Eugenia Saini is currently FONTAGRO’s Executive Secretary. FONTAGRO is the Regional Fund for Agricultural Technology. She leads the investment fund and a portfolio of 70 international operations related to science, technology, and innovation for the Latin America and the Caribbean region. She is from Argentina and is an agronomist by training. She holds a doctorate in agricultural sciences, specializing in total factor productivity analysis. One of her seminal works in this field was the estimation of 120 years of TFP for the agricultural sector in Argentina. She is also a National Public Accountant and holds an MS in Food and Agribusiness and an MS in Applied Economics, both from Universidad de Buenos Aires. She has worked in the private and public sectors, both nationally and internationally, especially in multilateral banks. She was awarded a Fulbright Scholarship at Cornell University and, more recently, with the Abshire-Inamori Leadership Academy (AILA) Scholarship at the Center for Strategic & International Studies (CSIS) in Washington, D.C.
SUMMARY: In Uganda’s Kitagwenda District, the Kyendagara Area Cooperative Enterprise (KACE) has transformed from a subsistence group into a thriving commercial hub with support from the Sasakawa Africa Association and Japan’s Ministry of Foreign Affairs. Through the One Stop Centre Association model, KACE gained access to training, finance, inputs, and markets—enabling farmers to invest in productivity-enhancing practices and transition from subsistence to commercial-scale production. Certified processing and access to formal markets boosted maize sales and income, while collective bulking tripled volumes in one year. Membership more than doubled, and new jobs for youth and women strengthened local economies. KACE now stands as a model for how inclusive, market-led investments create sustainable productivity growth.
In the hills of Uganda’s Kitagwenda District, the Kyendagara Area Cooperative Enterprise (KACE) is showing how market access, integrated services, and community leadership can incentivize innovation and unlock sustained agricultural productivity growth.
Originally established in 2006 with support from The Nippon Foundation, KACE functioned for nearly two decades as a subsistence-oriented group focused on rice seed production and local maize milling. But in 2024, catalytic investment from the Ministry of Foreign Affairs of Japan (MOFA), implemented by the Sasakawa Africa Association (SAA), sparked a profound transformation.
Under SAA’s One Stop Centre Association (OSCA) model, KACE was equipped with a suite of interconnected services: training in business and agronomic skills, access to certified inputs, post-harvest technologies, financial linkages, and market integration. This ecosystem not only improved yields but also created stronger incentives for farmers to invest in productivity-enhancing tools and practices. Productivity gains allowed KACE to transition from a subsistence to commercial scale.
A major turning point came with SAA’s support for agro-processing and product certification, enabling KACE to move up the value chain. With Q-Mark certification and support from the Uganda National Bureau of Standards, the cooperative gained access to formal markets, including schools, wholesalers, and supermarkets across southwestern Uganda—and opened opportunities for cross-border trade with DR Congo and Burundi.
In 2024 alone, KACE processed over 384 tonnes of maize—up from 87 tonnes the year prior—and sold certified maize flour at USD 0.44/kg, generating USD 168,563 in revenue. New contracting opportunities, including a USD 16,461 agreement with Persher Agro Ltd, provided stability and price predictability, encouraging members to increase production and reinvest in their farms.
This surge in market demand and guaranteed off-take reduced risk for producers and enhanced the return on investment in improved practices such as row planting, post-harvest handling, and input use. With access to finance facilitated by SAA and UGAFODE Microfinance, farmers accessed over UGX 3 billion ($833,333 US) in loans to expand their operations, further increasing productivity at the farm level.
Cooperative membership more than doubled—from 1,200 in 2023 to 2,750 in 2024—driven by trust in consistent market access and service delivery. KACE’s model has also created new employment opportunities, particularly for youth in processing and women serving as village agents, who now help aggregate maize and expand the cooperative’s reach.
While challenges such as unreliable electricity and high transport costs remain, KACE is exploring energy alternatives and logistics partnerships to ensure continuity and efficiency. With continued support, the cooperative is on track to become a national example of inclusive, market-driven productivity growth.
From modest beginnings to a thriving commercial enterprise, KACE illustrates the transformative impact of aligning farmer incentives with well-structured support systems, value addition, and market certainty. It demonstrates that when farmers have the tools, knowledge, and market access to succeed, productivity gains become not just possible—but inevitable.
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