Implemented by Niras since October 2022, CASA Ethiopia collaborates with key market systems development actors in soybean and vegetable value chains to enhance the productivity and income of smallholder farmers for improved climate resilience. CASA tests inclusive business models by partnering with diverse agribusinesses that provide reliable market access, deliver tailored climate-smart agro-advisory services, and facilitate access to inputs and credit facilities to improve productivity.

In Ethiopian agriculture, soybean production offers a potential route for smallholder farmers to improve food security, livelihoods and employment, and to generate additional income. However, the sector’s performance compared to its potential is considered poor. Key bottlenecks are poor access to quality inputs, prevalence of pests and diseases, high post-harvest losses, weak market structures and poor coordination in the supply chain. To address these underlying causes, CASA Ethiopia has co-created six key climate-smart project interventions with system actors, focusing particularly on edible oil processors and organic fertilizer producers, in collaboration with farmers’ cooperative unions. This involves strengthening climate-smart contract farming models and direct raw material sourcing to improve access to affordable inputs and organic fertilizer which are expected to boost production capacity, ultimately improving the supply of quality soybean for processing companies which are tasked by government with increasing local production of edible oils to reduce palm oil imports.

CASA Ethiopia is also working in the vegetable sector to deepen results in smallholder climate adaptation, contribute to domestic food access, and food and nutrition security. This initiative aims to develop a more robust market system, significantly boosting economic growth and enhancing resilience within the vegetable sector. To identify impactful and profitable investments in the vegetable market system, CASA Ethiopia conducted a sector analysis, prioritizing potato, tomato, pepper, and onion, identifying key constraints and their root causes. Five business partnerships have been developed to address these constraints and create opportunities for agribusinesses and smallholder vegetable farmers to sustainably commercialize and scale their operations. The partnerships aim to improve and modernize the vegetable market system while improving farmers’ horticultural practices for climate change adaptation and resilience, at the same time building on opportunities for agribusinesses in the value chain.