PRISMA: Promoting Rural Incomes through Support for Markets in Agriculture

Project description / objective

PRISMA (The Australia-Indonesia Partnership for Promoting Rural Incomes through Support for Markets in Agriculture) is an MSD programme operating in six provinces in Eastern Indonesia. It’s goal is to reach one million smallholder farming households with an income increase of 30 per cent.

This Phase 2 is the continuation of AIP-Rural programme

Market systems focus

PRISMA focuses on sectors that provide incomes for a large number of smallholder farmers and have strong growth potential. Its portfolio ranges across crops, livestock and agriculture supporting functions. PRISMA also works on relevant cross-cutting issues including climate change adaptation and mitigation and gender equality, disability and social inclusion. 

As of August 2023, PRISMA portfolio consists of 12 sectors. Below are some examples of the principal market system focuses.

Beef

The cattle sector in East and Central Java, and West Nusa Tengara operates under a low input-output production system resulting in suboptimal weight gain (approximately 0.3kg/day), long intervals between calving (18 to 20 months), and poor health conditions. This is because smallholder farmers 1) rely on native grass and fodder rather than commercial feed; 2) have limited access to affordable feed, pharmaceuticals, and veterinary services; and 3) have poor knowledge of livestock management practices. This is compounded by an ineffective cattle trading system.

PRISMA’s vision is for small-scale women and men beef producers to increase cattle productivity through improved livestock management practices, improving productivity and incomes. 

Mung bean

Over 609,000 mung bean farmers in Central and East Java contribute 71 per cent of national production. Farmers plant mung beans because it is a low-maintenance and low-cost crop that has beneficial properties for the soil. Despite its importance, mung bean farmers have low productivity of 0.8 MT/ha, well below the potential of 1.5 MT/ha. The leading cause of low production is the low use of inputs, especially quality seeds.

PRISMA’s vision is to improved quality, competitiveness, and continuity of local mung bean supply to increase productivity of smallholder farmers and incomes.

Maize

There are more than 370,000 maize farmers in Madura Island, covering approximately 22 per cent (292,000 ha) of the cultivation area in East Java. The government has declared Madura, especially the Sumenep district, one of the maize-producing hubs of Indonesia. However, smallholder farmers’ main challenge is the low productivity at around 2.1 metric tonnes (MT) per ha.

PRISMA’s vision is for women and men maize farmers in Madura to use quality seed and good agricultural practices (GAP) to improve productivity and incomes. 

Pigs

Pigs are an important economic commodity in NTT due to their significance in NTT culture, and the role pigs play in most cultural ceremonies, including marriage, deaths, births etc. Pig farmers in NTT need better access to quality breeds and information on sound husbandry practices, including farm and breeding management. Pig health products are not readily available. If farmers do not adopt good animal health practices, the risk of ASF outbreaks will continue. Trade transactions for pigs and pork products are restricted due to government regulations, restricting options to re-stock. The primary constraint for farmers and the private sector is the need for pig stock.

PRISMA’s vision is for women and men farmers and market players in the pig industry gain benefit from increased availability and appropriate use of quality inputs, use improved husbandry practices, and have access to the downstream market supported by a conducive regulatory environment.

Programme interventions

Beef

Small-scale women and men beef producers increase cattle productivity through improved livestock management practices in Central and East Java and NTB.

• Promote quality concentrate feed and good cattle rearing practices through partnerships with feed companies to introduce quality, affordable feed. 
• Promote access to affordable good quality veterinarian products and services through partnerships with pharmaceutical and animal health companies.
• Advocate for changes to feed standards through long-term advocacy activities, inputting into the policy process and partnering with academic institutions and other industry stakeholders. 

Mung bean

Improved quality, competitiveness, and continuity of local mung bean supply.

• Promote and increase the availability of quality and certified seeds through partnerships with seed producers.
• Support off-takers, exports and processors through an off-taking study and increased coordination in the industry.

Maize (Madura)

Women and men maize farmers in Madura use quality seed and good agricultural practices (GAP) to improve productivity.

• Promoting and increasing the availability of quality and certified seeds through partnerships with seeds producers.
• Policy engagement to improve subsidy planning to support commercial market growth.

Pigs

Women and men farmers and market players in the pig industry gain benefit from increased availability and appropriate use of quality inputs, use improved husbandry practices, and have access to the downstream market supported by a conducive regulatory environment.

• Improve pig breeding through high-quality piglets and artificial insemination (AI) services to smallholder farmers through partnerships with pig breeding farms.
• Promote animal health through private and public partners disseminating biosecurity measures.
• Promotion of quality concentrate feed through partnerships with feed companies to introduce quality, affordable feed.

Notable results (systemic change, poverty impact)

(NB these results are up to December 2022)

Beef

• Around 64 per cent of farmers in East Java and 33 per cent of smallholder beef farmers in Central Java are using high-quality feed. 
• Over 640,000 of these farmers increased their incomes by 145 per cent. Before PRISMA, only two per cent of farmers in Indonesia used high-quality feed. 

Mung bean

• After six years, more than 48,000 mung bean farming households have used quality seeds.
• The government claimed that over 24 per cent of planted mung beans now use quality seeds. 
  Before PRISMA, there was no commercial market for high-yielding seeds. 

Maize (Madura)

• More than 126,000 farmers (around 30 per cent of the total farmers) in Madura have increased their income from increased maize yield. 

Pigs

• More than 130,000 smallholder farmers increased their incomes by 405 per cent from pig rearing.
  These farmers continue to restock their farms with high-quality piglets, use concentrated feed, and apply biosecurity measures, leading to low mortality and increased productivity of pigs. 

Overall impact across all of PRISMA’s interventions up to December 2022

• PRISMA has passed its end of programme outcomes and has reached 1,224,574 smallholder farming households with an increase in income by 184 percent.
• 264 partners from private and public sector.
• Leveraged AUD 26 million in private sector investment (USD $16.7 m).
• Increased revenue for partners by AUD 102 million (USD $65.6 m)
• Increased revenue for SMEs by AUD 184 million (USD $11.8 m). This is the total value of additional turnover for SME up to December 2022.

[updated September 2023]