International Journal of Science and Research (IJSR), India Online ISSN: 2319‐7064 Volume 2 Issue 4, April 2013 www.ijsr.net An Assessment of the Factors that Affect the Productivity and Production of Small Scale Farmers in Three Selected Districts of Zimbabwe Angela Maposa Lecturer, Zimbabwe Open University angelamaposa@gmail.com Abstract: In this paper, I focused on the historical development of AGRITEX ( Agricultural, Technical and Extension Services) paying particular attention to its role and function towards the success of small scale farmers. The availability and cost of capital were also viewed in relation to their effect on the output(s) of these farmers. The challenges related to the Consumer Marketing Board (e.g. Grain Marketing Bard, Cotton Marketing Board & Tobacco Marketing Board) were not left out. Findings emerged from the data collection through the use of interviews, questionnaires and observation. A lot of interesting, valuable information was unearthed and recommendations were thus made as a way of intervention, to make agricultural activities more viable. The study was motivated by the underlying assumption that small scale farmers can perform according to their set targets if they tap the expertise of AGRITEX officials, they have access to credit lines and the buyers of their produce offer cost- effective prices. These three ingredients guided the study. The conclusions stimulate a lot of interest in the potential of small –scale farmers. Key Words: Small scale farmers, rural financial markets, marketing boards, credit lines 1. Background to the Study Agricultural extension was introduced in 1927 by Emory, D. Alvord, with farm demonstrations. At independence, in 1980, the Department of Agricultural, Technical and Extension Services (AGRITEX) was formed. However, AGRITEX has major handicaps, among which is the fact that it (AGRITEX) is only able to recommend technologies that were made available some 15- 20 years ago. Shortcomings of AGRITEX are compounded by the ever dwindling operating budget and lack of transport .Too many demands and expectations are directed towards AGRITEX, with insufficient financial backing. Like other sectors, AGRITEX suffered from hyper-inflation. Fortunately, large scale training of officers has been successfully accomplished across the country at institutions like Esigodini Agricultural Institute, Mlezu, Kushinga Phikelela Agricultural Institutes. AGRITEX has also made great progress in national development through participation in, and the initiation of rural development projects. The department uses relatively new approaches like participatory extension approaches, participatory rural appraisals, farmer workshops and provides general advisory services. But the question is, whether or not the small-scale farmers are aware that it is their right, not a priviledge to get the assistance of AGRITEX officers. Following the Land Reform of 1991- 2002, there were perennial declines in the level of production. Some farms lay idle for years and this made a mockery of the land reform. Literature did not emphasize how lack of financial inputs would always leave the reform incomplete. In addition to drought, foreign currency shortages, inflation, access and cost of capital, almost crippled the marginalized small scale farmers. Commercial farmers had no problem because they were serviced by the financial services sector and most of them were , after all, self sufficient. About 70% of the total population of Zimbabwe resides in the communal areas but less than 15% of Zimbabwean Banks and Building Societies were found to be located in remote communal lands. Financing was thus informal or these rural folk had to travel long distances to the nearest urban centres to access financial services. As pointed out by the World Bank, 2004 DFID, agriculture is the mainstay sector of the Zimbabwean economy, contributing about 22.8% of the GDP (RBZ, Report 2006).I was further propelled to examine the extent of the challenges and then suggest solutions since there is great potential for economic growth and poverty alleviation, in smallholder farming. Agricultural Sector Productivity Enhancement Facility (ASPEF) was a financing facility which was meant to enhance productivity in the agricultural and export sectors through provision of concessional funding to support capital and working capital requirements. Concessionary finance was to bridge the financing since small scale farmers could not access credit mainly due to lack of collateral security. Uncertainty and risk factors were increased by farm disturbances (invasions and evictions). No financial market could plan to establish its branch in such unstable environments. So there were simply no funds for the small holder farmers. Small scale farmers and all farmers contribute over 70% of local maize output alone and it must be noted that maize is the staple food in Zimbabwe. However, the same farmers have been enticed, “... resettled farmers invariably want to grow maize because they don’t know anything else...” (www.econ.yale.ed) Such lack of innovativeness and fear of change discourage banks. This study’s survey had an eye for those who had “broken new –ground”, if there were any. The population of Zimbabwe is primarily rural and communal farmers constitute the breadwinners of the country’s larger population. To a large extent, the small scale farmers are most legible for economic empowerment of indigenous people. Perhaps major transformations in communal farming are needed to allow credit provision and 23