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Uganda farmers will need plows ... and smart phones

Entrepreneur makes market data available digitally to farmers so they make better business decisions

As studies in India and more recently Niger have shown, market information — data for farmers on agricultural commodity prices, suppliers and buyers — plays a critical role in rural development across the emerging world.

Uganda is the latest country to attempt a market information revolution. I was fortunate to work with the team at Infotrade Uganda, the start-up that is implementing market information across the country.

With annual GDP growth averaging above 7 percent over the last five years, an expected windfall of $2 billion per year from imminent commercial oil production, and faster internet speeds than in some developed countries, optimists say Uganda is a country on the march.

Critics counter that, for most Ugandans, the growth figures mean very little. About eight out of every 10 Ugandans eek out a meager living through subsistence farming, far from the glitzy office buildings, consumer culture and speedy internet of the capital, Kampala.

But behind the headlines about petrodollars, surging real estate prices and death-defying pop stars (a story for another day), Ugandan agriculture is entering a mini-revolution.

Led by Kampala-based entrepreneur Robert Kintu, the team at Infotrade Uganda is aiming to bring rural farmers into the digital age.

When equipped with accurate, up-to-date price information on the commodities they produce, Kintu argues, farmers will be in a position to make the transition from subsistence agriculture to commercial farming. It is this evolution — and more importantly the associated mindset shift — that could lift millions of farmers out of poverty. He also says that the concept will fail unless it is profitable for all stakeholders — including Infotrade.

What’s the benefit of market information? Kintu and others cite examples such as if farmers don’t know the wholesale price of :matooke" (a Ugandan staple, similar to a plantain) in their local market, they can’t possibly figure out if their farm can turn a profit this season.

Not only that, farmers run the risk of being swindled by buyers, who might offer them 2,000 shillings per bunch for their produce. Keen to meet the needs of their families, they might accept the price. But access to market information would mean the farmer would have known that the real price of matooke in, say, their home district of Arua, is actually 8,000 shillings a bunch. This simple piece of information would have a similar impact for farmers across the country.