Value Addition practices on the economic growth of Small-Scale Farmers in Chibombo District, Zambia

Int. Jr. of Contemp. Res. in Multi. PEER-REVIEWED JOURNAL Volume 4 Issue 6 [NovDec] Year 2025 458 © 2025 Kalonga Kamwale, Dr. Sankara Nayagam. This is an open-access article distributed under the terms of the Creative Commons Attribution 4.0 International License (CC BY NC ND).https://creativecommons.org/licenses/by/4.0/ Research Article Value Addition practices on the economic growth of Small-Scale Farmers in Chibombo District, Zambia Kalonga Kamwale 1*, Dr. Sankara Nayagam 2 1 Research Scholar, DMI-St. Eugene University, Lusaka, Zambia 2 Senior Lecturer, School of Business and Commerce, DMI-St Eugene University, Zambia Corresponding Author: *Kalonga Kamwale DOI: https://doi.org/10.5281/zenodo.18014369 Abstract Manuscript Information In Zambia, most of the small-scale farmers are affected by a lack of Value addition hubs to transform their primary agricultural outputs into higher-value products, which can allow them to harness more revenue. This paper outlines a clear examination on value addition of agroproducts and their effects on the growth of small-scale farmers in Zambia. The methodology used a mixed-method in which a number of strategic documents were used as the national policy papers, academic studies, and project reports bordered on Agriculture. Zambia is known for its economic activities in agriculture, despite a number of farmers facing numerous constraints in adding value to their agro produce, and this has led to the selling of their produce in raw form and selling them at a lower price. This paper revealed that the main crops planted in Zambia are maize, groundnuts, soybeans, beans and some cotton/cash crops, and there are several small-scale agro-processors that have realised the opportunity to aid farmers with addicting value to their agro produce, and this is projected to provide numerous jobs among youths. Some of the constraints faced by small-scale farmers included inadequate funding, weak market linkages, lack of good infrastructure and limited technical capacity. ▪ ISSN No: 2583-7397 ▪ Received: 15-10-2025 ▪ Accepted: 29-11-2025 ▪ Published: 22-12-2025 ▪ IJCRM:4(6); 2025: 457-461 ▪ ©2025, All Rights Reserved ▪ Plagiarism Checked: Yes ▪ Peer Review Process: Yes How to Cite this Article Kalonga Kamwale, Dr Sankara Nayagam. Value Addition practices on the economic growth of SmallScale Farmers in Chibombo District, Zambia. Int J Contemp Res Multidiscip. 2025;4(6):457-461. Access this Article Online www.multiarticlesjournal.com KEYWORDS: Value addition, agro-processing, small-scale farmers, Int. Jr. of Contemp. Res. in Multi. PEER-REVIEWED JOURNAL Volume 4 Issue 6 [NovDec] Year 2025 459 © 2025 Kalonga Kamwale, Dr. Sankara Nayagam. This is an open-access article distributed under the terms of the Creative Commons Attribution 4.0 International License (CC BY NC ND).https://creativecommons.org/licenses/by/4.0/ 1. INTRODUCTION Small-scale farming remains the backbone of rural livelihoods in Zambia. In Chibombo District, agriculture is a primary economic activity with a mix of staple and cash crops. Yet most smallholders sell raw produce at low prices and capture little of the downstream value. Value addition processing crops into products with greater market value is seen as an entry point to increase incomes, build resilience and link farmers to highervalue markets. Chibombo’s District Integrated Development Plan identifies maize, soybeans, groundnuts and beans as principal crops and highlights potential for local processing and market development. Agriculture remains the cornerstone of rural livelihoods in Zambia, and in particular within Chibombo District in the Central Province, where large numbers of households depend on farming for income, food security and employment. According to the district’s Integrated Development Plan, the district registers over 68,480 farmers (approximately 60 % male and 40 % female) and more than 1,200 registered farmer groups. The predominant crops in the district include maize, soybeans, groundnuts, beans and sweet potatoes, while horticultural crops such as watermelons, butternuts and tomatoes are also increasingly produced. However, despite this active agricultural production base, a significant challenge persists: many small-scale farmers in Chibombo sell their produce primarily in raw form at the farm gate or local markets, capturing minimal value beyond the primary commodity. This situation often leads to low returns, vulnerability to price fluctuations and high post-harvest losses. In this context, value addition, the process of transforming raw agricultural commodities into processed, packaged or bettermarketed products, presents an opportunity for farmers to capture higher margins, increase incomes, improve livelihood resilience and stimulate broader rural economic growth. In Chibombo District, value addition is gaining visibility through both institutional and grassroots initiatives. For example, a tomato processing plant was established in Shamputa village to convert tomatoes into paste, aiming to engage thousands of farmers as suppliers and integrate them into higher value chains. Likewise, the government-backed SCRiKA project awarded a grant of USD 40,000 to a local agro-processing company (MKP Farms Ltd) in Chibombo, enabling the construction of facilities for sorting, drying, packaging and cold storage, thereby linking over 36,000 community farmers to local and export markets. 2. LITERATURE REVIEW 2.1 Conceptualising Value Addition in Agriculture Value‐addition refers to the set of activities that transform raw agricultural commodities into processed, packaged or enhanced products that command higher prices in markets. These activities typically involve post-harvest handling (e.g., drying, cleaning, sorting), processing (e.g., milling, oil extraction, packaging), branding, storage, transport and marketing. The core idea is that by moving up the value chain (i.e., beyond simply selling raw produce), farmers and rural economies can capture a larger share of the end value, thereby increasing incomes, creating jobs and fostering rural development. Within smallholder agriculture, the literature emphasises that value addition is not purely a technical issue: it also involves institutional, market and infrastructural dimensions. For example, value addition requires access to suitable technology, finance, markets, standards and reliable logistics. Moreover, it often needs coordination between actors (farmers, processors, traders) and sometimes contract arrangements or aggregation to reach scale (FAO/World Bank 2009; Bwalya & Kalinda 2014). 2.2 Determinants and Factors Enabling Value-Addition Numerous studies in sub-Saharan Africa (and in Zambia) identify key factors that influence whether smallholders engage in and benefit from value‐added activities: Access to technology/processing equipment, the availability of appropriate machines (small mills, oil presses, dryers) and knowledge of how to use them are barriers. For instance, a study in Chongwe District found that limited access to technology significantly constrained value‐addition by small and medium‐scale farmers (Mwale & Mwange, 2025). Finance and working capital, Investments in processing, packaging and storage require capital. Without access to affordable credit or working capital, farmers cannot easily invest. The same Chongwe study reports financing as a major constraint (Mwale & Mwange, 2025). Infrastructure (roads, electricity, storage), Processing and delivering value‐added products rely on infrastructure. Poor roads or unreliable power raise costs or reduce market reach. The Chongwe study pointed to inadequate infrastructure as a major barrier (Mwale & Mwange, 2025). Market access and linkages, having reliable off‐take buyers, processors or markets for value‐added products, are critical. Without assured demand, farmers may not invest. The Zambia value chain study by the FAO/World Bank (2009) emphasises that smallholders often miss out because they lack access to the better‐functioning segments of commercial value chains. Scale, organisation and aggregation, because processing often requires volumes, individual smallholders may struggle to realise economies of scale. Organisation (cooperatives, farmer groups) and aggregation play key roles. For example, Bwalya & Kalinda (2014) in their analysis of indigenous chicken value chains found that although smallholder households were involved, the absence of processing severely limited their ability to move into higher‐value segments. 2.3 Effects of Value Addition on Smallholder Farmer Growth The literature suggests several pathways through which value addition can contribute to the growth of smallholder farmers. “Growth” here can mean higher incomes, increased assets, more employment opportunities, diversification and improved resilience. Higher farm incomes and price premiums. By selling processed or semi-processed products, farmers or farmer groups can get higher margins compared to raw commodity sales. The FAO/World Bank (2009) study found that engaging in commercial value‐chains, including processing, offers smallholders potential for improved incomes. Reduced postharvest losses/improved product quality: Value addition often Int. Jr. of Contemp. Res. in Multi. PEER-REVIEWED JOURNAL Volume 4 Issue 6 [NovDec] Year 2025 460 © 2025 Kalonga Kamwale, Dr. Sankara Nayagam. This is an open-access article distributed under the terms of the Creative Commons Attribution 4.0 International License (CC BY NC ND).https://creativecommons.org/licenses/by/4.0/ includes improved storage or processing, which reduces losses and improves shelf life, thereby increasing marketable volumes and quality. Though detailed empirical values are often missing in Zambian studies, this is a recurring finding in value chain literature. Employment creation and diversification: Processing activities provide non-farm employment (in sorting, packaging, milling) and can diversify incomes away from just cropping. For instance, the case of a brewery in Zambia shows how local value addition linked to smallholders generated job opportunities across the chain (Zambian Breweries 2021). Improved market linkages and stability: Engagement in value chains may provide structured offtake contracts, input supply, or technical services, leading to more stable incomes and productivity gains. For example, the dairy value chain study by Namulindwa (2018) found that smallholders with access to processing (through cooperatives) had better market participation, though not always dramatic income increases. 2.4 Evidence from Zambia / Chibombo-relevant Context Although district‐level studies in Chibombo specifically are scarce, several Zambia‐wide or province‐level studies provide relevant insights, The FAO/World Bank (2009) report on Zambia’s commercial value chains indicates that agriculture and agro-processing account for a large share of employment and manufacturing value-added in Zambia (about 40% of GDP is agriculture, and agriculture supplies raw materials to industries accounting for 84% of manufacturing value-added) (FAO/World Bank 2009). The study asks: “Do Zambian smallholders benefit?” and concludes that while they can benefit, there are significant barriers. The dairy‐value chain study (Namulindwa 2018) analysed participation of smallholders in Zambia’s dairy value chain through interlocked contracting arrangements and found that while membership in cooperatives and ownership of processing plants enhanced participation and market access, the effect on household income was limited and did not always translate into broader poverty reduction (Namulindwa 2018). The groundnut value‐chain investment brief (AgrienConsult 2025) highlights the strategic potential of groundnuts in Zambia (including in Chibombo) for post‐harvest/processing equipment, shelling, sorting and value‐added products (AgrienConsult 2025). For example, it identifies Chibombo as one of the districts for horticulture & groundnut value‐chain investment. The Ministry of Agriculture (2024) emphasises that small-scale farmers are key players in value addition chains and that aggregation alliances linking farmers, producers and off-takers are essential (Ministry of Agriculture 2024). The case of Zambian Breweries (2021) provides concrete evidence: sourcing crops like barley, cassava, maize, and sorghum from smallholders, and upgrading to local processing enabled over 30,000 households to benefit, plus the creation of more than 80,000 jobs along the chain (Zambian Breweries 2021). 2.5 Gaps, Challenges and Considerations The literature also highlights several caveats and open issues. Very smallholder farmers, especially those operating less than 5 ha, may not fully reap the benefits of value addition unless they are aggregated or linked to processors. The Zambia soybean study found benefits more pronounced for medium‐scale farmers (5-20 ha). Value addition can result in increased inequality if only well‐resourced or better‐linked farmers participate. Many studies focus on processing or upstream linkages, but fewer measure the full household welfare effects (assets, non-farm income, resilience). For example, while Namulindwa (2018) found improved revenue from milk sales, the effect on total household income was limited. Much of the value addition literature comes from more favourable regions or larger farms; applicability to remote, poor infrastructure districts (like some areas in Chibombo) is less certain. Even when farmers attempt value addition, weak markets, lack of finance, inadequate infrastructure, and poor governance blunt the impact. For example, Mwale & Mwange (2025) in Chongwe note the multiple constraints (technology, finance, and infrastructure) to value addition. 3. METHODOLOGY This is an applied, document-driven research paper using a mixed-method synthesis approach, which included a Desk review of Chibombo District Integrated Development Plan (2024–2033), Ministry of Agriculture strategic documents, FAO/World Bank value chain reports and published academic studies on Zambia’s agricultural value chains. The Secondary data analysis of publicly available statistics and project reports describing crop composition, processing firms and donor interventions in Central Province. Primary field surveys in Chibombo were not conducted for this paper; findings are synthesised from available documents and secondary sources. Where district-level quantitative gaps exist, the paper draws cautiously on provincial or national evidence and flags the need for primary data collection. 4. FINDINGS DAPP and youth farmer clubs in Chibombo have introduced small-scale processing (garden produce, peanut butter, small milling) that improve incomes for participating households and provide skills training — showing localised, demonstrable benefits in livelihood diversification and youth empowerment. However, the scale remains small without broader market access and finance. This study shows that larger processors and improved midstream activities in Zambia can increase smallholder incomes when contractual and infrastructure bottlenecks are addressed. In certain crops (e.g., soybeans, groundnuts), processing firms buying directly from smallholders or aggregated traders led to significant income gains for farmers. In Chibombo, value addition likely yields meaningful income and employment gains for smallholders who (a) are linked to processors or aggregation points, (b) organise (cooperatives/associations) to reach scale, and (c) receive technical and financial support. Without these enabling conditions, benefits are limited and uneven. Recommendations To scale value addition and make it pro-poor for Chibombo smallholders, the following integrated approach is Int. Jr. of Contemp. Res. in Multi. PEER-REVIEWED JOURNAL Volume 4 Issue 6 [NovDec] Year 2025 461 © 2025 Kalonga Kamwale, Dr. Sankara Nayagam. This is an open-access article distributed under the terms of the Creative Commons Attribution 4.0 International License (CC BY NC ND).https://creativecommons.org/licenses/by/4.0/ recommended: Support formation/strengthening of producer cooperatives and farmer business groups to aggregate volumes, negotiate prices and reduce transaction costs. CONCLUSION Value addition offers Chibombo District a realistic path to enhance smallholder incomes, reduce post-harvest losses, and create local jobs, provided interventions address finance, infrastructure, skills and market linkages. The existing crop base (maize, groundnuts, soybeans, beans) and nascent community processing initiatives create a foundation for scaling. Success requires concerted action by local government, national agencies, private sector processors and development partners to create an enabling environment that ensures smallholders capture a fair share of the added value. REFERENCES 1. Chibombo District Council. Chibombo District integrated development plan (citizens’ version), 2024–2033. Chibombo: Chibombo District Council; 2024. 2. DAPP Zambia. Young farmers scaling up agro-processing in Chibombo. Lusaka: DAPP Zambia; year not specified. 3. Food and Agriculture Organisation; World Bank. Commercial value chains in Zambian agriculture. Rome: FAO; Washington (DC): World Bank; year not specified. 4. Food and Agriculture Organisation. Commercial value chains in Zambian agriculture: do smallholders benefit? Rome: FAO; year not specified. 5. IDH; Griffin Services. 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Soyabean expansion and smallholder livelihoods in rural Zambia. 2024; publication details not specified. 13. Solidaridad. Wasting away: the social and economic consequences of post-harvest losses in Zambia. Utrecht: Solidaridad; 2025. 14. United Nations. Zambia national food systems pathway. Lusaka: United Nations; 2023. 15. World Bank. Zambia—commercial value chains in Zambian agriculture: do smallholders benefit? Report No. 48774. Washington (DC): World Bank; year not specified. 16. Ministry of Agriculture (Republic of Zambia). National agriculture policy and strategic plan. Lusaka: Ministry of Agriculture; year not specified. Creative Commons (CC) License This article is an open-access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY 4.0) license. This license permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited. About the corresponding author Kalonga Kamwale is a Research Scholar at DMI–St. Eugene University, Lusaka, Zambia. His academic interests focus on interdisciplinary research, with emphasis on contemporary issues in social sciences and development studies. He actively contributes to scholarly research and academic discourse through publications and conferences.