Safaricom - 2021 Sustainable Business Report

48 SAFARICOM SUSTAINABLE BUSINESS REPORT 2021 / STANDING TOGETHER: GOING BEYOND //// OUR MATERIAL TOPICS / OUR STAKEHOLDERS / KPI SUMMARY OUR DIGIFARM PLATFORM Farming in Kenya accounts for a third of annual economic output and more than half of the workforce. At Safaricom, we did on-the-ground research and discovered that many smallholder farmers did not know why they farmed particular crops or whether they were suitable for a particular area. They also battled with issues such as quality of inputs and insurance. Accordingly, in 2017 we developed DigiFarm – an integrated platform that offers farmers convenient, one-stop access to a suite of products, including financial and credit services, quality farm products and customised information on farming best practices. Since launch, DigiFarm, has registered over 1.4 million users and currently has 14 000 active users. We have partnered with iProcure to guarantee access to high quality inputs, and are working with FarmDrive to provide affordable credit. In addition, we provide farmers with access to relevant information in partnership with Arifu. DIGIFARM’S RESPONSE TO SMALLHOLDERS’ CHALLENGES CHALLENGE DIGIFARM’S RESPONSE Expensive and poor quality inputs that lead to low yields. Lack of access to knowledge resources to improve agronomy. High cost and limited availability of credit which limit opportunities to invest to improve their farms. Limited channels to market, leading to low bargaining power and post-harvest losses. DigiFarm bypasses middlemen, giving smallholders direct access to low-cost seeds and fertiliser, credit providers and bulk purchasers of their produce. Through our education partners, smallholders on the DigiFarm platform can learn more about topics such as planting methods, cultivation and best farming practices, including the type of soil best suited to a particular crop. Credit is offered to farmers through credit partners, with a 20% deposit is required to access input credit. Agri-insurance is also offered, either bundled with input credit as mandatory insurance, or as a separate offering for farmers who decide to pay for inputs in cash. DigiFarm links farmers to markets through Digisoko and other partners e.g. UNGA Group Limited, EABL, BIDCO, Capwell Industries and Twiga Foods Limited. 1 2 3 4 KEY ACHIEVEMENTS • Registered farmers: 1 499 341 • Number of farmers geo-tagged and registered for market access: 141 026 • Active farmers accessing learning content: 228 416 • Percentage of women participants: 40% • Number of active digital village advisor (DVAs): 235 • Sum of redeemed inputs since inception: 472 823 454