Bankable Integrated Farming

Congratulations! This Entry has been selected as a semifinalist.

Bankable Integrated Farming

Makassar, IndonesiaMakassar, Indonesia
Year Founded:
2010
Organization type: 
hybrid
Project Stage:
Growth
Project Summary
Elevator Pitch

Concise Summary: Help us pitch this solution! Provide an explanation within 3-4 short sentences.

This project is to utilize farming wastes to improve smallholder farmers’ livelihoods and promote sustainable agriculture practice. Wastes like corn cobs and stalks, cocoa husks, paddy straws are fermented to be cattle feed while the dung of the cattle is for cooking fuels, lighting and fertilizer.

About Project

Problem: What problem is this project trying to address?

Most farmers in developing countries are smallholders who do not have enough access to improve their livelihoods due to lack of resources. Meanwhile, at the farm level, land productivity and quality is decreasing due to over application of chemicals while their current farming practices produce a big deal of farming wastes leading not only to environmental problems but also social and health problems thus making smallholder farming not bankable.

Solution: What is the proposed solution? Please be specific!

This project will contribute to a Nutrients for all by utilizing something considered problems. Farming wastes are formulated to be cattle feed since feed covers 70% of cow breeding/fattening costs therefore more cows raised with less resources required. When processed to be fertilizers through biogas, Cow dung will generate extra income, improve farming productivity about 15 – 20%, reduce at least half cost for chemicals, and promote healthy, natural ecosystems. Furthermore, biogas is able to reduce cooking fuel cost at least 80% and lighting cost up to 30%. This model will also make smallholder farming more bankable since reducing potential for non performing loan.
Impact: How does it Work

Example: Walk us through a specific example(s) of how this solution makes a difference; include its primary activities.

Primary implemented activities: - Biogas construction. Constructed under self financed system, the biogas has produced renewable energy and promoted healthier environment to rural family. - Biogas compost and foliar fertilizer application. The activity managed to replace chemicals and improve farm productivity. - Promoting compost and foliar fertilizer business. The activity has enhanced employment of biogas and generated extra income for rural family. - Training on silage cow feed technology. The activity has enabled smallholders to raise more cows without grazing land expansion. - Facilitating cow credit and maize credits from commercial bank. The activity managed to improve smallholder farmers’ agribusiness production

Impact: What is the impact of the work to date? Also describe the projected future impact for the coming years.

To date, the project has constructed 63 biogas digesters. Furthermore, 8 have generated income from their compost and foliar fertilizer business. More than 78 households have reduced application of chemical fertilizer (some even have farmed without chemical fertilizer) and have benefited harvest increase 15-20%. 78 households have enjoyed cooking fuel cost saving at least 80% and 10 households have saved electricity cost up to 30%. Furthermore, 57 people have been trained for fermented cow feed (silage). 4 farmer groups have been facilitated cow agribusiness credit amounting about US$ 100,000 from bank. Another impact of the project is promoting confinement of cows (not free grazing) which contributes to the reduction of greenhouse gases emission. Less pollution and better sanitation are also reported by some biogas users while some others reported to stop cutting trees for cooking fuel.
Sustainability

Financial Sustainability Plan: What is this solution’s plan to ensure financial sustainability?

My NGO (Yapensa) is a social enterprise which always looks for long-term financial viability in its activities. For sustainability, Yapensa will charge a calf to each cow credit facilitated or 1 – 2% from the total amount of credit facilitated as fee. The calves will be raised and bred to generate income. Furthermore, Yapensa will engage in distributing and marketing of the composts and foliar fertilizers for project scale-up and replication.

Marketplace: Who else is addressing the problem outlined here? How does the proposed project differ from these approaches?

Our work is different since involving banks’ financing and market facilitation to enable farmers obtaining economic benefits beyond their land ownership. Making the work bankable enables them to have not only working capital but also a business that is possibly upgraded to transform them from smallholder farmers to be entrepreneurs. Meanwhile, market facilitation is not only to shorten supply chain and to get better price but also again to encourage them to be entrepreneurs. Some organizations worsustainable agriculture by reducing the application of chemicals and promoting biogas for energy.
Team

Founding Story

Yapensa is a social enterprise whose mission is to shift smallholder men and women farmers from subsistence farming to commercial and more environmentally-friendly farming. To achieve the mission, it works both promoting inclusive and environmentally-friendly rural growth through Access to Finance (A2F), Access to Market (A2M), and Access to more environmentally-friendly Technology (A2T). For A2F, Yapensa has been facilitating maize credit to farmers since 2008 but it did not go well due to many reasons including climate change. Climate change has increased potential for non performing loan of monoculture farming. Therefore, Yapensa promotes integrated crop-livestock to mitigate climate change and to make smallholder farming more bankable
About You
Organization:
Yayasan Pensa Global Agromandiri
About You
First Name

Yapensa

Last Name

Agromandiri

About Your Organization
Organization Name

Yayasan Pensa Global Agromandiri

Organization Country

, SN, Makassar

Country where this project is creating social impact

, SN, Makassar

Has the organization received awards or honors? Please tell us about them

- British Council Indonesia Climate Generation 2010
- Finalist of kusala Swadaya (social entrepreneurship award) 2011

Nutrients For All
Where do you ensure the availability of nutrients?

Healthy environments., Nutrient-rich farming, Human wellness and vitality.

If you had greater capacity, which additional sectors would you like your solution to target - either through expansion, partnership, or thought exchange?

Healthy environments, Nutrient-rich farming, Full nourishment foods, Human wellness and vitality.

How specifically would this added capacity help you improve the quality, efficiency, or sustainability of your existing product or service?

I continuosly try to improve the quality, efficiency and sustainability of my service by welcoming new ideas and new partners since i believe that the complexity of problems regarding nutrients vitality for people and the planet requires engagement of many people on thoughts and actions in integrated way involving the above sectors. Providing access to fair and sustainable market for smallholder farmers’ products is spesific target to improve my service. Meanwhile, full nourishment food is a sector to complete the quality of my service thus requiring added capacity more.