A value-chain approach to economic development

In his presentation, Mr. Philip Charlesworth, Agricultural 

Program Director, iDE Cambodia, outlined challenges before small farmers in Cambodia who lack adequate access to agricultural inputs, irrigation, agronomic know-how and market information. iDE Cambodia is addressing these gaps through a commercially viable model focused on delivering quality agricultural inputs and know-how to smallholders.

The NGO has established ‘Lors Thmey’ (‘new growth’ in the Khmer language) – a franchise company that generates value for smallholders through high-quality agricultural inputs, advice, and services. iDE has established a franchised network of Farm Business Advisors (FBAs) that bundle high-quality agricultural inputs with an advance focus on technical advisory and customer services. In addition, iDE is introducing new sustainable agriculture technologies to reduce risk for farmers in testing technologies at the farm level. FBAs are franchisees earning income by selling inputs and services to smallholder clients and providing advice as an embedded service at the time of sale and throughout the growing season.

Since 2009, FBAs have sold $500,000 worth of agricultural inputs to smallholders with an estimated 15,000 smallholders served by 150 FBAs. As a result, small farmers earned an average of $150 additional net income in the first year. 

The core strength of iDE is constantly seeking to improve and expand the range of services offered to clients. iDE is networking with R&D providers and private companies to ensure that fresh knowledge is extended to FBAs so that they remain competitive in the market. To reach the goal of becoming a self-sustaining enterprise, Lors Thmey continues to develop necessary systems, tools and processes that will enable efficient scaling of the network to reach more farmers with high quality information and services.