Kakumiro bee farmers resolve to form SACCO

Bee farmers in Kakumiro district have resolved to form a SACCO in a bid to address some of the challenges they face in their enterprise.

According to Joseph Serugo, a bee farmer and conservationist with Kayirebwa Chimpanzee Conservancy, since 2010 he and other farmers have been using traditional methods to make beehives and process their honey, but they want to adopt modern ones come April.

In addition, the farmers intend to set up a SACCO with a central collection point where members can bulk their honey that they would then sell at a fair price.

“Plans are in high gear to organize for the modern beehives and establish a SACCO so that things like marketing improve. We are currently earning very little for our honey,” Serugo told theCooperator.

“We are currently earning very little for our honey,” Serugo told the Cooperator.

Serugo, who says he currently earns about Shs 500,000 each season from honey, believes the increased investment in the business will attract more customers and boost his earnings.

Sarah Katono, also a bee farmer and member of the same group, says a SACCO would save them from having to borrow from external lenders who tend to levy prohibitively high-interest rates.

“I want to be able to purchase machines to harvest wax from my bees and add value to it by making items like candles. I am unable to do that currently because the money I get is not enough,” Katono said.

She also hopes that the SACCO can help members push for better honey prices and improve their livelihood.

“I sell my honey at between Shs 5,000- Shs 10,000 to middlemen and also individual customers who buy for their own consumption but I would like to earn more from it,” she said.

Meanwhile, William Lalobo, a private conservationist at Aswa Falls Conservancy and a beekeeper, plans to extract bee venom for export.

“I have already received the machines and will soon begin extraction of the venom,” Lalobo says.

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West Lango diocese opens SACCO, elects new leadership

Philip Otim, the Apac District Commercial Officer, has been elected Chairperson for West Lango Multipurpose Cooperative Society Limited.

The nascent SACCO was opened last December by the Diocese of West Lango under its key objective of “Socio-economic and social transformation, financial management and control”.

In a meeting held at the diocesan headquarters on Wednesday, the SACCO members elected its full Board and the new leadership took office with immediate effect.

Adeline Elem, the Administrator of Uganda Registration Bureau, was elected the SACCO’s vice Chairperson, Rev James Moro Treasurer, and Sam Olili Egiri General Secretary.

Rev. James Okee, the West Lango Diocesan Secretary warned the new leaders against serving their own interests while executing their duties at the diocesan SACCO.

“Be honest and patriotic because we have a lot of confidence and trust in you. We shall always be there in case you need any strategic guidance so that you serve for the betterment and transformation of the West Lango SACCO. Christians have a lot of hope in you. Don’t let them down,” he said.

“Always keep the members informed about whatever you are doing because we must change the negative public opinion about the SACCO.” He said the diocesan management will do whatever is in its means to ensure the Sacco is moved forward.

The formation of West Lango Diocese SACCO follows a request from Maj. Gawera Fred, the Kole and Kwania Operation Wealth Creation Coordinator (OWC), said that the church is more faithful in handling funds.

Meanwhile, speaking at the function, West Lango diocesan Bishop Julius Caesar Nina revealed that plans are underway to register the Diocese as a Multi-purpose Cooperative Society Limited to mitigate poverty among the Christians.

“We are planning to register the Diocese as a Multi-Purpose Cooperative Society Ltd to mitigate poverty challenges in the diocese through Agriculture production, Animals and Fishery Projects; poultry, Bee Keeping, and Tourism.”

West Lango Diocesan SACCO covers the four districts of Apac, Kwania, Oyam and Kole. The Diocese has 86 parishes and 720 Sub-parishes in total. Christians from all over the diocese are supposed to come to its headquarters to withdraw their savings.

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Government injects Shs 1.6bn into Masindi SACCOs

The government has given Shs1.6 bn to 54 SACCOs in Masindi district under the Presidential Cluster Initiative on Wealth and Job Creation (Emyooga).

The cash injection was made in fulfillment of a pledge made by State Minister for Microfinance, Harunah Kasolo Kyeyune while launching the Emyooga program in the Bunyoro sub-region last year.

At the time, the minister revealed that government would inject Shs 620m into each constituency to fund businesses under 19 selected clusters that include Boda-boda riders, salon owners, carpenters, taxi operators, welders, market vendors, Journalists, performing artists, mechanics among others.

Under the project, each enterprise group with a minimum of 30 members is supposed to receive up to Shs 30m in funding, which will be accessed as a revolving fund by members to boost their respective income-generating ventures, at interest rates as low as 5 percent annually.

Earlier this year, theCooperator reported that 54 SACCOs had formed out of over 1000 such groups. Groups of individuals involved in similar enterprises were tasked to form SACCOs through which they would receive financing under the scheme.

The SACCOs were formed from three counties including Masindi municipality, Bujenje, and Buruli, with 18 from each.

Funds inaccessible

While members of the different SACCOs report having started receiving the Emyooga funds on their accounts in late December, many are bitter over the fact that they are as yet unable to access it.

“We have no clear explanation as to why this is happening. There is an information gap as far as this matter is concerned,” the perplexed members complained.

When theCooperator contacted Moses Kalyegira the Masindi District Commercial Officer to ascertain the cause of the delay, he confirmed that 54 Emyooga SACCOs received the money but members cannot access it until their SACCOs have presented a certificate of registration.

He explained that the requirement to present the certificates, which was supposed to have been done prior to account opening, had been waived temporarily at the time, with the understanding that the SACCOs would acquire them before accessing funds.

“The SACCOs were given a go-ahead to open bank accounts without certificates of registration because the State minister for Microfinance, Harunah Kyeyune Kasolo, wrote to the banks requesting them to allow the SACCOs to open the accounts without them,” Kalyegira intimated.

However, he promised that the SACCOs’ managers would be able to access their money.

“We expect the Certificates of registration to be ready by next week such that the SACCOs can be able to transact their money with the banks. After receiving the certificates, we shall call all the SACCO leaders to come to pick them,” he said.

Training

Kalyegira noted that sensitization of prospective beneficiaries is currently underway, saying that a section of people think that the money is meant to be shared out or is just a token of appreciation for mobilization of votes.

“This money is a grant to the SACCOs, which will lend it out to at an interest of 8% per annum. People should use this money resourcefully because it can change their lives,” Kalyegira urged.

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Farmers shun Agoro irrigation scheme water

Members of Agoro self-help irrigation cooperative society have stopped using water from the scheme blaming it for destroying their crops and causing their gardens to lose fertility.

Agoro Irrigation Scheme was rehabilitated between 2012- 2013 at a tune of Shs 27 billion by the ministry of water and environment, to boost agricultural productivity in the area. It is used by about 900 farmers, including 187 members of the society.

However, some members of the society, who mainly grow vegetables, told theCooperator that their crops were negatively impacted after the irrigation scheme was rehabilitated.

Corina Aloyo, a farmer and member of the Agoro cooperative, watered her vegetables using water from the scheme, said the water causes yellowing and stunting of vegetables.

“I planted 3 acres of eggplants, cabbages, and beans but they all died,” she said.

Aloyo believes the same water is to blame for the cooperative’s loss of 10 acres of vegetables worth Shs. 40m, last season, which many had blamed on a mysterious disease.

Denis Ocan, another member of the cooperative, said the water caused his garden to become very hard with white patches, as though the water was mixed with salt. The result, he said would be very low yields and loss of soil fertility.

“According to my own observation, this water for irrigation has a problem. First, if you spray it in the garden, even healthy crops start changing and withering. Secondly, the garden becomes very hard and whitish and loses fertility after a short time,” Ocan said

Ocan revealed although the problem has existed since 2013, the true impact of the scheme on yields has been masked because farmers kept abandoning the gardens that lost fertility, for fertile ones.

“This water for irrigation has been used for long. But, since we still have vast farmland here, farmers have abandoned several plots that have lost fertility,” he said

Francis Todwong another member of the cooperative, adds that the majority of their members have abandoned the irrigation scheme and the gardens around it, resorting instead to farming in wetlands and virgin land far away from it.

Brenda Acao, the Communications Officer for the northern region in the Ministry of Water and Environment, said the ministry is unaware of any issues with the water from Agoro irrigation scheme and has thus far received no report about the farmers’ concerns.

“As far as I know there is no problem with the water. But since the concern is from the users, we shall send a team of experts to do an assessment and understand the concerns of the users,” she said.

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SACCOs grappling with fraud, poor governance

A significant number of Savings and Credit Cooperative Organizations (SACCOs) in Uganda have suffered fraud and poor governance, a new report indicates.

The report was released by the Project for Financial Inclusion in Rural Areas (PROFIRA), an organization that monitors the performance of different SACCOS in Uganda.

A study by the organization found that 64 out of 453 SACCOs supported under the program had collapsed, while 312 are grappling with fraud and poor governance issues, among other challenges.

Collins Agaba, PROFIRA’s Program Manager, says that only 77 of the SACCOS supported by PROFIRA had no issues.

“141 have at least one problem, and the rest have suffered more than three problems,” he noted, adding:

“We found that the main challenges facing SACCOs include defaulting on payment of loans by members, low volume of business and poor financial practices.”

Agaba explained that whereas cooperatives are managed by elected committees, the leaders chosen often lack the knowledge required to manage them.

“They then end up depending on untrustworthy staff who embezzle members’ deposits.”

In response, he revealed, PROFIRA has embarked on empowering members of different SACCOs with the requisite financial skills.

Robert Odur, the Chairperson Board of Directors of Ikwera SACCO, agreed with the report’s findings.

He cited the case of Ikwera SACCO which was established in 2009 which has had its portfolio drop from over Shs 170m two years ago,to less than Shs 50m currently.

“169 million shillings was loaned out by Ikwera Savings and Credit Cooperative Society Limited in the financial year 2018/2019, but in the last financial year, we only gave out 42 million shillings as loans. Our clients are not able to repay the money in time and loan recovery is a challenge,” he said in an interview.

Kwania District Commercial Officer, Patrick Bura expressed concern about the rate at which SACCOs in the district are collapsing, saying it could lead to an increase in poverty rates among the population if not urgently dealt with.

” There is an urgent need to rejuvenate the failed SACCOs and equip the SACCO leaders with management skills or else many people will suffer and even lose their assets in search of the financial services that SACCOs are meant to offer.”

Joyce Acio, a resident of Aduku town council notes, people are likely to run to money lenders whom she says are worse than banks given their exorbitant interest rates.

She argues that having SACCO members manage them introduces a conflict of interest, thereby negatively impacting their performance.

“When the SACCO staff are also members, they start taking loans and bringing them back without interest because no one is supervising them,” she said.

Acio advises all Saccos to establish Internal Audit Committees whose task should be to regularly audit the financial institutions to avoid embezzlement.

She also called on District Commercial Officers to ensure capacity building for the SACCO leaders as one measure to minimize the chances of their collapse.

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Gulu: Farmers shun beehives worth Shs 12m

At least 200 beehives worth Shs 12m have been shunned by the farmers they were intended for, with some reportedly turning them into fire wood for cooking and construction materials for chicken houses.

The beehives were distributed to farmers in Olwo, Lamoroto, Bokeber and Bura villages in early March, 2020 under the Project for the Restoration of Livelihoods in the Northern Region (PRELNOR), a government project.

The farmers however failed to pick up the hives claiming that they are too big and would cost them Shs 20,000 in transport.

Josephine Akwero, a local farmer in Bokeber village said locals shunned the beehives because they are too big and heavy to transport.

“I myself picked only one small beehive. The remaining ones were very heavy,” she said.

The bee hives were placed at her home where other farmers were expected to pick them up.

Akwero blamed Gulu district for wasting taxpayers’ money by making big hives which the community cannot use.

Phillip Ongwech Agela, the L.C II Chairperson Pagik parish said some of the beehives are now rotting after being pounded by the heavy rains recently experienced in the region.

Ongwech said the district should have educated the community on how to use the new type of beehives.

“The community is used to the small bee hives and the district did not bother to sensitize farmers on how to use this new type. Some farmers decided to use them as fire wood while others decided to split the beehives and use the wood to build chicken houses,” he said.

Simon Peter Oola, the Vice Gulu District Chairperson agrees with Ongwech saying the community will be sensitized on how to use the new beehives.

“Traditionally, beehives are placed on tree trunks but these new hives are too big and heavy to be placed on a tree,” he said.

Oola said that the farmers were expected to cut tree trunks and put them on the ground so that they can place the beehives on them.

“The intention of making the big bee hives was to increase the volumes of honey that farmers would harvest but unfortunately, they did not know how to use them,” he explained.

Oola said that the new beehives are estimated to produce at least 20 litres of honey unlike the traditional ones which produce between 5-7 litres.

He said that unlike many agricultural products whose prices fluctuate, the price of honey is relatively stable. A litre of honey currently costs Shs 20,000.

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Cooperators urged to embrace responsibility

Cooperators have been urged to take back control of their cooperatives by taking up membership roles and responsibilities in order to enhance the resilience and success of their organizations.

During the recent launch of Sino Uganda Trader’s Cooperative Society at Grand Imperial Hotel in Kampala, Denis Tukahikaho, the Technical Advisor for development of Cooperatives to The Uhuru Institute for Social Development underscored that member participation would define the success or failure of any cooperative.

Tukahikaho said that when individuals belong to two or more Cooperatives, their ability to patronize and grow either cooperative is undermined.

“One of the challenges we (the Cooperative movement) face is where you find one person belongs to five or six Cooperatives. Each Cooperative has its demands. You have to attend meetings, save, buy shares and so on.. In the end, you are split all over,” Tukahikaho said.

He called on Cooperators to focus on the long-term.

“For a Cooperative to be successful, you have to look at the next generation. Your needs might not be met tomorrow or the other day, but it can be met after two years or three. So, if you drop out today because your needs have not been met, you are doing a disservice to yourself,” Tukahikaho argued.

The cooperative developer also noted that many people form or join Cooperatives with the agenda of getting money from government, something he says has affected prospective Cooperatives because of lack of sustainability and membership input.

Sino Uganda Cooperative Society was launched with 52 members, having been registered and granted a probationary certificate by the Commissioner for Cooperatives in February this year. The bulk of the Cooperative’s membership comprises of city traders under the Kampala Arcaders and Traders Association (KATA).

Last year KATA, who together with Kampala She-traders Association (KASTA) were organizers for the launch of Sino Uganda, launched Kampala Arcaders and Traders Cooperative Savings and Credit Society (KATCSCS) at JBK hotel in Kampala. However, the Cooperative failed to set off with operations.

Ssekulima Amir Ssebowa, the Chairperson of Sino Uganda Cooperative Society said part of the problem in the past arose from the fact that members did not understand what they were engaging in (cooperatives).

“With the leadership training we have received, we are now ready to steer Sino Uganda Cooperative Society to success,” Ssekulima said.

Ssekulima said Sino Uganda aims to help local traders liaise with trade partners in China and other countries and facilitate ease in trade.

For Wilberforce Waliggo, the KCCA Commercial Officer for the Central Division, members ought to be clear what they expect to benefit from joining a cooperative.

“Someone will join a Cooperative for personal objectives, which if not met, the member will move on to another SACCO. The challenge is lack of sensitization. Before a member is admitted, he should be educated on how that SACCO operates, Waliggo said.

Waliggo argues that belonging to many cooperatives and frequent member exoduses have led to the collapse of many cooperatives.

“A number of Cooperatives have failed because of this challenge, members leaving and jumping onto other SACCOs! In the end, the society they are leaving may not survive because they will have pulled out whatever they injected in. Many cooperatives have died at infancy because of this challenge, which also affects the cooperative movement as it creates mistrust in the public.” Waliggo said.

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Bishop Stuart University, Cooperatives to collaborate on internship placement

Bishop Stuart University has put in place collaborations with more than 50 cooperatives where their students can go for hands-on internship practice and skills training.

The revelation was made last week by Ass. Prof. Gershom Atukunda, the university’s Dean for the Faculty of Business Economics.

“We signed MoUs with over 50 cooperatives around Ankole so that our students do their internship on their farms and it’s farmers who will evaluate them,” Atukunda explained.

The move is part of the institution’s shift from the four-wall classroom model to the field-classroom model that aims to train hands-on graduates for the African market.

“The farmers will be the professors to enable us produce quality skilled graduates in the fields of agriculture and cooperatives,” he said, adding that students must satisfy the farmers’ needs as they also help the students to reach where they want to be.

Embracing online learning

Meanwhile, as the COVID-19 pandemic continues to haunt institutions, the university has adopted e-learning technology to enable students continue their studies online.

According to Prof Mauda Kamatenesi, the Vice Chancellor, Bishop Stuart University, the institution recently received official approval from the National Council for Higher Education (NCHE) to conduct an online teaching system.

“It is now a new era of information which is going to be characterized by digital information. With my science background I don’t see COVID-19 ending soon and the world cannot stop because of COVID-19,” Kamatenesi said.

The e-system, dubbed ODEL (Open distance e-learning) platform, will facilitate learning for continuing students in 89 programs.

Some of the courses to be taught online include; B.A. of Cooperatives’ Management and Development, PhD in Agriculture and Community Innovation, Master of Agriculture and Rural Innovation, Bachelor of Agriculture and Community Management, MSc. in Climate Change And Food Security among others.

The online program will start on November 2, 2020 and each student is required to own a smart phone, laptop or tablet in order to access the classes.

The Vice Chancellor urged lecturers and students to take up online studies.

“We shall be conducting trainings and running meetings online, so if you do not embrace it, you will be left behind,” she cautioned.

“I have already directed all my staff to upload all their material online and develop modules in the system. Any university that is not ready to endorse the fourth industrial revolution is likely not to survive,” the VC said, citing banks which leveraged a robust digital/ e-banking system to continue running during the pandemic.

Kamatenesi says students will first undergo training on how to use the technology, then receive handouts to ensure a smooth transition into e-learning.

“The ultimate goal is to migrate to blended learning” the Vice Chancellor said

Addressing cost concerns related to adopting the new technology, Prof. Kamatenesi suggested that the cost of acquiring new gadgets would be offset by savings on school uniform and other items like books and pens.

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Farmers in Northern Uganda to embark on growing Rosemary

Hundreds of farmers in Acoli and Lango sub regions have received training on Rosemary growing from Special Anointing Oil, SAO-Uganda, an NGO that promotes growth of the popular herb around the country.

Rosemary is a perennial evergreen herb with blue flowers and minty, piney aroma. Native to the Mediterranean, it is now naturalised in East Africa.

In August this year, SAO-Uganda started training farmers interested in growing Rosemary in Lango sub-region.

Peter Otim, a farmer in Atuku town Council in Kwania district, is among the farmers who received training in growing the medicinal plant.

Otim told theCooperator that about at least 26 farmers in his area underwent the training, and more are showing interest in joining.

“I took interest in the plant because I learned about its numerous medicinal benefits. Secondly, the plant is drought-, pest- and disease-resistant,” he said.

Otim, who confessed that he first heard about Rosemary during the training, plans to dedicate two acres of land to growing the herb because he is convinced that he will get good returns from the venture.

“Besides, the company that trained us will buy the harvest, so I won’t have to worry about marketing it,” he added.

Pascal Osire, the Northern Uganda Regional Coordinator SAO-Uganda observes that the company trained farmers in all districts in Lango and Acoli sub-regions, except Amolatar, Dokolo and Amuru districts. The company expects to recruit 36 farmers per district after the training.

“Planting of the crop will start next season. Right now, we are training farmers and preparing their mindset. Next month we will be able to know how many people per village are willing to do the Rosemary growing,” Osire said.

“We want to recruit community investors who will be in charge of our projects in each district, then ambassadors at the parish level, for effective communication, reporting and quick response when a farmer needs assistance,” he added.

The agreement

Osire said the company is drafting a Memorandum of Understanding (MoU) to be signed by the farmers on acquisition of seedlings and marketing.

Under the proposed MoU, the company would supply farmers with seedlings on credit, which would then be paid for by the farmers in two instalments.

Osire said a farmer requires 6,000 seedlings of Rosemary to cover an acre of garden, which will be sold to them at Shs 1000 each. Other dealers in Rosemary seedlings, he says, sell each seedling at Shs 5,000.

“This implies that if a farmer wants to plant an acre, they will need Shs 6m. But we are giving the seedlings on credit because most of our farmers can’t raise Shs 6m at once,” he said.

“This will motivate the farmers take care of the crop well, knowing that they have a debt to pay,” Osire said.

Harvesting and marketing

Osire said the first harvest of Rosemary is done after 6-7 months, with a minimum yield of 1500 kilograms per acre, which is then sold at Shs 5000 per kilogram.

“That means a farmer will get Shs 7.5 million in the first harvest, and the same amount after subsequent harvests that will be done after every four months, for five years,” Osire said.

“However, when one does value addition, by for instance drying the Rosemary, they get between Shs 11-12m per harvest,” he said.

Osire noted farmers’ concerns over marketability of the product, but assured them that under the proposed MoU to be signed with the farmers, SAO-Uganda would commit to buying all the their Rosemary harvests.

Why Rosemary?

According to Osire, the company chose the Rosemary project after researching on and learning of its numerous health benefits.

“We found that it [Rosemary] heals many diseases. So, we want farmers to grow it and we make herbal medicine out of them. We can make 40 products out of Rosemary,” he said.

In addition to being used to treat headaches, poor circulation, depression, muscle cramps, to detoxify and boost the immune system, Rosemary is also used in the kitchen for food seasoning.

Osire said the company recently installed a machine for processing Rosemary oil in Kyengera.

“When we start using that machine, we will need about 10 tonnes of Rosemary every day,” he said.

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