AgriHub is ATA’s newest project aimed to promote the development of the private sector in agriculture to improve livelihoods and economic opportunity. AgriHub will focus on scaling and improving operational capacity of Micro, Small and Medium Enterprises (MSMEs) within existing ATA projects.
AgriHub is based on the success, and lessons learned, of the Ethiopian Agribusiness Accelerator Platform (EAAP), a demand-driven, value chain focused business incubator and accelerator that helps high-potential agribusinesses to professionalize and scale.
What is the model of support?
The AgriHub intends to directly contribute to sustainable growth and impact of MSMEs operating in agricultural value chains through business skills enhancement and access to finance through a three-tiered support system:
- Center of Excellence (CoE): providing business training to a large pool of MSMEs within ATA whose business models are considered feasible and ripe for growth. The CoE will build a library of standard training content that can be accessed by MSMEs across various value chains.
- Capability Booster: a higher tier of support for enterprises who are in a more advanced stage of their business lifecycle. The enterprises receive specialised services such as software and technology, one-to-one business advisory services and group networking workshops.
- Accelerator: This is the highest tier of support that is reserved for a handful of large high-potential growth enterprises selected through a stringent evaluation method. In addition to the services provided in the Capability Booster and CoE, these enterprises will receive highly customized business advisory services where their problems are prioritized and solutions are implemented at the ground level, with the direct KPI of revenue growth.
Which enterprises will AgriHub support?
In order to meet this goal, AgriHub will support enterprises in the four major Ethiopian agricultural regions: Tigray, Amhara, Oromia, and SNNP, covered by the ACC initiative. AgriHub will target agro-processors and export oriented MSMEs in the 10 ACC priority commodities: Wheat, Maize, Teff, Malt barley, Sesame, Avocado, Mango, Banana, Tomato and Onion.
In addition, AgriHub will target the 7 following categories of SMEs
- Farm Service Centers (FSC) / Agricultural One-Stop Shop Center (AOSC)
- Mechanization Service Centers
- Co-operative Based Seed Producers (CBSP)
- Irrigation enterprises (ISGWID)
- Direct Seed Marketers (DSM) and Direct Input Marketers (DIM)
- ACC exporters and value-adding Agribusinesses
What is the smallholder farmer impact?
Through the AgriHub project, our preliminary assessment indicates that 5.4M smallholder farmers and microentrepreneurs will benefit from the SMEs supported through AgriHub. In order to ensure sustainable growth of the SMEs and continuous impact on smallholder farmers, the AgriHub will develop efficient methodologies, tools and network of partners and service providers to develop an effective strategy for the outreach of AgriHub at the conclusion of the project period.