Twezimbe Area Co-operative Enterprise (A.C.E) Limited

Business Approach

Business Approach: Farmer Co-operative Business and Agribusiness (FACOBA)

The Co-op: Twezimbe Area Cooperative Enterprise (TACE) Limited is an autonomous farmer owned enterprise, located in Ntwetwe Town Council, Kiboga West Constituency, Kyankwanzi District, Uganda. The organisation started in February 2010 and registered in May 2012 under the Co-operative Institutions Statute,1991 and Co-operative Regulations,1992, with the Registration Number: 9905/RCS. Twezimbe area Cooperative Enterprise was formed by primary agricultural cooperative societies to promote the MUTUAL economic and social needs of the farmers in accordance with the co-operative values and principles.

Vision: A Leading farmer owned Co-operative institution providing access to better markets and market alternatives for farmers in rural farming communities.

Mission: To bring farmers together to carry out collective marketing and value addition through bulking of high quality produce with a purpose of gaining access to better markets, food security and improved income.

Our products are agro-inputs, maize, beans and coffee. These enterprises are profitable, market competitive and cost effective in nature. Maize and beans are produced, processed, packaged, branded and marketed cooperatively by farmers and that will also be done to coffee.

Twezimbe A.C.E targets both domestic and export market. Domestic market targets; Rural community/farmers, supermarkets, wholesale and retail shoppers, schools, police, prisons, National Leadership Institute (NALI) in Kyankwanzi. Other market targets include: Aponye (U) Ltd, Savannah Commodities (U) Ltd, World Food Programme (WFP),

There is only one category of mills in Kyankwanzi district; small scale mills that only serve their immediate communities without any large scale mills that sell their product to the community. Twezimbe produces for small and large clients, and therefore spend significantly on marketing and customer brand recognition. Twezimbe has established a strong relationships with maize producers (farmers, which already exist) and grain traders. Twezimbe pays much attention to product quality and safety and regulate quantities with respect to market trends. Attention will also be given to smaller outlets owned by some of our farmers and customer support will receive much attention.

Product differentiation, strong marketing mix strategies, communicative advertising and promotions will be used to increase desire and passion for the products, direct marketing and mail campaigns and effective management of the distribution system, the e-commerce and email marketing strategy will be used to connect with customers.

Twezimbe Area Co-operative Enterprise (ACE) Limited will need one billion seven hundred eight million seven hundred thirty two thousand five hundred shillings only (UShs. 1,708,732,500/=) to improve and expand members and organizational business operations over a period of three years. This will be financed by; members equity, retained surpluses, and external funding from commercial sources (loans), donors/grant incomes. The retained surplus will be used to acquire more fixed assets, pay dividends, capitalize the business-working capital and sustain services to the members.

THE CO-OPERATIVE STRATEGY

  1. Refining and strengthening the agricultural marketing and agro-processing functions for proper positioning in the current competitive agricultural sector.
  2. Strengthening the capacity, systems and sustainability of Twezimbe ACE, Primary Cooperative Societies and individual members.
  3. Establishing strategic partnerships and alliances with value chain stakeholders to promote and strengthen farmer-to-market linkages.

To improve livelihoods of the smallholder farmers through transformation from subsistence farming to commercial, market oriented production thus contributing to the employment creation and poverty reduction in Uganda.

Empowered rural smallholder farmers with improved farm incomes through value addition initiatives, increased productivity, enhanced market competitiveness and access to affordable farmer-friendly agro-inputs and financial services.”

Strategies for co-operative business development

Twezimbe will focus on implementing an integrated market-oriented co-operative marketing system using a value chain approach. The major focus will be put on;

(a) Strengthening the capacity, systems of Twezimbe ACE and primary co-operative societies

(b) Farmers adaptation to climate change and agri-environmental mitigation measures

(c) Increasing agricultural production and productivity

(d) Agro-marketing and processing enterprise development

(e) Develop and strengthen the co-operative marketing information system

  1. Strengthening the capacity and skills of Twezimbe ACE for increased membership to 4,000, effective performance and service delivery by end of 2016.
  2. Promotion of rural producers’ adaptation to climate change and agro-environmental mitigation measures.
  3. Increasing production and productivity of maize, beans and coffee enterprises for increased food and income security by end of 2016.
  4. Post-harvest management and processing improvement to reduce post-harvest losses and upgrading the capacity of Twezimbe ACE Farmers to improve food safety, sanitary & phytosanitary (SPS), and quality management systems (QMS).
  5. Establishing viable and sustainable marketing systems for increased market access, quality assurance and competitiveness by the end of 2016.