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Innovative credit for livestock value chain development
    Objective:
    To stimulate innovations in the different components of the livestock value chain
    by existing lending institutions
     Livestock production credit innovations
    Business oriented enterprise –larger numbers, better feeding ,more cycles




                                                                                               Commercial                    Commercial               Apiculture farm
                  Egg laying unit                                                             fattening oxen               fattening sheep

    Livestock input supply/service credit innovations




           Pullet production                                                            Coop input shop                  Community               Private apiculture shop
            women groups                                                                                                  Para vet

    Livestock processing marketing innovation




                                                             Private honey extraction                                    Cooperative milk shop

      Lessons learned
      •               Some MFIs are ready to vary loan sizes and collateral requirements for commercially
                      oriented value chain interventions
      •               Many district level lending institutions , especially cooperatives are insufficiently
                      equipped to deal with loan administration for commercially oriented loans, resulting in
                      delayed/poor repayment
      •               Flexibility in the use of production loans is to be developed since initial investments are
                      seen as a stepping stone in the development process and /or production and market
                      conditions changes during the loan period.
      •               Lending for small scale agri business shows excellent repayment
This document is licensed for use under a Creative Commons Attribution Noncommercial Share Alike 3.0 Unported License.

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Innovative credit for livestock value chain development

  • 1. Innovative credit for livestock value chain development Objective: To stimulate innovations in the different components of the livestock value chain by existing lending institutions Livestock production credit innovations Business oriented enterprise –larger numbers, better feeding ,more cycles Commercial Commercial Apiculture farm Egg laying unit fattening oxen fattening sheep Livestock input supply/service credit innovations Pullet production Coop input shop Community Private apiculture shop women groups Para vet Livestock processing marketing innovation Private honey extraction Cooperative milk shop Lessons learned • Some MFIs are ready to vary loan sizes and collateral requirements for commercially oriented value chain interventions • Many district level lending institutions , especially cooperatives are insufficiently equipped to deal with loan administration for commercially oriented loans, resulting in delayed/poor repayment • Flexibility in the use of production loans is to be developed since initial investments are seen as a stepping stone in the development process and /or production and market conditions changes during the loan period. • Lending for small scale agri business shows excellent repayment This document is licensed for use under a Creative Commons Attribution Noncommercial Share Alike 3.0 Unported License.