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COFFEE FARMING AS A BUSINESS (CFaaB)

FARMING FOR CASH/ INCOME SECURITY. COFFEE FARMING AS A BUSINESS (CFaaB). OBJECTIVES. EQUIPPING COFFEE FARMERS WITH: Business Management Skills Analytical Skills AIMED AT: Enabling them make sound business decisions Enabling them manage their coffee farms as business enterprises. CONTENTS.

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COFFEE FARMING AS A BUSINESS (CFaaB)

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  1. FARMING FOR CASH/ INCOME SECURITY COFFEE FARMING AS A BUSINESS(CFaaB)

  2. OBJECTIVES EQUIPPING COFFEE FARMERS WITH: • Business Management Skills • Analytical Skills AIMED AT: • Enabling them make sound business decisions • Enabling them manage their coffee farms as business enterprises

  3. CONTENTS • What is Business • Potential profits and losses when looking at current farming techniques as a business • Cost impact of credit • Profits and losses when looking at current farming techniques and improved seed • Introduction to saving for investment in production costs and benefits of savings • Quality Control: Requirements and benefits • Costs and benefits of inputs and fertilizers • Impact of changing prices/costs on profit • Common sense and diversification for risk management • Cost saving benefits of Smallholder Associations (SHAs) • Value addition in the scale of SHAs • Operational efficiencies on the scale of SHAs • Marketing in the scale of SHAs • Work planning and record keeping • Baseline survey and indicators • Business Game

  4. BENEFITS LEADS TO THE WEALTH CREATION CYCLE • Improved Farming and Business Practices • Increased efficiencies • Reduced risks • Added value • Growing for the MARKET • Saving for investments REQUIRES TRAINING and REINFORCEMENT FARM BUSINESS ORGANIZATIONS (FBOs) OR SHAs Managed SAVINGS Reinvestment

  5. CHALLENGES • Production of LOW QUALITY/QUANTITY OF COFFEE is equal to the promotion of SUSTAINABLE POVERTY • For sustainable economic development we must move relentlessly from farming for subsistence to farming for CASHandPROFITS -Therefore: • HIGH QUALITY/QUANTITY OF COFFEE can’t be separated from INCOMESECURITY • Farmers must produce the best quality coffee for the MARKETand become a greater force in the MARKETPLACE • Farmers must approach COFFEEFARMING AS A BUSINESS • The Private sector must take the lead, with government providing an enabling environment

  6. TRAINING MESSAGES • IMPROVED INPUTS AND PRACTICES LEAD TO SURPLUS PRODUCTION AND INCREASED PROFITS • EFFICIENCIES AND PROFITSINCREASE THROUGH ASSOCIATION WITH OTHER FARMERS • SAVING IS A MORE PROFITABLE INPUT THAN CREDIT • PROFITSINCREASE THROUGHBETTER MANAGEMENT AND INFORMED DECISION MAKING, PLANNING AND RECORD KEEPING

  7. UPDATES ON CFaaB • Coffee Farming as Business (CFaaB) materials were developed for the coffee farmers in the East African and Greater Horn regions. February 2003. • The CFaaB materials were pilot tested in September 2003 among 30 coffee farmers who were drawn from Muduuma Sub-county, Mpigi District. • The training was conducted at Busaanyi Farm, from September 22nd to 27th, 2003. Busaanyi Farm operates under Busaanyi Agro-Investments Limited. • The materials were modified and redesigned based on the findings in the training.

  8. PRODUCERS OF THE PRODUCT

  9. Countries that have benefited from NSBCs generic FaaB Product • UGANDA KENYA • SOMALILAND

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