FCCISL, Oxfam GB integrates small holder farmers to agri-processing supply-chain

The FCCISL, apex body of Sri Lankan private sector along with the Oxfam GB, organised an open forum under ‘Good collaboration practices of agri-processing business with small holder farmers for sustainable supply chain’ with the participation of leading bankers, insurers, private sector conglomerates, business units and entrepreneurs and FCCISL-CHEER project agro economists and district project officers.

Among the participatory organisations are; Ceylon Agro Industries, Hayleys Agriculture Holdings, John Keels Holdings, Cargills Ceylon, Sanasa Insurance Company, Public Bank (Malaysia), CIC Agri Business, Lanken Ceylon, Sun Agro Life Science, Sanasa Development Bank, Hatton National Bank, Bank of Ceylon, People’s Bank, Commercial Bank of Ceylon, Central Bank of Sri Lanka and Biomass Suppliers.

The forum was held at the Kingsbury Hotel recently. It is intended to explore the best practices carried by various stakeholders of the industry and to arrive at a strategy for developing sustainable supply chain collaboration for the benefit of small holder farmers.

FCCISL and Oxfam consider this as a good source of identifying the gaps that could be filled by development actors during their engagements. The information gathered at the forum is used to develop strategies to solidly integrate small holder farmers in to the supply chain of Agro-Processing Business.

The forum started off with the introduction by FCCISL/Oxfam GB-EU National Project Director Nalin Attygalle, who funded project under EU-ACAP 2009-2013, remarks by Oxfam GB EU-ACAP program Manager Roxanne Abdulali and presentations by Ceylon Agro Industries Agronomist M.Z. Caffoor, Bank of Ceylon Credit Commercial Development Executive Officer Prasanna Jayamaha, Hayleys Agriculture Holdings DGM Projects S. Mahendraraj, Wasantha Jayasena, Anoma Agro Based Company Director and FCCISL CHEER District Project Coordinator Kingsley Bernad.

The presenters shared information of the agro business and their engagement in the North and East, approaching developments of the business with small holder farmers, training and development, technical and credit facilities, buy back arrangements, farmer’s satisfaction and retention and best practices and recommendations for sustainability.  

Presenters also mentioned the number of farmers engaged throughout the districts, quantities of yield and explained the methodologies each organisation has practiced in order to find suitable farmers, develop business with them and forward contract arrangements.

The representatives appreciated the assistance provided by the FCCISL-CHEER project in reaching these target groups and the role played by FCCISL as an effective intermediary developing the relationship with the small holder farmers.

Most of the participatory organisations were of the view that without the facilitation of this nature it would have taken a long period to establish sustainable links with the small holder farmers.

The agro economy in Sri Lanka is heavily contributed by the small holder farmers. The farmers in the North and East, lack market information. At the end of the conflict new opportunities arises and the numbers of private sector companies enters the agro industry sector.

The farmers are able to sell products at a reasonable price. Companies need to engage proactively with these farmers and incorporate practices for ‘sustainability’ that will build relationships which delivers long term values along the supply chain.  

This exercise done by the FCCISL and Oxfam GB is very important event at the juncture of developing the small scale farmers and the rural economy.

The forum was organised as part of the program of the socio-economic development for conflict affected communities of the North and East of Sri Lanka, by the European Union under its EU-ACAP- 2009-2013.