Many of Ghana’s Agricultural problems are the result of poor storage infrastructure. Coupled with deficient communication systems and road networks, the country’s farmers suffer low prices during bumper harvests and hunger during the offseason. Stories of farmers in Atebubu in the Brong Ahafo Region receiving next to nothing for their yams is a microcosm of what many smallholder farms face in the country. Despite being blessed with abundant fertile lands, supply-side factors have left the country a net importer of food products and an exporter of raw, primary food products for foreign exchange.

The solutions to these problems include effective government policy on trade and agriculture, as well as the adoption of smart technologies. Trade policy is a tricky area even for governments, with the different bilateral and multilateral trade agreements that demand the opening up of the economy to foreign products. With smart technology, however, agribusiness startups can and are braving the steep challenges to bring strategic solutions to both farmers and consumers using mobile apps. The past few years have been particularly huge for agri-tech businesses in the country. Ghana is said to account for 14.7% of all agri-tech startups on the continent, ‘Agrinnovating for Africa: Exploring the African Agri-Tech Startup Ecosystem Report 2018’ said. These innovative agri-tech businesses are providing sustainable agricultural solutions in rural Ghana using simple tech innovations.

AgroCenta

Two of the biggest challenges faced by Ghanaian farmers are access to market and access to finance. It would seem that one automatically leads to the other: access to cheap finance could allow farmers to create a commercially viable distribution network to sell their produce; while access to market automatically gives them the returns they need to scale production. Reality, though, is far from being that simple. With a banking population of merely 30%, most of whose deposits are locked in low-risk, low-interest accounts, loans and investments only go to the less risky businesses. This leaves farmers whose methods are subject to the vagaries of the weather with high interest-bearing loans if they get any at all. It is this that led to the formation of AgroCenta.

AgroCenta is a digital food distribution platform that is creating shared value for businesses and smallholder farmers. Established in 2015 by Francis Obirikorang and Michael K. Ocansey, the agri-tech startup is helping to create a more sustainable business model out of a mostly informal sector using simple mobile apps. One of their interventions is the AgroTrade platform.

AgroTrade is an e-market platform where farmers sell and businesses buy market produce. The lack of good storage infrastructure means farmers have to sell everything they produce quickly, creating a glut on the market and causing a steep fall in prices. The dry season brings with it shortages in food supply and, consequently, a spike in produce prices. Because they produce nothing in this period, however, farmers hardly benefit from this price increase. The AgroTrade mobile app goes a long way to help curb this dual menace facing both farmers and consumers. By setting the price on the mobile app, the agribusiness secures farmer earnings while helping them invest in farm inputs. The agribusiness startup also has warehouses where it stores farm produce, making it possible to ensure a regular supply of produce to consumers and large-scale buyers.

The mobile app takes into consideration the low tech skills of its smallholder farmers and includes a very easy user interface for registration. With different warehouses spread across Ghana, AgroTrade allows large-scale buyers to track their inventory. The mobile app allows for efficient tracking to ensure that bad roads and poor networks don’t affect the flow of goods from the silos to the factories. So far, AgroTrade has provided services to 12,000 farmers nationwide.

To solve the other half of farmer problems, AgroCenta has built AgroPay, a financial inclusion platform targeted at smallholder farmers. The mobile app makes it easy for finance houses to on-lend and disburse funds to a large network of farmers. Due to the strict validation methods employed by AgroCenta, microfinance houses are assured of a network of low-risk smallholder farmers. This one-stop platform increases efficiency and reduces the costs involved with individual bank transfers.

The AgroPay platform integrates mobile money capabilities, thereby bringing micro-banking services to rural households. The mobile money technology makes it possible for farmers to pay for inputs, rent tractors from Trotro Tractor, and also save for a rainy day. Equally important on the supply side economics is the issue of crop insurance. AgroPay makes it possible for farmers to purchase insurance policies tailored especially for their needs.

Cowtribe

Cowtribe is a Ghanaian agri-tech startup providing on-demand and subscription-based animal vaccine services to last mile farmers. It uses a mobile app to register farmers in Ghana’s rural communities in order to connect them with veterinary services. The registration takes into account all livestock information, helping Cowtribe then manage a schedule that suits both farmers and veterinary officers.

Ghana has only 32 active veterinary doctors, a report has said. By training field agents to work as Community Livestock Workers (CLW), the agribusiness is complementing the efforts of government to secure farmer livelihoods and meat production. The startup is also digitizing the record-keeping process for livestock workers. By using a mobile app, the digital process cuts down animal surveillance and disease reporting to a mere five minutes.

While tech innovations can help breach the poverty gap especially among low-income farmers, a lot of the technologies in use today rely on mobile infrastructure that is not always available. Less then 40% of the Ghanaian population has internet access. Even in city centres, the network coverage can fluctuate depending on which telecom operator one is subscribed to. The situation is even more serious in the rural areas where Cowtribe works.

To circumvent this challenge, Cowtribe has deployed an offline version of the mobile app that requires only a USSD to request the services of a veterinary officer. To increase farmer participation, the agri-tech startup has built a network of field agents drawn from the farming communities. This local content strategy not only improves access to services but increases trust between livestock farmers and the service providers. Good communication channels will capture the problems that farmers face more than any sophisticated AI-inspired technology can. So far, the agri-tech business has served some 30,000 livestock farmers in over a hundred thousand communities.

By providing timely vaccinations, Cowtribe reckons it is helping the farmer save up to $100 for every $1 spent. In January 2018, the team partnered with Ghana National Association of Cattle Farmers, GNACAF, to extend livestock health services to a million farmers.

Farmerline

Farmerline is helping smallholder farmers access information on inputs, markets, and resources to increase productivity using mobile solutions. To help farmers plan their planting season better, Farmerline offers up to date weather information as well as accurate market data. This information is not only available in English; the agri-tech business employs voices in many African languages in order to improve access.

Farmerline’s resource centre provides information related to every stage of the farming season. There is a payment platform that provides cashless services and helps procure farm inputs. Information on solar energy and irrigation facilities (including water supply) for greenhouses are also available for vegetable growers.

Farmerline’s services to farmers aren’t limited to local market information. They offer advice on key global certification standards to help them sell their products beyond national boundaries. The information goes beyond global standards to educate farmers on sustained farming methods that will secure livelihoods. By enforcing these standards, Farmerline makes it easy for even smallholder farmers to access global markets.

But Farmerline is not only serving farmers. Much like AgroCenta, its services encompasses every part of the agricultural value chain. For agribusinesses, Farmerline helps provide a credible database of reliable farmers to ensure sustainable food supply. Because of the enforced standards, the agro-processing firms are assured of quality raw materials for their factories. The payment platform serves as an information mine for credit providers to provide credit to farmers looking to expand their business.

The Future

Agritechs can be a big boost for agricultural productivity. Despite years of attempting an industrial revolution, agriculture still contributes 27% of Ghana’s GDP while employing over 50% of the country’s labour force. Cocoa is the largest contributor to these figures, though the nation has seen a steady rise in the production of non-traditional exports (NTE) like cashew, etc. With an annual food import bill of $2.4 billion, a deliberate attempt at promoting smart farming even in city centres can bridge the gap.

Increased government interventions can help agri-tech startups unleash their full potentials. Increased internet penetration, for example, will make it easier to collate data across the country’s rural areas and help businesses make better decisions. There is only so much agribusinesses can do in this regard. Government may be able to influence telcos to invest further in cellular infrastructure even in farming communities with incentives.

And, while these agri-tech startups are helping farmers raise credit, they themselves are in need of financing. If Ghana is going to tap into the technology of self-driving tractors, for example, AgroCenta and co will need more reliable sources of credit than startup contests are giving them. Deliberate investments in these ventures may lead to the development of more tailored tech solutions across the agric value chain. Innovation hubs like MEST have been instrumental in the development of tech solutions to local problems and can benefit significantly from government and private sector support in the areas of training and access to physical infrastructure.

Smart agricultural methods will cut down waste and boost productivity. It will contribute to food security and also protect the environment. To achieve these, however, stakeholders have to put their money where their food is.