the production of export goods. Taxes and duties paid on
raw materials and packaging materials are drawn back at the time of exports of finished
products. The voucher system and bonded manufacturing warehouse facilities are also in place.
All goods and services destined for export are exempted from any export and other taxes
imposed on exports.
Income tax exemption
Any income derived from an approved new manufacturing, agro-industrial or agricultural
investment is exempted from the payment of income tax ranging from 2-8 years depending up
on the area of investment, the volume of export and the location in which the investment is
undertaken.
28
Income derived from an expansion or upgrading of an existing manufacturing, agro-industrial
or agricultural enterprise is exempted from income tax for a period of two years if it exports at
least 50% of its products and increases, in value, its production by 25%.
Loss carry forward
Business enterprises that suffer losses during the tax holiday period can carry forward such
losses for half of the income tax exemption period, after the expiry of such period.
Remittance of fund
Foreign investors are permitted to make the different remittances out of Ethiopia in convertible
foreign currency at the prevailing rate of exchange on the date of remittance.
Investment guarantee and protection
In Ethiopia both the Constitution and the investment Code protect private property. Ethiopia is
also a member of MIGA, which issues guarantees against non-commercial risks to enterprises
that invest in signatory Countries. Besides, the Country has signed bilateral investment
promotion and protection treaties with a number of Countries and is also in the process of
signing such treaties with a number other Countries.
1.2.3. Constraints of Horticulture Sector Development in Amhara Region
Despite enormous potentials and favorable environmental and socioeconomic advantages,
horticulture industry in Amhara region is relatively under developed. The margin of current
achievements, in terms of area and output, is very small compared to the possible level that can be
attained. This is due to the fact that horticulture sector in the region has been suffering from various
serious constraints. Generally, constraints of the horticulture industry are summarized as follows.
Improper agronomic practices
Most horticulture producers in Amhara region usually adopt traditional farming practices. The
horticulture farming systems in the region are often based on local knowledge and skills. Inadequate
knowledge and skills on many aspects of horticultural crop production, pest management and
postharvest management techniques represents a serious constraint for the production of quality
fruits and vegetables. Farmers and extension agents lack the required skills and knowledge and most
producers could not use agricultural inputs as per recommendation.
29
Prevalence of diseases and insect pests
Since most fruits and vegetables are produced in low and mid altitude areas of the region, there is
high incidence of diseases and insect pests resulting in low productivity and quality of fruits and
vegetables. Besides, there is skill and knowledge gap for identifying what types of diseases and pests
prevailed in the area and recommending their appropriate controlling measures.
Input supply problems
Inputs for horticultural production (such as improved seeds, fertilizers, pesticides and irrigation
equipment) are supplied to farmers through different channels such as governmental organizations,
NGOs, farmers’ cooperatives and unions and traders. However, farmers faced shortage of supply and
untimely delivery of improved seeds and planting materials for vegetables and fruits. Moreover,
although there is no shortage of fertilizers supply, they are expensive and delivered untimely.
Pesticides are supplied to farmers mostly by private traders. Since most of these traders lack
knowledge and are illegal, they supplied low quality pesticides and sold to farmers at expensive
prices as farmers do not have other alternative suppliers. Sometimes traders supplied farmers expired
pesticides which totally destroyed their horticultural crops. Different irrigation equipment like motor
pumps and rope and washer pumps were supplied to farmers by agriculture offices and donor
organizations. But lack of spare parts and unavailability of the nearby local workshop for repair and
maintenance of such equipment are the major constraints in the irrigation stream.
Poor infrastructures
Infrastructures such as rural roads and means of communication for efficient flow of goods and
market information are limited. Most of the production sites are not accessible by vehicles. Handling
and means of transportation are rudimentary. The products are transported to the road side by
donkeys, camels or by people. Such type of transportation requires longer time to reach the market
and affects the quality of the products. Moreover, the farmers don’t practice sorting and grading and
the products are packed by traditional packaging materials such as baskets and sacks which expose
the products to weathering and physical damages and thus, to deteriorated quality. Storage facilities
are rudimentary with no cooling or preservation systems.
30
Marketing and Market Information
Horticultural crops are perishable by nature. They cannot be stored for long period of time without
quality deterioration. Thus, there is a serious problem in the marketing of horticultural crops in the
region. There is no direct communication between the producers, traders (wholesaler, retailers) and
consumers. The farmers sell their products through negotiation with middlemen or broker. But the
farmers have no bargaining power and mostly they are price takers which influence their income.
There is fluctuation of prices in horticultural crops. Most of the horticultural crops are harvested
during the same period that increases the supply and forces the price to decline.
1.3. National and Regional Agricultural Development Policies, Strategies and
Plans
Poverty reduction is the core objective of Ethiopian national and regional development programs.
Ethiopia started the liberalization process in 1992 with the implementation of a series of economic
reform programs. The Agricultural Development-Led Industrialization (ADLI) strategy, adopted in
the mid-1990s established agriculture as an engine of economic growth. The main driving force of
ADLI has been to improve agricultural extension services, promote better use of land and water
resources, enhance access to financial services, improve access to domestic and export markets, and
provide rural infrastructure (Demissie Chanyalew et al., 2010).
Since 2002, within the framework of ADLI, two national development plans were implemented and
the third plan, Growth and Transformation Plan (GTP1), is currently underway with the objective of
attaining rapid and sustainable economic growth. The second phase of Growth and Transformation
Plan (GTP 2) which will be implemented in the next five years (2015/16-2019/20) is under
preparation that will strengthen the results achieved in the first phase. In the first two plans, SDPRP
(2002/03-2004/05) and PASDEP (2005/06-2009/10), which focused on agricultural growth via
domestic and international trades, greater emphasis was given on commercialization of smallholder
agriculture and enhancing private sector development. The establishment of the Ethiopian
Commodity Exchange (ECX) and the promotion of farmers’ cooperatives were strategic tools to
facilitate the commercialization process. During the last two planning periods, contract farming was
not explicitly stated in the list of the development strategies. Like the two last plans, GTP (2010/11-
31
2014/15) still targets agriculture as a major source of economic development, but focuses on
intensifying commercialization through the involvement of smallholder farmers and large
commercial farms(Demissie Chanyalew et al., 2007).
In the GTP1, there is a fundamental shift to the production of high-value crops (like vegetables and
fruits) and the importance of contract farming schemes that link smallholder farmers to high-value
markets. As a coordination strategy, contract farming enhances the growth of the agro-processing
industries to add value to primary products and it improves the capacity to meet stringent trade
requirements of export markets. Furthermore, contract farming provides a strategic option to attract
Foreign Direct Investment (FDI), specifically transnational corporations in agriculture that can have
significant role in the economy of the country in terms of income, employment, poverty alleviation,
and technology transfer. The GTP1 also encouraged the private sector to invest in agriculture in
lowland areas where extensive farming could be practiced. Moreover, in the highland areas (like
Amhara region), investment will be targeted with high-value export horticultural products that can
be produced on limited land using abundant labor. It is expected that such investments will be
integrated with smallholder agriculture through contractual arrangements in order to provide access
to guaranteed and sustainable markets for smallholders.
Within the framework of ADLI, Rural Development Policy and Strategies (2003) present specific
policies and strategies to guide agricultural and rural development. The RDPS includes not only the
agriculture sector but also rural infrastructure and social development programs and the development
of trade and industry that support the development of agriculture. Key elements of the RDPS include
rural and agricultural centered development as a means of ensuring rapid economic growth,
enhancing benefits to the people, eliminating food aid dependency and promoting the development
of a market-oriented economy. It also sets out five basic directions for agricultural development such
as labor intensive strategy, proper utilization of agricultural land, diversification according to agro-
ecological zones, building on experiences and indigenous knowledge for deploying new
technologies in conjunction with human resource development, and an integrated development path
among various activities and products in agriculture as well as linking these to education, health and
infrastructure development.
32
1.4. The Rationale to Formulate Regional Horticulture Development Strategy
The horticulture industry in Amhara region is constrained by a number of challenges in both
production and marketing aspects. Production constraints include shortage of inputs; occurrence of
pests and plant diseases; limited accessibility to improved agricultural technologies, pesticides,
seeds; poor packaging, sorting and processing which do not add value to the products and do not
increase the shelf life and the safety of the products; lack of skilled labor limiting uniform planting
and harvesting. Farmers’ skills, knowledge in production methods and product management are
seldom backed by scientific recommendations, which affect the quality of horticulture products. The
absence of conducive policies and enforcement mechanisms characterized the horticulture sector
both in production and marketing. Market constraints include, multiplicity of actors and unfair
competition, lack of market information, seasonal price fluctuation, unavailability of market
facilities and infrastructures, rudimentary handling and transportation, absence of norms and
regulations for fair marketing, considerable role of middlemen or brokers, etc.
So far there is barely any comprehensive horticulture development strategy in the Region, despite
some piece meal efforts. The MoA is currently trying to develop a national horticulture development
strategy. Prior to this effort, the Horticultural Exporters Association of Ethiopia has attempted to
develop a strategy for the horticulture industry in 2007. The focus, however, was mainly to promote
exportable horticultural crops, especially floriculture. The root and vegetable crops were neglected
and/or insufficiently addressed. Therefore, the preparation of a regional horticulture development
strategy is timely and relevant.
The strategy assesses the potentials, constraints and possible solutions for horticulture industry
development in the region so as to increase the competitiveness and profitability of the industry.
Moreover, the strategy includes means of enhancing benefits of different actors in the value chain
from input supply via to the products reach to final consumption/export. The novelty of the strategy
is that it includes monitoring and evaluation plan and logical framework that help evaluate the
performance of the sector at the end of each year, 2015-2019.
33
1.5 Alignment of the Regional Strategy with National Horticulture Development
Strategy
The national horticulture strategy (draft) was developed by the ministry of agriculture in 2013. The
aim of the strategy is improving the sector through proper and sustainable utilization of the existing
suitable natural resources, use of proper cultural and management practices, establishing market
linkages, supporting the existing and establishing new agro-processing industries and reducing the
existing high level of postharvest losses so that smallholder and commercial growers are able to
produce high quality and quantity of products which satisfy the safety standards of local as well as
export markets. In this regard the aim of horticulture strategy of Amhara region is fully in line with
that of the national strategy. Like the national strategy, this strategy gives more emphasize to the
smallholder vegetable and fruit production sub-sectors. Besides, the vision, goals and objectives of
Amhara region horticulture development strategy are derived from that of the national horticulture
strategy, the strategic issues that need to be addressed and the respective methods of interventions to
improve the horticulture sector development in the region are almost similar to that of the national
strategy.
While the national horticulture strategy is implemented in the next ten years from 2013 to 2023
(MoA, 2013), the Amhara region horticulture development strategy is developed only for five years
(2015-2019).
1.6 Scope of the Strategy
The scope of this strategic document is bounded for smallholder farmers, private investors and
youths who are involved in fruits and vegetables sub-sector’s input supply, production, exchange,
processing and export in Amhara region. Specifically, the strategic document indicates the possible
interventions for each of the strategic issues that can enhance profitability and competitiveness of
vegetable and fruit sub-sector in the region.
The document is mainly focusing on the Horticulture sector (fruits and vegetables) in Amhara region
in general and Tana Beles growth corridor in particular. It also focuses on the entire value chain in
34
the horticulture industry. Both supply and demand sides of the value chain were assessed. Special
attention were given to high value crops grown in Mecha, Jabitehenan, Habru, Kalu, Gayint and
Farta woredas using both traditional and modern irrigation infrastructure, assuming that the
information obtained from these woredas represent the regional picture.
The primary beneficiaries of the strategy are smallholder farmers and entrepreneurs who are engaged
in the horticulture production and marketing. Besides, agro-dealers, farmers’ organizations/
cooperatives, processors, transporters, traders and consumers are in the center of the strategy design.
Moreover, support service providers both financial and nonfinancial, and the business enabling
environment were also addressed. The strategy is expected to cover the potentials of transforming
the subsistence production to high value and commercialized farming through promoting farming as
business, clustering and producing quality products for domestic and export markets.
1.7 Approaches followed in the Strategy Development
The strategy is prepared by a team of consultants from Bahir Dar University in collaboration with
ANRS BoA and Agro-BIG. The procedures followed in developing the strategic plan are explained
as follows:
A multidisciplinary team of consultants was organized, consisting of individuals from
horticulture, agricultural economics, development management/economics, and environment
and climate change educational backgrounds that have relevant work experiences in strategic
plan development and research.
The technical and financial proposal was prepared by the team and submitted to the program
implementing partner (BoA) for comments and corrections were made accordingly in a
validation workshop.
A critical review of relevant literatures was made focusing on similar works done in Ethiopia
and elsewhere.
Secondary data on input supply, production, processing, marketing and export of horticulture
products were collected from different sources such as CSA, agricultural office reports (at
bureau, zone and woreda levels), relevant research papers and other relevant office reports.
35
Primary data from six sample woredas representing the different agro-ecologies of the region
(Habru and Kalu from low land; Lay Gayint and Farta from high land; and Jabi Tehinan and
Mecha from mid-land) were collected through individual household survey, focus group
discussion and key informant interviews. The key informant interviews and discussion were
also held with different key stakeholders at bureau and zone levels.
Both the primary and secondary data collected from different sources were analyzed to identify
strengths, weaknesses, opportunities and threats of horticulture industry in Amhara region. In
addition, the strategic issues that need to be addressed and the strategic interventions that need
to be implemented for developing horticulture industry in the region were clearly identified.
In the implementation plan of the strategy responsible stakeholders and their responsibilities
are indicated. Similarly, the strategy document includes the monitoring and evaluation plan and
the logical framework that help evaluate performance of horticulture industry in the region
over the plan years 2015 - 2019.
Validation workshop was organized and the strategy was presented for different stakeholders
which are responsible for the development of the industry. Suggestions and comments were
incorporated in the final strategic plan document.
Finally the ANRS horticulture development strategic plan document will be submitted to the
program implementing partner (BoA) and endorsed by the regional government/cabinet and
then it will be distributed or communicated to the respective stakeholders. As the owner of the
document the Bureau of Agriculture is responsible for endorsement and distribution of the
Regional Horticulture Development Strategy.
2. Vision, Goals and Objectives of the Strategy
Vision
The horticulture industry envisions developing a competitive horticulture sector capable of
transforming the existing subsistence farming to high value and commercialized farming through
promoting horticulture farming as business, clustering and sustainable supply of high quality
products for both national and international markets.
36
Goals
The goal of horticulture industry in the next five years is to increase the contribution of the sector to
the regional GDP and improvement of smallholder farmer’s livelihood in the region.
Objectives
In the next five years, by 2019:
Fruit and vegetable production will increase three times the current 730 thousand tons in the
region.
Fruit and vegetable export earnings of the Amhara region will increase to one hundred million
US Dollar.
Share of horticulture sector to the regional crop production will increase from the current nine
percent to twenty percent.
Production of fruit planting materials in the region will increase every year by 20% from the
current 31.7 million in number
Smallholder farmer`s gross margin from fruit and vegetable sub-sector will increase by 25%
every year.
Participation of youths and women in fruit and vegetable sub-sector will increase from 1.6 to 5
million beneficiaries
Post-harvest losses in horticulture sector will reduce by 50% from the current level ranging
from 30 to 35%.
Share of commercial farming system of horticultural crops will increase to 30% from the
current level of less than 3%.
Five fruit and vegetable agro-processing industries will be established in selected potential
areas of the region.
Water use efficiency of the irrigation schemes will be improved from 40% to 60%
3. SWOT Analysis
In identifying strategic issues, first it is important to analyze the existing situations of horticulture
industry in Amhara region and the overall assessment results can then be summarized with a SWOT
analysis, which assesses the strengths and weaknesses of the value chain organization (Table 9,
37
internal factor analysis) and the opportunities and threats of the value chain environment (Table 9,
external factor analysis) of horticulture industry in the region.
Table 10 Strengths, weaknesses, opportunities and threats of horticulture industry in Amhara region
Internal factor analysis
Strengths Weaknesses
Farmers’ awareness and experience for irrigation
season production and use of modern irrigation
schemes
Farmers’ experience for producing various
horticultural crops
Many large institutions in the region consuming
more vegetables & fruits as potential domestic
markets
Several supporting organizations in the region
providing extension services, training and improved
technologies
Inadequate supply of quality seeds and
planting materials for vegetables & fruits
Shortage of pesticides, spare parts and
maintenance services for irrigation
equipment
Poor postharvest handling technologies,
leading to high postharvest loss and low
quality produces
Low quality products for export
Weak market linkage and information
between producers and potential buyers,
leading to low margin to producers and
loss of produces
Lack of technically well equipped
responsible experts in horticulture sector
Limited skill, knowhow and exposure of
farmers and experts to proper agronomic
practices
External factor analysis
Opportunities Threats
Diverse agro-climatic conditions and fertile soil
suitable to production of various horticultural crops
Abundant surface and ground water resource
potentials
Improved consumption habits of the society for
vegetables and fruits
High population growth & expansion of
urbanization as a potential domestic market
Improvement in transportation service and road
network
Credit service, 70% for agricultural projects
Increased prices of horticultural products
Excess labor supply relatively at low wages
Due attention of the government for developing
horticultural sector
Disease and pest incidence on different
horticultural crops
Low attention in extension services and
research system to horticulture sector
National and international competitions in
quality and prices of horticultural
produces
Favorable conditions in other regions
(like proximity to Addis Ababa)
38
A government plan to install different agro-
processing industries in the sector
Free market and privatization policies
International market demand for organic
horticultural products
Potentials/opportunities of horticulture industry in the region
The horticulture industry development potential of the region is enhanced by properly exploiting the
invaluable strengths and opportunities, including diverse agro-climatic conditions and fertile soil
suitable for production of several high, mid and low land horticultural crops; abundant surface and
ground water resources for irrigation, excess and cheap labor, expansion of urbanization and
improved consumption habits of people for horticultural products mainly in urban areas, due
attention of the government for developing horticulture industry as a means to improve livelihoods
and income of smallholder farmers and promoting exports of horticultural products.
Horticultural crops grown in the region
The region is potentially suitable for the production of various horticultural crops. Among which, the
major horticultural crops grown in high land areas include potato, onion, garlic, cabbage, Ethiopian
Cabbage, apple and plum; in mid-altitude areas are cabbage, carrot, tomato, potato, pepper, beetroot,
green beans, onion, garlic, papaya, banana, coffee, avocado, guava, mango, fenugreek, black cumin,
white cumin, ginger and Korerima; and tomato, pepper, beetroot, mango, avocado, citrus, banana
and guava are the major crops in the lowland areas of the region. According to the key informants
from the BoA, the horticulture industry will become commercial business and more profitable in the
plan period if due attention is given for production, value addition and marketing activities of
mango, avocado, banana, coffee, apple, guava and papaya from fruits; tomato, potato, pepper,
cabbage, onion, garlic, green beans and green peas from vegetables; and black cumin, white cumin
and fenugreek from spices.
Irrigation water potentials
Ethiopia is blessed with abundant water resources in central, western and south western parts, while
most of North Eastern and Eastern parts of the country are relatively dry. Based on the Ministry of
Water Resources (MoWR) classification, irrigation projects in Ethiopia are identified as large-scale
irrigation if the size of command area is greater than 3,000 ha, medium-scale if it falls in the range of
39
200 to 3,000 ha and small-scale if it is covering less than 200 ha (Werfring 2004; Awulachew et al.
2005). Accordingly, the total irrigated area estimated from the total of 790 irrigation schemes in the
nine regional states of Ethiopia is 107,265.65 ha, among which 20,038.39 ha (18.7%) is from small-
scale, 30,291.26 ha (28.2%) from medium-scale and 56,936 ha (53.1%) is from large scale. Amhara
region is one of the nine regional states of Ethiopia with a geographical area of about 153,000 Km2.
Ethiopia’s largest inland water body (Lake Tana) is found in this region. The region has enormous
potential both in land and water resources. Different development activities have been underway to
utilize these resources. Currently, there are 310 irrigation schemes (39.24% of the country) under
development in the region, which covered an irrigated area of 8,469.26 ha with 17,443 people
beneficiaries. Out of the total irrigated area, 67.5% is from small-scale and 32.5% from medium-
scale irrigation schemes (Awulachew et al. 2007). Generally the region has 0.7 million hectares
potential irrigable land, of which only 2% is developed (Ethiopian Growth Corridor document). The
Federal Government of Ethiopia is currently implementing several irrigation and drainage projects
(like Rib, Gumara, Megech, Koga and Kobo-Girrana) in the region. However, such promising
endeavors are not fully supported by the research system.
Consumption habits of the society
Nowadays the consumption habit of both urban and rural people for horticulture products is
significantly improved though the case of urban people is more significant. Moreover, there is high
expansion of urbanization nowadays both in the region and Ethiopia. This implies urbanization
increases demand for horticultural products in the future, which in turn can be one of the potential
domestic markets for horticultural products.
Access to different infrastructure
In recent times a significant number of districts and kebeles in the region do have access to all-
weather roads, where producers can easily transport their horticulture produces by using modern
transporting methods like vehicles. Traders can also collect produces by traveling directly to
farmers’ homes or farms. While farmers were not accessed to roads, they transported produces to
local markets using their own human loads or draft animals, leading to more efforts and postharvest
losses during transportation. Thus, access to roads will improve market accessibility and farmers’
returns from sale of produces by reducing postharvest losses. Moreover, some of the towns (like
40
Kombolcha in Kalu district) are identified as industry towns by the government of Ethiopia, where
private investors, farmers’ cooperatives or any other individuals can invest on agro-processing
industries. In addition, the government plans Kombolcha to be centre for railway transport to
Mekele, Desie and Woldia and air transport has also begun at Kombolcha recently, which will
facilitate marketing of horticultural produces in the region. Kombolcha is near to Middle East
countries and Djibouti, which are potential importers of horticultural produces. The strategic location
of Amhara region as a gateway to Sudan for other regions of Ethiopia should be able to facilitate
more flow of goods and people. The opening of the road that connects Ethiopia and Sudan along
Amhara region and the Bahir Dar airport being an international airport can link the various
destinations directly from Bahir Dar town. The region should therefore use full advantages of these
gateways and effectively improve the logistic system through more efficient service delivery by the
public sector and providing better conditions in roads and railways that link to neighboring regions
and countries. This implies that the region has good network with Addis Ababa, Mekele, Afar,
Djibouti and Sudan markets, which can contribute a lot for horticulture industry development by
making the region more accessible to potential domestic and foreign markets if they are well
exploited strategically.
Government attention
In each of the total kebeles found in the region about three agriculture experts (DAs) are assigned by
the government to assist the farmers in the different sub-sectors of agriculture. One of them is a plant
science expert who is also responsible for Horticulture sector. In some of the irrigation potential
districts, the government allows one additional irrigation expert to be assigned at kebele level
aiming to promote irrigation oriented horticulture production in the region although there is still lack
of horticulture graduates (who can be technically and professionally responsible for horticultural
activities) assigned at Kebele level. The local government also attempts to bring farmers’ attitudinal
change through awareness creation and sometimes by enforcing them to shift their production
pattern from long maturing and traditional crops into short maturing and high value crops (like
vegetables) so that farmers can earn high income by cultivating a given plot of land 2-3 times per
year. For e.g., farmers in Kalu district still prefer to produce sorghum, which has 9 months growth
period. Farmers in this case can produce one type of crop only once in a year as well as earn lower
returns from sale of sorghum yields. That is, farmers can get on average 24-32 qt/ha yield, resulting
41
in an income of only 14,400-19,200 birr/ha annually. Instead, if a farmer shifts his production to
short maturing and high value crops like vegetables he can produce different types of crops three
times per year using irrigation and can earn a higher return from the same size of land. Thus, the
local government and woreda office of agriculture are nowadays enforcing farmers not to produce
long maturing crops (sorghum), instead advise them to shift their production to other short maturing
Girana-sorghum variety that yields at least 60qt/ha and high value crops like vegetables.
Moreover, the government plans to establish different agro-processing industries in the region that
mainly use horticultural produces as their inputs. For e.g., the government plans to establish apple-
processing plant in Debre Tabor town which may reduce marketing risk of apples produced in the
surrounding areas.
Access to different supporting institutions
There are several organizations supporting horticulture industry development in the region. NGOs
and bilateral programs such as AGP (Agricultural Growth Program), World Vision (supplies water
pumps & improved seeds), FCE (Facilitator for Change of Ethiopia), IFAD (International Fund for
Agricultural Development), SLM (Sustainable Land Management) project, Agro-BIG, FAO; and
GOs like AISCO (supplies fertilizers, pesticides and improved seeds), ACSI (supplies short term
credit), Agricultural Offices (provide extension services, training, ), Investment Offices, ORDA
(performs soil and water conservation activities; supplies apple seedlings and improved seeds for
potato and onion; promises them to supply small scale fruit juice processing machines), universities
(provide training, improved seeds, ..)
Farmers’ cooperatives
There are several farmers’ primary cooperatives and unions in the region. The existence of these
farmers’ organizations can be taken as an opportunity to the horticulture industry in the region to
address some of the constraints such as untimely delivery of inputs and lack of markets for
horticultural products provided that their capacity is further strengthened. Both focus groups and key
informants argued that if they are strengthened, these farmers’ organizations can serve as agents that
can facilitate exchange of inputs between sources of inputs and farmers. For e.g., there are 12
primary irrigation cooperatives in Mecha woreda, which are now organized into one irrigation
cooperative union and Semen wogagen fruits and vegetables multiplication and marketing
42
cooperative union in Kobo, which works on marketing and processing of horticultural crops. Thus,
these organizations can purchase different farm inputs (such as fertilizers, improved seeds, chemicals
and other inputs) directly from the sources and they will distribute timely to farmers. Moreover, they
can assemble horticultural products directly from individual farmers during harvesting seasons when
prices of products are very cheap and sell these products with better prices by looking for potential
buyers. In general, use of these organizations for those intended purposes will increase the
bargaining power of farmers and thereby improve farmers’ income obtained from horticulture
products in the one hand by reducing the transaction costs incurred for sale of products and purchase
of inputs if these activities are made by individual farmers and by selling products with better prices
on the other hand.
Constraints of horticulture industry in the region
The ability to realize the potential is however constrained by many weaknesses and threats along the
different stages of supply, value and market chains of the horticulture industry from input supply,
on-farm productivity to postharvest losses as it reaches to end users. Any future development is
subject to notable threats including climate change uncertainties, occurrences of disease and pest
outbreaks, limited attention in extension services and research to the industry and the continuously
rising of international standards. These issues were identified through discussion with key
informants, focus group discussants and individual households as well as through review of relevant
secondary sources such as office reports, research and policy documents.
4. Strategic Issues
This strategy is prepared with the aim to facilitate the development of horticulture industry in
Amhara region so as to improve nutritional status, increase incomes and livelihoods of smallholder
farmers and reduce poverty while increasing productivity and quality of produces. Horticulture is an
important sub-sector in agriculture that can exploit the potentials of the region particularly the
underutilized water, arable land and abundantly available labor. According to the Regional Growth
Corridor document, the region has potentially 0.7 million hectare of irrigable land but only 8,469.3
ha are currently in use which is very low compared to the potential.
43
The Amhara region horticulture industry faces several challenges. However, in the strategy we
consider only the major challenges by classifying into five broad categories, namely agronomic
issues, capacity building, marketing issues, institutional and policy issues, and cross cutting issues.
For developing the industry, it is important to employ the existing potentials of the region in
addressing the following key constraints categorized under five broad strategic issues:
1. Marketing issues- There is poor market linkage and information among producers and
potential buyers of horticultural produces in Amhara region. Thus, there is lack of market
infrastructure in horticulture sector of the region.
2. Agronomic issues- Improper agronomic practices and inadequate and untimely supply of
quality seeds and disease and insect pest incidences are the key constraints of horticulture
production in the region.
3. Capacity building (technological and human capacity) - Poor postharvest handling
technologies, absence of agro-processing industries, and inadequate skilled and qualified
human resources are the other key constraints in technological and human resource
development of the horticulture industry in the region.
4. Institutional and policy issues- Low focus in extension and research to the sector,
uncoordinated linkage among key stakeholders, limited access to financial institutions and
poor investment participation, and poor management of irrigation schemes and weak
institutional capacity of Water User Cooperatives (WUCs) and Associations (WUAs) are
also the other major challenges in the horticulture industry.
5. Cross cutting issues- limited participation of women and youths, alignment of the strategy to
small and micro enterprises (SMEs) and environmental problems (like salinity and inefficient
use of water resources) are the other important constraints in the sector.
44
Table 11 Identification of strategic issues
No
Strategic issues
Rating (put X)
1 2 3 4
1 Poor market linkage and information among producers and potential buyers x x x x
2 Disease and insect pest incidences and lack of appropriate treatments x x x
3 Inadequate and untimely supply of inputs like high quality seeds x x x x
4 Poor postharvest handling technologies x x x
5 Inadequate skilled and qualified human resources in the sector x x x x
6 Improper agronomic practices x x x x
7 Low focus in extension and research to the sector x x x x
8 Absence of agro-processing industries x x
9 Uncoordinated linkage among stakeholders x x x x
10 Limited access to financial institutions and poor investment participation x x x
11 Poor management of water and irrigation schemes and weak institutional
capacity of Water User Cooperatives (WUCs) and Associations (WUAs)
x x x
Rating: 1=Biggest impact, 2=Most central, 3=Most immediate, 4= Closer to our values
Once the strategic issues are identified (Table 11), they will be further described by analyzing what
make them strategic and what will be their consequences if they are not addressed as of Table 12.
Table 12 Analysis of strategic issues
No Strategic issues What makes it strategic Consequences if not addressed
1 Poor market linkage and
information among producers
and potential buyers
Very low prices for products
Discouraged farmers for next
season production
High wastage of products
Low income from the product
Low production in the next
season
2 Disease and insect pest
incidences
Low production, productivity
and quality
Increase cost of production
Difficult to identify and treat
Low income from the product
Discouraged farmers
Distribution of pest to the next
crop
3 Inadequate and untimely supply
of quality seeds
Use of local seeds increased
High prices for low quality
seeds, leading to high cost of
production
Low adoption of improved seeds
Low production & productivity
Low income and discouraged
farmers
4 Poor postharvest handling
technologies
High post harvest loss
Poor quality and short lived
products
High postharvest loss
Low income
45
5 Inadequate skilled and qualified
human resources
Knowledge and skill gaps on
both experts and farmers thus
improper management
practices
Low production and
productivity
Low acceptance of new
technology
High postharvest loss
Low acceptance of new
technologies
Low production & productivity
6 Improper agronomic practices Low production & productivity
Low quality products
Increased disease and insect
pest incidences
High post harvest loss
Very low income
Lack of markets for products
7 Low focus in extension and
research to the sector
Improper agronomic practices
Low adoption of new
technologies
Increased use of local varieties
and limited variety assortment
Traditional production
practices implemented
Low production & productivity
High incidence of disease and
insect pests
Low price and consequently low
income
8 Absence of agro-processing
industries
Lack of potential markets for
raw products
No value addition
Reduced post harvest life of the
products
Unavailability of different
forms of products through out
the year
High post-harvest losses
Price fluctuation in the growing
and off season
9 Uncoordinated linkage among
stakeholders
Duplication of efforts
Uneconomical use of limited
resources
No system for sustaining
effects of any support
Low adoption of new
technologies
Low production & productivity
Wastage of resources
Low adoption of new
technologies
10 Limited access to financial
institutions and poor
investment participation
Traditional and subsistence
agriculture persist
Low technological progress
No mechanized farming and
value addition
Low level of production &
productivity
High post harvest losses
11 Poor management of water and
irrigation schemes and weak
institutional capacity of Water
User Cooperatives (WUCs)
and Associations (WUAs)
High wastage & inefficient use
of water
Poor clustering of crops with in
the scheme
Conflict of interest among
irrigation users
Inefficient use of water
Low production, productivity
and quality during irrigation
season
46
Although the region is potentially suitable for horticulture production, the development of the
horticulture industry is still very low. Still the land allocated for horticulture production (120,792.8
ha) as well as the yields obtained (586,456 tons) are very low as compared to grain crops cultivated
with 4,287,155.2 ha of land and 6,969,648.1 tons of yields obtained in 2011/12 cropping season
(CSA, 2012). Some of the major reasons for low level of development of horticulture industry in the
region will be discussed as follows.
The strategic issues identified and analyzed above are briefly discussed based on the information
obtained from key informant interview, focus group discussion, household survey and relevant
secondary data during the survey.
4.1 Poor market linkage and information among producers and potential buyers
Little or no market linkage and information flow is existed among producers and potential buyers-
agribusiness firms (such as wholesalers, traders, agro-processing companies and exporters) which
results low prices of horticultural products. Results of key informant interview, focus group
discussion and household survey showed that there are four main reasons for low producers’ prices,
including: (1) the illegal brokers disturb the marketing process by making the information regarding
supply, demand and prices asymmetric in favor of traders, (2) excess production of similar
horticultural crops by most farmers at the same season, leading to surplus supply of the same product
to local markets which in turn reduces prices, (3) no market linkage created with agro-processing
companies, which are even few in the region, and (4) farmers entering lately to the irrigation
cropping calendar. Consequently, farmers are discouraged not only for expanding their production,
but even to keep on production of these crops in the coming seasons.
The illegal brokers and/collectors which enter into the market chain between the producers and
traders and/or consumers often disturb the marketing process of horticultural crops. They usually
negotiate the price of the produce with the producers and make down payment which is very low
compared to the value of the produces. After the informal agreement the producers will be ordered to
harvest their produces at a given date of harvesting. However after the crops have been harvested,
47
brokers and/collectors pressurize the produces to down scale the negotiated price by giving
iimprobable reasons such as low quality of the product, reduction of the current price in the market
etc. Since horticultural products are very perishable in nature producers will be unwillingly forced to
sell the products at lower price as the brokers or collectors demanded. This implies that poor market
linkage and information between the producers and potential buyers reduce the profit margin and
bargaining power of horticulture producers. In most cases they are price taker rather than price
maker.
Producing the similar horticultural crops by most farmers in the same seasons or months also
reduced the price of that particular crop since it leads surplus supply of the local market. The framers
in Fogera Plain who are growing tomatoes and onions during the irrigation season have such type of
experience over year which discouraged the farmers and reduced their income. Such conditions are
usually encountered to farmers who enter the irrigation season lately.
4.2 Diseases and insect pest incidences
The incidence of diseases and insect pests is the other serious problem in the region. They affect
most of the horticultural crops grown in the region. This problem is further aggravated by shortage
of appropriate pesticides to manage them. Most horticulture crops in the region are affected by
disease and insect pests of various types. Horticultural crops like pepper and citrus diseases are very
critical in the region.
Based on key informant interview the apple nursery in Farta woreda, Awuzet Kebele was closed due
to the outbreak of apple pests in the area. Debre Tabor University as the owner of the nursery closed
the site and fired the planting materials to reduce further dissemination of the pests to the
surrounding apple trees, although plant quarantine is generally not strictly practiced in the region.
Generally, in most of the production areas in the region there is shortage of pesticides to control
pests. Like improved seeds, pesticides are usually supplied by local traders. Some traders around the
production areas however, supplies low quality, even expired pesticides to the producers which may
have no effect of the pests. The focus group discussants indicated that the prescription of pesticides
to control pests is not based on the type of pests occurred in the farm rather based on the types of
crops. The farmers purchase pesticides without consulting the agricultural experts although the
agricultural experts lack the required skills and knowledge to identify the pests. This leads to low
48
effectivity of pesticides that increases the production cost. Furthermore the discussants disclosed that
most of the chemical traders lack the required knowledge for advisory services in handling of
chemicals. Not only pesticides that lack in most horticulture production area but also equipments
required for the application of pesticides such as sprayers. Sprayers are mostly supplied by private
traders, AISCO and Ambassel trading house in big cities like Bahir Dar and others.
4.3 Inadequate and untimely supply of quality seeds
High quality seeds and planting materials are the prime prerequisite for the success of a horticultural
enterprise. However, the results of all household survey, key informant interviews and focus group
discussions revealed that lack of quality seeds supply is one of the major problems of horticulture
sector in Amhara region. Most seeds of horticultural crops are supplied by local traders. In most
cases supplied seeds could not satisfy farmers’ needs in terms of quality, quantity, prices and time of
delivery. They provide uncertified improved seeds with poor quality, inadequate amount, high prices
and untimely. Although planting materials of tropical and sub tropical fruits are supplied by
governmental nurseries, there is scarcity of planting materials in temperate fruits. Besides there is no
alternative temperate fruits in potential growing areas like Layi Gayint and Farta woredas other than
apple. Therefore such areas are dependent on apple although the area is suitable for the production of
various types of temperate fruits such as peach, plum, pear etc. Furthermore farmers in this area have
reported that they faced shortage of tools and equipments necessary for orchard management and
nursery operations like pruning, budding and grafting. Irrigation equipments such as pedal pump,
rope pump and water pump are delivered by Agriculture offices. However unavailability of spare
parts and skilled manpower how can operate and repair such equipments are critical problems in the
region.
4.4 Inadequate skilled and qualified human resources
Most professionals in agricultural offices working in horticulture sector are graduates of plant
sciences that may have limited skill and knowledge in the field of horticulture which leads to
ineffective extension services in the horticulture sector. The practice of horticultural crop production
is traditional characterized with low input and low output systems. Farmers don’t apply the
recommended agronomic practices in the production, harvesting and postharvest handling activities
49
including spacing, fertilizer and pesticide application rates, irrigation frequency, crop rotation,
diseases and insect pest management, use of proper containers for harvesting and postharvest
handling. The farmers generally lack technical skills and knowledge about modern production,
postharvest handling and marketing systems in the sector. Consequently, the quality, quantity and
productivity of the horticultural crops are very low compared to the potentials of the region in the
sector.
The agricultural experts also lack skill and knowledge of the recommended agricultural practices in
the production of horticultural crops, including their proper postharvest handling technologies which
have a significant role in maintaining shelf life of harvested crops and thus reducing the postharvest
losses. Lack of skills and knowledge in turn will lead to lack of expert’s commitment to tackle
problems associated with the production and marketing of horticultural crops. Moreover, producers
have not yet participated in value addition activities such as sorting, grading and packaging.
The importance of producing horticultural crops using irrigation is the other constraint for the
development of horticulture industry in the region. Some farmers perceived that irrigation makes the
soil infertile for the next cropping seasons and others considered the irrigation season as a secondary
activity of crop production. They also believed that involving in horticulture production cannot
improve their income and livelihoods compared to producing other crops like cereals and pulses. As
a result, they preferred to employ most of their resources to the production of the later, non-
perishable crops. For e.g, farmers in Mecha district do not want to exert more efforts for the
production of horticultural crops like potato & onion, as their production management and
postharvest handling are very hard and required more attention, although they know that they can
derive higher returns from these crops. Therefore farmers in this area are currently producing wheat
rather than vegetables because of its easiness in production management and postharvest handling.
4.5 Poor postharvest handling technologies
Horticultural crops are highly perishable in nature. They cannot store for a long period of time
without quality deterioration. Therefore they have to be sold fresh immediately to the market or they
have to be processed. However it is possible to extend their shelf-life using proper postharvest
handling technologies like reducing damages in the process of harvesting, transporting and
marketing and using modern transportation methods and cold storage. Lack of awareness in perish-
50
ability of horticultural crops, rudimentary transport methods and lack of modern storage facilities
(cold storage) are the characteristics of the postharvest handling systems practiced in the region
which increases the postharvest losses of the products. Due to these problems, farmers are
unwillingly enforced to sell their products immediately after harvesting when there is excess supply
of products at very low prices. Even some farmers throw out their unsold products in the market. To
tackle these problems some farmers store their tuber and bulb vegetables like potato and onion using
traditional storage methods such as on-farm storage and on raised-beds in locally constructed storage
structures which may incur relatively high losses in harvested products
Although some kebeles around towns are accessible, most horticulture producing kebeles are not
easily accessible because of lack of all-weather roads. They transport their produces in sacks,
baskets, in some extent using wooden and plastic containers using pack animals or human labor
which expose the products to direct sunlight and mechanical damages that shorten the postharvest
life and thus increased the postharvest losses.
4.6 Improper agronomic practices
The increase in crop production in general can be achieved through two ways: increasing area of
production and increasing the productivity or efficiency through use of improved production
technologies including proper agronomic practices and make use of improved high yielder varieties.
Both options can be employed in the region. However increasing the efficiency of the growers is the
best option where expanding the production area will have its own limitation in the future since land
is a limited natural resource. The efficiency or productivity of farmers can be improved through
appropriate extension service, education, training and demonstration so that less efficient farmers
will produce as much as efficient producers. This approach however needs a coordinated effort of
research institutes, universities, BoA and other development partners engaged in the development,
promotion and scale up activities. In line with this recent studies (Solomon, 2014) showed that
agricultural production in Ethiopia can be enhanced by nearly 37% using the current technology.
Currently, less adoption of improved technologies is one of the major challenges of the region to
enhance production and productivity of horticulture. Most farmers produce their crops using
traditional production systems. Very few farmers apply the proper agronomic practices including
51
seeding/planting rates, fertilizer and pesticides as per the recommendation for that particular crop.
These could be because of various reasons, among which lack of knowledge and skills, lack of
awareness, lack of proper extension service, lack of premier market price for quality products and
cost of some technologies are the most important factors. In this regard Bureau of Agriculture, as
main stakeholder in the sector, is trying to introduce improved agronomic practices in collaboration
with research, universities and development partners. The efficiency of these trainings is however
low since they are more general and the specific problems of horticultural crops like pest
management, postharvest handling and the issue of quality are not well addressed. The absence of
special premier price for quality products may also influence the adoption of new technologies
which are focused on the quality of the products. Farmers for instance use deliberately narrow
spacing in the production of vegetables such as onion and potato at the expense of quality. Some
farmers also use high seeding rate of horticultural crops to compensate losses of seedlings caused by
ravages of pests. In case of irrigation technology, some equipment like water pumps is too expensive
to use them at farm household level as well as limited in supply.
4.7 Low focus in extension and research to horticulture sector
In recent years, the national and regional government gave attention to the horticulture industry.
However the attention given to the extension services of horticulture is not enough to exploit the
potential of the region as well as the country. Currently less effort is made in terms of budget,
training and nursery development. The existed nurseries don’t have their own budget and also has
poor facilities such as pruning, budding and grafting equipment. There is a lot of research institutes
scattered throughout the region. Their research thematic area is however focused more on agronomic
crops such as cereals than horticultural crops.
4.8 Uncoordinated linkage among stakeholders
Given horticulture is potential/unexploited sector, which could contribute more for the aggregate
agricultural production in the region, participation of various stakeholders in the sector is necessary.
However their effort should be coordinated to avoid duplication of efforts and enhance efficient
utilization of scarce resources. Currently, different stakeholders are working in the horticulture
sector of the region, including development partners and NGOs. However, in some cases their work
is not well coordinated with respective stakeholders like agricultural offices. Some NGOs and GOs
52
are doing activities that are already done by other stakeholders while there are activities which have
not yet been done. Furthermore uncoordinated activities create the problem of sustainability after the
lifetime of the projects. Such issues were raised for example by woreda agriculture experts and DAs
in Farta woreda where developmental partners like ORDA, and others are engaged in different
activities. Therefore coordinating their efforts is quite necessary and if possible addressing the issues
of marketing and storage facilities which require relatively more skills and finance are important
problems which need more intervention by such stakeholders.
4.9 Absence of agro-processing industries
In the development process, most countries start from production and export of agricultural products
and promote manufacturing and value addition industries to fetch better benefit margin. As far as
horticulture sector development in the region is concerned, the role of agro-processing industries is
quite vital. Among the benefits of agro-processing industries; import substitution, secured market for
the producers, employment opportunity are the major ones.
The development of agro-processing industry in the region is very low: better to say no agro-
processing industries except small-scale homemade processors (juices, processing potato to chips).
Hotels and supermarkets in the region are dependent on imported products. The reasons for the low
level of development of agro-processing industries in the region are lack of sustainable and enough
supply of inputs such as vegetables and fruits. The supply of most fruits and vegetables are seasonal
which incurs input supply problem for the processing industry and hamper the profitability of the
business. However, establishing agro-processing industry in center of potential areas may help to
reduce the market risks of horticultural crops which in turn encourage the farmers to produces crops
throughout the year through staggering principle using irrigation.
4.10 Limited access to financial institutions and poor investment participation
Economic theories confirm that saving is directly related to investment at macro level. Experiences
and studies revealed that smallholder farmers do have limited income together with their poor saving
culture would lead to very limited saving and hence low investment in agriculture sector in general
and Horticulture sector in particular. Hence, the need for credit service for horticulture sector
development is unquestionable. What makes the credit service more important besides the perishable
53
nature of horticultural products is the huge financial requirement of the sector for investments in
production, agro-processing, other value adding and storage activities. There are limited cold storage
facilities and agro-processing industries in the region. There could be a number of reasons for this,
among which lack of credit service, fragmented production systems to get sustainable supply of
produces throughout the year, limited market linkage, and limitation in investment promotion could
be mentioned.
4.11 Poor management of water and irrigation schemes and weak institutional capacity
of WUCs and WUAs
Farmers’ awareness and experience in using irrigation water for horticulture production has
improved overtime. Some farmers in Amhara region allocate on average up to 0.25 ha of land per
household for the production of vegetables. Some farmers in potential areas for example in Jabi
Tahenan woreda transport irrigation water from distant source using two pumps. The first pump
transports water from the source to a certain distance while the second pump transports water to the
farm. By doing so, farmers are able to transport water about 2 km distance from the source.
However, farmers faced a problem while water is released turn-by-turn. If water is released to one
farmer or group of farmers the other groups should wait until their turns. This causes damages on
crops which incur water stress that result wilting/drying of horticultural crops. This problem can be
alleviated through clustering of farmers based on water requirements of the crops and adjusting the
frequency of watering. Besides, establishing additional water source can also help to solve this
problem. The other problem in the use of irrigation water source is that most farmers in the region
use traditional irrigation schemes by diverting the main river through furrow irrigation. Beside the
requirement of continuous channel maintenance and repair services, the water use efficiency of the
method is low, since most of the water is lost through evaporation and percolation only a little
amount of water is utilized by plants.
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5. Strategic Interventions
The main objective of this strategy is to exploit the vast potentials of horticulture industry in the region so as to make it grow three
folds, and a profitable commercial industry in the coming five years (2015-2019). To achieve this objective, the strategic plan was
built on with five strategic pillars within which strategic interventions are identified and analyzed as shown in Table 12.
Table 13 Analysis of strategic interventions
No Strategic pillars Strategic interventions TF EF SA PF Total
score
Rank
1 Market linkages
1.1 Contract farming schemes Promote collective action 2 3 2 3 10 3
Promote Public-Private-Partnership (PPP) in research, extension
and large investment
2 3 2 3 10 3
Develop small scale out-growers schemes 3 3 3 2 11 2
Develop innovative private enforcement mechanisms 2 2 2 2 8 4
Promote competition among agribusiness firms 2 3 3 2 10 3
Develop legal frame work for contracts & provide arbitration
services
2 3 3 2 10 3
Strengthening the existing and establishing the new farmers’
cooperatives/ unions
3 3 3 3 12 1
1.2 Fresh vegetable and
fruit market center for
producers
Establish fresh vegetable and fruit market center for producers at
the strategic location of potential areas as pilot projects
3 3 3 2 11 1
Scaling up of the proven fresh vegetable and fruit market centers to
wider potential areas in the region
3 2 3 2 10 2
1.3 Market oriented
horticulture production and
export diversification &
improvement
Establish Ethiopian Horticulture Development Agency (EHDA)
and Ethiopian Horticulture Producers and Exporter Association
(EHPEA) at regional level
3 3 3 3 12 1
Promoting production of organic horticultural produces 2 2 2 3 9 4
Advocating horticultural products to national & world markets 3 3 2 3 11 2
Adopt clustering and staggering production system 2 3 2 3 10 3
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No Strategic pillars Strategic interventions TF EF SA PF Total
score
Rank
2 Production and
Management practices
2.1 Site selection & planting
material and land preparation
Proper site selection based on the requirements of individual crops 3 2 2 2 9 3
Producing healthy and strong planting materials 2 2 3 2 9 3
Proper seed and/or planting bed preparation according to the
requirement of the crops
3 2 3 2 10 2
Developing and distribution of horticultural crop production
packages based on specific conditions of the area
3 2 3 3 11 1
2.2 Adequate and timely
supply of quality
seeds/planting materials
Establishing seed multiplication centers across agro-ecologies 3 2 3 2 10 2
Promote private sectors and farmers` cooperatives involve in
horticulture seed multiplication business 3 2 2 3 10 2
Promote state seed enterprises involve in horticulture seed
multiplication business 2 2 2 3 9 3
Close monitoring and follow up of agricultural input traders 2 3 3 2 10 2
Practice plant quarantine practices 2 2 2 3 9 3
Introduce certified seed production & supporting producers for
certified seed multiplication
3 3 3 2 11 1
Introducing improved seeds from abroad by conducting adaptation
trials
3 2 3 2 10 2
Strengthening existing and establishing new tissue cultures 3 2 3 3 11 1
Strengthening the existing and establishing new nurseries 3 2 3 3 11 1
2.3 Disease and pest control Generating disease resistant varieties through research 2 2 3 3 10 2
Implement plant quarantine 2 2 2 3 9 3
Promote proper agronomic and certify producers with global GAPs 3 2 3 3 11 1
Promote IPM 3 3 3 2 11 1
Identifying pests and recommending appropriate pesticides 3 3 3 2 11 1
Prepare pictorial booklets with symptoms of major diseases and pests
and their treatments for woreda and kebele experts
3 3 3 2 11 1
Introducing small scale protected cultivation 2 2 2 3 9 3
Enhancing the capacity of plant tissue culture laboratories 2 2 3 3 10 2
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No Strategic pillars Strategic interventions TF EF SA PF Total
score
Rank
3 Capacity building
3.1 Technological capacity
development
Awareness creation on postharvest handling through training and
experience sharing
3 3 2 2 10 2
Creating access to appropriate containers for fruits and vegetables 3 3 2 2 10 2
Provide special incentives for value addition/creation in the
horticulture sector
2 2 3 2 9 3
Improve sea, air and road transportation services 2 2 3 2 9 3
Strengthening existing and establishing new farmers’ cooperatives
involve in agro-processing industries
3 3 2 3 11 1
Establishing cold storage and agro-processing industry in potential
areas where the private sector unable to involve
3 2 3 2 10 2
Establishing modern irrigation scheme and its management system in
the irrigation potential areas
2 2 3 3 10 2
Improving water use efficiency by adopting drip and sprinkler
irrigation systems
3 3 2 3 11 1
3.2 Human capacity
development
Establish practical training centers at strategic locations that deliver
short-term training for both experts and farmers 3 3 3 3 12 1
Providing farmers’ advisory services 3 3 3 3 12 1
Short-term training for experts and farmers in horticulture production,
postharvest handling, utilization and proper agronomic practices
3 3 2 2 10 3
Long-term training for experts in horticulture fields 3 2 2 2 9 4
Organizing experience sharing field visit for both farmers and experts 3 3 3 2 11 2
Arranging demonstration sites on FTCs that enable farmers get
technical and practical knowledge
3 2 3 2 10 3
Experts in the horticulture section at least at woreda level should be
graduates of horticulture
3 2 2 2 9 4
4 Institutions and policies
Develop legislation, a code of conduct and regulations for contract
farming arrangements
2 3 2 2 9 3
Organize a separate structure for horticulture section responsible
for both meher and irrigation seasons
2 3 2 2 9 3
Organize a platform for stakeholders in horticulture industry at 3 3 2 3 11 1
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No Strategic pillars Strategic interventions TF EF SA PF Total
score
Rank
regional, zonal and district levels
Promote financial institutions to deliver credit services to
horticulture sector
3 2 3 2 10 2
Promote investment opportunities for both domestic and foreign
investors
2 2 3 3 10 2
Develop modern irrigation schemes and its management system in
the irrigation potential areas
2 2 3 3 10 2
Establish small-scale workshops for maintenance and repair
services especially for irrigation equipment
3 2 3 3 11 1
Empower WUCs and WUAs 3 2 3 3 11 1
Allowing land use certification scheme for the production of
especially perennial/fruit crops
2 2 2 2 8 4
5 Cross cutting issues
5.1 Women & youths
participation
Promote urban agriculture to create more employment opportunities
for women and youths
2 2 3 3 10 2
Organize unemployed youth group to supply services to horticulture
producers groups
Organize women and youths in SMEs to participate in different value
adding activities such as transportation, storage, packaging materials,
containers,
3 2 3 3 11 1
5.2 Environmental aspects Promote planting of fruit crops in closed and rehabilitated
watersheds
2 3 2 2 9 3
Provide training on the environmental impacts of chemicals used in
horticulture
Promote Good Agricultural Practices (GAP) in horticulture
Score for feasibility level: 1= Low 2= Medium 3= High
Where, TF= technically feasible, EF= economically feasible, SA=socially acceptable, PF= politically feasible
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5.1 Market linkages
The results of household survey, key informant interview and focus group discussion revealed that
lack of market linkages and information flow between producers (smallholder farmers) potential
buyers (agribusiness firms- such as traders, agro-processing industries, exporters, and others) is the
principal challenge of horticulture industry development in Amhara region. They also indicated the
possible means of addressing such marketing problems in that the governmental institutions like
BoA and BoT should consider in their short-term interventions. Thus, in order to create a sustainable
market linkage among producers and agribusiness firms, it is recommended that BoT, BoA and
Cooperative Promotion Agency should work together on the following three core strategies in
collaboration with farmers, donor organizations, agribusiness firms and other key stakeholders in the
horticulture sector. These are:
1. Contract farming (out-grower) schemes,
2. Fresh vegetable and fruit marketing center for producers, and
3. Market oriented horticulture production and export diversification and improvement.
The importance and means of introducing these core strategies in horticulture sector of the region
will be discussed as follows.
5.1.1 Contract farming (out-grower) schemes
Contract farming has been widely used in many developing countries across Africa, Asia and Latin
America due to the ongoing agro-industrialization and globalization process. It has evolved as an
institutional arrangement to serve the interest of both the producers and potential buyers-i.e.,
agribusiness firms (traders, processors and exporters). Smallholder farmers with contractual
arrangements generally have two potential advantages which otherwise would not be achieved. First,
they have access to emerging and growing high-value global markets despite potential barriers
arising from the rapid expansion of global retailers (supermarkets), the use of private grades and
standards, and the application of strict quality and safety regulations that need vertical coordination
of different stages along agricultural value chains. Secondly, smallholder farmers have the
opportunity to manage constraints such as lack of market information, finance and risks that limit
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their participation in the commercialization process. Contract farming therefore enhances the
productivity of smallholder farmers by introducing improved farming practices through the
provision of inputs, credits, extension services and other support services. It also brings investments
and technical expertise to the smallholder sector. In the process, the agribusiness firms are able to
ensure sustainable output supply according to agreed quality, quantity and price.
Nowadays, contract farming is widely recognized as an institutional arrangement that promotes the
commercialization of smallholder agriculture and poverty alleviation in developing countries.
Especially given the poor performance of agriculture in Africa, it is hoped that contract farming and
its variants will bring about improved incentives, increased income for farmers and positive
multiplier effects for impoverished rural economies (Glover, 1994; Kirsten and Sartorius, 2002). It
facilitates crop diversification through a shift from traditional low-value crops to high-value crops
(like vegetables and fruits) for niche local and export markets. Those schemes that involve labor-
intensive and high-value crops for niche markets have an especially significant impact on poverty.
As a coordination strategy, contract farming enhances growth of agro-processing industries to add
value to primary products and improves the capacity to meet stringent trade requirements of export
markets. In addition, it provides a strategic option to attract foreign direct investment (FDI),
specifically transitional corporation in agriculture that can have significant impact on the economy in
terms of income, employment, poverty alleviation and technology transfer.
While contract farming plays a vital role in facilitating commercialization of smallholder agriculture
in developing countries like Ethiopia, it is not a panacea for all smallholder agricultural production
and marketing problems nor is it appropriate for all types of commodities. Thus, it should not be
imposed or promoted across all sectors. It does make economic sense in certain commodity markets.
Contract farming is appropriate in cases where the contractor is a large processor, exporter, or retail
chain; the commodity is high-value, perishable, and/or not widely grown; and there is a destination
market that is willing to pay a premium for quality attributes that cannot be obtained in spot markets.
In general, contact farming as a business model is appropriate for high-value fruits and vegetables
for quality sensitive markets and other major cash crops such as tea, cotton, sugar, tobacco and oil
palm (USAID-CIAFS, 2012). In the literature, it is identified that there are five contract farming
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models (nucleus estate, centralized, multipartite, informal and intermediary), where the decision of
contractors to adopt a particular model depends on market demand, production, and processing
capacity and the socioeconomic viability of plantation versus smallholder farmers (Eaton and
Shephered, 2001). Among which centralized model is commonly used for fruit and vegetable
production. This structure is often managed by private sector. In this case, a large number of
smallholder farmers are involved and the agribusiness firm provides quality control, brand names
and marketing channels. In Ethiopia particularly in Amhara region, this model is recommended for
production of high-value crops, where land is relatively scarce but labor is abundant. Given the
limited experience of Ethiopia in contract farming, the multipartite model is recommended because it
is often established as joint venture between the public and private sectors the former sector has its
own sake. Such arrangements also build confidence needed for foreign companies to invest in
contract farming with smallholder farmers. Koga Vege, a Private Company from Belgium, in
Mecha woreda is an example in this case having started producing sugar snow, snap peas and baby
corn for export piloting using 50ha nucleus farm secured from the regional government.
In contract farming, an agreement is made between farmers and agribusiness firms in advance for a
specific quantity, quality and date of delivery of an agricultural commodity (say, horticultural
product) at a predetermined price or fixed price formula (Binswanger et al., 1995; Eaton and
Shepherd, 2001). The agribusiness firm provides the farmer with technical assistance, farm inputs
and credits and offers a guaranteed price while the firm receives a guaranteed steady supply of farm
products in accordance with the contract terms.
All agricultural markets involve some form of vertical coordination, i.e., matching of supply and
demand between different participants along the marketing chain, such as farmers, processors,
wholesalers and retailers (Minot, 2007). While the problem of vertical coordination exists along all
stages of the marketing chain, the focus in this case is limited into the relationship between farmers
and the buyers of agricultural outputs. The theoretical literatures identify three types of vertical
coordination strategies in the agricultural sector: spot markets, contracts and vertical integration
(Minot, 1986; Da Silva, 2005; Bijman, 2008). Contract farming is a form of vertical coordination
that lies between spot markets and vertical coordination.
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Spot or open markets are the simplest form of vertical coordination, where transactions are
coordinated by prices alone and there are no regular commitments between sellers and buyers. They
function well for commodities that have little quality variation, are less perishable, have a short
production cycle, do not require precise timing of supply, and have stable and known markets. In
addition, spot markets are adequate for commodities for which credit, input supply and technical
assistance are less critical because of minimal input requirements and well known production
techniques (Minot, 1986). However, they do not always deliver the necessary degree of vertical
coordination in terms of price, quantity, timing and product attributes. Thus a formal or an informal
agreement is required among transaction partners. In this case, contract farming allows a higher level
of coordination between farmers and agribusiness firms with regard to production management, time
and location of product delivery and product characteristics such as variety, color and size (Minot,
2007). Contracting involves a legally enforceable and binding agreement with specifications
regarding production technology, price discovery, risk sharing and other product and transaction
attributes (Eaton and Shepherd, 2001; Da Silva, 2005).
Since vertical integration is the tightest form of vertical coordination, instead of procuring farm
products on the spot markets or making a contractual arrangement with a group of farmers, the
company engages in production by establishing a plantation using purchased or leased farmland and
hired labor. This coordination strategy enables the company to have full control over the production
process.
In reality, there are many forms of vertical coordination that do not clearly fit into the above three
coordination strategies (Minot, 2011). Cooperatives and producer organizations may play a major
coordination role either as part of a contract farming scheme or in the context of spot markets.
Government and non-governmental organizations or donor-funded projects sometimes serve as
intermediaries to link farmers with agribusiness firms by providing technical assistance, establishing
standards and/or providing credit to farmers. Assuming a firm is not limited to a single vertical
coordination, what determines the choice of a particular governance structure leads to the theoretical
explanation for the importance of contract farming.
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Literatures show that the most widely applied theoretical framework for the rationale of contract
farming is based on Transaction Cost Economics (TCE), a branch of New Institutional Economics
(Da Silva, 2005; Minot, 2007; Bijman, 2008; Catelo and Costales, 2008). TCE deals with the
relations between buyers and sellers in terms of the costs of carrying our transactions, including
finding a buyer, negotiating a price, delivering the commodity, and obtaining payments as well as
the risks associated with the transaction, including the risk of being cheated (Williamson, 2000). In
TCE, transactions or economic exchanges are organized through governance structures that range
from spot markets and contracts to hierarchies in the vertical coordination continuum. Thus, TCE
matches transactions with the optimal governance structure that minimizes transaction costs
(Williamson, 1985).
Based on the results of key informant interview and focus group discussion as well as the empirical
literature review on contract farming, the following are recommended to be implemented in the
short-term so as to promote competitive and sustainable contract farming schemes in the horticulture
sector that are beneficial to smallholder farmers:
Promote collective action
Contract farming (CF) schemes that are working with farmers’ groups or cooperatives are more
efficient than those contracting with individual farmers. Because cooperatives and farmers’ groups
can play the following important roles in the success of CF schemes:
Reduces the transaction costs associated with dealing with a large number of smallholders. A
cooperative serves as a channel for the provision of important support services such as
inputs, technical support and other services;
Enables close follow up and monitoring of CF activities, especially the application of inputs
and recommended management practices by the contracting company
Helps avoid side selling or farmer default through collective liability
Enhances bargaining power of smallholders in contractual arrangements
The public sectors (such as cooperative agencies and agricultural offices at bureau, zonal and district
levels) play an important role in the development of existing and newly established farmers’ groups
and cooperatives to involve in contract farming schemes. Thus, CF schemes should involve
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voluntary cooperative membership as well as voluntary relationships with agribusiness firms
(potential buyers) to ensure that they are sustainable.
Promote Public-Private Partnership (PPP) in extension, research and large investment
In contrast to subsistence agriculture, farmers in CF will engage in the production of high-value
crops (fruits and vegetables) that require technical support that is quite different from the normal
extension program on food grains. With some flexibility and collaboration, the public extension
program could support agribusiness firms in providing tailor-made and high quality extension
services to contract farmers. Moreover, the agribusiness firms could have access to technologies that
have been generated by public research institutes. The public research could also help private
companies in testing and verifying new horticulture technologies introduced from abroad.
CF also provides the opportunity to have PPP in the joint investment ventures. These partnerships
are common in many developing countries in Africa and Asia. The multipartite CF models are good
examples of a private foreign company investing in CF with smallholder farmers in joint venture
with the government of the host country. Studies revealed that these are often found to be successful.
Empower small scale out-growers
There are some successful companies where contracted smallholder farmers are participating in
decision making through their involvement as shareholders. Empowerment enhances the sense of
ownership on the part of smallholders and promotes a long-term trust in business relationship.
Develop innovative private enforcement mechanisms
Studies reported that enforcement mechanisms should be based on contextual factors, instead of
pursuing legal action through courts. For e.g., using court as enforcement mechanism in Ethiopia is
inefficient because court procedures are costly and time consuming (Eaton and Shepherd, 2001;
Kirsten and Sartorius, 2002). The possible enforcement mechanisms include contracting through the
group approach and cooperatives, establishing an arbitration committee consisting of representatives
of farmers, agribusiness firms, exporters, government and other stakeholders as a means to mitigate
the opportunistic behaviors of contracting parties, and open communication and close monitoring. In
other cases, a government agency (like agricultural offices at different levels) might be the most
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appropriate forum. The arbitration committee can act as an arbiter for possible defaults or other
deviations from the contract. However, it is recommended that the contract farming industry has a
self-enforcing mechanism in order to offer a measure of protection for all participants.
Develop effective quality standards for horticulture products
The horticulture marketing system in Ethiopia specifically in Amhara region is characterized by lack
of quality standards. The establishment of grades and standards that are easy to implement and
reflect market preferred traits will enhance communication and negotiation in contractual
arrangements between smallholders and agribusiness firms. It will minimize contract default from
both parties. In the one hand, agribusiness firms will not reject products that meet the established
grades and standards especially if they participate in developing such a system, contract farmers will
strictly follow the recommended procedures to achieve the established quality standards on the other
hand. The government may also have a role in certifying compliance with private grades and
standards, such as Good Agricultural Practices (GAP), fair trade and organic for high-value markets.
Promote competition among agribusiness firms
One of the common criticisms in CF is the fact that firms have much greater market power and
leverage than the smallholder farmers who bargain with them. There are also incidents of
monopsony situations in the market. One of the most effective approaches to limit the unbalanced
power is to enhance competition among firms engaged in similar horticultural products. However,
this scenario may also increase the incidence of farmers default. The competition makes easier for
farmers to obtain inputs and credit from one firm and then sell the harvest to another firm, thus
avoiding repayment of the loan. In this case, effective enforcement mechanisms should be developed
and used.
Provide arbitration services
One of the major challenges in CF arrangements is contract breach due to opportunistic behavior of
both parties (farmers and firms). If market prices rise, farmers tend to breach the contract by side
selling while if the market price falls, the firm is tempted to buy its supply on the spot markets. If
such breaches are widespread, they can lead to loss of confidence and possibly collapse of the
65
scheme. In this case, the government (particularly BoA) and the private sector could have a major
role in developing arbitration alternatives for mediating conflicts between farmers and firms.
5.1.2 Fresh vegetable and fruit market center for producers
Besides introducing contract farming for some selected horticultural products, establishment of fresh
vegetable and fruit market center at the strategic location of horticulture potential areas in the region
can be taken as the other important intervention in addressing marketing problems in the sector. In
market centers, farmers will bring products regularly at fixed days per week and sell their products
either to retailers or directly to consumers. Such markets can be used as a place where producers and
potential buyers get together and discuss about the horticulture market. Thus, as its short-term
intervention, it is recommended that the government (BoA) should establish Fresh Vegetable and
Fruit Marketing Center in some areas of the region as pilot project in collaboration with farmers and
donor organizations. If the project is effective at pilot level, scaling up of the market center to the
wider potential areas in the region should be considered in its middle- and long-term interventions.
5.1.3 Market oriented horticulture production and export diversification and improvement
The other important interventions for addressing marketing problems include establishing Ethiopian
Horticulture Development Agency (EHDA) and Ethiopian Horticulture Producers and Exporters
Association (EHPEA) at regional level. Their establishment will improve marketing of the
horticultural products by providing market information to smallholder farmers on type and quality
specification of the products both in the national and international markets. To address this issue the
BoT is also developing market information system. Moreover, the government (BoA) can increase
the market potentials of smallholder farmers through promoting organic horticultural crop
production as nowadays demand for organic horticultural products increases at an alarming rates in
the world markets. Thus, in general, the government should advocate the different horticultural crops
production potential of the region so as to diversify and improve its exports.
In general, the strategic interventions and the structural framework needed for addressing a problem
of market linkages and information between producers and potential buyers are summarized as
follows.
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The risk of horticultural product marketing could be addressed through arranging contract farming
schemes between producers and potential buyers. The contract farming should be legal as it can be
enforced and controlled by the law in case there is default from both partners. In this system of
marketing, producers and buyers sign the contractual agreement before the production of crops,
which governs both partners in terms of quantity, quality, price and mode of delivery. This will
avoid the involvement of illegal brokers who wrongly maximize their benefits at the expense of
farmers’ benefits. Moreover, the horticultural crop production will become demand driven and
market oriented as the buyers provide market information from the demand side.
Strengthening the existing and establishing the new farmers’ cooperatives/ unions is the other
possible intervention that can take the roles of brokers in linking producers and potential buyers.
Moreover, they may involve in agro-processing and other value adding activities. The
cooperatives/unions as intermediaries are expected to collect horticultural products directly from
smallholder farmers and then sell products by looking for potential markets, up to the central
markets of Bahir Dar, Addis Ababa, other regions and countries. The cooperatives shall prepare a
plan for smallholder farmers ahead of time what, how and when to produce through consulting the
respective potential buyers and smallholder farmers. In general, cooperatives are preferred to
individuals in creating market linkage between smallholders and agribusiness firms, because they
will have the following advantages: better bargaining power, better access to different supports
(inputs, credits, extension and training), secured markets for their products through enhancing
competitiveness in both input and output market chains as well as in various government auctions,
better access to tax evasion in selling their produces, and high power to control traders’ supply of
lower quality seeds and pesticides at expensive prices to smallholder farmers. However, there is a
need that the government (Cooperative Promotion Agency) should take the initiative for registering
the cooperatives/unions to get TIN number so that they could participate in any legal government
auctions to sell their products as well as purchase their inputs. Besides, the Agency should work on
developing belongingness of each member to the cooperative.
The other important intervention in this regard is to adopt cluster farming together with staggering.
Clustering refers to arranging a production system in which many farmers will produce similar crops
based on agro-ecology, watershed or access to irrigation scheme so that wholesalers, traders and
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agro-processing industries could get enough amount of produces from one area. Clustering improves
water use efficiency, as similar crops do have similar water requirements. For e.g., forming a cluster
of farmers producing tomato and onion that require more water and another cluster of farmers
producing maize and coffee that require less water will reduce wastage of water. One of the major
challenges of agro-processing companies, even the small-scales, is that there is no sustainable supply
of fruits and vegetables. Hence, staggering of vegetables planting/seedling with certain time interval
following the irrigation cropping season will help to have sustainable supply of produces in the
market. This intervention has two implications: (1) there will be a sustainable supply of produces in
the market throughout the year and (2) the producers will earn high benefits as their produces will be
sold at better prices because farmers can produce the same crop at different times in a year. In
general, clustering together with staggering will lead to a large scale and sustainable supply of
different crops at better prices- i.e., while some farmers produce one type of vegetable, others
produce other types of vegetables at different times. Moreover, it will make collection and marketing
of yields easy as well as reduce the role of brokers in the market chain. However, until this
production system is widely adopted by smallholder farmers, the government should support this
system by facilitating establishment of contract farming between producers and potential buyers. To
avoid a problem of late entrance of smallholders to irrigation season cropping calendar, it is vital to
give awareness creation training both to framers and experts that enable to start irrigation season as
early as possible. Thus, farmers should start irrigation season soon after the rainy season so that they
do have enough season for growing horticultural crops two times per annum using irrigation.
Adoption of market oriented or demand driven production system can also address the marketing
problem in the horticulture sector. However, taking only one season price information may not be
good predictor for the next year price of the produce. Usually farmers used to produce the
fruit/vegetable type that fetched good price in the last year market. But, the last year good price may
drop down significantly in this year as most farmers produce this product this year its total supply
will increase excessively in a very specific season. Hence, farmers should decide what to produce by
considering more than one year price trend as well as the demand at national level besides the local
market.
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5.1.4 Structural framework needed to address marketing problems
Given the marketing problem in perishable crops, contractual farming is among the best
interventions to solve the problem. Even though there is only little experience in terms of contractual
farming for the horticulture sector, there is no legal framework during default. Hence, there is a need
to have a legal platform both for the buyers and producers like in any other business deals that can
enforce during default, since it is very important to develop an institution through which trust and
accountability will be developed between the two actors. The government legal institutions could
take the lead in implementation and enforcement of the laws. For this purpose the contractual
farming experience between national/regional seed enterprises and seed grower farmers existed in
the production of for example improved seeds of maize and wheat can be adopted.
Trade and transport offices in collaboration with development partners and NOs should work on
establishing market linkage between producers and agribusiness firms. In this regard there is a good
experience by Agricultural Transformation Agency (ATA) in two pilot areas, Awi and West Gojjam
zones. ATA supports farmers through identifying high value crops, preparing cropping calendar and
demonstrations on FTC’s, distributing technologies (pedal and rope pump), transforming
conventional brokers into legal brokers and creating market linkage between Et-fruit and farmers.
There is also a good start by Agro-BIG, which attempted to create market link between producers
and Et-fruit through having contractual agreement between them in advance of the crop production.
Crops are then collected through cooperative union and supplied to Et-fruit. This improves the
benefits of farmers by reducing the transaction cost and selling with better price. Thus, this start
should be further strengthened and expanded to other parts of the region. In general, BoT should take
the responsibility to transform the illegal/conventional brokers into legal entities.
The communication offices should work regularly on advocacy of the products and in distribution of
market information among producers and various potential buyers, specifically on current prices of
products that are produced by farmers.
The administrative authorities like municipalities should make land available for the establishment
of Fresh Vegetable and Fruit Marketing Center. For this purpose the BoT and BoA should initiate
the inquiry to respective town municipalities for such land and establish the center in collaboration
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with respective stakeholders such as producers, Cooperative Promotion Agency, donor organizations
and others.
Bureau of Agriculture and /or research institutes, agribusiness firms and donor organizations may
introduce alternative improved types and varieties of fruits and vegetables from abroad to diversify
and improve market oriented horticultural crop production for local as well as export markets. In this
case, the MoA may coordinate the process of importing improved seeds and planting materials at
country level. The research institute should take the responsibility to verify their adaptation to the
different agro-ecologies of the region.
To improve the market oriented horticulture industry in the region, the establishment of regional
offices of Ethiopian Horticulture Development Agency and Ethiopian Horticulture Producer and
Exporter association is vital. Besides, establishment of an advisory BoArd which mainly focused on
development and diversification of fruits and vegetables production and export is also helpful. This
advisory board can be constituted from various actors of the horticulture sector such as BoA, BoT,
Bureau of Communication, Financial institutions, producers and exporter association, agro-
processing industries, consumers associations, and etc.
5.2 Proper production and management practices
Most farmers in Amhara region follow improper agronomic practices in horticulture production and
postharvest handling. For e.g., farmers often use improved seeds, fertilizers and pesticides below the
recommended rates.
One of the major challenges of smallholder horticulture farmers in Amhara region that emanates
from improper agronomic practices is low quantity and quality of products, high incidence of
diseases and insect pests, high postharvest loss. Most farmers in Amhara region follow improper
production, management and postharvest handling practices.
5.2.1 Site selection, planting material, land preparation
Proper site selection and planting material and land preparation are the first step that should be
followed for the successful horticulture enterprise. The site, where fruits and vegetables are
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produced, should be selected based on the requirements of the specific crops to be produced.
Seedlings or planting materials should be well prepared and free from any diseases and insect pests.
Besides the seedbed and or plant beds should be prepared based on the requirements of the specific
crops to be produced. This can be achieved by continuous training and preparation and distribution
of production packages specific to the conditions of the area through the extension services of the
agriculture offices, universities, research institutes and other development organizations
.
5.2.2 Adequate and timely supply of quality seeds/planting materials
The supply of input for the production of fruits and vegetables both in time, quantity and quality is
the other major problem in horticulture sector of the region. This is especially serious in seeds and
planting materials supply. Most of the farmers use local and uncertified seeds purchased from local
private traders which are low in quality. Since most vegetable seeds are imported from abroad, they
are untimely delivered and very expensive. Vegetable seeds produced in the region/country are also
not enough to satisfy the demands of the farmers, thus very expensive for the smallholder farmers.
For example the price of onion seed ranges from 800 to 1000 Birr/kg. The situation is especially
problematic in vegetables that require high amount of seed to cover a given hectare of land. To plant
a hectare of land with improved potato variety with a seeding rate of 20 quintals for example, a
farmer require 24,000-30,000 birr to purchase potato tubers having the price of 1200-1500
birr/quintal which is unaffordable for smallholder framers in the region. To alleviate problems
associated with the supply of high quality seeds and planting materials of vegetables and fruits
various interventions are forwarded and recommended below.
In order to have a sustainable and timely delivery of improved seeds and planting materials and
thereby enhance horticulture sector development, various implementation strategies can be devised
and implemented. These intervention strategies can be categorized in to two main approaches. The
first approach is towards the strengthening of existing seed/planting material producing farmers,
cooperatives and governmental enterprises which can be considered as short term intervention
strategy. The second approach should be directed towards the establishment and development of new
production centers that can be considered as medium and long-term intervention strategy. All the
two approaches should be facilitated by responsible governmental organization whose main
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responsibility will be promoting and developing the production, collection and distribution of seeds
and planting materials of horticultural crops as similar to the case of some cereal crops at regional
and country level.
At the first stage of interventions, it is advised to support and strengthen the seed and planting
material producing smallholder farmers, small-scale private firms and cooperatives. In this regard
there are farmers` cooperatives in the region which involve in multiplication and distribution of
planting materials and marketing of horticulture products like Borkena fruits and vegetables
production and marketing cooperatives, Adame-Ketetya, Werebito, and Mudi-Kalu temperate fruit
production and marketing cooperatives in Kalu woreda and other horticulture potential areas. Small-
scale private firms are also engaged in the production of vegetable seeds like Bikolo vegetable seed
producer in Mecha woreda and others. State owned nursery sites in different part of the region are
also producing planting materials for both low land and highland fruit. Furthermore it is also advised
to involve the Amhara Seed Enterprise in horticulture seed multiplication and distribution business.
Generally to solve the acute horticulture seed and planting material problem in the region, the
Bureau of Agriculture should take the initiatives to support and promote the existing seed/planting
material producing farmers, cooperatives, private investors and state owned nurseries.
The second approach in addressing the problem of seed and planting material is establishing new
state owned seed/planting material producing centers across the different agro-ecologies until the
private sector is fully functional in the sector. The involvement of private investors and farmers`
cooperatives in seed/planting material production sector of the industry is also indispensible.
Therefore promoting of this group of people to involve in production and distribution businesses of
seeds/planting materials through special incentives is advisable. Like any other business, the seed
production and distribution business should be regulated and inspected through the respective
governmental organizations such as Plant Quarantine Agency, Bureau of Trade and other concerned
bodies. Moreover, establishing horticulture seed certification scheme is an important strategy to
solve problems associated with seed quality in horticulture sector. Every enterprise engaged in the
production of horticulture seed should be certified for that particular crop.
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Increasing the capacity of existed and establishment of new plant tissue laboratories also have a
great significance in solving planting material shortage of the region. Because make use of this
technology enable us to produce thousands of planting materials in limited space with in short period
of time. In addition planting materials produced by this technology are free of diseases and insect
pests which otherwise incur damages in the production field, the main constraints of horticulture
sector in the region.
5.2.3 Disease and insect pest incidences
Disease and insect pest incidence is the other major constraints in the development of horticulture
sector in the region. This is partly due to the natural environmental conditions of the country where
tropical and subtropical climates are prevailed that are suitable for the prevalence of diseases and
insect pests. The other most important reason for the prevalence of diseases and insect pests is
however the improper production and management practices in the production of horticultural crops
in the region. The problem is further intensified by the fact that there is skill and knowledge gap in
both the producers and experts by identifying the diseases and insect pests and implementing the
appropriate control measures. If diseases or insects are occurred, farmers simply purchase and apply
pesticides without the consultation of the experts in this regard. This leads to inefficient utilization of
chemicals that in turn increases cost of production and environmental pollution and probably build
up of resistance in insect pest population. Besides because of shortage of reliable supplier, the prices
of pesticides are too expensive for the farmers. Therefore, practical training in identification of
diseases and insect pests and their control methods is recommended for both the farmers and experts.
For this purpose, crop production packages and leaflets containing pictures of very important disease
symptoms and insect pest damages of the particular crops and their control measures should be
prepared and distributed to farmers and experts.
Using disease and insect pest free certified seeds and planting materials is the other best intervention
strategy to address the problem in the region, since prevention is by far better than protection. In this
regard all seeds/planting materials used as input for the development of the regional horticulture
should be inspected and certified against the most important pathogens and insect pests by respective
governmental organization like plant quarantine agency. Enhancing the capacity of plant tissue
laboratories in the production of disease free planting materials is also recommended as intervention
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strategy for this problem. Although developing of resistant varieties is a long process, it can be
considered as intervention strategy for the problems associated with diseases and insect pests. In
addition adoption of varieties which are confirmed as resistant to a given disease or insect pest in
other countries can be also seen as possible intervention strategy for the issue. The issue of
developing and adoption of resistant varieties is considered to be practiced by research institutes and
universities.
Implementing the principles of integrated pest management (IPM) in the sector is the other important
intervention strategy to tackle the problems associated with diseases and insect pests in the region.
The IPM strategy includes all possible measures that help to reduce the population of pests under the
economical threshold such as cultural, physical, mechanical, biological and chemical control
methods. The IPM gives more emphasis to the environmental pollution and the well being of the
human being. Generally, implementing proper agronomic and management practices includes use of
healthy and strong seed/seedling/planting materials, proper seed/plant bed preparation, proper
watering, use of appropriate types and rates of fertilizer and chemicals, proper harvesting and
postharvest handling and crop rotation. The improper implementations of the agronomic practices
predispose crops to diseases and insect pest damages. Therefore, producers and experts should get
continuous short-term and long-term trainings on horticultural crops production including
identification of diseases and insect pests together with their controlling methods. Furthermore
vegetable and fruit growers should be certified with global GAPs (good agricultural practices) which
reduce not only the incidence of diseases and insect pests but also enhance production and
productivity.
5.3 Capacity building
Capacity building in terms of technology and human resources has a significant role in bringing a
rapid and sustainable development of horticulture sector. Thus, horticulture development requires
the use of various improved technologies such as plant tissue culture, agro-processing, cold storage,
high yielder improved seeds/planting materials, chemicals and others as well as well skilled human
resources that are capable of producing, processing, marketing and managing the horticulture sector
as the main actor in the value chain.
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5.3.1 Technological capacity building in Horticulture sector
Plant tissue culture technology
The technology of plant tissue culture has been developed many decades before and currently used
commercially and in research for rapid multiplication and improvement of a wide range of
horticultural crops and their production systems. Initially, plant tissue culture was exploited as a
research tool and focused on attempts to culture and study the development of small isolated
segments of plant tissues or isolated cells. Around the mid twentieth century, the notion that plants
could be regenerated or multiplied from either callus or organ culture was widely accepted and
practical application in the plant propagation industry ensured. Many commercial laboratories were
established around the world for mass clonal propagation of horticultural plants (Akin-Idowu et.al,
2009). Today plant tissue culture of horticultural crops is a reliable technology applied commercially
worldwide, which allows large-scale plant multiplication, production, and supply of selected plants.
Hundreds of millions of plants are produced annually in both developed and developing countries.
The technology of plant tissue culture is used not only for the production of millions of planting
materials in relatively small area but also it is an important technology to produce planting materials
that are free from diseases caused by microorganisms like fungi, bacteria, and viruses. This in turn
reduces the occurrence and distribution of diseases which is currently the main problem in
hhorticulture sector of the region. Therefore, the development of plant tissue culture laboratories in
respect to crop improvement and rapid production of disease free planting materials should be given
due attention by the regional government as well as the government of Ethiopia to enhance the
hhorticulture sector of the region in particular and the country in general. Indeed, recently two plant
tissue culture laboratories have been established in Kombolcha and Bahir Dar and are contributing to
the development of the horticulture sector of the region. However, their capacity should be improved
and new laboratories in potential areas should be established in the future to satisfy the need for
improved, vigorous and healthy planting materials of the horticulture sector in the region.
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Agro-processing industries and other postharvest technologies
Besides value addition and shelf-life improvement, agro-processing industries and cold storage
facilities are important alternative to reduce the risk of marketing of horticultural products. The
development of such technologies in the region is very low although Elfora Agro-Industry PLC has
recently established a tomato paste producing industry in Kalu woreda (South Wello). To develop
the horticulture sector of the region however, it is necessary to establish new agro-processing
industry and cold storages.
The establishment of agro-processing industry and cold storage is a capital intensive investment and
requires a continuous supply of inputs that may not be fulfilled at this developmental stage of
horticulture in the region. This condition may not invite the private investors to engage in this sector
of horticulture. Therefore, the government is advised to prepare a special incentive packages for
private sectors as well as cooperatives to invest on this sector. The other option is the participation of
the government in collaboration with farmers and cooperatives and donor organizations on the
establishment of agro-processing industry and cold storage service delivery. This is especially
necessary in fruit and vegetable producing potential areas at strategic locations which may serve
several kebeles and nearby districts. This intervention approach will reduce the risk of marketing and
thus motivate the growers to engage in the production of horticultural crops throughout the year and
consequently increases the supply. Such conditions may pave the road to private investment and
government will then exit from the sector when the private sector investment in the sector increases
significantly. This is in line with Ethiopian economic policy which advocates the intervention of the
government in areas where the private sector is not actively participated.
The methods, techniques and tools required for postharvest handling determine the extent of losses
on harvested horticultural crops. Proper postharvest handling of horticultural crops is thus equally
important as increasing their production in horticulture development strategy, since it reduces
postharvest losses and increases the shelf-life of produces. However, the methods and tools used to
handle harvested crops in the region are more traditional and rudimentary as observed during the
survey assessment. Farmers use sacks and baskets as container and transport using animals like
donkey, camel and horses which expose the crops to damages and direct sunlight and accelerate
postharvest losses. Therefore, there is a need to introduce appropriate transport containers like
corrugated cartons, plastic containers and cold trucks in potential areas that could be done either by
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private firms with special incentives of the government and/or development partners or by the
government organizations like BoA. Among the possible incentives, improving air and road
services, import tax exemptions, provision of special credit services for potential investors etc are
major once.
5.3.2 Human capacity building in Horticulture sector
Horticulture is perhaps the most knowledge intensive and dynamic sub-sector of agriculture. Its
short-term growths as well as long-term viability are critically dependent on access to technical
knowledge, the ability to adapt that knowledge to local conditions and the flexibility to develop new
production systems as market change. Thus, lack of skilled and qualified human resources inhibits
innovation, technology adoption, and the development of solutions to address key constraints in the
horticultural industry. Therefore the development of effective education, training and extension
networks involving public, private, and civic sectors collaborations to strengthen the technical
capacity of horticulture producers and experts is a prime prerequisite for the success of the sector.
However, especially the vegetable and fruit sub-sector of horticulture in the country in general and
the Amhara region in particular are characterized with traditional farming practices where
rudimentary agronomic and management practices and postharvest handling technologies are
implemented. Consequently the quantity and quality of horticultural crops produced are very low
compared to potentials of the region for the sector. One of the strategic interventions in addressing
this problem is the establishment of horticulture training centers with the objectives to acquire
growers and extension workers with all the necessary skills, knowledge and attitudes of production,
management, postharvest handling and marketing of horticultural crops. In this regard upgrading the
‘Wotet Abay’ nursery site in Bicolo and similar nursery sites in the region to horticulture training
center may help to fill the existing skills and knowledge gaps of farmers and experts in the sector.
The intended training should be however practical oriented and follow the principle of a hand-on-job
training approach in all value chain of horticultural crops. The Kenyan horticulture industry has also
experienced similar approach in enhancing the performance of farmers and development agents
towards the development of the Horticulture sector. Once these centers established at the strategic
locations of horticulture potential areas in the region, short-term technical training will be delivered
to both farmers and experts at least in the middle term interventions.
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The other important interventions in this regard include organization of experience sharing field
visits for both farmers and experts in the areas where farmers and experts have best practices and
achievements in horticulture farming and marketing. To bring a rapid and sustainable development
of horticulture industry, there should be a technological progress in the sector. This in turn is a
function of the availability of skilled and qualified human resources in the sector. Thus, the
government (BoA) as its medium-term intervention should upgrade the capacity of experts through
long-term trainings particularly specialization in the field of horticulture sciences.
5.4 Institutions and policies
In order to enhance the commercialization of smallholder farmers leading to income growth and
poverty alleviation, the government (BoA) has to play a vital role in creating an effective enabling
environment for successful contract farming in particular and development of horticulture industry in
general in Amhara region. As a short-term intervention, the government with the support of
development partners like Agro-BIG and ATA develop the following key elements of an enabling
environment for sustainable development of horticulture sector in the region.
Develop legislation, a code of conduct and regulations for contract farming arrangements
Contract farming schemes are normally investment projects organized by large-scale processors,
exporters or retail chains (supermarkets). Thus, an enabling environment that facilitates private
investment in horticulture business is a necessary precondition for the development of private CF
schemes. The enabling environment includes investment and trade policies, contract legislation,
provision of public goods such as roads and other infrastructures, research and other support
services.
One of the major challenges in CF arrangements is contract breach due to opportunistic behavior of
both partners. CF arrangements should be backed up with appropriate laws and an efficient
regulatory system. Studies indicated that the experience of CF as a business model in Ethiopia in
general is very limited and relatively a recent phenomenon. Hence, there is no legally binding
contract legislation that specifically regulates CF arrangements between smallholder farmers and
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agribusiness firms. Therefore, there is a need to develop contract legislation using legal experts by
reviewing the current legal framework related to CF.
Developing contract legislation is not enough for the promotion of viable and sustainable CF; legal
contractual arrangements are often breached due to lack of enforcement mechanisms. Thus, there
should be effective legal enforcement mechanisms that can serve as a code of conduct for
contractual arrangements between smallholder farmers and agribusiness firms. Although over
regulation is not desirable to business environment. However, introduction of regulations in some
critical aspects, such as use of pesticide application, food standards and safety, provision of
horticulture seed certification and the like create an effective enabling environment for CF.
Regulations could also be applied to prevent monopsony situations and protect contracting
agribusiness firms that have invested in CF from opportunistic firms and traders that offer contracted
smallholder farmers higher prices for breaking of the contract.
Establish a separate horticulture work process
In earliest times, the government had given limited attention to horticulture development and hence
all horticulture and related activities were carried out by graduates of plant science under the
department of crop at different levels (bureau, zone and woreda). Recently the government has
started to give due attention for the development of Horticulture sector and established the so-called
Vegetable and Fruit Development and Irrigation Water Use Work Process at different levels of
Agriculture offices of the region. This work process is responsible only for crops produced during
the irrigation season including horticultural and field crops. However horticultural crops that are
produced during the main rainy season such as potato, pepper, carrots, cabbages, etc are followed by
the crop development work process. That leads to fragmentation of the sector and reduce the overall
follow up of the horticulture development endeavors of the region. Even a person who wants to
assess the current production of horticultural crops should collect data from two work processes
namely crop and horticulture and irrigation water use which makes the work complicated. In
addition experts in horticulture and irrigation water use work process are mostly graduates of plant
sciences and irrigation which may lack the specific requirements in the production, management,
postharvest handling and marketing of horticultural crops. Furthermore, the overall work and
extension services conducted by this process may tend to focus on the production of field crops
(cereals) during the irrigation season. Therefore it is highly recommended to organize the
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horticulture sector as one work process like field crops and give the responsibility to follow, inspect,
and give advisory and extension service to all horticultural crops whether cultivated during meher or
irrigation season. Besides, to reduce the existed skill and knowledge gap in horticulture value chain
among the experts who are working in front line the government should employ individuals who are
graduated in horticulture fields. In addition, to address the limited supports of experts to the
development of horticulture industry in the region, the followings are recommended:
Strengthening the support and monitoring activities in the Horticulture sector at all levels,
Establishing horticulture demonstration fields at kebele level/FTCs,
Developing production and postharvest handling manuals for horticultural crops,
Strengthening the existing nursery sites and establishing new ones at the strategic locations
of potential areas in the region,
Giving appropriate awareness creation practical training for both farmers and experts,
Giving long-term training for experts in the field of horticultural science.
Establish advisory board and organizing a platform for stakeholders of horticulture industry
The horticulture sector by its nature is participating different stakeholders such as growers, traders,
processing firms, developing partners and donor organizations, research institutes, universities and
various governmental offices. Each of them is working on various activities that may contribute to
the development of Horticulture sector of the region. But their developmental activities are not
organized under one platform. Donor organizations for example supply production inputs such as
improved seeds/planting materials and irrigation equipment and gives training, and extension
services directly to smallholder farmers without participating or consulting the respective
agricultural offices. Such kind of supports would not be sustainable because of the limited life span
of such donor organizations. Therefore, for its sustainability and even for improvement of the
proposal and results of donor organizations it would have been better to work with the respective
governmental offices (BoA) in the implementation of such projects.
The research institutes are also engaged in research activities which may help to improve the
horticulture sector of the region, although the quantity and quality of researches in horticulture sector
is limited. In addition, the research institutes should produce and distribute basic seeds of various
horticultural crops in consultation with the need of the main stakeholder (BoA). Similarly
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universities are producing horticulture professional that contribute to the development of the sector,
even if the curriculum is focused more on theoretical knowledge rather than practical skills which
shall be prepared based on the needs of the main stakeholder of the sector (BoA).
The Bureau of Agriculture as main stakeholder of the sector should also inform its need for basic
seeds and forwards the problems that should be solved through research activities and extension
services of respective stakeholders such as development partners and research institutes and
universities. Furthermore, the horticulture extension group needs to be established in agricultural
offices that can specifically participate in the extension and scaling up of the research results related
to horticultural sector development.
All the above mentioned activities and others which are focused towards the development of
horticulture of the region should be well organized and structured by establishing advisory BoArd
and organizing a platform. The main objective of the advisory BoArd should be coordinating the
development activities of the stakeholders in the area of horticulture and organizing platform in
which activities are jointly planned, results and impacts of the activities are reported, discussed and
evaluated. The member of the advisory Board could be constituted from the representatives of the
main stakeholders of the sector under the chairmanship of Bureau of Agriculture. Unless such
platform is organized there will be duplication of efforts and ineffective utilization of the scarce
resources and projects will not be sustainable as reported by key informants during the survey of the
consultant.
Promote financial institutions to deliver credit services to horticulture sector
In order to transform smallholder, subsistence farming into commercialized agriculture and hence
make the horticulture sector competitive, there is a need to use improved technologies in the sector
such as, quality seeds, pesticides, irrigation equipment, agro-processing industries, storage facilities
and other technologies which are relatively capital intensive. Therefore, smallholder farmers as well
as private investors in the sector could not be able to use and establish such technologies without the
involvement of financial institutions. However, accessing credit services to smallholders and private
investors would enable them to utilize these technologies. Thus, it is vital to provide credit services
for the investments made in horticulture sector in collaboration with microfinance institutions,
governmental and private banks. Let alone investment in agro-processing and cold storage, the
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amount of money required for purchasing seeds of some horticultural crops (for e.g. potato improved
seed) is too much that could not be affordable by some smallholder farmers. Hence, the government
should initiate the financial institutions to extend especially their long-term credit services to both
smallholder farmers and private investors of horticulture sector.
Promote investment opportunities for both domestic and foreign investors
Amhara region is endowed naturally with suitable environment and fertile soil necessary for the
development of agriculture in general and horticulture in particular. These potentials are however not
well communicated to potential private investors, since their involvement in commercial fruit and
vegetable production of the region is very limited compared to other regions like Oromia and
SNNPS, although very few investors are participating in flower production around Bahir Dar.
Therefore, it is highly recommended to communicate and advocate the horticulture potentials of the
region to domestic and foreign investors through government communication office and other
stakeholders using alternative Medias such as brochures, leaflets, workshops and ICTs, etc.
Furthermore, the government of the region should provide a provision of special incentives for the
promotion of investments in the Horticulture sector. The incentives may be different in type such as,
tax exemption, provision of suitable land free of charge, infrastructure development, simplifying
bureaucracy, etc.
Land use certification scheme for perennial/fruit crops production
Ethiopian policy makers voted for a constitution (in 1994) that grants free access to land to every rural
resident who wants to farm and earn income from farming. Some argue that it is tenure security not land
ownership which is regulated through registered title, leasehold or rental agreement. Many studies have
shown how perceived insecurity of tenure restricts people’s incentives to participate on long-term
investment. The fear of redistribution hangs over many smallholder farmers and is well remembered
from the past. The present effort to improve land administration and security of tenure includes a
focus on land certification, where the regional government will issue land certificates to individual
farmers. Access to land is an important issue for the majority of Ethiopian people who, one way or the
other, depend on agricultural production for their income and subsistence. Unlike other horticultural
crops, fruits are perennial crops where the reward/benefit of their investment takes longer time to be
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effective. Therefore, it is very important to encourage the smallholder farmers in fruit production
investment by ensuring longer time land use certificates.
Establish modern irrigation schemes and their management systems
Making use of irrigation potentials of the region is an important measure to increase production and
productivity of crops in general and horticultural crops in particular. Most farmers in the region are
not using irrigation for the production of horticultural crops. Only some farmers are producing
horticultural crops using traditional irrigation methods where most of the irrigation water is lost
through percolation and evaporation, thus water use efficiency is very low. The other major
challenge in traditional irrigation schemes used by most farmers is that the cannels for water
transport require continuous maintenance and repair services. Consequently, farmers continuously
exert much more efforts in terms of labor and materials for the maintenance of these schemes.
Therefore, modern irrigation channels should be established in potential areas of the region in
collaboration with farmers, government and donor organizations. Moreover, most farmers nowadays
want to install alternative irrigation system such as pedal and rope pumps in their boreholes and want
to acquire water pumps. Hence, establishing irrigation equipment manufacturing industries and
maintenance and repair services is recommended to satisfy the requirements of crop production
using irrigation system. Maintenance and repair services of irrigation equipments could be delivered
by farmer`s cooperatives trained with the required skills and knowledge in collaboration with
government and donor organizations.
Empower WUCs and WUAs
Poor management of water and irrigation schemes and weak institutional capacity of Water User
Cooperatives (WUCs) and Associations (WUAs) are the other major challenges of modern irrigation
schemes.
Currently the country has developed a 15 years (2002-2016) regional and national water resource
development plan to introduce efficient and sustainable uses of water resources for irrigation and
other purposes. However, these development plans didn’t consider the value of the irrigation water,
which in turn enhances the complexity of irrigation water management decision and deterioration of
the resource. Thus, pricing of water is important not only for generating revenues but also for
promoting efficient use of water resource (Takase 1987) through creating an ownership feeling to the
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farmers (Vincent 1990) and recovering repair and maintenance costs of the irrigation schemes,
which will ultimately lead to better use of available water and increased crop production. In contrast,
a free or very low water charge may led to inefficient allocation of the scarce resource, encourages
overuse, reduces the incentive for farmers to cooperate or participate in irrigation originations, and
may result in low productivity of the system and poor conservation (Lusk and Parlin 1991). Both
under pricing of water and lack of cost recovery mechanisms in government managed irrigation
systems had resulted in poor operation and management (Bandara 2005). Chandrasekaran et al
(2009) also suggest that adopting water conservation technologies and a water pricing policy can
improve efficient and sustainable use of water resources. However, beneficiaries of the irrigation
schemes in Ethiopia in general and Amhara region specifically have not yet paid any charge for
irrigation water they used. Thus, it is highly recommended to undertake a study to determine the
value of irrigation water by considering the capacity of farmers to pay during dry and rainy season
and to draw implementation policies for efficient and sustainable utilization and management of the
irrigation schemes.
Moreover, water use and management efficiencies of irrigation schemes will be improved by
empowering the managerial ability of Water User Cooperative (WUC) and Water User Association
(WUA) executive members through delivering training and advisory services. Furthermore the
introduction and accessibility of water conserving technologies such as drip and sprinkler irrigations may
also help in increasing the irrigation water use efficiency.
5.5 Cross cutting issues
5.5.1 Women and youths participation in horticulture sector
Women’s participation in the economic sphere is narrow and largely confined to domestic work and
low paid jobs in the formal economic sphere. That makes the women largely reliant on economic
support of men for themselves and their families. However, a recent trend in the empowerment of
women makes a difference in the involvement of women in crop production. Although, the
Horticulture sector is a good source of employment and income for rural and urban households the
role and participation of women and youths in the sector is limited. Therefore it is recommended to
increase the participation of women and landless youths in urban agriculture and different value
84
adding activities such as sorting, grading, packaging, transportation and in supply of transport
containers by organizing them in small and medium enterprises (SMEs) which creates employment
opportunities and improves their livelihoods. Furthermore women and youths may participate on
service provision like agro-chemical spraying, motor pump and irrigation canal maintenance, etc.
5.5.2 Environmental issues in Horticulture sector
Horticulture is an intensive system of crop production and characterized by rigorous utilization of
production inputs including chemicals such as fertilizers, pesticides (herbicides, fungicides
insecticides), etc. These chemicals may cause environmental pollution if they are not used properly.
Chemical fertilizers are important inputs to increase production and productivities of horticultural
crops. Their application rates should be determined based on the environmental conditions, nutrient
contents of the soil and the requirements of the crops to be produced. Leaching of high rates of
chemical fertilizer applied for crop production may cause pollutions of underground and surface
water bodies. This may not be however a serious problem in Horticulture sector of the region since
most farmers do not apply chemical fertilizers and if applied they use below the recommended rates.
But for the future due attention should be given to the environmental impacts of chemical fertilizers
and fertilizers should be applied to compensate the nutrient deficiency of soils required for the
production of that particular crop which should be determined by soil and plant analysis. Regarding
to fertilizer, the importance, preparation and application of organic fertilizers like compost in the
production of horticultural crops should be given due attention. Because, organic fertilizers improve
the structure of the soil, hence improve the water holding capacity, soil aeration and reduce chemical
fertilizer requirements by increasing plant nutrient utilization efficiency and adding supplementary
plant nutrients to the soil necessary for crop production.
Pesticides such as fungicides, insecticides, herbicides and others are the other group of chemicals
used in commercial horticulture farms. They may also cause environmental pollution and harmful to
human being and beneficial organisms like honey bees. During application all safety procedures that
are indicated on the package of the chemicals should be followed and personal safety equipments
such as hand glove, protective cloth, goggle etc should be used. Their application on fruits and
vegetables should be in line with the international and national food safety standards, since the
presence of pesticide residues on fresh fruits and vegetables is forbidden. Therefore, their application
85
should be controlled and supervised by the respective stakeholder of the government like BoA and
others. In this regard landless youth can be organized and trained and give chemical application
services which may create employment opportunity and improve livelihood.
Most of pesticides used in crop production are exported from aBoArd. The export of such chemicals
should be also controlled by the respective governmental authority. This is because some pesticides
are banned because of their carcinogenetic properties and their long persistent ability in the
environment. Generally, pesticides used in the sector should be certified to be applied on that
particular horticultural crop.
Horticultural crops like fruit trees have also positive effects on the environment. Like any tree they
reduce erosion and absorb CO2 for their photosynthesis activity which in turn reduces the
concentration of greenhouse gas like CO2. In line with the country`s green economy policy and soil
and water conservation strategies, fruit trees should be planted in sloppy areas using terrace planting
system to stabilize the watersheds with biological features that in turn creates potential employment
opportunity for landless youths to improve their livelihood. Even annual vegetables like cabbages,
carrots, potatoes, peppers, etc. can be grown in sloppy watersheds on table/bench terraces during the
rainy season with minimal soil cultivation practices.
86
6. Implementation Plan
Table 14 Implementation plan
No
Strategic pillars
Strategic interventions
Responsible body
Time frame
2015 2016 2017 2018 2019
1 Market linkages
1.1 Contract farming
schemes
Promote collective action BOA, WOA1, X X
Promote Public-Private-Partnership
(PPP) in research, extension and large
investment
BOA, WOA1, ARARI,
private investors
X X X
Develop small scale out-growers
schemes
BOA, WOA1, NGOs X X
Develop innovative private
enforcement mechanisms
Beauro/office of trade and
industry,
X
Develop effective standards for
horticulture products
BOA, WOA1, X X
Promote competition among
agribusiness firms
BOA, WOA1, NGOs,
Cooperatives
X X X X X
Develop legal frame work for
contracts & provide arbitration
services
Legal institutions, WOA X X
Strengthening the existing and
establishing the new farmers’
cooperatives/ unions
Cooperative promotion
Agency1, BOA, WOA,
X X X X X
1.2 Fresh vegetable and
fruit market center for
producers
Establish fresh vegetable and fruit
market center for producers at the
strategic location of potential areas as
pilot projects
City administration1, BOA,
BoT
X X
Scaling up of the proven fresh
vegetable and fruit market centers to
wider potential areas in the region
City administration1, BOA,
WOA, BoT
X X X X
1.3 Market oriented Establish Ethiopian Horticulture Investment Promotion X
87
No
Strategic pillars
Strategic interventions
Responsible body
Time frame
2015 2016 2017 2018 2019
horticulture production
and export diversification
& improvement
Development Agency (EHDA) and
Ethiopian Horticulture Producers and
Exporter Association (EHPEA) at
regional level
Agency1, BOA, HDA,
EHDA,
Promoting production of organic
horticultural produces
BOA, WOA1, NGOs X X X
Advocating horticultural products to
national & world markets
Gov’t communication office1,
BOA
X X X X X
Adopt clustering and staggering
production system
BOA, WOA1, NGOs X X X X X
2 Production and
Management practices
2.1 Site selection &
planting material and land
preparation
Proper site selection based on the
requirements of individual crops
Kebelle level DAs1, WOA,
NGOs
X X X X X
Producing healthy and strong
planting materials
Nursery sites, WOA, ARARI X X X X X
Proper seed and/or planting bed
preparation according to the
requirement of the crops
Kebelle level DAs1, WOA, X X X X X
Developing and distribution of
horticultural crop production
packages based on specific
conditions of the area
ARARI1, University, BOA, X X
2.2 Adequate and timely
supply of quality
seeds/planting materials
Establishing seed multiplication
centers across agro-ecologies
BOA, WOA1, ASE, ESE X X
Promote private sectors and farmers`
cooperatives involve in horticulture
seed multiplication business
Cooperative promotion
agency1, BOA, WOA, ASE,
ESE,
X X X
Promote state seed enterprises
involve in horticulture seed
multiplication business
Cooperative promotion
agency1, BOA, WOA, ASE,
ESE, regional government
X X X
Close monitoring and follow up of Beauro of trade and industry, X X X X X
88
No
Strategic pillars
Strategic interventions
Responsible body
Time frame
2015 2016 2017 2018 2019
agricultural input traders WOA
Practice plant quarantine practices Quarantine enterprise?? X X X X X
Introduce certified seed production &
supporting producers for certified
seed multiplication
ESE1, ASE, BOA, ARARI X X X X X
Introducing improved seeds from
abroad by conducting adaptation
trials
ARARI1, University X X X
Strengthening existing and
establishing new tissue cultures
BOA, ARARI, ORDA X X X X X
Strengthening the existing and
establishing new nurseries
BOA1, WOA X X X X X
2.3 Disease and pest
control
Generating disease resistant varieties
through research
ARARI1, University X X X
Implement plant quarantine Quarantine enterprise ?? X X X X X
Promote proper agronomic and
certify producers with global GAPs
BOA1, WOA X X X
Promote IPM BOA, WOA1 X X X X X
Identifying pests and recommending
appropriate pesticides
ARARI1, University, BOA,
WOA
X X X X X
Prepare pictorial booklets with
symptoms of major diseases and pests
and their treatments for woreda and
kebele experts
BOA1, WOA, ARARI,
Universities, NGOs
X
Introducing small scale protected
cultivation
ARARI, BOA, X X
Enhancing the capacity of plant tissue
culture laboratories
ARARI, BOA, ORDA X X X X X
3 Capacity building
3.1 Technological capacity
development
Awareness creation on postharvest
handling through training and
experience sharing
BOA1, ARARI, Universities X X X
89
No
Strategic pillars
Strategic interventions
Responsible body
Time frame
2015 2016 2017 2018 2019
Creating access to appropriate
containers for fruits and vegetables
Traders1, BOA, Cooperative
and promotion agency,
X X X X X
Provide special incentives for value
addition/creation in the horticulture
sector
Investment promotion
agency1, ARARI, University
X X X
Improve sea, air and road
transportation services
Beauro of transport1, regional
government
X X X X X
Strengthening existing and
establishing new farmers’
cooperatives involve in agro-
processing industries
Cooperative promotion
agency1, BOA, WOA
X X X X X
Establishing cold storage and agro-
processing industry in potential areas
where the private sector unable to
involve
BOA1, NGOS, Regional
government
X X X X X
Establishing modern irrigation
scheme and its management system
in the irrigation potential areas
BOA1, NGOs X X X X X
Improving water use efficiency by
adopting drip and sprinkler irrigation
systems
BOA1, ARARI, Beauro of
water,
X X X
3.2 Human capacity
development
Establish practical training centers at
strategic locations that deliver short-
term training for both experts and
farmers
BOA1, WOA X X X
Providing farmers’ advisory services BOA1, Universities, ARARI X X X X X
Short-term training for experts and
farmers in horticulture production,
postharvest handling, utilization and
proper agronomic practices
BOA1, Universities, ARARI X X X X X
Long-term training for experts in
horticulture fields
Universities X X X X X
Organizing experience sharing field BOA1, WOA, ARARI X X X X X
90
No
Strategic pillars
Strategic interventions
Responsible body
Time frame
2015 2016 2017 2018 2019
visit for both farmers and experts
Arranging demonstration sites on
FTCs that enable farmers get
technical and practical knowledge
BOA1, WOA, Kebele level
agriculture office, ARARI X X X X X
Experts in the horticulture section at
least at woreda level should be
graduates of horticulture
BOA1, Universities X X X
4 Institutions and policies
Develop legislation, a code of
conduct and regulations for contract
farming arrangements
BoA, WoA, BoT, legal
institutions
X X
Organize a separate structure for
horticulture section responsible for
both meher and irrigation seasons
BOA1, WOA X
Organize a platform for stakeholders
in horticulture industry at regional,
zonal and district levels
BOA1, WOA, Universities,
ARARI, NGOs, private sector
X
Promote financial institutions to
deliver credit services to horticulture
sector
Banks, MFIs, cooperative
promotion agency, WOA
X X X X X
Promote investment opportunities for
both domestic and foreign investors
Investment promotion
agency1, regional government
X X X X X
Develop modern irrigation schemes
and its management system in the
irrigation potential areas
BOA1, Amhara construction
design, Amhara water works
enterprise,
X X X X X
Establish small-scale workshops for
maintenance and repair services
especially for irrigation equipment
BOA, WOA, input suppliers X X X X X
Empower WUCs and WUAs Cooperative promotion
agency1, BOA, WOA
X X X
Allowing land use certification
scheme for the production of
especially perennial/fruit crops
BOA, BoEPLUA, Regional
government, investment
promotion agency,
X
91
No
Strategic pillars
Strategic interventions
Responsible body
Time frame
2015 2016 2017 2018 2019
5 Cross cutting issues
5.1 Women & youths
participation
Promote urban agriculture to create
more employment opportunities for
women and youths
BOA, Amhara women
association, NGOs
X X X X X
Organize women and youths in SMEs
to participate in different value
adding activities such as
transportation, storage, packaging
materials, containers,
Small scale enterprise, BOA,
WOA
X X X X X
5.2 Environmental aspects Promote planting of fruit crops in
closed and rehabilitated watersheds
BOA, EPA, ARARI X X X X X
Note: 1 refers to the coordinator/main stakeholder.
92
7. Logical framework analysis
Table 15 Logical framework analysis
Hierarchy of objectives Progress indicators Indicators in quantities Means of
verification
Assumptions
Goals: 1. The contribution of Horticulture sector to
the regional GDP increased
2. Livelihood of smallholder farmers in the
region improved
• % increase in share
of the sector to the
regional GDP
• Increase in income
of smallholders
Share of horticulture sector
increased
Status of smallholder
livelihood gets improved
• BoFED
reports
• BoA reports
• CSA reports
Objectives: 1. Fruit and vegetable production increased
three times the current 730 thousand
tons in the region
Growth rate of
horticulture
production in the
region
Total horticulture production
in the region grows by 25%
each year
• CSA reports
• BoFED
reports
• BoA reports
• Good cropping seasons
• No major occurrence of
uncontrollable pests and diseases
• Government gives due attention
• Farmers implement proper
agronomic practices
2. Fruit and vegetable exports of the
Amhara region will increase to one
hundred million USD.
Total export of fruits
and vegetables in the
region in USD
Total horticulture exports of
the region will be 100 million
USD at the end of the
implementation period
• IPA reports
• HDEA
reports
• CSA reports
• Good cropping seasons
• No major occurrence of
uncontrollable pests and diseases
• Government gives due attention
• Farmers implement proper
agronomic practices
• Stable international market
3. Share of Horticulture sector to the
regional crop production increased from
nine to twenty percent
Percentage share of
horticulture to crop
production in the
region
Percentage share of
horticulture to crop
production will be 20% in
2019
• CSA reports
• BoFED
reports
• BoA reports
• Good cropping seasons
• No major occurrence of
uncontrollable pests and diseases
• Government gives due attention
• Demand for horticultural crops
increases over time
93
Hierarchy of objectives Progress indicators Indicators in quantities Means of
verification
Assumptions
• Farmers become more market
oriented
4. Production of fruit planting materials in
the region will increase every year by
20% from the current 31.7 million in
number.
Growth rate of
horticulture seeds &
planting materials
production
Fruit planting materials
production increased by 20%
each year.
• BoA reports
• BoT reports
• Coop/union
reports
• Nursery
center reports
• Rainfall is normal
• No major occurrence of
uncontrollable pests and diseases
• Government gives due attention
• Seed production and
multiplication coops/ unions are
established & strengthened
5. Smallholder farmer`s gross margin from
fruit and vegetable sub-sector will
increase by 25% every year.
Gross margin of
producers
The gross margin of farmers
increased at least by 25%
each year
• Research
reports
• Strong coops/unions are
established
• Farmers have good market
linkage with potential buyers and
accessed to market information
6. Participation of youths and women in
fruit and vegetable sub-sector increased
from 1.6 to 5 million beneficiaries
Number of youths
and women
participated in the
sector
Number of youths and
women engaged in the sector
increased to 5 million in 2019
• BoA reports
• CPA reports
• SMEs’
reports
• Government gives due attention
for participating youths & women
in the horticulture business
• Working habits of the people
improve over time
7. Post-harvest losses in horticulture sector
will reduce by 50% from the current
level ranging from 30 to 35%.
Decrease in
postharvest loss
Postharvest loss reduced to
50% in 2019
• BoA reports
• Survey report
• Proper storage and transportation
facilities
8. Share of commercial farming system of
horticultural crops will increase to 30%
from the current level of less than 3%.
Decrease in
traditional farming
Share of commercial farming
system will be 30% in 2019
• BoA reports
• Survey report
• Improved credit and marketing
systems
9. Five fruit and vegetable agro-processing
industries will be established in selected
potential areas of the region.
Number of agro
processing industries
Total of five agro industries
will be established in the
region during the
implementation period
• IPA reports
• BoA reports
• BoFED report
• Improved credit and marketing
systems
• Adequate and sustainable supply
of quality horticultural products
• Trust based contractual farming
well adopted in the sector
94
Hierarchy of objectives Progress indicators Indicators in quantities Means of
verification
Assumptions
10. Water use efficiency of the irrigation
schemes improved from 40% to 60%
Increase in irrigation
water use efficiency
Water use efficiency of the
irrigation schemes increased
to 60% by 2019
• BoA reports
• Local
administrative
office reports
• BoWR report
• A reasonable irrigation water
use fee payment introduced
• Irrigation water use conflict
among users solved through
empowering WUCs/WUAs
• Water conserving irrigation
technologies well adopted
• Proper maintenance and repair
services for irrigation schemes
& equipment delivered
Outputs:
1. Market linkage created among
horticulture producers and potential
buyers
No. of farmers
accessed to secured
markets for products
• No. of farmers benefited
from market linkage
Survey
BoA report
• Farmers produced quality
horticultural crops sufficiently
and sustainably
2. Seed multiplication and marketing
coops/unions (SMMCs) involved at
least in potato and onion crops
No. of SMMCs
involved in potato
and onion seed
business
• No. of SMMCs benefited
from seed business
• No. farmers accessed to
quality seed supply &
market at reasonable prices
CPA report
SMMC report
Survey
• SMMCs are voluntary to enter in
the horticulture business
3. Market information dissemination
system (MIDS) developed among
producers and potential buyers
No. of farmers
accessed to market
information by 2019
• No. of farmers benefited
from access to market
information
Survey
Interview
• The government gives due
emphasis
4. Clusters formulation among horticulture
producers scaled up at zone and district
level
No. of clusters and
farmers clustered at
zone & district level
by 2019
• No. of clustered farmers
• Proportion of farmers
benefited from clustering
Survey
BoA report
• Farmers are voluntary to form
clusters
5. Staggering plantation adopted by
horticulture producers following the
irrigation cropping season
Adoption rate of
staggering known by
2019
• Adoption rate determined
• Sustainable market supply
of products
Survey
BoA report
• Farmers are accessed to early
maturing horticultural crops and
get the proper training
6. Fresh vegetable and fruit marketing
center for producers (FVFMCPs) scaled
up at zone and district level
No. of FVFMCs
established at Zone
& district level by
• No. FVFMCP established
• No. of farmers benefited
from selling products at
Survey
BoA report
Municipal
• The local government is willing
to deliver land in the town for
center establishment
95
Hierarchy of objectives Progress indicators Indicators in quantities Means of
verification
Assumptions
2019 these centers report
7. Diseases and pests of horticultural crops
identified and treated
Types of diseases &
pests controlled
• Types of diseases/ pests
controlled
• No. of farmers controlling
diseases
Survey
Observation
Report review
• Experts get the proper training,
• Horticulture specialists are
recruited in the horticulture
section
8. Pictorial booklets/leaflets on symptoms
and treatments of diseases/pests
developed for district and kebele level
experts
The booklet prepared • No. of experts accessed to
booklets
• Proportion of experts able
to identify diseases
prevailed in their area using
booklets
BoA report
Interview
Observation
• Budget required for developing &
duplicating booklets allocated
9. Improved seeds and planting materials
secured at community level
At least coop members
and nursery sites
become source of
seeds and planting
materials, respectively
• No. of seed growers
• Types and amounts of seeds
produced
• Proportion of farmers
accessed to planting
materials for various fruits
CPA report
Farmers’ Coop
report
Interview
BoA report
• Coops and nursery sites are
accessed to basic seeds & planting
materials
• The required budget for planting
materials multiplication allocated
for fruit nursery sites
10. Improved postharvest handling practices
and technologies secured at community
level
Adoption rate of post
harvest handling
practices &
technologies known
by 2019
• Adoption rate determined Survey
• Farmers get appropriate training
& access to information on
postharvest technologies
• The technologies introduced from
abroad easily adapt the local
environment
11. Farmers’ & experts’ knowledge & skill
on horticultural activities improved
No. of farmers &
experts whose
Knowledge & skill
improved
• No. of farmers & experts
whose knowledge & skill
gaps addressed
Interview
Observation
• Farmers & experts get practical
training on horticultural activities
12. Proper agronomic practices (PAP) and
technologies adopted at least on potato,
tomato and onion production
Adoption rate of PAP
and technologies
known by 2019
• Adoption rate determined Survey
• Farmers are willing to use
improved technologies as per
recommendation
96
Hierarchy of objectives Progress indicators Indicators in quantities Means of
verification
Assumptions
13. Extension advisory services secured at
community level
No. of farmers
accessed to extension
advisory services
• No. of farmers benefited
from extension advisory
services
Interview
Observation
Report review
• Technically fully equipped
experts are available sufficiently
14. Quality and disease tolerant seeds
introduced for at least potato, onion,
orange and apple crops adopted
Adoption rate of
these seeds known by
2019
• Adoption rate determined Survey
• Seeds introduced from abroad
easily adapt local environment
15. A regular platform organized among
stakeholders for horticulture sector
development
A regular platform
organized among
stakeholders
• A joint plan prepared and
implemented by
stakeholders
• A regularly functioning
platform
Interview
Report review
• Stakeholders are willing to join a
platform regularly & act
accordingly with their respective
responsibilities
16. Upgraded and newly established agro-
processing industries by the public
No. of agro-
processing industries
upgraded and
established by the
public
• No. of agro-processing
industries upgraded and
established in the region
• Capacity utilization of these
industries
• No. of farmers linked with
these industries
IPA report
Interview
BoFED report
• The required budget released
timely
• Adequate amount and quality of
horticultural crops produced
sustainably
17. Private sectors involved in horticulture
sector investment/business
No. of private sectors
involved in
horticulture business
• No. of private sectors
benefited from horticulture
business
IPA report
Interview
• FIs deliver long-term credits for
horticulture investors
18. Irrigation schemes improved their
organization & management(O&M)
No. of irrigation
schemes whose O&M
improved
• Efficient and sustainable
use of water and irrigation
schemes
Survey
BoA report
Interview
• Appropriate training for WUA
and WUC committee members
given
19. Drip, sprinkler & rope pump irrigation
technologies adopted
Adoption rate of
these technologies
known by 2019
• Adoption rate determined
• Efficient use of irrigation
water
Survey • Quality irrigation technologies
delivered at reasonable prices
• FIs deliver credit for purchasing
the technologies
Activities:
97
Hierarchy of objectives Progress indicators Indicators in quantities Means of
verification
Assumptions
1. Contractual farming (CF) agreement
made among potato, onion and tomato
producers and potential buyers
No. of producers
created CF agreement
with buyers,
Potential buyers for
these vegetables
identified
• No. of producers created CF
agreement
• Potential buyers for these
products identified
• Proportion of producers
sold their surplus products
to their partners at
reasonable prices
Survey
Report review
Interview
• Both farmers and potential buyers
are willing to create CF
2. Contractual farming agreement made
among mango, avocado, banana, guava,
papaya and orange producers and
potential buyers
No. of producers
created CF agreement
with buyers,
Potential buyers for
these fruits identified
• No. of producers created CF
agreement
• Potential buyers for these
products identified
• Proportion of producers
sold their surplus products
to their partners at
reasonable prices
Survey
Report review
Interview
• Both farmers and potential buyers
are willing to create CF
3. Established plant tissue cultures No. of tissue cultures
established
• No. of districts and farmers
served by these tissue
cultures
BoA report
Observation
Interview
• The required budget for tissue
culture establishment released
timely
4. Staggering plantation introduced on
potato, tomato and onion crops as pilots
Effectiveness of
staggering plantation
as a pilot
• Effectiveness of staggering
plantation determined
Observation
Interview
• Farmers are familiarized with
staggering plantations
5. The existing and newly established
SMMCs strengthened and promoted to
involve at least in potato and onion crops
No. of the existing
and newly established
SMMCs strengthened
and promoted
• No. of existing and newly
established SMMCs
involved in potato and
onion crops
CPA report
SMMC report
Observation
• The government gives due
emphasis
6. Small-scale potato processing equipment
supplied to primary coops
No. of small-scale
potato processing
equipment supplied
to primary coops
• No. of potato processing
equipment supplied &
coops accessed to these
equipment
CPA report
SMMC report
Observation
• The required budget released
timely
7. Potato and tomato processing industry
established at the region by the public as
a pilot
Effectiveness of the
processing industry
• Effectiveness of the
processing industry
determined
Observation
Report review
• The required budget released
timely
98
Hierarchy of objectives Progress indicators Indicators in quantities Means of
verification
Assumptions
8. Clusters formed at least among potato
and tomato producers as pilots
No of clusters formed
and farmers clustered
No of clustered farmers
benefited from clustering
Observation
Report review
• Farmers are willing to form
clusters
9. FVFMCF established at regional level
as a pilot
FVFMCP established
at the region
• Effectiveness of FVFMCP
verified
Interview
Observation
• The regional government is
willing to deliver place for
FVFMCF at the capital city
10. A study conducted on indentifying
diseases/pests on horticultural crops and
recommending their appropriate
treatments
Types of diseases/
pests identified
• Types of diseases/ pests
identified
• The appropriate treatments
recommended
Study report • The required budget for a study
released timely
11. Quality and disease tolerant seeds
introduced from abroad for potato,
onion, orange and apple crops
Varieties of these
introduced seeds
identified
• Effectiveness of these
varieties to tolerate diseases
& improve quality of
products determined
Observation
Interview
BoA report
• The required budget released
timely
12. Technical training center established at
the strategic location of horticulture
potential areas
Training center
established
• Training center established
at the strategic location
Observation
Interview
• The required budget released
timely
13. Private sectors and ASE advocated to
involve in seed multiplication and
marketing business on at least potato
and onion crops
The promotion made
to private sectors &
ASE for potato &
onion seed business
• No. of private sectors
involved in this business
• ASE involved in this
business
BoA report
ASE report
Survey
• The government gives due
emphasis
14. The research institute initiated to focus
its research works on horticultural crops
specifically to adaptation trails, and
identification of diseases and their
treatments
Type & number of
studies conducted on
horticulture related
issues known by
2019
• Type & number of studies
conducted on horticulture
related issues identified
Study report
Survey
BoA report
• The government gives due
emphasis
15. Inspected agricultural input traders No. of agri. input
traders inspected
• No. of inspected traders
supplying quality inputs to
farmers
Interview
BoA report
• The government gives due
emphasis
16. Training farmers on production,
utilization , post harvest handling,
marketing, operation and handling of
irrigation equipment and PAP
No. of farmers
trained on these
topics
• No. of trained farmers
• Proportion of trained
farmers well performing
these activities
BoA report
Interview
Observation
• The required budget released
timely
99
Hierarchy of objectives Progress indicators Indicators in quantities Means of
verification
Assumptions
17. Short term on-job training to experts on
identifying diseases & pests, operation
and handling of irrigation equipment
and PAP
No. of experts taking
short-term training on
these topics
• Proportion of short-term
trained experts able to
effectively advise farmers
on these topics
BoA report
Interview
Observation
• The required budget released
timely
18. Experience sharing field visit organized
for both farmers and experts
No. of farmers and
experts participated
in experience sharing
field visit
• Proportion of farmers and
experts participated in
experience sharing field
visit
Survey
BoA report
• The required budget released
timely
19. Long-term training given to experts
specifically on horticultural sciences
No. of experts taking
long-term training on
these sciences
• No. of trained experts able
to effectively advise
farmers on horticultural
activities
BoA report
Interview
• The required budget released
timely
• Universities in the country can
train in this field of studies
20. FTC’s strengthened and promoted to
include at least potato, onion and tomato
production, small-scale processing &
consumption in their demonstration
sites
No. of FTC’s
demonstrated these
activities in their sites
• No. of FTC’s well
performing demonstration
of these activities in their
sites
FTC report
Interview
Observation
• FTC’s are willing to participate in
the horticulture activities
21. Production packages at least for potato,
onion & tomato crops developed, based
on specific conditions of the area
Production packages
developed for these
crops
• Area specific production
packages developed for
these crops
BoA report
Interview
• Experts get the appropriate
training
22. A separate horticultural section
organized at least at WoA
A separate
horticultural section
organized at WoA
• A separate horticultural
section installed at WoA
BoA report
Observation
• The government gives due
attention
23. Horticulture graduates recruited in
horticulture section at WoA
No. of horticulture
graduates recruited in
the section
• No. of horticulture
graduates in the section
BoA report
Observation
• Horticulture specialists available
in the national market
24. Strengthened existing and newly
established fruit nursery sites
No. of fruit nursery
sites strengthened &
established
• No. of farmers served by
these nursery sites
BoA report
Survey
• The required budget released
timely
25. Cold storage and agro-processing
industries established at the strategic
location of at least for potato and onion
producers
No. of cold storage
and agro-processing
industries established
• No. of cold storage and
agro-processing industries
available in the region
IPA report
BoA report
Survey
• The required budget released
timely
100
Hierarchy of objectives Progress indicators Indicators in quantities Means of
verification
Assumptions
26. The investment opportunities (like
incentive packages) popularized for
both domestic and foreign investors
No. of foreign and
private inventors in
horticulture sector
increased
• No. of foreign and private
inventors in horticulture
sector
IPA report
BoA report
Survey
• The required budget released
timely
27. The financial institutions (MFIs &
banks) initiated to supply long term
credits for horticulture investors
No. of horticultural
investors received
long-term credits
• Proportion of investors
received long-term credits
MFI & bank
reports
Interview
• The horticulture business is
profitable
28. A study conducted on determining fees
for irrigation water use
The amount of
irrigation water fee
determined
• The amount of irrigation
water fee determined
• The institutional set up
required for implementation
determined
Study report • The required budget released
timely
29. Training given to WUC and WUA
committee members on efficient and
sustainable use of irrigation water
No. of WUC &
WUA committee
members taking
training
• No. of WUC & WUA
committee members whose
knowledge and skill gap
addressed
Interview
Observation
• The required budget released
timely
30. Newly established modern irrigation
schemes in the irrigation potential areas
No. of newly
established modern
irrigation schemes
• No. of newly established
modern irrigation schemes
BoA Report
Observation
• The required budget is available
31. Drip, sprinkler and rope pump irrigation
technologies distributed to horticulture
producers
No. of distributed
drip, sprinkler & rope
pump irrigation
technologies
• No. of distributed drip,
sprinkler and rope pump
irrigation technologies
• No. of farmers installing
these technologies on their
farms
BoA Report
Observation
• The required budget released
timely
101
8. Monitoring and Evaluation Plan
Bureau of Agriculture (BoA) will undertake periodic and participatory monitoring and evaluation
with a view to promote learning. It will help stakeholders examine the progress, challenges and
achievements of horticulture sector in the plan period. It also recognizes the values of various actors
in the sector and empowers them to build sense of ownership.
Monitoring will focus on the physical performances, budgetary utilization, quality and quantity of
the work done. Quantity of activity accomplished, timeliness, budget utilization, proper targeting and
quality of work are some of monitoring indicators. Activity accomplishment against plan in the
specified timeframe, budget utilization against planned budget, cost against benefit and progress of
the activities towards the overall goal will be monitored. Regular and periodic activity performance
and financial reports, field visit and regular meeting with stakeholders are sources of pertinent data
for monitoring purpose. Monitoring will be performed throughout the implementation process of the
strategic interventions at different levels. On the other hand, evaluation will focus on the impacts
brought about as a result of the strategic interventions. The terminal evaluation will be held by
independent consultants immediately after completion of the plan period facilitated by BoA and
AGRO-BIG. The methods of evaluation will be participatory and primary data from household
surveys and secondary data will be also used. These data will be analyzed and interpreted to trace
results against set indicators (Table 16). During the terminal evaluation, BoA and government line
offices will actively participate and evaluation report will be generated for learning and to be sent to
BoA and AGRO-BIG. Recommendations of the evaluation will be used for further planning of
development initiatives by BoA in collaboration with local communities.
102
Table 16 Monitoring and evaluation plan
Narrative summaries
M&E objectives Indicators Information to be collected Methods/tools
for collecting
information
Methods
of analysis
Outputs:
1. Market linkage created among
producers and potential buyers
To check the market
linkage created among
farmers & buyers
No. of farmers
accessed to secured
markets for products
• No. of farmers benefited from
market linkage
Survey
BoA report
Descriptive
2. Seed multiplication and marketing
coops/unions (SMMCs) involved at
least in potato and onion crops
To check participation
of SMMCs in the seed
business
No. of SMMCs
involved in the seed
business
• No. of SMMCs benefited from
seed business
• No. farmers accessed to quality
seed supply & market at
reasonable prices
CPA report
SMMC report
Survey
Descriptive
3. Market information dissemination
system (MIDS) developed among
producers and potential buyers
To assess the MIDS
established
No. of farmers
accessed to market
information by 2019
• No. of farmers benefited from
access to market information
Survey
Interview
Descriptive
4. Clusters formulation among
horticulture producers scaled up at
zone and district level
To check clusters
scaled up at zone and
district level
No. of clusters and
farmers clustered at
zone & district level
by 2019
• No. of clustered farmers
• Proportion of farmers benefited
from clustering
Survey
BoA report
Descriptive
5. Staggering plantation adopted by
horticulture producers following the
irrigation cropping season
To assess adoption
rate of staggering
Adoption rate of
staggering known by
2019
• Adoption rate determined
• Sustainable supply of products
to the market at various times
Survey
BoA report
Descriptive
6. Fresh vegetable and fruit marketing
center for producers (FVFMCPs)
scaled up at zone and district level
To assess the FVFMCP
established at zone &
district level
No. of FVFMCP
established at zone &
district level by 2019
• No. FVFMCs established
• No. of farmers benefited from
selling products at these centers
Survey
BoA report Municipal report
Descriptive
7. Diseases and pests of horticultural
crops identified and treated
To verify diseases &
pests controlled
Types of diseases &
pests controlled
• Types of diseases/pests
controlled
• No. of farmers controlling
diseases/pests
Survey
Observation
Report review
Descriptive
8. Pictorial booklets/leaflets on
symptoms and treatments of
diseases/pests developed for district
To check the booklet
showing symptoms
and treatments of
The booklet prepared • No. of experts accessed to
booklets
• Proportion of experts able to
BoA report
Interview
Observation
Descriptive
103
Narrative summaries
M&E objectives Indicators Information to be collected Methods/tools
for collecting
information
Methods
of analysis
and kebele level experts diseases developed identify diseases prevailed in
the area using booklets
9. Improved seeds and planting
materials secured at community level
To check availability
of improved seeds and
planting materials at
community level
Farmers’ Coop
members become
source of seeds,
Farmers accessed to
planting materials
• No. of seed growers
• Types and amounts of seeds
produced
• Proportion of farmers accessed
to planting materials for various
fruits
CPA report
Farmers’ Coop
report
Interview
BoA report
Descriptive
10. Improved postharvest handling
practices and technologies secured at
community level
To assess adoption
rate of post harvest
handling practices &
technologies
Adoption rate of post
harvest handling
practices &
technologies known
by end of 2019
• Adoption rate determined Survey
Descriptive
11. Knowledge and skill of farmers and
experts updated/upgraded
To check Knowledge
and skill gap of
farmers and experts
addressed
No. of farmers and
experts whose
Knowledge & skill
updated/upgraded
• No. of farmers & experts whose
Knowledge & skill gaps
addressed
Interview
Observation
Descriptive
12. Proper agronomic practices (PAP)
and technologies adopted at least on
potato, tomato and onion production
To assess adoption
rate of PAP and
technologies
Adoption rate of PAP
and technologies
known by 2019
• Adoption rate determined Survey
Descriptive
13. Extension advisory services secured
at community level
To check extension
advisory services
delivered to farmers
No. of farmers
accessed to extension
advisory services
• No. of farmers benefited from
extension advisory services
Interview
Observation
Report review
Descriptive
14. Quality and disease tolerant seeds for
potato, onion, orange and apple crops
adopted
To verify quality &
disease tolerant seeds
adopted at least for
these crops
Adoption rate of
these seeds known by
2019
• Adoption rate determined Survey
Descriptive
15. A regular platform organized among
stakeholders for horticulture sector
development
To check a platform
organized among
stakeholders and
regularly functional
A platform organized
among stakeholders
• A joint plan prepared &
implemented by stakeholders
• A regularly functioning
platform
Interview
Report review
Descriptive
104
Narrative summaries
M&E objectives Indicators Information to be collected Methods/tools
for collecting
information
Methods
of analysis
16. Upgraded and newly established
agro-processing industries by the
public
To check agro-
processing industries
upgraded and
established by the
public
No. of agro-
processing industries
upgraded and
established by the
public
• No. of agro-processing
industries upgraded and
established in the region
• Capacity utilization of agro-
processing industries
• No. of farmers linked with
these industries
IPA report
Interview
BoFED report
Observation
Descriptive
17. Private sectors involved in
horticulture sector
investment/business
To assess the private
sectors involved in
horticulture business
No. of private sectors
involved in
horticulture business
• No. of private sectors benefited
from horticulture business
IPA report
Interview
Descriptive
18. Irrigation schemes improved their
organization & management(O&M)
To check the O&M of
irrigation schemes
improved
No. of irrigation
schemes whose O&M
improved
• Efficient and sustainable use of
water and irrigation schemes
Survey
BoA report
Interview
Descriptive
19. Drip sprinkler and rope pump
irrigation technologies adopted
To assess adoption
rate of these irrigation
technologies
Adoption rate of
these technologies
known by 2019
• Adoption rate determined
• Efficient use of irrigation water
Survey
Interview
Descriptive
Activities: Descriptive
1. Contractual farming (CF) agreement
made among at least potato, onion
and tomato producers and potential
buyers
To assess the CF
created among these
crops’ producers and
potential buyers
No. of producers
created CF agreement
with buyers,
Potential buyers for
these vegetables
identified
• No. of producers created CF
agreement
• Potential buyers for these
products identified
• Proportion of producers sold
their surplus products to their
partners at reasonable prices
Survey
Report review
Interview
Descriptive
2. Contractual farming agreement
made among mango, avocado,
banana, guava, papaya and orange
producers and potential buyers
To assess CF created
among these fruits’
producers and
potential buyers
No. of producers
created CF agreement
with buyers,
Potential buyers for
these fruits identified
• No. of producers created CF
agreement
• Potential buyers for these
products identified
• Proportion of producers sold
Survey
Report review
Interview
Descriptive
105
Narrative summaries
M&E objectives Indicators Information to be collected Methods/tools
for collecting
information
Methods
of analysis
their surplus products to their
partners at reasonable prices
3. Established plant tissue cultures To check the plant
tissue cultures
established
No. of tissue cultures
established
• No. of districts and farmers
served by these tissue cultures
BoA report
Observation
Interview
Descriptive
4. Staggering plantation introduced on
potato, tomato and onion crops as
pilots
To check staggering
plantation introduced
as a pilot
Effectiveness of
staggering plantation
as a pilot
• Effectiveness of staggering
plantation determined
Observation
Interview
Descriptive
5. The existing and newly established
SMMCs strengthened and promoted
to involve at least in potato and
onion crops
To assess the existing
and newly established
SMMCs strengthened
and promoted
No. of the existing
and newly established
SMMCs strengthened
and promoted
• No. of existing and newly
established SMMCs involved
in potato and onion crops
CPA report
SMMC report
Observation
Descriptive
6. Small-scale potato processing
equipment supplied to primary
coops
To check small-scale
potato processing
equipment supplied to
primary coops
No. of small-scale
potato processing
equipment supplied
to primary coops
• No. of potato processing
equipment supplied & coops
accessed to these equipment
CPA report
SMMC report
Observation
Descriptive
7. Potato and tomato processing
industry established at region level
by the public as a pilot
To check this industry
established and verify
its effectiveness
Effectiveness of the
processing industry
• Effectiveness of the processing
industry determined
Observation
Report review
Descriptive
8. Clusters formed at least among
potato and tomato producers as
pilots
To check clusters
formed among potato
& tomato producers
No of clusters formed
and farmers clustered
No of clustered farmers benefited
from clustering
Observation
Report review
Descriptive
9. FVFMCF established at regional
level as a pilot
To assess FVFMCP
established and verify
its effectiveness
FVFMCP established
at the region
• Effectiveness of FVFMCP
verified
Interview
Observation
Descriptive
10. A study conducted on indentifying
diseases/pests on horticultural crops
and recommending their appropriate
treatments
To check a study for
identifying diseases/
pests conducted
Types of diseases/
pests identified
• Types of diseases/ pests
identified
• Their recommended treatments
Study report Descriptive
11. Quality and disease tolerant seeds
introduced for at least potato, onion,
orange and apple
To check quality and
disease tolerant seeds
introduced for these
Varieties of these
introduced seeds
identified
• Effectiveness of these varieties
to tolerate diseases & improve
quality of products determined
Observation
Interview
BoA report
Descriptive
106
Narrative summaries
M&E objectives Indicators Information to be collected Methods/tools
for collecting
information
Methods
of analysis
crops
12. Technical training center
established at the strategic location
of horticulture potential areas
To assess the training
center established at
the strategic location
Training center
established
• Training center established at
the strategic location
Observation
Interview
Descriptive
13. Private sectors and ASE advocated
to involve in seed multiplication and
marketing business on at least
potato and onion crops
To check the
promotion made to
private sectors & ASE
to involve in potato &
onion seed business
The promotion made
to private sectors &
ASE for potato &
onion seed business
• No. of private sectors involved
in this business
• ASE involved in this business
BoA report
ASE report
Survey
Descriptive
14. The research institute initiated to
focus its research works on
horticultural crops specifically to
adaptation trails, and identification
of diseases and their treatments
To assess the research
institute conducted
adaptation trails,
identification of
diseases & treatments
Type & number of
studies conducted on
horticulture related
issues known by
2019
• Type & number of studies
conducted on horticulture
related issues identified
Study report
Survey
BoA report
Descriptive
15. Inspected agricultural input traders To check agri. input
traders inspected
No. of agri. input
traders inspected
• No. of traders supplying quality
inputs to farmers
Interview
BoA report
Descriptive
16. Training farmers on production,
utilization , postharvest handling,
marketing, operation and handling
of irrigation equipment and PAP
To assess farmers
trained on these topics
No. of farmers
trained on these
topics
• No. of trained farmers
• Proportion of trained farmers
well performing these activities
BoA report
Interview
Observation
Descriptive
17. Short term on-job training to experts
on identifying diseases & pests,
operation and handling of irrigation
equipment and PAP
To check experts
given short-term
training on these
topics
No. of experts taking
short-term training on
these topics
• Proportion of trained experts
able to effectively advise
farmers on these issues
BoA report
Interview
Observation
Descriptive
18. Experience sharing field visit
organized for both farmers and
experts
To check experience
sharing field visit
organized for farmers
and experts
No. of farmers and
experts participated
in experience sharing
field visit
• Proportion of farmers and
experts participated in
experience sharing field visit
Survey
BoA report
Descriptive
19. Long-term training given to experts
specifically on horticultural sciences
To assess experts given
long-term training on
horticultural sciences
No. of experts taking
long-term training on
these sciences
• No. of trained experts able to
effectively advise farmers on
horticultural activities
BoA report
Interview
Descriptive
107
Narrative summaries
M&E objectives Indicators Information to be collected Methods/tools
for collecting
information
Methods
of analysis
20. FTC’s strengthened and promoted
to include at least potato, onion and
tomato production, small-scale
processing & consumption in their
demonstration sites
To check FTC’s
demonstrated
production, processing
&consumption of these
crops in their sites
No. of FTC’s
demonstrated these
activities in their sites
• No. of FTC’s well performing
demonstrations of these
activities in their sites
FTC report
Interview
Observation
Descriptive
21. Production packages at least for
potato, onion & tomato crops
developed, based on specific
conditions of the area
To check area specific
production packages
developed for these
crops
Production packages
developed for these
crops
• Area specific production
packages developed for these
crops
BoA report
Interview
Descriptive
22. A separate horticultural section
organized at least at WoA
To check a separate
horticultural section
organized at WoA
A separate
horticultural section
organized at WoA
• A separate horticultural section
installed at WoA
BoA report
Observation
Descriptive
23. Horticulture graduates recruited in
horticulture section at WoA
To check horticulture
graduates recruited in
the section
No. of horticulture
graduates recruited in
the section
No. of horticulture graduates in
the section
BoA report
Observation
Descriptive
24. Strengthened existing and newly
established fruit nursery sites
To assess fruit nursery
sites strengthened &
established
No. of fruit nursery
sites strengthened &
established
No. of farmers served by these
nursery sites
BoA report
Survey
Descriptive
25. Cold storage and agro-processing
industries established at the
strategic location of at least for
potato and onion producers
To assess cold storage
and agro-processing
industries established
No. of cold storage
and agro-processing
industries established
No. of cold storage and agro-
processing industries available
in the region
IPA report
BoA report
Survey
Descriptive
26. The investment opportunities (like
incentive packages) popularized for
both domestic and foreign investors
To check investment
opportunities
popularized worldwide
No. of foreign &
private investors in
horticulture sector
No. of foreign & private
investors engaged in horticulture
sector
IPA report
BoA report
Survey
Descriptive
27. The financial institutions (MFIs &
banks) initiated to supply long term
credits for horticultural investors
To assess FIs supplied
long-term credits to
horticultural investors
No. of horticultural
investors received
long-term credits
Proportion of investors received
long-term credits
MFI & bank
reports
Interview
Descriptive
28. A study conducted on determining
fees for irrigation water use
To check a study
conducted on
determining fees for
irrigation water
The amount of
irrigation water fee
determined
The amount of irrigation water
fee determined
The institutional set up required
for implementation determined
Study report Descriptive
108
Narrative summaries
M&E objectives Indicators Information to be collected Methods/tools
for collecting
information
Methods
of analysis
29. Training given to WUC and WUA
executive committee members on
efficient and sustainable use of
irrigation water
To assess the training
given to the WUC &
WUA executive
committee members
No. of WUC &
WUA committee
members taking
training
No. of WUC & WUA
committee members whose
knowledge and skill gap
addressed
Interview
Observation
Descriptive
30. Newly established modern irrigation
schemes in irrigation potential areas
To assess newly
established modern
irrigation schemes
No. of newly
established modern
irrigation schemes
No. of newly established
modern irrigation schemes
BoA Report
Observation
Descriptive
31. Drip, sprinkler and rope pump
irrigation technologies distributed to
horticulture producers
To assess drip,
sprinkler & rope pump
irrigation technologies
distributed
No. of distributed
drip, sprinkler & rope
pump irrigation
technologies
No. of distributed drip, sprinkler
and rope pump irrigation
technologies
No. of farmers installing these
technologies on their farms
BoA Report
Observation
Descriptive
Inputs: To check availability
of human power
To check timely
release & appropriate
utilization of budget
To check availability
of facilities
Personnel:
B.Sc. = 429
M.Sc. = 159
PhD = 15
Finance:
808 million birr
Facilities:
Offices and office
furniture
Effectiveness & efficiency of
the personnel involved in the
activities
Regular & timeliness of
approved fund disbursement
Availability of required
facilities
Reporting
Auditing &
action plan
Inventory
report
Descriptive
analysis
109
9. Stakeholders for Amhara Region Horticulture Sector Development
9.1 Stakeholder Analysis
ANRS Bureau of Agriculture
Amhara Bureau of Agriculture is the main stakeholders in the horticulture sector development in the
region. The responsibility of the Bureau ranges from preparation to implementation of the
horticultural development strategy. It is also expected to allocate budget and appropriate human
resource in the sector, provide short term and long term training on horticultural science for experts
at different levels, provide extension service and inputs for the sector and coordinate stakeholders in
the sector to make it competitive and profitable. Even though there are good efforts towards these
and other responsibilities there are also some limitations. First of all, the horticulture sector is a sub
process in the irrigation. This has its own implication in terms of assigning the appropriate
professional and giving weight in terms of budget. There is limitation in the budget, despite that by
their very nature the sector is budget demanding. Hence it is important to organizing a horticulture
section as a separate structure in all level of agricultural offices. Last but not least, the Bureau
should provide appropriate and quality planting materials produced in nursery and plant tissue
cultures to enhance production and productivity of smallholder farmers. The bureau should also
work hand in hand together with other stakeholders like universities and ARARI in identifying
problems and devising their solutions for the development the horticulture sector of the region.
ANRS Bureau of Cooperative Promotion Agency
Bureau of cooperative promotion agency at respective levels are among the major stakeholders in the
horticulture industry. These days, cooperatives are becoming power for the limitation of capital both
in the production and marketing of horticultural crops. Even though there are very few successful
marketing cooperatives/unions, for horticulture crops, generally the status of marketing cooperatives
at farmers grass root level is poor. The bureau is responsible to organize, support and monitor
different cooperatives and unions which are involved in production and marketing of horticultural
crops. Moreover, it is also important to evaluate the limitation in the structural organization of plan
and plan to solve possible interventions which could enhance performance of structural organization.
110
Last but not least, it is supposed to scale up best experiences of cooperatives/unions at different parts
of the country.
ANRS Bureau of Trade
As a stakeholder in the regional horticulture industry, Bureau of Trade is responsible to monitor and
supervise licensed traders and trading institutions. Moreover, the Bureau is also expected to give
license for investors and promote horticultural products in collaboration with stakeholders. However,
the effort in terms of searching for potential market and creating linkage between producers and
buyers is very limited especially at smallholder farmers’ level. Hence, given the perish ability of the
products, the BoT should participate in creating market linkage between the producers, agro-
processing industries, traders and consumers and in advocating the crops and providing market
information for producers. .
ANRS Bureau of Investment Promotion Agency
Following the growing demand in organic fruits and vegetables, there is an increasing trend in terms
of investment in the sector. Basically, Bureau of Investment Promotion Agency is responsible to
prepare strategic plan to attract potential investors at national and international level through
incentive and promotion. Moreover, it should also assist, supervise and monitor large scale investors
who are involved in the horticulture industry. Even though there is an effort in this direction,
majority of investors in the sector produce/aim to produce mainly flower. Hence, the beauro should
equivalently to work on investors in fruit and vegetable production to exploit the potential in the
region. Importantly, attention should be given in terms of length of lease period to fruit production as
special incentive.
Universities and Amhara Regional Agricultural Research Institution (ARARI)
Universities are places where professionals emanate from. Fortunately, currently there are seven
universities in the region. Given their responsibility to provide quality and practical education in
horticulture science to support the sector and to undertake problem oriented researches on
horticulture production, storage and marketing universities could be taken as great opportunities in
horticulture sector development. However, there is limitation in terms of providing practical
education in the horticulture science and undertaking problem oriented research. Hence, given that
the sector needs improvement in skill and research findings, universities are expected to exert more
111
efforts. Similarly, ARARI is an institution which is mandated to coordinate and undertake researches
in the region. Among its responsibilities, undertaking researches towards adaptation, variety
development and developing varieties resistant/tolerant to diseases and insect pests. Besides
providing pre-basic seeds, capacity building and developing crop production packages that can be
utilized by smallholder farmers are also responsible to the institute. However, the research activities
are biased towards grain crops like cereals and other crops. Hence, given its economic importance
both at national and regional level, ARARI should give more attention to horticultural crops in the
future.
Horticulture Development Agency
The agency was objectively established with the aim of developing the horticulture sectore of the
country so that increasing the benefit from export of horticultural crops. Specifically the agency is
responsible to facilitate the infrastructure (for example cold storage) necessary for the development
of the sector, give advisory service for investors who want to invest in the sector, create market
linkage between exporters and producers of horticultural crops using out-growers. Besides preparing
strategic plan to create conducive environment for commercial producers and investors in the
horticulture sector by facilitating access to inputs, credit service and providing incentives are the
major duties of the agency. Given the current experience, the agency is closely working with private
investors who are engaged in the horticultural crops production and export. However, the agency is
limited to commercial farmers although the greater amount of the national as well as the regional
horticulture is produced by smallholder farmers. Since there is limitation in capital among
smallholder farmers, the agency could work on sources of finance and adopt out grower schemes to
enhance the contribution of smallholder farmers for the regional and national export earnings of the
sector.
112
9.2 Responsibilities/Roles of Stakeholders
Table 17 Responsibilities of stakeholders for Amhara region horticulture sector
No Organization/institution Main responsibilities/roles
1 ANRS Bureau of
Agriculture Prepare horticultural development strategic document, implement, monitor and evaluate its outcome.
Allocate budget and human resource to implement ANRS horticulture development strategy.
Prepare long term and short term strategic implementation plan.
Support small holder farmers to enhance production and productivity by providing input and extension
services up to grass root level
Creating access to credit, training and improved technologies for small scale horticultural crop producers
Coordinate different GOs and NGOs working in horticulture sector to contribute their own share to
enhance profitability and competitiveness of the sector
2 ANRS Bureau of
Cooperative Promotion
Agency
Organize, support and monitor different cooperatives and unions which are involved in production and
marketing of horticultural crops.
Evaluate the limitation in the structural organization of plan and plan to solve possible interventions which
could enhance performance of structural organization.
Prepare a strategic plan to solve credit and marketing problems in the horticulture industry.
Scale up best experiences of cooperatives/unions, which are successful in terms of production, marketing
and export of horticultural crops to different parts of the region
3 ANRS Bureau of Ethiopian
Horticulture Development
Agency
Facilitate construction of infrastructure (road, storage) to enhance the exchange rate that the region could
get.
Creating market linkage between exporters and producers of horticultural crops using out-growers
service/method
Prepare strategic plan to create conducive environment for those who invest and are planning to invest in
the horticulture sector by facilitating access to inputs, credit service and providing incentives.
4 ANRS Bureau of industry Prepare strategic plan to create market linkage between producers and agro processing firms/industry.
5 ANRS tissue culture
institute Provide appropriate and quality planting material to enhance production and productivity of small holder
horticultural crop producers.
6 ANRS Bureau of trade To monitor and supervise licensed traders and trading institutions.
113
No Organization/institution Main responsibilities/roles
To give license for investors on horticulture crop production, processing and packaging, based on the
quality assurance.
To promote horticultural products in collaboration with stakeholders.
7 ANRS Bureau of
Investment Promotion
Agency
To prepare strategic plan to attract potential investors at national and international level through incentive
and promotion.
Assist, supervise and monitor large scale investors who are involved in the horticulture industry.
8 Universities To provide quality and practical education in horticulture science to support the sector
To undertake problem oriented researches on horticulture production, storage and marketing
Providing short term training for different stakeholders in the horticulture industry
9 ANRS Bureau Of Road
and Transport To maintain existing roads and construct new roads in potential horticulture crop production areas.
10 ANRS Bureau of Urban
and Construction
Development
To incorporate horticultural crop storage, processing and marketing cites in master plan so as to provide
access to fresh and quality horticultural products.
11 ARARI Undertake research towards variety development and disease and pest control measures to increase
production and productivity
Prepare strategic plan, identify strategic issues and undertake problem solving researches on horticulture
production and marketing
12 Banks/ACSI Provide long term credit service for horticulture crop producers and processors.
13 AISCO/Et-fruit Provide quality inputs for smallholder farmers on time.
14 Bureau of Water Resource Developing and managing the water resource intensively, but sustainably, targeting comprehensive
economic growth to improve living standard of the people of Amhara National Regional State.
Identify the potentials and opportunities of the region in terms of irrigation potential
15 Amhara Design Supervision
Works Enterprise Perform activities of study and design that enable water resource of the surroundings on use, having
been combined irrigation and drainage, ground, surface and rain water.
Supervise over while the construction is carried out.
16 Amhara Water Works
Construction Enterprise Support the industry by constructing quality irrigation projects, to improve production and productivity of
horticulture sector.
17 Private investors Participate in production, processing and export of horticultural crops by using the incentives provided by
the government and act in line with development strategies of the region and the country.
114
No Organization/institution Main responsibilities/roles
Support smallholder horticultural producer farmers by training and technology transfer.
18 Small scale farmers Adopt proper agronomic practices for horticultural crop production to boost production and productivity.
19 NGOs Support the horticulture industry financially and technically. Technical support includes short and long
term training and experience sharing.
115
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118
Annex
ANNEX 1: PLANTING MATERIAL PRODUCTION PLAN (‘000) OF NURSERY SITES AND AREA COVERAGE OF
PLANTING MATERIALS DURING THE PERIOD OF THE REGIONAL HORTICULTURE DEVELOPMENT
STRATEGY (2015-2019) IN AMHARA REGION
No
Horticulture crops
2015 2016 2017 2018 2019
No Ha No Ha No Ha No Ha No Ha
1 Citrus 1000 2500 1100 2750 1210 3025 1330 3325 1464 3660
2 Mango 2500 6250 2750 6875 3025 7562.5 3328 8320 3660 9150
3 Avocado 3000 7500 3300 8250 3630 9075 3993 9982.5 4393 10982.5
4 Apple 1000 2500 1100 2750 1210 3025 1331 3327.5 1464 3660
5 Plum 100 250 110 275 121 302.5 133 332.5 146 365
6 Pear 100 250 110 275 121 302.5 133 332.5 146 365
7 Banana 5000 12500 5500 13750 6050 15125 6655 16637.5 7321 18302.5
8 Papaya 1000 2500 1100 2750 1210 3025 1331 3327.5 1464 3660
9 Guava 3000 7500 3300 8250 3630 9075 3993 9982.5 4393 10982.5
10 Coffee 15000 37500 16500 41250 18150 45375 19965 49912.5 21961 54902.5
Total 31700 79250 34870 87175 38357 95892.5 42192 105480 46412 116030
119
ANNEX 2: ESTIMATED INVESTMENT COST (BIRR IN ‘000) REQUIRED TO ADDRESS THE STRATEGIC PILLARS
ACROSS THE STRATEGY PLAN PERIOD
Strategic
pillars
Descriptions Strategic plan period
2015 2016 2017 2018 2019 Total
Capacity
Building
Short and long term training 7,000.00 8,500.00 10,000.00 11,500.00 13,000.00 50,000.00
Establishment of medium cold storage
(500 ton capacity)
2,000.00 2,500.00 3,000.00 3,500.00 4,000.00 15,000.00
Establishment of Agro-processing
industry
3,000.00 4,000.00 5,000.00 6,000.00 7,000.00 25,000.00
Strengthening the existing &
establishment of new medium plant tissue
culture (three in number)
5,000.00 10,000.00 40,000.00 45,000.00 50,000.00 150,000.00
Establishment of practical training centers 10,000.00 12,000.00 14,000.00 16,000.00 18,000.00 70,000.00
Recruitment of experts (120 per year) 600.00 600.00 600.00 600.00 600.00 3,000.00
Market
linkage
Establishing fruit & vegetable market
centers (two per year)
6,000.00 7,000.00 8,000.00 9,000.00 10,000.00 40,000.00
Advocating horticultural products to
national & world markets
5,000.00 5,500.00 6,000.00 6,500.00 7,000.00 30,000.00
Promotion of urban agriculture 2,000.00 3,000.00 4,000.00 5,000.00 6,000.00 20,000.00
Input
supply
Strengthening the existing nursery 5,000.00 6,000.00 7,000.00 8,000.00 9,000.00 35,000.00
Establishment of new nursery (one
nursery per year) sites
15,000.00 17,000.00 19,000.00 21,000.00 23,000.00 95,000.00
Preparation of planting materials 25,000.00 28,000.00 31,000.00 34,000.00 37,000.00 155,000.00
Establishment of vegetable seed
multiplication centers (one per year)
15,000.00 16,000.00 17,000.00 18,000.00 19,000.00 85,000.00
Strengthening farmers` seed producers
and marketing cooperatives
5,000.00 6,000.00 7,000.00 8,000.00 9,000.00 35,000.00
Total 105,600.00 126,100.00 171,600.00 192,100.00 212,600.00 808,000.00
120
ANNEX 3: LIST OF KEY INFORMANTS AND EXPERTS
No Key Informants Affiliation Position
1 Sintayehu Misker ANRS Bureau of Agriculture Horticulture Expert
2 Tesfaye Mengistu ANRS Bureau of Agriculture Irrigation Agronomy Expert
3 Daniel… Regional Investment Promotion Agency Expert
4 Jibriel Ahmed W. Gojjam Zone Agriculture Depart. Deputy Head
5 Yenesew W. Gojjam Zone Agriculture Depart. Agricultural Extension Work Process Owner
6 Awoke Zelalm W. Gojjam Zone Agriculture Depart. Horticulture & Irrigation Water Use Work Process Owner
7 Tibelechi Atenafu W. Gojjam Zone Agriculture Depart. Irrigation water management expert
8 Tegegne Alemu W. Gojjam Zone Agriculture Depart. Horticulture post-harvest extension expert
9 Yihenew Yeshaneh W. Gojjam Zone Agriculture Depart. Extension Expert
10 Kassahun Hunegnaw Jabitehnan Woreda Agriculture Office Head
11 Ato Abera Welelaw Jabitehnan Woreda Agriculture Office Horticulture & Irrigation Water Use Work Process Owner
12 Zenebe Tedla Jabitehnan Woreda Agriculture Office Agricultural Input Supply Work Process Owner
13 Sewbesew Tadesse Jabitehnan Woreda Agriculture Office Cooperative Promotion Expert
14 Tiru Feleke Jabitehnan Woreda Agriculture Office Agricultural Input Supply & Distribution Expert
15 Desalew Fentie Finoteselam Agricultural Research Sub-Center Sub-Centre Head
16 Tilahun Mulugeta Mecha Woreda Agriculture Office Horticulture & Irrigation Water Use Work Process Owner
17 Desalegn Biresaw Mecha Woreda Agriculture Office Horticulture Irrigation expert
18 Yilikal Wubet Mecha Woreda Agriculture Office Horticulture Irrigation Expert
19 Abdu Muhedin Mecha Woreda Agriculture Office Agricultural Input & Credit Supply Expert
20 Tewachew Abebe Koga Irrigation Project Cooperative & Marketing expert
21 Sisay Damtie S. Gonder Zone Agriculture Depart. Head
22 Kegne Bailie S. Gonder Zone Agriculture Depart. Horticulture Irrigation expert
23 Wale Birhanu S. Gonder Zone Agriculture Depart. Agricultural Input Supply & Distribution Coordinator
24 Legese Jember S. Gonder Zone Agriculture Depart. Horticulture Irrigation expert
25 Getnet Asnake Farta Woreda Agriculture Office Deputy Head
26 Birkie Tsega Farta Woreda Agriculture Office Horticulture & Irrigation Water Use Work Process Owner
27 Anley Goshu Farta Woreda Agriculture Office Agricultural Input Supply & Distribution Work Process Owner
28 Temesgen Birhanu Lay Gayint Woreda Agriculture Office Head
121
No Key Informants Affiliation Position
29 Abebe Bezie Lay Gayint Woreda Agriculture Office Agricultural Input Supply & Distribution Work Process Owner
30 Tsegaye Temesgen N. Wollo Zone Agriculture Department Deputy Head
31 Getahun Belay N. Wollo Zone Agriculture Department Agricultural Input Supply & Distribution Coordinator
32 Bayu Teshome Habru Woreda Agriculture Office Head
33 Abate Tiku Habru Woreda Agriculture Office Horticulture & Irrigation Water Use Work Process Owner
34 Andualem Ayalew Habru Woreda Agriculture Office Horticulture Irrigation expert
35 Debebe Admasu S. Wollo Zone Agriculture Department Head
36 Yirga Negash S. Wollo Zone Agriculture Department Horticulture & Irrigation Coordinator
37 Abrham Tsegaye S. Wollo Zone Agriculture Department Agricultural Input Supply & Distribution Coordinator
38 Birhanu Mulu Kalu Woreda Agriculture Office Head (Representative)
39 Jemal Mohamed Kalu Woreda Agriculture Office Horticulture & Irrigation Water Use Work Process Owner
40 Shiferaw Mekonen Kalu Woreda Agriculture Office Agricultural Input Supply & Distribution Expert
122
ANNEX 4: LIST OF FOCUS GROUP DISCUSSION PARTICIPANTS
Focus Group Discussion 1: Jabitehnan Woreda
No Focus group discussants Affiliation Position
1 Alelegn Wondem Jibat Enkokma Kebele Kebele Chairman
2 Alemu Abate Jibat Enkokma Kebele Chairman of Kebele WUA
3 Bitew Alamerew Jibat Enkokma Kebele Kebele Social Justice Office Secretary
4 Mihret Alehegn Jibat Enkokma Kebele Chairman of Kebele Social Justice
5 Aschalew Fikadu Jibat Enkokma Kebele Irrigation user
6 Gijon Yenealem Jibat Enkokma Kebele Irrigation user
7 Yitatyeh Hailu Jibat Enkokma Kebele Irrigation user
8 Minlargeh Engda Jibat Enkokma Kebele Irrigation user
9 Haimanot Nega Jibat Enkokma Kebele Irrigation user
10 Tadifie Getaneh Jibat Enkokma Kebele Head, Kebele Gender Office
11 Abebe Mirete Yashenifal Irrigation Development & Marketing Cooperative Chairman of the cooperative
12 Simeneh Addis Yashenifal Irrigation Development & Marketing Cooperative Secretary of the cooperative
13 Zelalem Ayalew Yashenifal Irrigation Development & Marketing Cooperative Casher of the cooperative
Focus Group Discussion 2: Mecha Woreda
No Focus group discussants Affiliation Position
1 Simeneh Fente Enamirit Kebele Member of Kebele administration
2 Sharew Metaferia Enamirit Kebele Member of Kebele administration
3 Gobeze Metaferia Enamirit Kebele Member of Kebele administration
4 Awule Metaferia Enamirit Kebele Member of Mecha Woreda Council
5 Melaku Endalew Enamirit Kebele Chair of Kebele Land Administration Office
6 Yayeh Addis Enamirit Kebele Irrigation user
7 Getu Degif Enamirit Kebele Chair of Kebele administration
123
Focus Group Discussion 3: Kalu Woreda
No Focus group discussants Affiliation Position
1 Ahimed Hussein Ali 034 (Miawa) Kebele Chairman, Kebele Administrative
2 Endris Hussein Mohammed 034 (Miawa) Kebele Head, Kebele Council
3 Shek Mohammed Aliyu 034 (Miawa) Kebele Irrigation user farmer
4 Seid Ali Hussein 034 (Miawa) Kebele Irrigation user farmer
5 Ebrahim Asfawu 034 (Miawa) Kebele Irrigation user farmer
6 Tayitu Hussein Ali 034 (Miawa) Kebele Females` Development Team Member
7 Zemu Abidu 034 (Miawa) Kebele Females` Development Team Member
8 Aregashi Beshir 034 (Miawa) Kebele Females` Development Team Member
9 Hassen Ebrahim 034 (Miawa) Kebele Chairman, Youth Irrigation Users’ Team
10 Muhe Endris Hasen 034 (Miawa) Kebele Irrigation user
11 Hussein Amanu 034 (Miawa) Kebele Irrigation user
Focus Group Discussion 4: Habru Woreda
No Focus group discussants Affiliation Position
1 Ahimed Siraji 04 (Anito)Kebele WUA secretary
2 Seid Nega 04 (Anito)Kebele WUA monitoring committee member
3 Mohammed Husien 04 (Anito)Kebele Irrigation user
4 Alemu Zewdu 04 (Anito)Kebele Irrigation user
5 Degu Yimam 04 (Anito)Kebele WUA team leader
6 Desu Nurye 04 (Anito)Kebele WUA monitoring committee member
7 Moge Tegegne 04 (Anito)Kebele WUA secretary
8 Musa Mohammed 04 (Anito)Kebele Irrigation user
9 Zewdu Abebaw 04 (Anito)Kebele Irrigation user
124
Focus Group Discussion 5: Lay Gayint Woreda
No Focus group discussants Affiliation Position
1 Desitaw Asires 09 kebele, Farmers’ Irrigation Association Chairman of the association
2 Abraraw Sitotawu 09 kebele, Farmers’ Irrigation Association Executive committee member
3 Worku Alebachew 09 kebele, Farmers’ Irrigation Association Casher of the association
4 Ewunetu Mengiste 09 kebele, Farmers’ Irrigation Association Irrigation user
5 Mulate Getinet 09 kebele, Farmers’ Irrigation Association Irrigation user
6 Biru Alebachew 09 kebele, Farmers’ Irrigation Association Irrigation user
7 Getachew Gesese 09 kebele, Farmers’ Irrigation Association Irrigation user
Focus Group Discussion 6: Farta Woreda
No Focus group discussants Affiliation Position
1 Marew Abitew Awuzet kebele Irrigation user
2 Mulat Tariko Awuzet kebele Irrigation user
3 Biset Nega Awuzet kebele Irrigation user
4 Afwork Molla Awuzet kebele Irrigation user
5 Nega Kassaw Awuzet kebele Irrigation user
6 Adaney Birhan Awuzet kebele Irrigation user
7 Wasie Fila Awuzet kebele Irrigation user
125
ANNEX 5: PROFILE OF CONSULTANTS
No Name Qualification Affiliation
1 Melkamu Alemayehu PhD in Horticulture Pathology;
M.Sc. in Horticulture
Bahir Dar University, College of Agriculture &
Environmental Sciences
2 Fentahun Tesafa M.Sc. in Development Economics;
B.Sc. in Agricultural Economics
Bahir Dar University, College of Agriculture &
Environmental Sciences
3 Solomon Bizuayehu M.Sc. in Agricultural Economic; Mph in Economics;
BSc in Natural Resources Economics & Management
Bahir Dar University, College of Agriculture &
Environmental Sciences
4 Belayneh Ayele PhD in Forest Ecology;
M.Sc. in Environmental Science
Bahir Dar University, College of Agriculture &
Environmental Sciences
