1.

0 INTRODUCTION
1.1 BACKGROUND

The Government of Malawi is implementing the Malawi Watershed Services Improvement

Project (MWASIP) with support from the World Bank. The project is designed to be
implemented over a period of six years and will target the upper and middle Shire River Basin
which includes parts of Mangochi, Balaka, Machinga, Zomba, Ntcheu, Blantyre and Neno
Districts. The project is being managed by Program Management Unit (PMU) under Ministry of
Water and Sanitation.

The Project Development Objective (PDO) is to increase the adoption of sustainable landscape
management practices and improve watershed services in targeted watershed. The project scope
consists of three related components that will contribute to achievement of the PDO as follows:
Component 1: Scaling Up Landscape Restoration. Component 2: Improving Watershed Services,
and Component 3: Technical and Project Management.

Under component1 and sub-component 1.2 of project, MWASIP is providing matching grants to
cash-constrained farming communities in the Shire River Basin to enable them to invest in
sustainable intensification of agriculture, increase productivity, add value and enhance market
access for produce for enhancing agriculture-based livelihoods to both farmer groups and Agri-
enterprises. Investment support is being provided in selected high-value chains, including
horticulture, beekeeping, livestock, and livestock products – beef, dairy, small ruminants (goats,
sheep), piggery, and poultry. The aim is to improve productivity, quality, value addition, market
access and profitability, which in turn is expected to result in job creation, increased economic
opportunities for these farming communities and increased household incomes. Support in
horticulture and livestock value chains will also contribute to improved nutritional outcomes as it
will enhance the availability of and access to diverse nutrient-dense foods such as fruits and
vegetables as well as protein-rich dairy and meat products.

Under the first call, Zomba has 1 Agri-enterprise and 12 Farmer groups, Machinga has 3 Agri-
enterprise and 5 farmer groups and lastly Ntcheu district has 3 Agri-enterprises and 4 Farmer
groups. These activities were conducted from 9th April 2024 to 12th April 2024.

The visit to Zomba was made to Achievers Youth Club, Chick Ambassdors Club, Tiyambe Bee.
In Ntcheu district visit, the team visited Tipindule poutry club. lastly the team also visited Debest
investment and Tayamba youth farmers club in Machinga. Therefore, this brief field trip report
highlights major observations and findings registered during the monitoring and supervision on
the matching grants activities.

1.2 OBJECTIVES OF THE MONITORING AND EVALUATION EXERCISE

The specific objectives of the M&E exercise were to:
 (i) To assess progress of the matching grants activities;
(ii) To understand bottlenecks encountered during implementation of the matching
grants activities;
(iii) To document and share major observation and findings; and
(iv) To make recommendations.

2.0 METHODOLOGICAL APPROACH

The following methodology was employed during the visit:
1. Inspection of the available documents e.g. receipts, invoices and bank statements.
2. Focused group discussions with matching groups.
3. Observations during a tour to the sites.

3.0 FINDINGS
3.1 ZOMBA DISTRICT
3.1.1 FARMER GROUPS
3.1.1.1 Masawi Farmer Field School:

Masawi farmer field school is located in Zomba district council and operates within the Linthipe
Catchment Management Committee (CMC) and under the Village Natural Resource
Management Committee (VNMRC) 5C8.

The farmer Group Objectives

The Masawi farmer field school is involved in egg producing business through poultry and plans
to be the leading egg producers in their community thereby increasing their profits and at the
same time improving their livelihood through this income generating business.

The Masawi farmer field school is made up of 25 members of which 5 are males and 20 are
females. The group specializes in poultry (chicken rearing) and it received a matching grant
totaling 21 million Kwacha in March, 2022.

In the proposal the group planned to use the grant to construct 2 the poultry houses, procure 800
chickens and buy 150 bags of feed. The group also planned to procure a solar system worth 1.3
million kwacha. However, the farmer group managed to construct the 2 poultry houses and also
procured the solar system, Furthermore, the farmer group procured 230 chickens instead of 800
chickens and 50 bags of feed instead of 150 bags.

The chickens started producing eggs in May, 2022 but stopped in October, 2022 and restarted
from January 2023 to January 2024. The last day of egg production for the chickens was on 7 th
January, 2024. All the grant money which was given to the group has been utilized.

Marketing: The group primarily sells eggs to vendors and community members and the eggs are
sold at 200 kwacha per egg. The group are yet to be linked with an agri-enterprise hence they
source their own markets who are mainly vendors. However, the group also indicated that when
the chickens were producing eggs they did not struggle to find the market for their produce.

The group received training in proposal writing, business development, financial management,
and procurement procedures to enhance their skills and knowledge. On top of the
aforementioned, the group also received specialized training in chicken rearing which included
feeding the chickens and vaccination of the chickens.

Challenges and Constraints

 Devaluation of kwacha: Devaluation of kwacha affected the prices of the items they
needed to construct the 2 poultry houses and also procure the solar system. As a result
they reduced the number of chickens and bags of feed.

 Low production of eggs: The eggs production of the chickens is low as there have been
periods whereby the chickens did not produce any eggs. This problem has persisted
despite following advise given by veterinary workers from Zomba District Council.

 High prices of chicken feed: The high prices of chicken feed has necessitated that the
farmers should start using their own resources to procure the feed through contributions
as the chickens are not producing eggs hence no sells.

Objective Progress: the aim of the group was to improve their livelihood through sells of eggs
produced by the chickens. To date the sells have been minimal as the chickens have not been
producing eggs most of the time. The sells made are amounting to MK4,550,000. However,
about MK4, 292,000 has already gone towards expenses which means the farmer group is
remaining with MK258,000 as balance. However, it is worth to note that the farmer group has
been procuring chicken feed on credit for some time and they are yet to settle this bill. However,
the group expressed their interest to persevere despite the challenges being faced now.

Observations

 The group has made significant progress in establishing their poultry business despite
challenges as most of the chickens are alive and being cared after.

 The farmer group continues to engage extension workers from the council on how to
solve the low egg production challenge and they are implementing the advise they are
receiving from the experts (District council stuff).

 The change of chicken feed driven by the high prices of feed may also be the contributing
factor to the low eggs production being experienced by the group. The weather might
also be the contributing factor as the area where the group is located has experienced hot
weather this year.

Other Project Related Activities:

The Masawi farmer field school members are also involved in the MWASIP works in
their community. This includes planting trees, establishing woodlots, implementing
climate smart agriculture farming methods and covering up the galleys within their
community.

Conclusion and Recommendations

 Provide the group with training on how to produce their own chicken feed in order to
reduce the cost incurred in procuring chicken.

 Explore potential partnerships with agricultural enterprises or other buyers who offer
streamlined purchasing processes.

3.1.1.2 Mwayiwathu Beekeeking:

Mwayiwathu beekeeping is a farmer group which is located in Zomba district council under the
traditional authority Nkapita. It operates within the Linthipe Catchment Management Committee
(CMC) and its VNRMC is 4D4.
The farmer Group Objectives

Mwayiwathu beekeeping aims to improve the livelihood for all its members more especially the
women. Mwayiwathu beekeeping has 31 members and 18 of which are females and 13 members
are male. The group specializes in beekeeping and received a matching grant totaling 5,805,000
Kwacha in December 2022.

In the proposal, the farmer group planed to procure 15 beehives with the grant but only managed
to procure 10 beehives. This was the case because the group used a supplier who was a bit
expensive because he orders the beehives from China since the local supplier of the beehives was
not licensed as someone who follows environmental protection guidelines when making the
beehives. Furthermore, the group also planned to procure buckets and bottles to be used to
package the honey.

Beehives were set up, and honey harvesting commenced in July 2023. However, the harvest was
negligible because the farmer group members delayed in harvesting the honey. This happened
because of lack of training on beekeeping among the farmer group members. The small amount
of honey which was harvested was sold at MK100 per table spoon and total sells made amounted
to MK30,000.

Marketing: The only sells the group has made so far was the negligible honey they harvested
which amounted to MK30,000 after sells. The honey was sold at retail to the community
members at 100 per table spoon. Furthermore, it was also highlighted that the group is yet to be
linked to any agri-enterprise hence they plan to be selling their honey to vendors in the future.

The group received training in proposal writing, business development, financial management,
and procurement procedures to enhance their skills and knowledge. The group has also now been
trained in beekeeping hence they expect a good honey harvest when next they do the harvesting.

Challenges and Constraints

 Lack of training in beekeeping: Lack of training in beekeeping affected their honey

harvest as they harvested their honey after the bees have used it up hence the harvest was
negligible.
  Leadership roles within the group: There were some confusions on the roles of
chairman, vice chairman, tressure and secretary within the group. Therefore, they
requested more leadership training for the group.

 High prices of imported beehives: The high prices attached to the imported beehives
from China reduced the number of beehives they wanted to procure from 15 to 10 after
receiving the grant.

Objective Progress: While the group's objective is to increase honey production and profits to
improve livelihoods, profitability has not yet been achieved. However, they remain optimistic
about future success.

Observations

 The group has made significant progress in establishing their beekeeping project despite
challenges.

 The initial low honey quality and quantity on harvest highlights the need for continued
training on proper harvesting techniques.

 Establishing a link with a reliable buyer who adheres to proper procedures would benefit
the group's long-term success.

Other Project Related Activities:

Mwayiwathu beekeeping members are also involved in the MWASIP works in their community.
This includes planting trees, establishing woodlots, and participating in the clearing and
maintenance of forests within their communities.

conclusion

 Provide the group with additional training on leadership skills in order for them to have
better understanding of their roles and functions.

 Explore potential partnerships with agricultural enterprises or other buyers who offer
streamlined purchasing processes.
3.1.1.3 Achievers Youth Club:

Achievers Youth Club, situated in Zomba district council under the traditional authority Nkapita,
operates within the Namitembo Catchment Management Committee (CMC) and its VNRMC
designated as 4C9.

The farmer Group Objectives

The Achievers Youth Club aims to become a leading honey producer and supplier in their
community and surrounding areas. This will increase their profits, improve livelihoods, and
generate household income.

The Achievers Youth Club comprises 35 members, with a gender distribution of 20 males and 15
females. The group specializes in beekeeping and received a matching grant totaling 9,400,000
Kwacha in October 2022.

The group's project aimed to expand their beekeeping activities. Although their proposal
outlined the purchase of 40 beehives, a processing machine, 15 bee suits, 10 kgs of tree
seedlings, and 5000 bottles, challenges such as devaluation affected their procurement plans.
They managed to acquire 20 beehives, 3 bee suits, 10 kgs of tree seedlings, and 32 branded
bottles. However, 5 beehives were damaged by cyclone Freddy.

Beehives were set up, and bees entered them in February 2023. Honey harvesting commenced in
June 2023, resulting in a total harvest of 24 kgs. Of this, 15 kgs were sold, while the remaining 9
kgs were shared among members due to low quality. Sales generated 237,000 Kwacha, which
was reinvested in fish farming, soya, beans, and tomatoes.

Marketing: The group primarily sells honey to vendors and community members. While they
attempted to sell to an agricultural enterprise, the enterprise's improper procurement procedures
hindered the sale. This lack of a formal buyer relationship limits the group's marketing options.

The group received training in proposal writing, business development, financial management,
and procurement procedures to enhance their skills and knowledge.

Challenges and Constraints

  Grant Disbursement Delay: Late disbursement, coupled with devaluation, led to
inflation and reduced purchasing power for project materials.

 Cyclone Damage: Five beehives were damaged by Cyclone Freddy.

 Low Honey Quality: Initial honey harvest suffered from low quality due to improper
harvesting techniques. This resulted in less honey being sold and some being shared
among members for consumption.

 Ant Infestation: The presence of ants in the beehives disrupted bee activity and
contributed to lower honey production.

Objective Progress: While the group's objective is to increase honey production and profits to
improve livelihoods, profitability has not yet been achieved. However, they remain optimistic
about future success.

Observations

 The group has made significant progress in establishing their beekeeping project despite
challenges.

 The initial low honey quality highlights the need for continued training on proper
harvesting techniques.

 Establishing a link with a reliable buyer who adheres to proper procedures would benefit
the group's long-term success.

 Ant infestation poses a significant threat to honey production and requires further
investigation and mitigation strategies.

Other Project Related Activities:

The Achievers Youth Club members are involved in the MWASIP works in their
community. This includes planting trees, establishing woodlots, and participating in the
clearing and maintenance of forests within their communities.

conclusion
  Provide the group with additional training on proper honey harvesting techniques to
improve quality and marketability.

 Explore potential partnerships with agricultural enterprises or other buyers who offer
streamlined purchasing processes.

3.1.1.4 Chick Ambassadors

Chick Ambassadors, situated in Zomba district council under Traditional Authority Nkapita,
operates within the Mgonanyani Catchment Management Committee (CMC) and its VNRMC is
designated as 2D1.

The Farmer Group Objectives

The Chick Ambassadors' primary objective is to establish a sustainable poultry farm, specializing
in egg production, to generate income and improve livelihoods for its members.

Group Details and Grant

Chick Ambassadors is a group of 13 members, with the gender breakdown not provided during
the visit. They initially requested a matching grant of 12,200,000 Kwacha but were awarded
9,200,000 Kwacha due to budget constraints.

Project Activities and Achievements

The group used the grant to construct a chicken kraal, purchase chicken feed, chicks, and solar
panels. They began stocking the chickens in December 2023 and started selling eggs in January
2024.

 Egg Sales: They have generated a total of 486,000 Kwacha in egg sales as of April 9,
2024. The average selling price is 200 Kwacha per egg and 5,000 Kwacha per tray. Their
egg collection has ranged between a high of 72 eggs and a low of 32 eggs per day.

 Manure Sales: They have sold two bags of manure for 5,000 Kwacha each and have 8
bags remaining for planned distribution among members.

Challenges
  Low Egg Production: Chick Ambassadors is facing a challenge of lower than expected
egg production, leading to higher feed costs. Currently, all sales income is used to
purchase feed, preventing them from receiving a financial benefit yet.

 Financial Record Keeping: While records are available, they need improvement to
comply with basic accounting principles. Bank statements only reflect the initial grant
and not deposited sales income.

Other Project Related Activities

The Chick Ambassadors members are involved in MWASIP projects within their community,
including planting trees in their homes, participating in community reforestation activities, and
planting bananas along the riverbanks.

conclusion

 Address low egg production to improve profitability.

 Improve financial record keeping practices for better income and expenditure tracking.

 Deposit sales income into the bank account as instructed.

 Explore potential connections with the MWASIP agricultural enterprise for future sales
opportunities.

3.1.1.5 Tiyambe Youth Club

Tiyambe Youth Club, situated in Zomba district council under Traditional Authority Nkapita,
operates within the Namitembo Catchment Management Committee (CMC) and its VNRMC is
designated as 2D5.

The Farmer Group Objectives

The Tiyambe Youth Club aims to become a prominent honey producer and supplier in their
community and surrounding areas. This will increase their profits, improve livelihoods, and
generate household income.

Group Details and Grant

The group consists of 22 members, with a gender breakdown of 5 males and 17 females.
Tiyambe Youth Club received a matching grant of 12,050,000 Kwacha in December 2022
(originally requested 27,000,000 Kwacha).

Project Activities and Achievements

Due to devaluation causing price increases, the group couldn't purchase all materials according to
their proposal. They used the grant to:

 Purchase 45 beehives (instead of 100)

 Purchase 5 bee suits (instead of 25)

 Purchase 5 gunboots

 Purchase 5kgs of bee wax (discarded due to lack of knowledge on usage)

 Purchase 6 bee brushes

 Purchase 1,000 plastic bottles (instead of 5,000)

 Purchase a processing machine (not the desired quality)

Beehives were set up in April 2023, and honey harvesting began in June 2023.

 Honey Harvested: 28kg

 Honey Processed: 24 x 250ml bottles & 32 x 500ml bottles

 Total Honey Sales: 375,000 Kwacha (average price: 4,000-5,000 Kwacha per bottle)

Challenges

 Low Honey Production: The group has harvested honey only once so far, and they
haven't been able to achieve the planned twice-yearly harvest. They reported a lack of
honey in the hives and some bees leaving the hives at some point.

 Discarded Bee Wax: Due to a lack of knowledge on its use, they threw away the wax
obtained during the initial honey harvest.

 Limited Sales Channels: Honey is sold primarily to vendors and community members
due to a lack of connection with the agricultural enterprise under MWASIP.
  Late Grant Disbursement and Devaluation: The late disbursement of the grant
coincided with devaluation, leading to inflation and reduced purchasing power, affecting
the quantity and quality of materials they could acquire.

 Financial Record Keeping: Records are available but need improvement for proper
accounting. Bank statements only reflect the initial grant and not deposited sales income.

Training Received

The group participated in training sessions on:

 Proposal writing

 Business development

 Financial management

 Procurement procedures

Physical Progress

Physical project progress is 95% complete. This includes:

 Construction of a storage warehouse

 Acquisition of beehives (45 purchased)

 Set-up and establishment of the apiary (beehive location)

Other Project Related Activities

The Tiyambe Youth Club members are involved in MWASIP projects within their community,
including planting trees in their homes, participating in community reforestation activities, and
all members have received CFC payments.

Observations

 The group has not yet achieved its objective of increased profits and shared benefits due
to low production.

conclusion
  Investigate methods to improve honey production and address the reasons behind low
yields and beehive abandonment.

 Explore ways to utilize bee wax for additional income generation.

 Establish a link with the MWASIP agricultural enterprise for potentially larger sales
opportunities.

 Improve financial record keeping practices for better income and expenditure tracking.

 Consider training on bee wax processing and value addition to maximize product
utilization.

3.2 MACHINGA DISTRICT

3.2.1 AGRI-ENTERPRISES

3.2.1.1 Debest Investments

Introduction

Debest Investments, a peanut butter processing and packaging operation located in Liwonde
Town, Machinga District Council under Traditional Authority Sitola, is a sole proprietorship
established in November 2022.

Project Goals and Achievements

Debest Investments' primary objective is to establish a sustainable peanut butter processing and
packaging business. They have made significant progress towards this goal:

 Equipment Acquisition: Using the grant funds, they successfully purchased essential
equipment including a roasting machine, peeling machine, finishing machine, laptop, and
printer.

 Production Launch: In September 2023, they successfully initiated peanut butter

production.

 Sales Performance: As of today, they have processed 783 kg of peanut butter, with 733
kg sold (average selling price: 4,000 Kwacha/kg) and 50 kg remaining in stock. This
translates to a total revenue of 2,551,000 Kwacha.
Project Implementation

The project has achieved a 95% completion rate on the physical aspects. This includes:

 Establishment of the processing facility

 Acquisition of all necessary equipment (mentioned above)

Challenges and Considerations

While Debest Investments has made significant strides, several challenges:

 Devaluation: The increase in equipment costs due to devaluation limited their

advertising and promotion budget, potentially hindering market penetration. This resulted
in a lower-than-anticipated reach for their product.

 Low-Quality Groundnuts: The quality of unshelled groundnuts purchased from partner

farmer groups (Tandila and Chitokota) has been lower than anticipated, impacting peanut
butter yield. Collaboration with these groups to improve groundnut quality is crucial.

 Financial Management: Debest Investments needs to improve financial record keeping

practices. Sales revenue is currently deposited into a separate business account, making it
difficult to track income specifically related to the peanut butter enterprise. Additionally,
they lack a formal work plan to guide future operations. Implementing proper financial
practices and developing a work plan will be essential for long-term success.

Training and Support

Debest Investments received training on financial management and procurement procedures.

However, additional training on proposal writing, business management, and enterprise-specific
topics would be beneficial. They have also not had recent visits from the project business
consultant, which could provide valuable guidance. Encouraging more frequent visits would be
advantageous.

Project-Related Activities

Debest Investments has established linkages with two farmer groups:

 Tandila Farmer Group: Supplied 2,550 kg of unshelled groundnuts (low quality)

  Chitokota Farmer Group: Supplied 575 kg of unshelled groundnuts (low quality)

Future Plans

Debest Investments aims to expand sales into surrounding districts.

Conclusion

 Improve financial record keeping practices and deposit sales revenue into the designated
grant account.

 Develop a work plan outlining future operations and goals.

 Request additional training on proposal writing, business management, and enterprise-

specific topics.

 Encourage more frequent visits from the project business consultant.

 Collaborate with partner farmer groups to improve the quality of groundnuts supplied.

 Develop a marketing strategy to expand sales into new markets.

 Consider utilizing the separate business account for tracking peanut butter-related income
and expenses to demonstrate financial transparency (if this account is maintained).

3.2.1.2 HM Traders and Suppliers

Introduction

HM Traders and Suppliers is located in Mtumbwi, Liwonde in the area of Traditional Authority
Sitolo. The business is a sole proprietorship and plans to process and package rice. The agri-
enterprise was given a grant of MK25,410,000 against the proposed amount of MK36,300,000.
The agri-enterprise has provided employment to 11 workers of which 5 are male and 6 female.

Project Goals and Achievements

The goal of HM Traders and Suppliers is to process and package rice for sell to other consumers
and supermarkets. Therefore, the agri-enterprise planned to procure the rice processing machine
and also construct the factory and warehouse. To date, the rice processing machine was bought at
MK12,200,000 and construction of the warehouse and factory is still in progress.
Project Implementation

The project has achieved 80% completion rate on the physical aspects. This includes:

 Procurement of the rice processing machine

 Construction of the warehouse and factory which is still in progress

 Visitation of the farmer groups to facilitate linkage with HM Traders and Suppliers as an
Agri-enterprise. This exercise was done and it costed MK450,000 in total.

Challenges and Considerations

While HM Traders and Suppliers has made significant strides, several challenges were observed
as outlined below:

 Devaluation: The increase in equipment costs due to devaluation has affected the
progress on the construction of the warehouse and the factory. This implies that the grant
has been completely utilized but the work is yet to be completed. Therefore, the Agri-
enterprise has requested that he should locate third party investors to fund the remaining
construction works and permission has been granted by MWASIP.

 The grant applicant understated the cost of the project: During the time of grant
application the applicant understated the grant application because he was of the view
that the grant amount to be quoted in the application was the amount he was seeking from
MWASIP hence, the amount in the application did not include his contribution.
Furthermore, the applicant forgot some things when he was calculating the grant amount
and this include water and electricity.

 Lack of farmer groups producing rice: There are no farmer groups which produce rice
in place hence there are challenges in the linkage between this Agri-enterprise and the
farmer groups located in Machinga who were successful in receiving the grant.

Training and Support

HM Traders and Suppliers received an orientation on proposal writing, financial management

and procurement procedures. Furthermore, the Agri-enterprise has only once met the business
consultant who was engaged by the project. However, he also indicated that workers from the
council have been excellent in providing valuable guidance and support.

Project-Related Activities

HM Traders and Suppliers is not linked to any farmer group as there was no farmer group in
place which was producing rice. Furthermore, the Agri-enterprise does not provide trees to the
farmer groups for planting.

Future Plans

HM Traders and Suppliers plans to engage other investors in their business in order to complete
construction of the warehouse and the factory so that the factory is fully operational. However,
the investors are yet to be identified but the project has given permission for the Agri-enterprise
to continue engaging and sourcing potential investors.

Conclusion

 The need to identify other potential investors or projects to assist the agri-enterprise to
complete the construction works and start rice processing and packaging.

 Encourage more frequent visits from the project business consultant.

3.2.2 FARMER GROUPS

3.2.2.1 Talandila Goat Club

Introduction

The farmer group is located in the area of Traditional Authotity Nkula and Village Group
Headman Liwundi in Machinga District. Under the project the farmer group operates in
Lisangala catchment under VNRMC 2A2. The farmer group has 30 members 23 of which are
females and 7 are males. The group applied for a grant to do farming and also rear goats in order
to improve their livelihood. The group received the grant from the project amounting to
MK7,560,000 in December, 2022 and the group in their proposal planned to use the grant to
procure goats and groundnuts and soya seeds.
Achievement

Talandila goat club used MK5,368,000 to procure 123 goats and distributed the goats among the
members. Each member received 4 goats of which 1 goat is male and the other 3 are female
goats. In the proposal they planned that each member should receive 5 goats but this was not
achieved because of devaluation which increased the prices for the goats. The group also used
MK1,939,600 to procure soya and groundnuts seeds which they planted using the smart
agriculture methods encouraged by the MWASIP project. In 2022/23 rain season they planted
the soya seeds and in 2023/24 they have planted the groundnuts seeds. To date the group has not
made any sells on their produce from the farming and also they have not sold any goats.
However, the goats have multiplied they now have 28 young goats and 40 female goats are
pregnant. However, the group has also lost 17 goats which have died since the goats were
procured.

Progress and Training

The farmer group meet on regular basis on every Tuesday and they are happy with the progress
as the goats are multiplying. However, as the group they have decided to make their sells at the
same time in the future as a group and not as individuals. The group also received training on
leadership and goat farming which included construction of khola to house the goats.
Furthermore, the group was also trained on procurement processes and business management.

Linkage with Agri-enterprise and Grievances

As the group has not yet started selling the goats, the group has not been linked to any agri-
business. Furthermore, there are no grievances reported within the group, however, they have a
discipline committee to handle any grievances reported by the members.

Other MWASIP Works

The group is also involved in other MWASIP works as all the members of the group are also
members of VNRMC. The works they participate in include forest regeneration through planting
of trees and taking care of the nursery. The group also practice smart agriculture methods in their
farming like making check dams and processing manure to be used as fertilizer.

Challenges
Devaluation of Kwacha: The devaluation of kwacha affected the prices of goats which means
the group had to scale down on the number of goats they can procure from 150 goats to only 123
goats.

Low quality of goats: In the beginning before the council was involved the supplier of the goats
delivered goats of low quality which was what contributed to the 17 goats dying after delivery.
This was however addressed after the involvement of the District Council which ensured that the
improvement of the quality of the goats delivered by the supplier.

3.2.2.2 Tayamba Youth Farmers Club

The Tayamba Youth Farmers Club operates within Machinga district council under the
traditional authority Nkula. The club is affiliated with Lisanjale CMC and 2A2 VNRMC,
specializing in piggery. Currently, it consists of 24 members, comprising 14 males and 10
females, with 16 youths actively engaged. Initially, the group proposed a budget of 23,494,000
kwacha for various investments, including the acquisition of 85 pigs, construction of a 19m by
12m kraal, refrigeration system, weighing scale, 117kg of sweet potato seed, and 170kg of soya
beans seed.

However, due to currency devaluation, adjustments were necessary. Consequently, they

purchased 136kg of soya beans, 117kg of sweet potato, and 55 pigs. The constructed kraal
measures 10.5m by 9m, equipped with a fridge, storage facility, and weighing scale.
Additionally, 80 bags of 25kg feed were procured. The grant was disbursed in November 2022,
with the completion of construction and purchases by June 2023, marking the commencement of
pig rearing activities. Progress-wise, all planned activities are completed, including leadership,
business development, and financial training.

To date, the group has generated sales amounting to 394,000 kwacha from the sale of 9 pigs,
yielding 131kg of meat, some distributed among members. The current selling price per
kilogram is 3000 kwacha. Presently, 16 pigs are housed in the kraal, while 7 are in members'
kraals, with 12 reported deaths. Furthermore, the group earned 50,000 kwacha from manure
sales, with 10 bags sold at 5,000 kwacha each, and the remainder shared among members.
Although they primarily sell products to vendors, connections with agric-enterprises like HM
Trader and Debs are established, awaiting formal transactions. Proceeds from sales are utilized
for feed, security services, and water connections. A balance of 64,000 kwacha remains in a
separate account, as advised.

Despite maintaining records, improvements are needed in documentation quality. In community

activities, the group contributes to tree planting initiatives and receives ongoing training. The
primary challenge encountered is currency devaluation, impacting budget allocation.

3.3 NTCHEU DISTRICT

3.3.1 FARMER GROUPS

3.3.1.1 Tipindule Poultry Club

The Tipindule Poultry Club, doubling as a farmer field school, operates within Ntcheu district
council under traditional authority Phambala. Located at Likudzi CMC and 4D2 VNHMCR, the
club comprises 23 members, consisting of 6 males, 17 females, and 6 youths, focusing on poultry
farming. Initially awarded a grant of 20,040,000 kwacha, investments were made in kraal
construction, purchase of chicken feed, chicks, and solar panels. Chicken stocking commenced in
June 2023, with egg-laying anticipated to begin two weeks after purchase, as per the acquisition
of point-of-laying chickens. However, delays occurred in egg production, necessitating
additional feed purchases and leading to borrowed funds.

Despite initially planning for 3000 chickens, currency devaluation led to a reduced starting stock
of 400 chickens, with 217 remaining, 128 deceased, and 55 sold. Total sales of eggs and
chickens amounted to 3,060,000 and 294,000 kwacha, respectively, with current cash reserves of
231,000 kwacha. Manure produced was distributed among members, with 60 bags shared, each
valued at 2,500 kwacha. Engagements with agric-enterprises were disrupted due to decreased
egg production.

Weekly meetings are held, but record-keeping requires improvement to accurately monitor
finances. Training received covers poultry value chain, business, procurement, and finance.
Challenges encountered include currency devaluation and declining egg production, exacerbated
by feed shortages. Notably, physical project completion stands at 100%, fulfilling all proposed
objectives.
3.3.2 AGRI-ENTERPRISES

3.3.2.1 Mpandale Executive Lodge - AGRI-ENTERPRISE

Introduction

Mpandale Executive Lodge is located in Ntcheu district in the area of Traditional Authority
Kwataine. The business is a sole proprietorship and plans to process maize into maize flour. The
agri-enterprise was given a grant of MK32,000,000 is provided employment to 20 workers of
which 15 are male and 5 are female.

Project Goals

The goal of Mpandale Executive Lodge is to process maize into maize flour and also rear
chickens which could be supplied to other consumers. Therefore, the agri-enterprise planned to
procure the maize flour processing machines and also construct the maize mill and the poultry
house. Furthermore, the Agri-business also proposed to construct the cold room to preserve
chicken meat and also procure a motor vehicle (3 tones lorry).

Project Implementation and Progress

The project has achieved 70% completion rate on the physical aspects. This Agri-enterprise has
achieved the following;

 The agri-business has procured 2 maize flour processing machines. 1 is for kugaya and
the other for kukonola. The maize flour processing machines were planned to be bought
at MK2.5 million each but they have been procured at MK3.5 million each.

 Construction of the maize mill. The construction of the maize mill has been completed.

 Construction of a Poultry house. The agri-enterprise changed this to instead construct a

pig house as she has decided to change her business from poultry to pig rearing.
However, it is worth to note that the pig house was constructed using burnt bricks.

 Procurement of a motor vehicle (3 tones lorry). This was changed to a 2 tones lorry due
to the devaluation the country has faced. The lorry has been bought.
Linkages with Farmer groups

The Agri-enterprise has been linked to 3 farmer groups to date;

 Likudzi Irrigation
 Manjawila chicken eggs group

Furthermore, the Agri-enterprise indicated that that they have only once purchased Irish potatoes
from Kudzi Irrigation as they are supposed to be informed in good ample time on when the
harvest will take place so that they can make necessary logistics arrangements. In addition, the
Agri-enterprise also complained that the eggs produced by the chicken eggs group are small in
size and that she was only contacted once by the farmer group to offer her the eggs in order for
her to procure from them.

Challenges and Considerations

While Mpandale executive lodge has made significant strides, several challenges were flagged
out as indicated below:

 Devaluation: The increase in equipment costs due to devaluation has affected the
implementation of the activities. For example the type of motor vehicle to be purchased
was downgraded from the 3 tones lorry to a 2 tones lorry.

 Breakdown in communication between the farmer groups and the Agri-

enterprise: The Agri-enterprise is not off loading the produce from the farmer groups as
an available market to the farmer groups. This is mainly due to communication
breakdown as the farmer groups are not informing the Agri-enterprise when they have the
produce and are rather opting to sell to other markets.

 Not following environment friendly construction methods: The Agri-enterprise is

used burnt bricks to construct the fence and the pig house on the business location
premises which is against the project guidelines.
  Challenges in book keeping and records management: The Agri-enterprise does not
have records at hand and rather depends on the District Council for records and book
keeping.

Training and Support

Mpandake Executive Lodge received received on proposal writing, financial management and
procurement procedures. However, the Agri-enterprise also requested for book keeping training
which she indicated is always a major challenge for her. Furthermore, the Agri-enterprise also
indicated that she has never met the business consultant who was engaged by the project but
workers from the district council have been excellent in providing valuable guidance and
support.

Future Plans

The Agri-enterprise plans to install electricity to the maize mill and install the maize flour
processing machines which have already been procured. The Agri-enterprise has already
obtained the quotation from ESCOM on the electricity connection.

Conclusion

 The progress of implementation for the Agri-enterprise is behind schedule as they are yet
to install the maize flour processing machine even though they have already been
procured. Therefore, this means that the Agri-enterprise is yet to be operational in the
business they proposed in their grant application even after they have completely utilized
the whole amount of the grant.

 Encourage more frequent visits from the project business consultant.

3.3.2.2 Momerata Investments - AGRI-ENTERPRISE

Introduction

Momerata Investments is located in Ntcheu district in the area of Traditional Authority

Kwataine. The business is a sole proprietorship and plans to process maize into maize flour. The
agri-enterprise was given a grant of MK36,000,000 even though they requested for the grant
MK50,000,000 in their proposal. The Agri-enterprise provides employment to 7 workers of
which 2 are male and 5 are female.

Project Goals

The goal of Momerata Investments is to process maize into maize flour which could then be used
to supply other consumers. Therefore, the agri-enterprise planned to procure maize flour
processing machines, procure a motor vehicle and construct the maize mill. In addition, the Agri-
business also proposed to renovate her restaurant by buying new furniture, and equipment like
ice cream maker, cookers, fridges, Television screen and burn marine.

Project Implementation and Progress

The project has achieved 30% completion rate on the physical aspects. This Agri-enterprise has
achieved the following;

 The agri-enterprise has managed to renovate the restaurant by buying the burn marine, 2
fridges, 2 cookers, ice cream maker, 1 television screen and the furniture. In total the
Agri-enterprise utilized MK9,960,000 to renovate the restaurant.

 The Agri-enterprise has failed to construct the maize mill because of devaluation which
has affected the prices of equipment. Therefore, the Agri-enterprise has obtained
permission from the council to renovate the old maize mill which was already
constructed on the premises they planned to build the new maize mill. However, the
renovation works have not yet started as the agri-enterprise is waiting to be paid on her
other contract she has with the Malawi Defense Force to supply maize flour before she
starts renovating the building.

 Procurement of a motor vehicle (4 tones lorry): The Agri-enterprise is yet to procure the
motor vehicle as there were challenges with the supplier who failed to deliver the motor
vehicle despite being paid to do so. The supplier had his international account frozen
hence he was not able to complete the payment of the motor vehicle which led to the
motor vehicle being re-sold in Tanzania. The motor vehicle was budgeted at
MK20,000,000 but the supplier was paid MK17,000,000. However the prices have hiked
since the time the payment was made due to devaluation.
  Procurement of 2 maize flour processing machines. This is also yet to be done as the
Agri-enterprise is waiting for the above said payment from MDF to also procure this
equipment. The 2 maize flour processing machines were budgeted at MK 5 million but to
date the actual cost is MK 7 million.

Linkages with Farmer groups

The Agri-enterprise has been linked to 3 farmer groups to date;

 Likudzi Irrigation
 Likudzi Poultry
 Kankhume Poultry

Furthermore, the Agri-enterprise indicated that that they have bought 22 bags of Irish potatoes
from Likudzi Irrigation. However, they are supplied with the eggs from the farmer groups on a
regular basis.

Challenges and Considerations

While Memorata Investments has made significant strides, several challenges were highlighted
as listed below:

 Devaluation: The increase in equipment costs due to devaluation has affected the
implementation of activities. For example, the agri-enterprise has abandoned plans to
construct a new maize mill because of the devaluation as it will cost more to do this than
at the time of the proposal.

 Noncompliance of the motor vehicle supplier: The motor vehicle supplier failed to
supply the motor vehicle even after being paid because his international account was
frozen which led to the procured motor vehicle being re-sold. However, the motor vehicle
supplier has promised to pay back the money but due to devaluation the price of the
motor vehicle has probably gone up.

Training and Support

Memorata Investments received training on proposal writing, financial management,
procurement procedures and book keeping. Furthermore, the Agri-enterprise also indicated that
she has never met the business consultant who was engaged by the project but workers from the
district council have been excellent in providing valuable guidance and support.

Future Plans

The Agri-enterprise plans to complete the maize mill project in the next 3 months after she
receives payment from MDF on the supply of maize flour. Furthermore, she expects to proceed
with the procurement of the motor vehicle as soon as the funds for procuring the motor vehicle
are returned.

Conclusion

 The progress of implementation for the Agri-enterprise is behind schedule as they are yet
to procure the 2 maize flour processing machines and also renovate the maize mill.
Furthermore, the Agri-enterprise is also yet to procure the motor vehicle even though the
grant money has already been utilized. Therefore, this means that the Agri-enterprise is
yet to be operational in the business they proposed in their grant application except for
the restaurant which is completely renovated.

 Encourage more frequent visits from the project business consultant.

3.3.2.3 Mpamazi Farm

Introduction

Mpamazi farm is located in Ntcheu district in the area of Traditional Authority Kwataine. The
business is a sole proprietorship and plans to process meat and daily products and supply them to
consumers. The agri-enterprise was given a grant of MK25,000,000 even though they requested
for the grant MK50,000,000 in their proposal. The Agri-enterprise provides employment to 11
workers which are all males.

Project Goals
The goal of Mpambazi farm is to process meat products and daily products which could be
supplied to all thereby providing a ready market to the farmer groups and also create
employment at the same time. Therefore, the agri-enterprise planned to construct a butchery and
cold room and also procure cattle and a motor vehicle using the grant. However, due to the
devaluation and underestimation of the proposed grant amount the plan was revised and the
procurement of the motor procure a motor vehicle was dropped. Therefore, the agri-enterprise
will only construct the butchery and the cold room and also procure cattle using the grant money.

Project Implementation and Progress

The project has achieved 55% completion rate on the physical aspects. This Agri-enterprise has
achieved the following;

 The agri-enterprise has managed to procure 52 cattles using the grant money at an
average of MK300,000 per cow. Furthermore, construction of the cold room and
butchery is in progress. However, the grant money has completely been utilized hence the
Agri-enterprise is completing the construction using his own resources. Therefore, there
is no estimated timeline to completion as progress on the construction is depending on the
cash flow of the agri-enterprise. It is also worth to note that the cows were not supplied
by any farmer group under MWASIP as there are no farmer groups doing cattle rearing
under MWASIP. However, the cattle were purchased in the same areas where MWASIP
is implementing its project activities.

Linkages with Farmer groups

The Agri-enterprise has been linked to 3 farmer groups to date;

 Likudzi Poultry
 Kankhume Poultry

The Agri-enterprise indicated that they purchase eggs from the farmer groups on regular basis as
they also run a school and the eggs are used at the school.

Challenges and Considerations

While Mpambazi farm has made significant strides, several challenges were highlighted as listed
below:

 Devaluation: The increase in equipment costs due to devaluation has affected the
implementation of activities. The devaluation has affected the prices of the equipment to
be used in the construction of the cold room and butchery.

 An underestimation of the requested grant money: The agri-enterprise underestimated

the requested grant money as he did not understood that his contribution will be deducted
from the proposed grant amount. He thought that all the grant amount proposed in the
proposal will be provided as grant without deduction of his contribution. This it turn
affected implementation as the grant received was much less than the amount he needed
to implement his proposal hence procurement of motor vehicle was dropped from his
proposal.

Training and Support

Mpambazi farm received training on proposal writing, financial management, procurement

procedures and book keeping. Furthermore, the Agri-enterprise also indicated that she has never
met the business consultant who was engaged by the project but workers from the district council
have been excellent in providing valuable guidance and support.

Future Plans

The Agri-enterprise plans to complete the construction of the cold room and the butchery though
he indicated that he still has a long way to go and the prices of equipment keep on rising every
day. Therefore, he requested that he be considered for another grant if there is opportunity in
order for him to complete the project.

However, he also indicated that when the butchery is fully operational he plans to add value to
his mean by processing sausages and also producing ice cream and yogurt from the milk of
cows.

OTHER MWASIP WORKS

The agri-enterprise indicated that he has a small forest where he plants trees on yearly basis. Last
year he planted 1,000,000 trees. Furthermore, he also provides tree seedings to farmers for them
to plant in their respective areas.

Conclusion

 The progress of implementation for the Agri-enterprise is behind schedule as they are yet
to complete construction of the cold room and the butchery even though the whole grant
has been completely utilized. At the moment the construction is now dependent on the
cash flow of the agri-enterprise which means completion date is not known at the
moment.

 Encourage more frequent visits from the project business consultant.