Agro-input Dealers Tap Into SMS Marketing

LIRA – Agriculture is among the most hit sectors since Covid-19 emerged two years ago. President Yoweri Kaguta Museveni recently announced a lockdown as a mitigating factor to curb the spread of the deadly virus with the country enduring wave after wave.

The second lockdown announced in June for 42 days came to an end this weekend. Since the pronouncement by President Museveni, like other sectors, farmers are stuck with their products.

The suspension of public transport, especially buses, had curtailed the movement of farmers from district to district. Ronald Odongo, a farmer used to enjoy the inter-district market.

For example, a dairy farmer from Kwania would sell their milk in major towns including Lira, Apac and Dokolo among others and earn more. Though it is still possible, the amount of milk such a farmer will sell today has reduced majorly because their market is under lockdown.

Every bad situation creates opportunities; Peter Odongo is among the latter, he is an agro input retail dealer based in Kwania district, who deals in seeds for vegetables and cereals, plus fertilizers, pesticides and fungicides and other agro-chemicals.

Odongo gives advice to clients on the best way to use the products for better yields. To reach the customers and to alert his 143 regular clients, when the new stock arrives, he sends them phone messages (SMS).

“I am using an SMS marketing strategy and this is all about marketing genuine products to customers as well as help them know where to get the stock and at what price,” he said.

“From between Shs 70,000 to shs 100,000 shillings profit I used to make on a daily basis, the SMS strategy has boosted my profit to about shs 200,000 from the stock I sell,” he adds.

Another input dealer Joyce Aceng not only sells her products through the texts sent to customers but also sends them appreciations or reminders. She uses MTN Pakapaka to send messages.

She noted that when she started using SMS marketing, her sales improved by 50%.

https://thecooperator.news/gulu-cooperatives-lose-millions-of-shillings-to-fake-agricultural-deals/

“When I started the business three years ago, I would not sell even 10 bags of fertilizers, for instance, in a season yet they were the most wanted by farmers. After adopting SMS marketing, my sales improved and I now sell more than 30 bags in a day,” she reveals.

“I not only use SMS but also advertise on radio because some farmers have no mobile phones but have radios. This has also increased the customer base. ” she added, saying she started with a capital of Shs1.5m and raised it to Shs 6m. Currently, she values the business at shs 30m inclusive of expenses.

The net profits have increased from shs 1m to shs 3m. If business goes well, in the next five years, Aceng expects the net profit to hit shs10m.

Johnson Ojok Ocen, the district Production and Marketing Officer Kwania, also an agronomist explains that:

“Instead of standing behind counters waiting for customers, the dealers actively engage in marketing and promotion by using SMS or radios in order to sell the products to farmers and that is a very good idea that others should borrow,” he said in a phone interview.

Kwania District Commercial Officer, Patrick Bura says; “We know that SMS is a powerful tool that is used by almost everyone but agricultural input businesses were not taking advantage of it. I want to encourage agro-inputs dealers to use SMS for marketing,” he notes.

Selling farm inputs, is a growing business that an increasing number of people in Uganda are engaged in. But it is also a business known to have counterfeits and unscrupulous traders, though there are also several traders who strictly deal in genuine products.

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Emyooga Program Is Not Political –Lira RDC

LIRA –Appearing on 88.0 Voice of Lango FM, Lira Deputy Resident Commissioner rigorously fended off pointed allegations that the Presidential Initiative On Job and Wealth Creation, Emyooga program, was introduced to benefit President Museveni’s re-election.

Speaking on Coop Talks on April 20, a radio-talk show sponsored by The Uhuru Institute for Social Development, James Chemutai, said they have heard malicious rumors, which are false that Emyooga program was a political campaign tool.

The malicious rumor, he said, has been propelled by some local leaders, who did not understand the concept of the new government program.

Chemutai said the Emyooga program was established to empower Ugandans with seed capital to fight unemployment. He urged people to steer away from political propaganda.

“Emyooga program targets Ugandans, especially in the informal sector that come together and form savings and credit cooperatives (SACCOs) under 18 Clusters,” he said.

Chemutai said the clusters include; boda-boda riders, taxi drivers, restaurants, welders, market vendors, women entrepreneurs, youth leaders, people with disabilities, journalists, performing artists, carpenters, salon operators, tailors, mechanics, produce dealers, veterans, fishermen and elected leaders.

From the time of its launch in August, 2019 by President Yoweri Museveni, Chemutai noted that about 51 SACCOs including, 33 from Erute North and Erute South constituencies, and 18 in Lira City have already received Shs 30 million each.

Several emyooga beneficiaries who called into the talk show, expressed dissatisfaction with the way the program is handled by the responsible government officials. They said some beneficiaries have either failed to get the funds or get less than expected.

Emmanuel Ogwal, a youth chairperson of Dokolo North Carpenters’ Association, which comprises 30 members, said they were given Shs 30 million but were told to first raise Shs 500 million from other sources before withdrawing the cash.

Lillian Owino, an entrepreneur from Alebtong district, said there are too many fees beneficiaries pay before they finally get the money. She said, however that before she got her money, she was asked whether she supported NRM. When she said yes, her papers were processed.

Denis Okonye from Abim district decried the long process and troubles beneficiaries have to endure including walking for several days to the offices to access the money.

Okonye wondered why government does not use the established structures in different sectors including member-associations like Uganda Manufacturers Association.

In response, Lira district Commercial Officer, Josephine Alobo said they have been gathering people’s views on the rescue funds and are compiling a paper to submit to the Ministry of Finance, Planning and Economic Development for redress.

Alobo said the red-tape is meant to ensure the money is not mismanaged. She however, reminded emyooga beneficiaries to save a lot.

“It’s only a foolish farmer who begins to cook the seed and eat it up, the president has made an initiative to give you the seed and it’s upon you to grow or plant this seed so that you can be able to get many seeds, so that at the end of the day you are socially and economically empowered,” she noted.

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Beneficiaries: Emyooga Cash For SACCOs Too Little

“You find a Sacco with over 500 members in different associations in a constituency getting Shs 30 million, do you expect it to help them out of poverty. I saw some members in my area getting Shs 50,000. How do you move from one step to another with that meager support?” one caller asked.

MASINDI –During an appearance on Kings Radio recently, Moses Kalyegira, the District Commercial Officer of Masindi, said disbursement of emyooga funds in the Western district is almost complete.

Speaking on a talk show program sponsored by The Uhuru Institute for Social Development on April 20, Kalyegira said there are only four savings and credit cooperatives, SACCOs, which haven’t got their money because they have a few issues to resolve.

“We are helping these SACCOs get their money. They have a few challenges but we are helping to resolve them. The money is there on their SACCO accounts. After resolving their issues they will access the money. The other SACCOs have all got their money and they have started using it,” he said.

He also dismissed as false claims that emyooga funds were introduced as bait for votes for President Museveni during the January 14 2021 presidential election. He said the program was introduced before campaigns started.

“This program was introduced to supplement on what people were doing already and also to support other program like the National Agriculture Advisory Services (NAADS), Operation Wealth Creation (OWC) and the Uganda Women Entrepreneurship Program (UWEP) among others,” Kalyegira added.

He also used the radio appearance to clarify that the program never came to kill the traditional SACCOs as many people claim. He said the program is tailored to organize and support people who are organized in one cluster.

According to Kalyegira, Masindi District received Shs 1.6 billion, channeled through 54 SACCOs. The 54 SACCOs were formed in three constituencies; Masindi Municipality, Bujenje County and Buruli.

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The official disbursement of the funds was launched in March 2021 by Rose Kirabira, the Masindi Resident District Commissioner.

Kalyegira however, said SACCO members need to have saved at least 30 percent of the money they are applying for to access emyooga cash from the bank. He said requirement is a big challenge for most SACCOs.

Pamela Nyakato, the chairperson of Bujenje Constituency Leaders Emyooga SACCO, said the program has created jobs, knowledge and skills sharing since people doing similar things meet and share experiences.

Challenges faced

Nyakato also noted that the program is saddled with many challenges and a lot of sensitization is needed.

“Many people thought this program was a thank you (to them) from the president for mobilizing voter support for him. It’s very hard to remove this thinking from the members but we’re trying hard to do the needful and some members have started understanding it,” she noted.

Nyakato also said most members have a poor saving culture. She said many people save in anticipation of getting emyooga money and once they lay their hands on it, they disappear.

“Many SACCOs are also facing a challenge of unskilled leaders. Many people are illiterate and are running these SACCOs. Proper record keeping is a problem. Even accessing the money from the bank is a problem since many are forced to sign several times. You find their signatures varying,” she said.

“For instance, for a member to get money from the Sacco he or she should have saved at least 30% of the money he or she is applying for but few meet this requirement and yet this is the applicants’ security,” she said.

People’s reaction

Most callers however, expressed dissatisfaction with the program. They said the money is too little to move members to another level.

“You find a SACCO with over 500 members in different associations in a constituency getting Shs 30 million, do you expect it to help them out of poverty. I saw some members in my area getting Shs 50,000. How do you move from one step to another with that meager support?” one caller asked.

Another caller was unhappy with the delayed disbursement of the funds. He said they spent a lot on transport following up on their applications.

“We have been putting in a lot of money following up the matter with the bank and other officials but what we are getting as members is very little compared to what we put in. SACCOs with many associations would have been given more money instead of only Shs. 30 million per Sacco,” he said.

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Court Summons Civil Servants Over Forgery

LIRA – Grade One magistrate’s court in Lira has issued summons for three civil servants accused of forging an attendance list of the annual general meeting of Ayago SACCO.

The summons were issued on April 16 after the three skipped court.

The suspects are; Felix Odongo, a businessman, Lillian Alwedo, Richard Oyuku, and Denis Omara, all primary school teachers, and Josephine Alobo, the commercial officer of Lira. They are battling two counts of obtaining money by false pretense and uttering false documents.

However, only two of the accused persons; Josephine Alobo and Lillian Alwedo appeared before Lira Grade One Magistrate Hillary Rwamiranga on April 16.

Three skipped court and they include; Lira businessman Felix Odongo, Richard Oyuku, and Denis Omara, all teachers at Ayago primary school in Lira.

The magistrate remanded Alobo and Alwedo to Lira Central Government Prison until May 1, 2021, and immediately issued summons for the three.

Court heard that the accused, on January 15, 2020, while at Centenary Bank Lira branch, without lawful authority, forged an AGM attendance list of Ayago SACCO members in Lira City West Division.
The prosecution told the court that the accused persons wanted to change signatories to the Sacco’s bank account, but were arrested before they could accomplish their mission.
State Attorney Martin Rukundo also informed the court that investigations were still ongoing.

Ayago SACCO Limited in Lira City East division was established in 2012. It is fully registered with the Ministry of Trade, Industry, and Cooperatives. The Sacco has 2,137 Members, 121 VSLAs, 14 institutions, and a current loan portfolio of over Shs 300m.

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51 SACCOs In Lira Get Emyooga Funds

LIRA –Fifty-one Savings and Credit cooperatives (SACCOs) in the Northern District of Lira have received Shs 30m each under the presidential initiative on job and wealth creation commonly known as Emyooga.

Emyooga was launched in August 2019 by President Museveni to spur a shift from subsistence to market-oriented production.

The government set aside Shs 260 billion to bankroll the programme with each constituency meant to receive Shs 560 million.

James Chemutai, the Deputy Resident District Commissioner of Lira, confirmed the funds have reached the accounts of the beneficiary SACCO groups.

“We have received 51 certificates, 33 are for Erute North and Erute South constituencies, and the remaining 18 for the city. All these Saccos have already received funds on their accounts, that means the president has fulfilled his pledge,” Chemutai told theCooperator in a recent interview.

“When the president launched the Emyooga program, very many people thought it was a campaign tool. They said the president was looking for votes through this Emyooga, which was a total lie. Now that politics is over, many people still thought the money would not come,” he said.

Chemutai applauded the president for honoring his pledge but cautioned beneficiaries to utilize the funds well.

“I take this opportunity to caution the beneficiaries of this money not to eat up this seed because Emyooga is a seed that the president feels should germinate and help the population get out of poverty,” he said.

He said people will be arrested for misusing the money.

The Lira Deputy Commercial Officer Santos Olade said some of the approved Sacco groups have already withdrawn their money from their bank accounts.

Olade said one performing artists SACCO in Erute South had already withdrawn up to Shs 24 million from their account.

“Emyooga guidelines require that when you have deposited Shs1million into the bank account, you end up getting Shs 3 million, so this group had Shs 8 million on their Sacco account so they got Shs 24 million,” he said.

Samuel Odongo, the chairperson of Erute South performing artist SACCO, said they will use the Shs 24 million to buy more equipment and give loans to members.

“We have a lot of experience and talent but we could not showcase it because we were financially unstable but now with the availability of the Emyooga money, we are optimistic we will have a better livelihood,” he said.

On December 11, 2020, the Ministry of Finance, Planning and Economic Development wired Shs 1.5 billion to Lira district and each of the approved SACCO groups account received Shs 30 million.

Erute North constituency received Shs 500 million, Erute South got Shs 530 million and then Lira Municipality (now Lira City West) and East Divisions got Shs 560 million, which was instead wired to Lira City West Division leaving East with nothing.

Emyooga cash is largely given to Ugandans in the informal sector organized in Saccos under 18 clusters including; Boda Boda riders, tailors, taxi drivers, restaurants, welders, market vendors, women entrepreneurs, youth leaders, people with disabilities, journalists, performing artists, veterans, fishermen, private teachers, and elected leaders.

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Budget: Kwania Cooperatives Get Shs 89m

KWANIA –The district local council has allocated Shs 89,378,000 million to run cooperatives next financial year. The money will go to the 14 fully registered Saccos in the Northern district, and 917 Village Saving Associations (VSLA).

According to the draft budget presented before the council on April 19 2021 by the Secretary of Finance and Administration Geoffrey Eling Owera, Shs 89m was allocated under Trade, Industry, and Local Economic Development.

The money, according to Eling, will cater for market linkage services, cooperatives mobilization, and outreach services.

About Shs 2.9bn has been allocated to production and marketing, Shs 669m to statutory bodies, finance (Shs 216m), and administration (Shs1.7bn), while Shs 280m went to natural resource, community-based services got Shs172m, water and sanitation (Shs 582m) and Shs 967m was allocated to works and technical services among other sectors.

The draft budget was consequently deferred to the sectoral committee for scrutiny before the final approval in the subsequent council sitting as directed by Local Government Minister Raphael Magyezi.

The district, however, has a shortfall of about Shs 4bn in 2021/2022. In the financial year 2021/2022, the district projected to raise about Shs 24.5b down from Shs 28.6 billion projected last financial year.

Geoffrey Eling Owera, the finance secretary, blamed the shortfall on the Covid-19 pandemic, which disrupted local government revenue. Eling told the council that the district only managed to raise 20 percent in local revenue in the last F/Y interrupted by Covid-19.

Eling said key stakeholders and district leaders have to lobby for more funding to improve service delivery.

“Mr. Speaker, as leaders and stakeholders in the district, it is our full responsibility to mobilize for more funding from donors through lobbying and advocacy, this calls for concerted efforts for the wellbeing of the people of Kwania district,” he added.

Albina Awor, the chief administrative officer of Kwania, blamed the budget shortfall on the change of the Indicative Planning Figure (IPF) and a ban on charcoal burning and transportation, a major source of local revenue.

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Cooperative slashes fees to attract new members

To shore up its numbers, Lira Diocese Multipurpose Cooperative Society Limited has slashed its membership fee from Shs 50,000 to Shs 30,000 to encourage registration of new members with minimal fees.

In a speech at the recent annual general meeting (AGM) held at the Apostolic Social Centre in Lira City, Cyprian Okello, the cooperative’s vice-chairperson, said many people had failed to register because they couldn’t afford the registration fee of Shs 50,000.

“We are forming the central mobilization committee. We shall ensure that each and every parish forms a mobilization committee that will include the catechist, parish priest, and the key people to strengthen mobilization, we want people everybody to understand the benefit of joining a cooperative,” he said.

So far the cooperative has 150 members. It was formed by Sanctus Lino Wanok, the Bishop of Lira Diocese in 2019, to improve the livelihoods of Christians in the nine districts of the Lango sub-region.

Patrick Vincent Muge, a member of the cooperative, said to succeed, the cooperative should engage only able and willing people to carry out Sacco activities.

Muge also urged the leadership to carry out more mobilization of Sacco members.

Father John Bosco Oryema, a member of Alito Catholic parish was excited by the reduction of the membership fees, saying it will encourage women to participate in the cooperative.

“The reduction will give avenues for women to join the cooperative, most women spend their money on running the day-to-day family affairs but now the fee reduction is an open chance for them to join the cooperate and save money to grow,” he noted.

Rt. Rev. Sanctus Lino Wanok, the founder of the cooperative, rallied the public to join the cooperative to alleviate poverty.

“Due to the coronavirus pandemic that negatively affected businesses, the time is now for people to head towards a direction that will make them easily assist one another, cooperate in business enterprises and alleviate poverty,” he said.

The man of God nudged the clergy to mobilize the community to join the cooperative to increase household income and improve their livelihoods.

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Co-operators appeal for legal framework to promote water for production

Members of Miromi Farmers’ Cooperative Society in Agali Sub County, Lira district, have appealed to the government to come up with a strong legal framework to facilitate farmers’ access to water for agricultural production.

A study report produced by the Uganda Farmers’ Common Voice platform indicates that although Uganda is endowed with water resources, most farmers in the country rely on rain-fed agriculture, mainly due to limited access to irrigation-based water sources.

The study, which was conducted by Prof. Moses Tenywa of Makerere University, blames the limited access to water for production on an inadequate legal framework for the sector.

Nixson Ogwang, the Chairman, Miromi Farmers’ Cooperative Society, seconded this finding, saying that the government needs to come up with a policy on the water for production.

“This would encourage the participation of the private sector in solving some of the challenges hindering small scale farmers to access water for production in the country,” he argued.

Irrigation to boost production

Established in 2016, Miromi Farmers’ Cooperative Society cooperative deals in onion and tomato production in the dry season. Members believe an irrigation system would enable them to produce food all year round and increase sales.

Ogwang appealed for the government’s support in acquiring the requisite technology through the Microfinance Support Centre.

“The current technologies on the markets are very expensive to ordinary farmers like us, but through Private-Public Partnership, the government can subsidize the costs and attract the private sector to avail the technologies to farmers at cheaper prices,” he observed.

Donald Denis Opio, the Chairperson of Can-Onoto-Waa Youth Farmers’ group, which is also under the same Cooperative, says they earn about Shs 20m per acre of tomatoes sold during the dry season.

“Part of the money got from the project is shared among the individual youths who are engaged in tomato farming,” he revealed.

The group has great ambitions. According to Ellen Akello, also a farmer, they are now targeting producing tomato and onion on a large scale for export.

“An irrigation system would help us achieve this aim, create employment for ourselves through farming and boost household income,” she said.

In an interview with thecooperator, Erute South MP, Jonathan Odur, commended the members of the cooperative for engaging in farming during this dry season and pledged to follow up with the government about their appeal.

“As leaders we shall ensure that money is available in the subsequent financial years to support farmers to access water for production. Without fighting for the farmers, Uganda will be food insecure since rain-fed agriculture cannot sustain food production in the country,” he said.

Uganda has enormous fresh water endowments covering about 15% of its total area. However, only 2% of the water is utilized for production with 1% used in irrigation compared to the 70% of water used for irrigation worldwide.

Experts say that low utilization of water for production has contributed to a decline in agricultural productivity, mostly for small holder farmers who dominate the agricultural sector in Uganda and mainly depend on rain-fed agriculture.

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Lango Cooperative Union in battle to recover lost assets

The leadership of Lango Cooperative Union is struggling to repossess its prime assets that were lost to private individuals.

Formed in 1952 to promote cotton growing in the greater Lango sub-region, it collapsed in the 1980s due to fluctuation of cotton prices and defaulting on loans taken from microfinance institutions by the Union’s then Board of directors

The government, a few years ago, offered to compensate the Union for the losses, and records at the Ministry of Finance indicate that at the beginning of this financial year, the government paid out Shs 2 bn under Lango War Claimants, out of a total debt of Shs 17 bn it owes the union.

However, Maxwell Akora, the Lango Cooperative Union Vice Chairperson, who doubles as Maruzi County MP, says that while the Union needs to recover all its assets in order to expand its projects, some people occupying the properties are reluctant to return them to the Union.

“We have secured our land assets located in Angayiki Village in Chawente Sub County, Kwania. The land, measuring about 1,165 hectares, is equivalent to 9 square kilometers. It had been previously claimed by the Microfinance Support Centre for sale to recover a debt of Shs 1.46 billion,” he said, adding:

“We have now found means of settling that debt and so we have secured the land. We are waiting to take possession from the court bailiff who has been evicting people from the land,” he said.

Some of the Union’s properties still in private hands include three separate pieces of land and one big plot under rehabilitation, an Administration block, and stores at plot 16, Station road in Lira City, among others.

Akora says while some of these assets were sold off by commercial banks that had attached them as after the Union failed to pay back loans, some were taken over by unscrupulous people occupying them as encroachers.

According to Akora, the Union is in the process of reassembling its maize and soya bean processing plants and factories, which would require it to own sufficient land, preferably in locations they formerly occupied.

Agnes Abote, a member of Akia Primary Society is happy with the move to repossess the Union’s assets and hopes it can help settle the rampant cases of land conflicts involving different primary societies.

“The Union’s leadership should be transparent and accountable. The Union’s record ended on a twist, but now that it has started recovering its assets, I believe this will benefit the primary societies as well as the farmers at the grassroots,” Abote said in an interview.

Tom Odoc, a farmer and resident of Acaba Sub County in Oyam district, advised the Union leadership to sell or lease out its land to investors as a potential source of revenue.

“The Angayiki land had been redundant for too long,” he argued. “The Union’s leadership should auction the land to an investor in order to get the money that may be divided to the different primary societies, facilitate the Union’s activities, or be loaned out to farmers.”

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