Sustainable Economic Empowerment and Development for SMEs (SEEDs)
SEEDS project was initially designed to alleviate the negative impacts of COVID-19 crisis in the Maldives. The project’s objective is to increase agriculture and food security concurrently building entrepreneurship amongst farmers and creating a new generation of agri-businesses that are innovative, productive, and initiates environmentally friendly agriculture.
The project has three outputs:
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Increasing food production capacity by supporting new and existing agricultural entrepreneurs in different regions in the Maldives, with a special focus on Laamu Atoll and the Greater Male’ Region. In doing so, starter kits and agri-business incubation programmes are provided for young/new generation urban farmers and digital tool farmers.
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Providing institutional capacity development for the newly established state-owned enterprises set up in response to the crisis to mitigate food shortages.
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Providing support services for MSMEs to adapt to the new normal through technical support and capacity development for the Business Center Corporation of the Government of Maldives.
The project is funded by the Government of Japan and implemented with the Ministry of Economic Development, the Ministry of Fisheries, Marine Resources and Agriculture (MoFMRA), the Agro National Corporation (AgroNat), the Business Center Corporation (BCC) and the Housing Development Corporation (HDC).
The COVID-19 pandemic has exacerbated the vulnerability of the Maldivian Economy and food insecurity. 90% of Maldives’ food supplies are import driven, and fish is the only food source which the country is self-sufficient. The agricultural sector is under-developed with fragmented production and market systems- with a 1.3% GDP average contribution through 2014-2018 and the share has declined due to increased contribution from other sectors.
In addition, the lack of gender parity in the sector decreases the chance of accelerated growth for the sector. As commercial agriculture is mainly practiced by men and is dominated by high-value crops such as banana, papaya, chili, and pumpkin and such, mostly targeted towards the resort market. Meanwhile, women mainly practiced subsistence agriculture which is the main livelihood for rural agriculture dependent populations. This could be home gardens and to a limited extent, plots under the home area, which provides a variety of produce ranging from traditional starchy crops to fruits and vegetables, as well as non-food items such as timber and cordages. Given the geographic make-up of the country, food trade, storage and distribution play a critical role in the access and availability dimensions of food security.
The Government of Maldives has decided to accelerate their plans to revive the agricultural sector to enhance revenues generated and address food security in the country, in light of the COVID-19 crisis and the food supply disruptions. Thus, 17 crops have been identified under the Import Substitution Programme to be produced at 44 islands that are dedicated to contract farming. Citizens have been called out to enhance farming efforts and guarantee purchases at predetermined prices. Sparse land in islands to be used for rent free farming for three years, and a platform has been established for farmers to market and sell their produce through the newly initiated Agro National Corporation (AgroNat) of the Maldives Fund Management Corporation (MFMC). Overall, the Greater Male’ Region is the main landscape to explore urban farming as a concept since it is the central population hub of the country.
Major Achievements
By supporting the institutional capacity development of the newly established state-owned enterprise, Agro National Corporation (AgroNat), that has been set up in response to the crisis to alleviate food shortages:
- A new Contract Farming concept introduced by AgroNat, starting from local farmers in 7 islands in Laamu Atolls and expanding to the other regions. Contract farming enables farmers to manage food produce and stocks while having a guaranteed income. Farmers are given the option to choose the crops from the selected 17 crops finalized in consultation with the Ministry of Fisheries, Marine Resources and Agriculture (MoFMRA).
More than 350 farmers submitted farmer registrations, and 116 submitted product registrations. 213 farmers- 119 men, 94 women, and 18% youth- have signed up for contract farming by 2021.
AgroNat provides guidance and training for all Contract Farmers which focuses on environment friendly and sustainable agricultural practices. Including provision of starter packs for farmers with environment friendly materials such as fertilizers, seedings, tools etc. Initiated in Laamu Atolls and diversified to several atolls under the nationwide efforts by AgroNat.
Development of a planning system by AgroNat; provision of necessary ICT equipment by SEEDS project; AgroNat website developed and launched encompassing a mobile application as an e-agricultural tool providing farmers with access to up-to–date information and resources.
In the Greater Male’ region, an agri-business incubation programme was introduced in partnership with Housing Development Corporation (HDC), to increase opportunities for building urban farming capacity with a focus on youth, women and persons with disabilities (PWDs).
An agri-business incubation programme introduced in the Greater Male’ region in partnership with Housing Development Corporation, to increase opportunities to build urban farming capacity with a focus on youth, women and persons with disabilities (PWDs).
In support of Business Center Corporation (BBC) of the Government of Maldives, to conduct support services for MSMEs to adapt to the new normal:
A co-working space has been set up with a wide range of amenities and support services for MSME entrepreneurs and aspiring teams to utilize for their business purposes.
Two websites have been developed and launched - BCC and Authentic Maldives website – to provide local MSMEs as well as home-based workers with a platform to showcase their work and reach different markets. The Authentic Maldives website has 60 local small businesses featured and will continue to add more. The BCC website provides home-based workers and SMEs all the information that local businesses require.
The SEEDS project is supporting the institutional capacity development of Agro National Corporation (AgroNat) set up in response to the crisis to increase yield and mitigate food shortages.
AgroNat introduced a new Contract Farming concept to Farmers, initially with local farmers from 7 islands in Laamu Atoll and are expanding to other regions.
Provision of guidance and training to all contract farmers with a focus on environmentally friendly and sustainable practices; and a starter pack.
Development of a planning system by AgroNat, and provision of necessary ICT equipment by SEEDS project. Development of AgroNat website and mobile application, allowing access to up-to-date information.
Cold storage units with solar power to be established in the selected islands across an estimated 9 atolls to enable secure storage of produce.
Agri-business incubation programme introduced in partnership with the Housing Development Corporation (HDC), in the Greater Male’ Region. It is designed to increase opportunities for building urban farming capacity with a focus on youth, women and persons with disabilities (PWDs).
The programme piloted with 48 targeted beneficiary entrepreneurs for 16 urban farming plots: 6 plots for women applicants, 5 plots for youth and PWDs, and 5 plots for general applicants.
Provision of support for production, reduction of risks related to starting self-owned agricultural enterprises and managing finances and market products.
Provision of training for selected applicants, conducted by the Ministry of Fisheries, Marine Resource and Agriculture (MoFMRA) and Business Center Corporation (BCC).
Technical support provided to the Business Center Corporation (BCC) of the Government of Maldives to conduct support services to MSMEs to adapt to the new normal.
A co-working space has been set up with a wide range of amenities and support services for MSME entrepreneurs and aspiring teams to utilize for their business purposes.
Two websites have been developed and launched - BCC and Authentic Maldives website – to provide local MSMEs as well as home-based workers with a platform to showcase their work and reach different markets. The Authentic Maldives website has 60 local small businesses featured and will continue to add more. The BCC website provides home-based workers and SMEs all the information that local businesses require.
- The project supported 250 small holder farmers in Laamu Atoll. The allocation of the 250 farmers consist of 40% women and 20% youth, including new and household farmers. Among the 114 farmers signed, 52 women and 62 men and 18% of them are youth.
- 48 farmers have been selected by the HDC for an Urban Farming scheme of 16 plots. Among them 6 plots are for women and 5 plots for youth and PWD category and 5 plots for general category.