Online Reporter
Edgar Vhera
Specialist Writer – Agribusiness
ECOCASH Holdings has upped and perfected the art of bringing out oilseed value chain players’ maximum potential through financial inclusion of previously unbanked customers as the cotton marketing season starts on June 1.
Speaking during the recent Kadoma conference hosted by Zimpapers and its partners, which ran under the theme: “Import substitution, rural industrialisation and smallholder farmer empowerment through sustainable oilseed production and value addition,” EcoCash account executive, Mr Dylan Sintirau said his organisation had transformed farmers’ livelihoods.
“EcoCash is a mobile payment platform that has transformed lives of those farmers previously excluded from the formal banking sector.
“We provide a simple accessible way of sending money, payment of goods and services as well as manage finances,” he said.
EcoCash has expanded its market penetration with over eight million customers on its platform locally and strive to have an agent within every 10-kilometre radius.
“We worked with cotton contractors in the 2022/23 agricultural season and have since tweaked the services we will provide this time around.
“Instead of the voucher system we were using to pay farmers, now we have the bulk disbursement method,” Mr Sintirau added.
This system allows the cotton buying companies to process payments on their own after funding their enterprise lines.
“Once the transaction has been approved by the contractor, the money will be credited immediately into the farmer’s wallet.
“The farmer can choose to cash out the funds at any registered EcoCash agent, or pay for other services such as procurement of inputs, payment of bills, school fees as well as buying groceries among others,” he explained.
In the 2024 cotton marketing season the largest contractor Cotton Company of Zimbabwe (Cottco) was giving farmers United States dollars in cash on the spot and the balance of 25 percent in local currency through EcoCash.
Cottco last year raised concern over the non-collection of US$323 642 by farmers for the seed cotton delivered in the 2023 cotton marketing season despite several notices to them via mobile money platforms.
The Cottco weekly update report dated May 7, 2024, said the company had US$323 642 remaining uncollected despite several notices to farmers by mobile money platforms.
“This delay in voucher redemption is a cause for concern particularly in this drought year where farmers require financial resources to ensure food and nutrition security. Farmers are encouraged to visit business units (BU) or designated collection points promptly to access their hard-earned payments,” said the report.
The report said Cottco remained committed to ensuring transparency and efficiency in the payment process and encouraged farmers to actively engage with the company to access their rightful payments without delay.
Masvingo province had the largest uncollected amount at US$82 978 from 892 farmers, followed by Mashonaland West on US$82 384 for 830 growers and Manicaland with US$53 392 from 633 farmers.
A total of 416 farmers from Mashonaland West province had not collected US$42 512 with 578 in Midlands not collecting US$32 872 while 116 growers from Mashonaland East still had US$15 329 to be collected.
Lastly, 276 farmers in Matabeleland North province were still to collect US$14 175 from Cottco.
Farmers were paid under the EcoCash and Mukuru platforms.
Peter Tanyanyiwa