agrimove
connecting farmers to market
Juanita Halim, Shrinkhala Khatiwada,
Zinan Chi, Val Shum
_________________________________________
2022-2023
connecting farmers to market
Juanita Halim, Shrinkhala Khatiwada,
Zinan Chi, Val Shum
_________________________________________
2022-2023
66% of Nepal’s population depends on agriculture for their livelihood, contributing to 21.3% of its GDP. However, the agriculture sector's contribution to GDP has been declining rapidly; from 38.2% in 2000 to 33.2% in 2010 to 21.3% in 2021. However, the share of the population relying on Agriculture has not kept up with this decline, with 66% of the total population still relying on this industry even today. Over the years, farmers' income has been decreasing compared to other industries in Nepal perpetuating more disinvestment in the sector and making farmers more vulnerable to climate change and globalization-induced migration to Gulf countries.
The problem points out an immediate need to increase efficiency in the current agriculture sector to increase the household income of the 66% of the population who relies on it. As a result, there is a high-level inefficiency in farms because of the combined effects of scale inefficiency, informal financial mechanisms, and the disconnect of farmers from the market and each other. These need to be solved in order to increase investment and efficiency in labor, land, seeds, fertilizers, pesticides, equipment, and transportation which are key determinants to increasing farmers' profitability.
Our idea digitizes the agri-goods supply chain system in Nepal to solve the build creditworthiness and network efficiency for small and medium-sized farmers using a mobile platform. AgriMove is a mobile app and web-based digital platform that connects farmers with other farmers, buyers, and markets to bridge the current information and communication barrier that exists due to physical disconnectedness caused by Nepal's topography, language barriers, and unavailability of physical infrastructures. It utilizes the far and wide-reaching internet accessibility and the increasing smartphone ownership in Nepal. Currently, 90.56% of Nepali have access to the Internet, and 73% use smartphones.
The problem points out an immediate need to increase efficiency in the current agriculture sector to increase the household income of the 66% of the population who relies on it. As a result, there is a high-level inefficiency in farms because of the combined effects of scale inefficiency, informal financial mechanisms, and the disconnect of farmers from the market and each other. These need to be solved in order to increase investment and efficiency in labor, land, seeds, fertilizers, pesticides, equipment, and transportation which are key determinants to increasing farmers' profitability.
Our idea digitizes the agri-goods supply chain system in Nepal to solve the build creditworthiness and network efficiency for small and medium-sized farmers using a mobile platform. AgriMove is a mobile app and web-based digital platform that connects farmers with other farmers, buyers, and markets to bridge the current information and communication barrier that exists due to physical disconnectedness caused by Nepal's topography, language barriers, and unavailability of physical infrastructures. It utilizes the far and wide-reaching internet accessibility and the increasing smartphone ownership in Nepal. Currently, 90.56% of Nepali have access to the Internet, and 73% use smartphones.
Features
Farmers and buyers can create an account in our app/website where they can add the location of their farm. Overall, the main goal of the platform is to solve the barriers in communication between farmers and markets to empower the farmers to make the best financial decisions for themselves, and to formalize the agri-goods supply-chain system using a digital platform. The app has 4 major sections:
Buying and selling of goods: Farmers can initiate sales by putting up their product, quantity, quality, and sell-by information. The buyers can then bid for it through the platform. Farmers can choose the option that is best for them. Only farmers can initiate the sale and buyers will only use the platform to bid. Farmers would be able to identify fair pricing for their goods by looking at the market trends data mentioned in point no. 4 below.
Personal Page: Farmers and buyers will each have personal pages that show their lifetime transaction history, payables, loans, and other financial calculations. It's a simple page where they can also create their personal logbook entering their overall expenses and income on the farm.
Communicating with fellow farmers and buyers, updating statuses, creating groups, messaging features, liking, commenting, and sharing: This will help farmers connect to other farmers, and initiate opportunities like ridesharing for goods transportation, bulk buying of fertilizers, and timesharing for technical equipment that are difficult to rent on their own. This will also help initiate opportunities for advance payments, investment in quality seeds, and pre-harvest buyout contracts between farmers and buyers. The technology only provides a networking platform and allows individuals to continue communication outside of the platform in modes that are the most feasible and convenient for them.
Market data: This page would be dedicated to presenting market statistics on product pricing, and market trends. It will also recommend what is best to harvest for the following season based on the location and market needs. This page also helps inform the farmers about news stories relevant to their farming needs; such as the launch of new government grants in agriculture, news on agro-innovations, etc.
Farmers’ Front-End
Our idea digitizes the agri-goods supply chain system in Nepal to solve the build creditworthiness and network efficiency for small and medium-sized farmers using a mobile platform. AgriMove is a mobile app and web-based digital platform that connects farmers with other farmers, buyers, and markets to bridge the current information and communication barrier that exists due to physical disconnectedness caused by Nepal's topography, language barriers, and unavailability of physical infrastructures. It utilizes the far and wide-reaching internet accessibility and the increasing smartphone ownership in Nepal. Currently, 90.56% of Nepali have access to the Internet, and 73% use smartphones.
Businessmen’s Front-End
By simply connecting the key players in the agri-goods supply chain network together, and providing simple digital tools (mentioned below) we can unlock solutions to solve some key challenges we addressed earlier.
#1 Connecting the farmers with other farmers
We connect the currently disconnected farmers through our platform to enable the economy of scale by giving opportunities for bulk buying of seeds and fertilizers, shared transportation of agri goods, and increase usage of modern tools and technologies using time sharing. Farmers can also communicate with each other to decide on crops for the season and benefit from bulk farming.
We connect the currently disconnected farmers through our platform to enable the economy of scale by giving opportunities for bulk buying of seeds and fertilizers, shared transportation of agri goods, and increase usage of modern tools and technologies using time sharing. Farmers can also communicate with each other to decide on crops for the season and benefit from bulk farming.
#2 Digitization of financial transactions
The app keeps records of each payment transaction; even if the payment is made in cash. This enables farmers to build their creditworthiness which they can use to raise capital investment for their farms. This data can help them acquire loans from banks or microfinance institutes. Recordkeeping also reduces conflicts about payments, which is especially beneficial for farmers with low literacy levels. Similarly, the app history works as a digital contract and provides added security to the farmers doing business with other farmers or brokers/businesses.
The app keeps records of each payment transaction; even if the payment is made in cash. This enables farmers to build their creditworthiness which they can use to raise capital investment for their farms. This data can help them acquire loans from banks or microfinance institutes. Recordkeeping also reduces conflicts about payments, which is especially beneficial for farmers with low literacy levels. Similarly, the app history works as a digital contract and provides added security to the farmers doing business with other farmers or brokers/businesses.
#3 Connecting the farmers with the buyers and market data
Using machine learning, we enable farmers to know market demands and predict future trends in order to reduce post-harvest risk and have better investment prospects from buyers if a certain product is high in demand. Farmers can use this feature to raise advance payments from buyers for a certain crop that is guaranteed to be in demand next season. This enables risk sharing of farming with other stakeholders instead of farmers taking all the risk. Similarly, farmers can easily access information on market rates for their crops for that day/week/month for their location enabling them to demand fair pricing for their goods. The app will also allow farmers to connect with non-local buyers and international buyers, allowing them a choice that they might not have had earlier.
Using machine learning, we enable farmers to know market demands and predict future trends in order to reduce post-harvest risk and have better investment prospects from buyers if a certain product is high in demand. Farmers can use this feature to raise advance payments from buyers for a certain crop that is guaranteed to be in demand next season. This enables risk sharing of farming with other stakeholders instead of farmers taking all the risk. Similarly, farmers can easily access information on market rates for their crops for that day/week/month for their location enabling them to demand fair pricing for their goods. The app will also allow farmers to connect with non-local buyers and international buyers, allowing them a choice that they might not have had earlier.
#4 Farmers rating and buyers rating
Allowing both farmers and buyers to rate each other could help build trust, make confident purchases, motivate farmers for quality control, and attain a better value for their products.
Allowing both farmers and buyers to rate each other could help build trust, make confident purchases, motivate farmers for quality control, and attain a better value for their products.
©juanitahalim 2024