By Africa.com | Created at 2024-12-07 16:46:16 | Updated at 2024-12-22 07:49:48
2 weeks ago
Agriculture is the backbone of Uganda’s economy, with smallholder farmers producing up to 70% of the country’s marketed produce. Despite its significance, many farmers still rely on subsistence farming and face substantial challenges, including limited resources. One of the key obstacles is the disconnect between farmers, extension services, and agro-input providers which slows the adoption of new technologies, leaving farmers without the knowledge, skills, and modern tools needed to grow their businesses.
Omia Agribusiness Development Group Ltd. was founded to bridge these gaps. Established as a youth-led social enterprise in 2016, with operations starting in 2018, Omia aims to improve access to quality agricultural inputs, extension services, and market linkages for farmers across Uganda. The company provides crucial products like seeds, fertilizers, farm tools, veterinary drugs, and animal feeds, ensuring that farmers—especially those in rural areas—have the resources and knowledge needed to grow crops and raise livestock more effectively.
In 2020, Omia’s founder, Iganachi Razaki Omia, received a $25,000 grant from USADF to expand the company’s reach, positively impacting 1,200 farmers in Uganda’s Arua District. With this funding, Omia introduced several initiatives, including purchasing motorcycles and agro-inputs, setting up demonstration projects, and hosting radio programs to educate farmers on modern agricultural practices and the safe use of agrochemicals. These efforts strengthened existing extension services, raising awareness of available technologies and promoting the adoption of quality agro-inputs, ultimately boosting production and household incomes.
Omia’s impact has been significant, reaching 3,738 farmers—795 of whom are women—and boosting both production and household incomes for smallholder farmers, upgrading their quality of life. The company experienced a remarkable 300% increase in turnover, growing from $33,877 to $136,616 by April 2021. Its stock value climbed to $58,151, while fixed assets more than tripled, rising from $7,014 to $21,378. The grant also enabled Omia to expand its operations from a single office in Arua to four branches, while its workforce grew from 4 to 18 full-time staff, creating valuable job opportunities for young entrepreneurs across several communities.
Building on this success, Omia was honored with the inaugural USADF Leslie Award for Early-Stage Entrepreneurship, which came with an additional $5,000 grant. This funding enabled the company to expand into the Adjumani District, near the South Sudan border, where it began serving both refugee and local farmers. The Adjumani branch, now staffed by 4 full-time employees, has already made over $26,000 in sales and reached more than 1,000 farmers. This expansion has brought high-quality agro-inputs to more farmers, helping them increase crop yields, improve food security, and boost incomes.
This includes farmers like Jacob Bubolo, a 49-year-old from Pakele Town Council, who switched from operating a struggling produce shop to vegetable farming after his business closed. He initially struggled with local tomato varieties but improved his yield after receiving guidance from Omia Agribusiness, adopting hybrid tomato seeds. With support from an Omia extension officer, Jacob successfully harvested 400 plants, earning 2.5 million Ugandan Shillings. He reinvested part of his profits to expand his farm, hire two full-time workers, and revitalize his produce shop. Additionally, he paid off a loan, and helped his wife start a business in Pakele Market.
These efforts have enabled Omia to expand its customer base, including NGOs supporting local farmers, such as Action Against Hunger and World Vision. Omia has also secured follow-on funding and grants from organizations like the World Food Program, along with access to short-term financing and loans. These achievements highlight the sustainability of USADF’s investment and highlights Omia’s potential for long-term success.
Through these efforts, Omia Agribusiness is playing a pivotal role in transforming Uganda’s agricultural landscape. This company is helping to bridge the gap between traditional farming practices and the modern tools and knowledge needed to drive productivity and economic growth. Omia’s journey is a testament to the power of local solutions, youth leadership, and the impact that can be achieved when farmers are given the resources and support they need to succeed.
