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Tanzania Agricultural Scale-Up Programme Sisal

Improving incomes, market access and disaster

preparedness in Shinyanga region

Year End Report

April 2013 to March 2014

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Glossary

Partners

Katani Limited

Kishapu District Council

Meatu District Council

Relief to Development Society (REDESO)

Small Industries Development Organization (SIDO)

Tanzania Chamber of Commerce, Industry and Agriculture (TCCIA)

Acronyms

AIDS – Acquired Immunodeficiency Syndrome

HIV – Human Immunodeficiency Virus infection

MDGs – Millennium Development Goals

SILC – Saving and Internal Landing Community

SMS – Short Message System

TASU - Tanzania Agricultural Scale Up Programme

TSB – Tanzania Sisal Board

TZS – Tanzanian Shillings

Report written by: Shija Miskula, Interim Economic Justice Programme Coordinator, Oxfam Shinyanga Tanzania, with Sam Magee and Tim Brown, Oxfam GB.

Front cover: Oxfam’s  Female Food Heroe competition was broadcast on Tanzanian TV and reached by 25 million people. One of finalists Mrs Terezia Kaseko came to Kishapu to deliver training on land rights, HIV/AIDS and gender. She is seen here with the Tanzania Country Director Jane Foster.

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1.0 Background Sisal value chain is among the six value chains that Oxfam implements under the Tanzania Agricultural Scale Up Programme - TASU. The other value chains are rice, vegetables, sunflowers, local chicken and milk. TASU is a 10 year programme (2007–17) being implemented in Shinyanga, Simiyu, Arusha, Morogoro, Dodoma and Tanga regions. This is an ambitious programme which is trying to reflect and demonstrate the desires of the Millennium Development Goals (MDGs) through which development can be achieved if smallholders are empowered and supported to drive agricultural growth. The main objective of TASU in Tanzania is to improve household income and the quality of life for more than one million rural smallholder producers, predominantly women, by 2017. The sisal project is a component of TASU and was initially supported by Accenture Foundation and  through  Oxfam’s  Enterprise  Development  Programme  (2009  - 12). It is now in the second phase of implementation (2012 - 17). In this phase, the project will enable 2,200 people in Shinyanga Region (Kishapu District) and Simiyu Region (Meatu and Maswa Districts) to engage in the sisal industry, providing them with a sustainable livelihood and significantly increasing their income levels1. Sisal has traditionally been grown along hedges in Shinyanga to demarcate farm boundaries, and to produce fibre ropes during lean times to supplement incomes. While Tanzania is a global market leader in sisal and sisal production technology, Shinyanga has limited commercial sisal production, processing and agro enterprise development. The demand for sisal is high, and there are key opportunities for small holder producers in the region to exploit this opportunity and significantly increase their incomes. The benefits of sisal production Supporting the commercialisation of existing sisal through a value chain approach has the potential to provide incomes for thousands of smallholder sisal growers - women and men - plus sisal machine operators, rope makers and other stakeholders. Out of 250,000 tonnes of sisal fibre produced globally each year, Tanzania produces about 35,000 tonnes per year (worth £18m).   The   Tanzania   Sisal   Board,   Tanzania’s   leading  authority on the sisal industry, has estimated the sisal fibre production potential in Kishapu district to be more than 3,000 metric tonnes of fibre per year (worth £1.5m), due to well established hedge sisal production and new sisal farms. Other districts such as Meatu and Maswa are estimated to have similar production potential from existing sisal hedges. Sisal has been identified as an appropriate crop for Shinyanga by Oxfam because:

It is a drought resistant crop, and its yields are consistent in wet and dry seasons The consistent yield is a vital consideration for women and men who are living in

poverty who would be extremely vulnerable if other crops fail Sisal is an environmentally friendly crop, and it prevents soil erosion. The residue

from the processed leaves can serve as animal feed, organic fertiliser and biogas As there is no specific harvest period, it also provides a good livelihood for people

living  with  HIV  and  AIDS  who  don’t  have  access   to  medical   treatment,  as   the  crop  can be harvested whenever a person is feeling healthy, and not confined to an optimum time for harvest.

1 In March 2012 Tanzania was divided into 30 administrative regions. Simiyu Region was created from part of Shinyanga Region, with the town of Bariadi becoming its capital. It is made up of five districts including Maswa, Meatu and Bariadi. Shinyanga Region is now made up of three districts: Shinyanga, Kishapu and Kahama. Bukombe is now part of Geita Region, which was also created in 2012.

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Brushed fibre at the centre ready for selling

2.0 Project Progress

2.1 Establishment of sisal brushing and buying centre

Brushing machines installed at Kishapu

The sisal brushing and buying centre at Kishapu has been renovated and two brushing machines have been installed. It opened officially on 1st October 2013 with 11 local people employed to run the centre. The centre has the capacity to brush three tonnes of sisal per

day, but is presently brushing 294kg down from 450kg during the rainy season in 2013. There is currently less fibre being brought for brushing as it’s the dry season where sisal shrinks and is difficult to process. In addition poor transport links from the fields to the brushing centre have reduced the supply coming in. However small processors are now able to bring to the centre whatever amount of fibre they produce without paying for transportation to Tanga market (which is 1,080km from Kishapu) making a 20% saving in costs. Prior to the opening of the

centre farmers would receive payment for their crops two to three months later once they had been delivered and brushed in Tanga. Now with the brushing centre nearby they receive payment within three days. Note that Katani Ltd own and operate the centre; the renovation and reopening of the centre was financed by Katani following encouragement from Oxfam. The usage costs are overleaf:

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Stakeholder meeting in Kishapu

Price list for the brushing centre TZS GBP

Green Leaf sold for per KG 272 0.10£ Unbrushed fibre sold to processors per KG 400 0.14£ Brushed Fibre sold by processors to brushing centre per KG 1100 0.40£ Brushed Fibre sold by brushing centre per KG 1300 0.47£ Brushing charge per KG 80 0.03£ Sorting charge per KG 20 0.01£ Transportation from brushing centre to Tanga per KG 100 0.04£ 2.2 Linking small producers to financial services Within the project area, sisal producers have formed a Savings Credit Cooperative Society (SACCOS). They currently have 92 members (70 women and 22 men) and have been paying in membership fees of £1.80 and have deposited £165 in the CRDB bank. The aim will be for SACCOS to access large loans from local banks as banks fear the risks of lending to individuals. The SACCOS are in the final stages of registration. 2.3 Stakeholder forums

Oxfam brought together farmers with buyers, service providers and Government bodies to a stakeholder forum held in Kishapu district in January 2014. The aim was to discuss improving sisal quality, prices paid and loan repayments. One issue discussed was the fact that with lower brushing and sorting losses between 12% and 6%, farmers were expecting to get a better price but this was not the case which has led to them not washing the fibre. The business mentor Mr Tamim Amijee attached to this programme has since met with Katani and the Tanzania Sisal Board (TSB) to resolve this issue. In addition an

action plan was developed and each stakeholder was given responsibility for an action such as low fibre production compared to brushing capacity and prices for fibre grades.

2.4 Sisal processing enterprises In phase one of the sisal project, Oxfam supported fifteen processors. Initially, five processors began operating; now the other ten sisal processors have begun processing (six women and four men). In total there are fifteen Oxfam supported processors operating in Kishapu (seven women and eight men). This increased number of processors will benefit farmers through cheaper economies of scale by producing a reasonable volume of fibre which can be sold in bulk to the Kishapu centre. 2.5 Sisal quality Sisal quality has improved as indicated by a decrease in brushing and sorting losses, and the rise in the total sisal fibres accepted by the buyers. In December 2012 fibre supplied to TANCORD2 had 17% brushing and sorting losses, whereas fibre supplied in July 2013 had a 6% brushing loss. Improvement in the fibre quality is a result of training of processors. Now

2 Tanzania Cordage (TANCORD) 1998 Ltd is a subsidiary of Katani Ltd. Its factory is located at Ngomeni, about 30 kms from Tanga city. The factory produces several products, including cordage, ropes, carpets, buffing cloth, bags, padding and handicrafts.

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Farmers being shown how to make fodder from sisal waste

sisal is harvested correctly and the decortication process is followed and the processors are using improved drying techniques. Involvement of the TSB (see below) in assessment of fibre quality and training of processors on sisal grades also contributed to sisal quality improvement. 2.6 Participatory sisal quality assessment Oxfam invited quality assurance officers from the TSB to conduct quality assessments for all small processors in Kishapu. The assessment involved a site visit and critical review of the whole process of fibre production, and identified the possible causes of quality loses. Small processors were advised on ways to improve quality. 2.7 Involvement of the Tanzania Sisal Board in quality improvement

The TSB conducted training on sisal quality and grades, facilitated by quality assurance officers from the board. The training involved 37 trainees including all 15 processors from the first phase of the project, nursery owners, sisal farmers, women rope makers and raspadora crews. Now all participants are knowledgeable on sisal quality and grading. The main issues were poor handling of the sisal leaf across all the various value chain links such as transportation, raspadoras being set incorrectly and delaying the decortication process.

The quality of produced sisal is also improving and producers now have access to market information. The TSB is providing weekly prices of different sisal grades to the Oxfam office, which then distributes to sisal producers though SMS. However, we did get a decline in fibre quality in the second half of the year due to the drought in September, October and November this year, which has reduced the moisture content of sisal leaves leading to more losses during the decortication process. (See appendix one for a list of the sisal grading used.) 2.8 Capacity building training

A number of training schemes took place from September 2013 onwards, these included:

Farmer Field School training on how to make fodder from sisal waste was implemented with 42 farmers in Kishapu district. The cows did not take to the fodder as they had the alternative of fresh grass as it was the rainy season. But it was tested on confined

cows and 25% liked the feed. Once all the pasture has been eaten the farmers plan to make more fodder and test the best recipe liked by the cows.

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350 farmers (147 women and 203 men) were trained in how to establish a sisal nursery. They currently have five acres of sisal seedlings planted, which is enough to establish 75 acres of field sisal. So far 29 acres have been planted this season.

131 farmers were given training on how to manage a sisal farm (the majority only

having experience of hedge sisal). Training focused on basic agricultural techniques to increase productively and a sustainable supply of leaves.

2.9 Assessment of hedge Sisal An assessment was undertaken by Oxfam partner REDESO to estimate the volume of hedge sisal in 30 villages in Kishapu district. The assessment showed that villages have about 4,301,269 hedge sisal plants, equivalent to 1,075 hectares owned by 1,012 households. These   don’t   include   the   sisal   plots   funded   by   Oxfam.   However, there is big variability in terms of age, vigour and management of these plants, so the output is estimated to be lower at 0.5 tonnes of fibre per hectare per year compared to the national average of 1.0 tonne per hectare per year. Therefore, we estimate that the hedge sisal annual production potential of these villages is 537 tonnes.

Table one: Estimated volume of hedge sisal in 30 villages (as of May, 2013)

Ward VillagesNDOLELEJI 22,900 10 -SHAGIHILU 5,548 5 -GIMAGI 12,303 10 -SANJO 43,650 40 -NEGEZI 82,370 30 -UKENYENGE 177,880 46 1MAYANJI 859,639 28 -IPEJA 27,477 18 1ITILIMA 84,745 62 -

SEKEBUGORO MIPA 159,110 48 1MIHAMA 134,807 69 -MWAMADULU 6,456 9 -LAGANA 74,100 23 -DUGUSHIRU 221,946 52 -IGAGA  “A” 280,732 64 2IGAGA  “B” 215,355 67 3UNYANYEMBE 402,381 79 2WELA 117,235 50 2KAKOLA 199,370 44 3NGUNDANGALI 100,255 65 1MIGUNGA 43,912 19 1MWATAGA 14,416 6 1LUBAGA 20,200 8 1ISOSO 17,536 16 -BUSONGO 402,267 55 1BUBINZA 530,373 39 -NHOBOLA 18,197 22 1NGUNGA 8,852 16 -LUNGUYA 17,257 12 -

Total 4,301,269 1,012 21

ITILIMA

LAGANA

UCHUNGA

KISHAPU

MWAMASHELE

TALAGA

LocationEstimated

sisal plantsNumber of households

Number of Raspadora

SHAGIHILU

UKENYENGE

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2.10 Sisal production and sales In the past year Oxfam recorded a total production of 102,460kg of fibre from 15 active sisal processors. Of this, they sold all of it worth £38,140 (sales of brushed and unbrushed fibre) and none is in storage as the brushing and buying centre is open. Average monthly production of processor enterprises was 8,538kg. Monthly production for individual processors ranged from 50kg to 13,000kg. Overall production for the five experienced processors was 54,581kg (53%) whereas the ten processors who are new to the enterprise had a total production of 47,879kg (47%) – with the gap closing from 67% and 33% respectively in September 2013.

Table two: Revenue and costs of 15 small scale sisal processors for a period of 11 months (April 2013 - March 2014)

Fibre produced and supplied to TANCORD (kg) 102,460 Brushed fibre sold (kg) 77,581 TOW + Brushing and sorting loss (kg) 19,281 Unbrushed fibre sold (kg) 5,598 Fibre sold through other chanels (kg)

Profit and Loss Account

Earned income (TZS)

Sales of brushed fibre 100,855,440 36,308.71 Sales of unbrushed fibre 5,088,200 1,831.79 Sub-total (TZS) 105,943,640 38,140.50

Value of fibre sold through other chanels - Total income (TZS) 105,943,640 38,140.50

Expenditure (TZS) - Fibre purchase from farmers 37,707,950 13,575.14 Fuel (diesel) 9,536,500 3,433.21 Lubricants 114,900 41.36 Water 78,800 28.37 Wages for security guard 2,864,400 1,031.21 Fibre transport to Collection centre 885,500 318.79 Loading/offloading to TANCORD 137,850 49.63 Fibre transportation to TANCORD 5,871,700 2,113.86 Fibre upkeep at TANCORD 546,595 196.78 Brushing charge 4,878,935 1,756.45 Maintenance of raspadoras 2,159,000 777.26 Wages for raspadora crews 13,148,900 4,733.70 Other 1,019,700 367.10 Fibre transportation to brushing centre 1,200,000 432.01 Fibre sorting 705,800 254.09 Total expenditure (TZS) 80,856,530 29,108.96

Gross profit/loss (TZS) 25,087,110 9,031.55

Item TOTAL Value GBP

Production of fibre between July 2013 and March 2014 was to some extent hindered by the scarcity of leaf supply due to several reasons including drought, and the unavailability of the labour force due to competition with cotton, which is the major crop in the area. In the rainy season production has been low as oxen carts are used to transport the sisal from the field, but many roads are impassable in the rainy season. Also, some farmers are reluctant to supply leaves because they had alternative sources of income from cotton, and only reserve sisal for scarce period.

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Table three: Fibre production for the 15 processors

Apr. '13 May '13 Jun. '13 Jul. '13 Aug. '13 Sep. '13 Oct. '13 Nov. 13 Dec. '13 Jan. '14 Feb. '14 Mar. '14Ally Yassar (m) 1,040 680 1,260 1,200 818 1,150 560 640 852 105 214 187 8,706 726 Antonia sangalu (f) - 1,700 1,265 900 800 300 800 - 1,000 - 950 - 7,715 643 Boniphace Mataluma (m) - - - 650 200 250 100 250 50 350 - 160 2,010 168 Charles Bida (f) - 1,000 1,048 1,200 1,100 100 300 405 1,370 374 86 210 7,193 599 Fatuma Said Ally (f) - 13,000 4,000 8,500 8,500 2,000 300 600 600 1,075 1,000 39,575 3,298 Helena Samson (f) - 200 500 200 150 500 60 250 - - 310 2,170 181 Jackline Shija (f) - 500 470 1,250 1,545 100 415 1,172 560 527 150 350 7,039 587 Kamuga Nyasani (m) - 100 800 347 453 1,564 394 150 173 500 375 4,856 405 Peter Kihanda (m) - 1,830 1,300 400 200 - 300 - - - - 4,030 336 Regina salaganda (f) - 1,000 - - 220 679 600 1,000 - - 50 100 3,649 304 Seif Sud (m) - - - - - - 50 400 400 145 475 625 2,095 175 Sospeter Manyesha (m) - 250 143 400 110 - 800 260 540 - - - 2,503 209 Suzana Philipo (m) - 200 410 150 360 338 190 405 361 - 314 185 2,913 243 Tabu Hashimu (f) - 1,000 371 200 160 - 800 2,194 850 1,200 356 700 7,831 653 Yusuph Mboje (m) - - - - 175 - - - - - - - 175 15 Total 1,040 6,630 19,797 12,550 14,935 12,220 8,679 7,780 6,983 3,474 4,170 4,202 102,460 8,538

2013 2014

TotalProcessorAverage over 12 months

There are 15 small processors under this project, including seven women and eight men, but in terms of production female processors are leading by producing 73% of the total volume of fibre in the reporting period. Fatuma Said Ally is producing the highest volume of all because she has progressed to owning four raspadoras after receiving one through the loan scheme and buying the others on credit. Seif Sud has improved the quality of the fibre he is producing after his previous batch was rejected. This has been a lesson to all processors; all are now very sensitive to the quality issue. However there is an issue with the processor Peter Kihanda, who leased his machine to another processor while he was working away in the mines. He has now returned to the village and the business mentor will meet with him to discuss this issue.

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Name of processor

1: Ally Yasiri £ -

2: Antonia Sangalu £ -

3: Boniface Mataluma £ -

4: Charles Bida £ 216

5: Fatuma Ally £ 1,584

6: Helena Samson £ -

7: Jackline Shija £ 108

8: Kamuga Nyasani £ -

9: Peter Kihanda £ -

10: Regina Salaganda £ -

11: Seif Sudi £ -

12:Sospeter Manyesha £ -

13: Suzana Philipo £ -

14: Tabu Hashim £ 108

15: Yusuph Mboje £ 108 2,124£

Phase two processors started repayments from November 2013

Table four – Repayments to date

The production increased from May 2013 and reached the peak on June 2013 due to an increase in the number of processors from five to fifteen, less competition for labour and farm equipment as well as high availability of good sisal leaves. Production was low after November due to rainfall, lack of labour (farmers spend more of their time on their own agriculture activities) and the feeder roads being impassable.

The brushing centre and project has attracted farmers to set up their own

processing unit. The group consists of ten farmers who over three months average 2038kg of sisal processed compared to 6813kg for the project processors. They seem to be efficient in terms of leaf supply and processing due to working together. We included them in the recent exchange visit to visit one young sisal farmer, to encourage them to plant sisal crops rather than depending on leaf supply from other farmers. 2.11 Loan repayment All 15 small sisal processors have received loans of £3,191 each (£2,393 for a raspadora machine and £798 as working capital). The first five processors are required to have started loan repayments for their machines, and of the ten phase two processors due to begin payments in November 2013 only three have started payments. Two of the first five processors have started loan repayments to Katani Ltd. Fatuma Said Ally has paid £1,584 and Yusuph Mboje £108. The remaining three processors have delayed loan repayments as the way loans are repaid is deducting payment from fibre bought by TANCORD. Some farmers are choosing not to sell to TANCORD as they believe that the cost of selling to them is too high. The lack of repayments is taken very seriously and the team are looking at ways to encourage processors to increase their production and make more repayments.

In addition, four processors have taken on another raspadora machine to expand processing production. The four are Seif Sud, Alli Yasiri and Peter Kihanda and Fatuma Yusuph (who now has four machines). 2.12 Raspadora manufacture There has emerged an alternative source of raspadoras in Kishapu town. One local artisan is now manufacturing similar raspadoras and selling them at £1,794 compared to the Katani price of £2,393. Several raspadoras have been manufactured in Kishapu and purchased by processors who are participating in this project. People who are using these raspadoras claim that they are equally good in performance as the Katani

product.

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2.13 Rope making and women’s  groups  

Women’s group trained on how to make sisal

products

International  women’s  day  celebrations  where  women showed their sisal products

Currently no rope is being made by the four women’s groups despite the availability of a brushing facility. The main obstacle now is that there is competition from local handmade ropes. Therefore the women are focusing on home products such as door and table mats which are very popular. The 71 women making up the rope making groups have established a Saving and Internal Lending Community bank (SILC) in the interim. This is an informal financial service which assists members to save and lend small amounts of cash. Over  51  women’s  group  members  have been trained on how to make other sisal products such as table mats, wall hangings decorations, baskets, carpets. They also received refresher training on sisal yarn and rope making. The group meets twice a week for SILC meetings and making sisal products. The  women’s  groups  have  the  potential  to be community change agents on gender, HIV and AIDS and land issues. To aid this we have conducted four training sessions, they include:

Awareness training on HIV/AIDS and gender

Sixteen days of activism, where women from across the sisal chain participated in discussions  and  events  to  mark  international  women’s  day  in  March  2014.

Tanzania’s   Female Food Hero (FFH) training – Oxfam’s FFH competition was broadcast on Tanzanian TV and reached 25 million people. One of finalists Mrs Terezia Kaseko came to Kishapu to deliver training on land rights, HIV/AIDS and gender.

Land rights training – under Tanzanian law both women and men have the right to own land, however cultural norms lead to unequal land ownerships. The training for 25 women focused on the Tanzanian constitution and the Land Act of 1999.

2.14 Sisal nurseries

The sisal nurseries currently have 13 acres of suckers (germinated seedlings); out of these, four acres may be transferred to the main field during the next rainy season which will be sufficient to plant 60 acres. Suckers from the 2010 fields will supplement the available planting material. We have 29 acres of sisal planted out onto the fields.

Sisal nursery in Mwabomba village Kishapu

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Oxfam staff from the horn of Africa region visiting the

Kishapu brushing plant

Due to the recent drought some nursery plants are being transplanted into the main field later than planned (after a year). Farmers have started collecting bulbils (seedlings) for the 2014 planting year in August when the bulbils are still available. In order to ensure a reliable supply of planting material for the coming cropping season, 350 farmers (147women and 203 men) were trained on how to establish a sisal nursery.

2.15 Participation in the Tanzania National farmer groups’ network Six small producers attended the 20th anniversary of the Tanzania National farmer groups’ network, which took place in Morogoro in July 2013. They had an opportunity to meet fellow farmers countrywide to share learning and reflect on the challenges and opportunities that affect smallholder producers. The trip helped them realise the networking opportunities open to them both locally and nationally. 2.16 Learning events

Oxfam organised two learning events to support all stakeholders and Oxfam staff across the region to reflect on their projects so far and to share learning and discuss any issues impeding progress. They included

Regional Livelihoods and Food Security Learning Event, took place in Mwansa, Tanzania in October 2013. Oxfam staff from across the region visited the Kishapu project and were impressed particularly with the close

links built up with the private sector. Some areas were pinpointed as needing more support such as the power between farmers and buyers being firmly with the buyers; they suggested looking at strengthening the farmer organisations as people sell as individuals, which weakens their ability to negotiate on price. We are looking at strengthening the SACCOS to lead on bulk selling.

Tanzania Economic Justice Learning Event, in Dar Es Salaam in March 2014, included staff from the gender and social justice teams. It was noted that there needs to much closer working between the three pillars of social, economic and gender justice. An action plan was put together by Oxfam staff to improve these areas.

Bulbils collected for sisal nursery establishment

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Jacline Shija of Kakola village, a sisal

processor, uses her income to make concrete

bricks to construct a modern house for her

family

2.17 Introduction of sisal project in Meatu The introduction of a sisal project in Meatu district as part of our scale up plans has begun. Communication with the Meatu District Executive Director is underway and a District contact person was appointed by the Meatu local government. Assessment of where to focus our work has been done and the northern part of the district has been selected because there are plenty of existing sisal hedges across eight villages. With high and medium density hedge sisal in five villages and three with low density hedges. Oxfam presented the project to the District Council at the end of October 2013 which was received well. Oxfam has had further meetings with local Government since and conducted an evaluation of the amount of hedge sisal available which will be the main supply until field sisal has matured. Fifteen stakeholders from Meatu including Government officials, buyers and farmers visited the Kishapu sisal project to show them how their project will look in three years time. 2.18 Participation in the Tanzania National Farmers’ fair Sisal farmers from this project attended the Tanzania National Farmers’  fair  which  took  place  in Mwanza on August 2013. At this event sisal small producers were able to meet and interact with national and regional leaders; producers from within Tanzania, as well as Uganda and Kenya, to share experiences and the challenges they all face being part of the sisal value chain. 2.19 Training to farmers on management of hedge sisal Sisal as a crop takes a relatively long time (three years) from planting to first harvesting. At present the current production of sisal in Kishapu depends entirely on existing hedges. These hedges need to be well managed in terms of weeding, manure application and proper harvesting for its sustainability. 332 farmers (141 women and 191 men) were trained on the management and development of sisal hedges. Of these, 61 farmers showed enthusiasm for the project and on improving their hedges. On the other hand some farmers are overharvesting, and the trainers have taught them they need to delay harvesting. Although this is a small take-up, these farmers will be able to persuade more to join in as they see the income benefits of sisal farming. 3.0 Successes

Before the project began, farmers harvested sisal leaves and either processed them using crude hand processing equipment or sold them to a local processor who had only two decortications machines which were old and in poor condition. So fibre produced was of low quality and the volume was very small. Through this project the harvested leaves are now decorticated using improved machinery (raspadoras). The number of raspadoras has increased from 2 to 21(15 supplied by Oxfam and seven using their own capital). Raspadoras can strip 300kg per day compared to hand stripping which is 15kg per day. The use of raspadoras has improved the quality of fibre and volume produced.

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This project has created many direct and indirect jobs through the production chain as

can be seen in the tables below. Community members are now employed in sisal farming, harvesting, leaf transportation, raspadora operation, supervision of sisal processing, fibre transportation to the Kishapu brushing centre, and to the market. Each processing enterprise has created at least nine direct permanent equivalent jobs which did not exist before the project. There are 876 people directly and indirectly benefitting from the sisal value chain in Kishapu; if  you  include  family  members  that’s  5,519 people

Table five – Types of jobs created in the sisal value chain

Process Type of employment Nursery and field management Field upkeep Leaf cutting (harvesting) Leaf cutters Leaf transportation Leaf loaders

Leaf transporters Sisal decortications Raspadora crews

Supervisors Sisal drying Drying yard crews Fibre transport to brushing centre Transporters (un-brushed fibre) Fibre sorting Fibre sorters Fibre brushing Fibre brushers

Brushing clerk Fibre transport to Tanga Drivers

Transporters

Table six – Number of jobs created in the sisal value chain

Kishapu is a food insecure area with a deficit of 42,202 tonnes of cereals and

vegetable and receives food relief of 2,000 tonnes each year. Sisal is used as a crop

591

28

15

Food vendors

2

Fibre sorters

3

Technician

Farmers (leaf suppliers)

Leaf cutters 42

Transporters

Transporters’  employees 56

Raspadora crews 45

Processors

7

Brushers

Brushing clerk 1

4

Fuel suppliers

1

Women entrepreneurs 81

TOTAL 876

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that is sold during the hunger gap to supplement family income when food prices rise due to shortages. Intercropping the sisal with ground nuts and cowpeas and mung beans has supplemented the families’   food   stocks   and   increased   productivity as these crops in conjunction with sisal manure fix nitrogen in the soil.

Standardisation of the product has improved, for example, farmers are now selling

sisal fibre instead of sisal leaves. It creates a fairer environment between the farmer and sisal buyer. Farmers are now using scales to weigh fibre which was not the case previously.

There has been value addition along the sisal value chain from producer to market

point. Before the project began, green sisal leaf was sold for TZS 1.00, but the same leaf today has a value of about TZS 10.00. The price of un-brushed fibre was between 10p and 12p per kg but now the price is between 35p – 43p per kg and the brushed fibre is sold at 51p per kg. This suggests that small producers and processors are now getting more income from sisal.

We have seen that the average income from sisal farmers is £602 while the average income for Kishapu is £122 per year. The money earned is paying for school fees and equipment and building houses as is the case for one of the 15 sisal processors Jacline Shija. At a district level processors pay an annual licence fee and at village level they have supported the construction of a school and dispensary.

Through this project women have become economically empowered. Women make

up 58% of sisal beneficiaries and are responsible for 69% of sisal revenue. Women also hold 74% of the leadership positions in the sisal value chains.

The technological changes in upgrading sisal processing has spread throughout the

district and neighbouring areas.

Farmers and small sisal processors are now linked to a reliable sisal market through a trade agreement with Katani Ltd. which will buy whatever amount is produced by small producers. Other potential buyers are also becoming available, which is very encouraging.

The TSB has recognised the importance of sisal production in Kishapu by offering

technical support and training. Other technical bodies such as the Small Industry Development Organisation (SIDO) and Tanzania Private Sector Foundation (TPSF) have also expressed interest in supporting the project.

To ensure sustainability of sisal leaf supply, farmers are now growing sisal in fields instead of depending on hedge sisal. Currently 82.5 acres of sisal have been established by individual smallholder farmers.

Production and marketing of sisal is now well co-ordinated through Producer Groups

and a Processor Association. Activities such as leaf harvesting, transportation and decortication are managed in order to maximise volume and quality as well as utilising economies of scale. Processors are conducting collective marketing to gain the same advantages.

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David Kende local artisan with his roof

tile made of concrete and sisal

The raspadoras are now available near to farmers and small processors. In Tanzania there are only a few companies making raspadoras and they weren’t  previously accessible to small farmers.

The project has put the spotlight on sisal

production and its benefits for Kishapu district which has led to support from local Government. The Tanzanian Commission for Science and Technology (COSTECH) have provided a grant of £2880 to provide technical support to create a local processors cluster. We are looking at other ways to utilise the sisal processing waste. One experiment undertaken is mixing concrete with sisal waste to strengthen roof tiles.

4.0 Challenges Sisal is a crop which takes up to three years before it can be harvested; this makes

some farmers who are focused on short term results reluctant in engaging in sisal farming. However, farmers and small sisal producers are advised to utilise already available sisal from hedges in the early years as well as intercropping sisal with other annual crops so as to utilise the land which is not occupied with sisal.

Kishapu is experiencing an irregular rainfall pattern where there is always a long dry

period for at least six months (May – November). This long dry period is a big challenge for establishing new sisal nurseries. Although sisal can tolerate drought, young sisal plants in the nursery need an adequate amount of rainfall. Farmers are mitigating this by using a double nursery system, which includes late collection of bulbils to shorten storage time and collection of more bulbils than required.

Normally sisal processing is associated with substantial water consumption for

cleaning sisal fibre to attain better quality. In Kishapu there is limited water availability which results in production of unwashed fibre which is of low quality. Washing of sisal fibre is done only during the rainy season when water is available.

The distance between the project area and the sisal market has been a challenge.

This has now been resolved with the Kishapu brushing and buying centre now up and running.

During harvesting of food crops and cotton, which is the major crop of Shinyanga

district, there is competition for some facilities such as animal carts for transportation of leaves and fibre, and limited availability of labour, as the majority of people are engaged in cotton harvesting. This results in low production during harvest period.

The introduction of the raspadoras in Kishapu district has attracted many

entrepreneurs to engage in sisal processing business by introducing more processing machines beyond the volume of the available sisal. This has created competition for sisal leaves among processors and encourages over harvesting. The Processor Association has tried to overcome this challenge by repositioning processors depending on the potential processing volume per area. Once established sisal fields can be harvested, this will supplement hedge sisal and increase sisal leaves supply.

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Financial Report Period covered – 1 April 2012 to 31 March 2014

Budget Spend Spend Total Variance % Spent

April 2013 - September2013

October 2013 - March 2014

GBP GBP GBP GBP GBPActivities Yr2 Yr2 Yr2 Yr2 Yr2 Yr2

Linking farmers to markets 5,000 425 4,524 4,949 51 99

Gendered sisal market mapping and market analysis 0 0 0 0Strengthen market association links to credit and markets 3,000 0 2,950 2,950 50 98

quarterly multi stakeholder meetings 2,000 425 1,574 1,999 1 100

Building capacity of sisal smallholders 21,821 696 7,525 8,221 13,600 38

Introduce the project in Meatu and assessment of sisal hedge 1,000 696 696 304 70

3 raspadora processing machines 7,500 0 2,000 2,000 5,500 27

Establishment of brushing facilities in Meatu 3,500 0 991 991 2,509 28

Establishment of sisal spinning unit in Kishapu 2,221 0 1,074 1,074 1,147 48

Business management and leadership skills for 30 processors - 0 0 030 farmer field schools 1,600 0 1,599 1,599 1 100

Business mentoring 6,000 0 1,860 1,860 4,140 31

Review and development of price setting mechanism 2,500 2,448 - 2,448 52 98

Assessment of grading and price setting mechanism 1,000 993 993 7 99

Training on sisal grading and pricing system 1,500 1,455 1,455 45 97

Improving sisal production system 3,800 721 2,002 2,723 1,077 72

Training on nursery management techniques 800 423 423 377 53

Training for farmer association on agricultural practises 2,000 0 2,002 2,002 -2 100

Training forfarmers in sisal hedges 1,000 298 298 702 30

Women's economic leadership 6,500 1,417 5,654 7,071 571- 109

Training of 40 trainers on leadership management - 0 0 0 0Training for 200 women in manufacturing sisal products 3,000 1,417 2,293 3,710 -710 124

Building capacity of women through 'Female Food Hero' 1,000 1,014 1,014 -14 101

Study tours for inspiration and capacity building - 0 0 0Raising awareness on land right laws 1,000 972 972 28 97

Raising awareness on gender and HIV/AIDS 1,500 0 1,376 1,376 124 92

Monitoring, evaluation and learning 10,500 5,563 2,052 7,615 2,885 73

Monitoring visits and learning events 4,000 2,752 1,247 3,999 1 100

Project evaluations 4,500 1,554 169 1,723 2,777 38

Impact assessment - 0 0 0Education, information and communication materials - 0 0 0Documenting and sharing sucess 2,000 1,257 637 1,894 106 95

Support costs 20,566 10,334 11,795 22,129 1,563- 108

Salary of Sisal Chain Advisor 16,066 8,044 8,407 16,451 -385 102

Salary of Driver 4,000 2,290 2,916 5,206 -1,206 130

Misc support costs 500 0 472 472 28 94

Total 70,687 21,604 33,551 55,155 15,532 78 Budget Narrative

The budget total of £70,687 consists of the original agreed budget of £61,876 + the underspend of £8,979, carried over from 2012/13 to fund activities originally earmarked for 2012/13.

Note that the cost of the Katani raspadoras has risen since the original budget was drawn up. Oxfam aims to renegotiate this or buy from an alternative supplier.

Under spend of 22% overall is due to: Main underspend is due to the reallocation of the budget from REDESO which has led to

delays in setting up the project in Meatu district and the spinning unit in Kishapu. The spinning unit will be used to spin sisal twine for rope making by using an electric powered spinner.

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The business mentor was not in the previous budget, the budget assigned to the electrical inverter was reassigned for the mentor contract, which ends at the end of October 2014. He visits each processor every month.

Project evaluation has been postponed to establish a better baseline survey. Sisal products training - we aim to train a further 149 women by year five. Increased driver cost is a mistake and will be reallocated.

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Appendix one – Sisal grading

GRADE 1 Length of fibre should be from 90cm (3 feet) upwards. Colour of fibre should be creamy white to cream. It should be free from defective decortication and be properly brushed. Free of undecorticated barks, harshness, knots, tousled and bunchy ends. It should be free of tows.

GRADE 2 Length of fibre should be from 75cm (2.5 feet) to 89cm. Colour of fibre should be creamy white to cream. It should be free of defective decortication and be properly brushed. Free of undecorticated barks, harshness, knots, tousled and bunchy ends. It should also be free of tows.

GRADE 3L Length of fibre should be from 90 cm (3 feet) upwards. Colour of fibre should be a mixture of whitish and yellowish. It should be free of defective decortication and be properly brushed. Free of undecorticated barks, harshness, knots, tousled and bunchy ends. It should also be free of tows.

GRADE 3 (or 3S) Length of fibre should be from 60cm (2 feet) to 89cm. Colour of fibre should be a mixture of whitish and yellowish. It should be free of defective decortication and be properly brushed. Free of undecorticated barks, harshness, knots, tousled and bunchy ends. It should also be free of tows.

GRADE UG Length of fibre should be from 60cm (2 feet) upwards. Colour of fibre may be brownish and spotted due to damaged leaf or greenish due to insufficient water during decortication. Black coloured fibre is not allowed in this grade because this shows that it is in the process of rotting (or rotten). Moreover, fibre should be properly brushed, free of undecorticated barks, harshness, knots, tousled and bunchy ends. It should also be free of tows.

GRADE S.S.U.G. (SUB STANDARD UNDER GRADE) This is the fibre that does not conform to standard UG grade but can be exported as line fibre. Length of fibre should not be less than 60cm (2 feet). Colour of fibre may vary from yellowish to more dark and blemished.

GRADE TOW NO.1 This is fibre which has been cut and thrown behind the brushing machines during the process of brushing. Colour of fibre should be creamy white to cream. It should be free of undecorticated barks, knots, dusts and sweepings and should not contain fibre of other mentioned grades.

GRADE TOW NO.2 This is fibre which has been cut and thrown behind the brushing machines during the process of brushing. Colour of fibre may be brownish, spotted, yellowish or greenish. Black coloured fibre is not allowed in this grade because this shows that it is in the process of rotting (or rotten). Moreover, fibre should be free of undecorticated barks, knots, dusts and sweepings and should not contain fibre of other mentioned grades.

UNCARDED FLUME TOW It should be uniform in colour of creamy white to light brown. Devoid of undecorticated strips of sisal leaf, rotten fibre and foreign materials. It should be properly dried with moisture content similar to other grades. Dust content not to exceed 15% when extracted by hand. The bales should be pressed to standard size weighing 200kgs per bale.

CARDED FLUME TOW It should be the same as uncarded flume tow except the total dust content not to exceed 10%.

UHDS Unwashed hand decorticated sisal, non Estate produced fibre.

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Gallery

Sisal nursery

Sisal hedge

Hedge sisal

Sisal leaf harvesting

Sisal leaf harvesting

Leaf transport by oxen cart

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Old method of decortication

New method using a raspadora

Fibre transportation by bike

Women using the brushing machines in

Kishapu

Transportation from Kishapu to Tanga market

22

A Savings Credit Cooperative Society (SACCOS) meeting to help farmers access large microfinance

grants

Thank you to the Tanzania Fund for their generous

support for poor farmers in Tanzania

Oxfam is a registered charity in England and Wales (no 202918) and Scotland (SCO 039042). Oxfam GB is a member of Oxfam International