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How it works: Farmers transform inputs like seeds and fertilizer into nutritious grains, fruits, vegetables and more.
Why it's important: Small-scale farmers typically use a portion of their crops to feed their own families and sell the remainder to the neighboring community. This improves food security and nutrition for the whole locality, while generating cash income for farming families.
What your loan can do: Investments in improved seed varieties, in combination with appropriate amounts of fertilizer, can increase yields several-fold and result in more nutrient-rich crop varieties. Investments in equipment can make land that would normally be barren produce crops: hard earth can be made cultivable with a tractor and plow, and dry land can produce food crops when irrigated. Quality inputs and equipment often cost more than smallholder farmers earn in many months, making it difficult to finance their purchase with savings. Your loan makes it possible to acquire the necessary inputs and equipment early, financing their cost with the resulting earnings.