Input Loans

This alternative finance mechanism was designed to mitigate the challenges faced by smallholder farmers, particularly with regards to low productivity, lack of access to credit, and limited participation in the formal market. The model proposes a services bundle including three core services: pre-harvest finance for farm inputs, agricultural extension services, market assistance.

Providing farmers and traders with better access to markets has been one of Chithumba’s core foci since its inception. To take this a step forward, we have recently implemented a new trade modality — Chithumba Market Maker. Every day over several weeks, Chithumba buys commodities from farmers and traders at certified rural warehouses, owned by farmer organisations.

Besides using our truck to transport commodities traded via Chithumba, we also lease it to partners so they can safely move theirs. With growing volumes deposited in certified warehouses and demand for secure transport, we are expanding our truck capacity to meet these needs.

As part of its strategic plan, Chithumba Ltd is expanding its focus on value addition to raw commodities. The company is set to launch the production of high-quality fortified maize flour, sourced directly from farmers and traders. The maize is processed at certified rural milling facilities and packaged in 5KG, 25KG, and 50KG bags. While currently in the market testing phase, Chithumba Ltd has already received very positive feedback, and a full-scale launch is on the horizon.