Increased production and strategic business planning to capitalise on value-adding opportunities Mpongwe Bulima Organic Cooperative Society (MBOCS) was formed in 2000. Initially  with help of volunteers and support by VSO UK  groundnuts were grown organically amp; exported and wild mushrooms (Cantharells) were dried and exported to the UK and Germany with organic certification. The business gradually stopped as mushrooms gradually disappeared due to deforestation and competition.In 2005  MBOCS received a grant from United States Africa Development Foundation (USADF) to establish a fulltime management team  move to a central place in Mpongwe and investments in office and processing equipment.In 2014  MBOCS received a SAPP matching grant for groundnut processing  following a market survey showing huge demand for peanut butter in the region. In 2016  ILO started supporting MBOCS in establishing marketing linkages for soybean and groundnut outgrower schemes for young farmers.Today  the cooperative has a membership of 410 members  a staff of 6 and half a hectare plot in Mpongwe town with a warehouse facility for their agro input supply. In the past  MBOCS offered warehousing to store seed and other inputs for government. But the change of system to e-voucher caused the cooperative to develop the idea for an agroshop to provide inputs to the outgrower schemes.In 2017  a solar-powered hammer mill was built on the plot through a countrywide Presidential Initiative to reduce cost and increase availability of mealie meal.Agriterra got introduced to MBOCS through ILO Zambia. In November 2017  an assessment of MBOCS was performed. The assessment team advised positively to Agriterra about a cooperation with MBOCS as it shows the right attitude to change  has growth potential  is large enough currently  has a solid reputation amongst members and other stakeholders and has the right entrepreneurial spirit. The cooperative has the ambition to grow to 1 000 members in 2022 and start processing and selling goods  which connects with the Agriterra ambitions. BHAG 2018: Increased production and productivity of maize  groundnuts and soy beans; increased membership from 368 in 2017 to 500 in 2018; reduced side-selling.BHAG 2019: Increased production and productivity of maize  groundnuts and soy beans; increased membership from 410 in 2018 to 500 in 2019; reduced side-selling.BHAG 2020: Increased production and productivity of maize  groundnuts and soy beans; value addition of maize to mealie meal (180MT) and groundnuts to peanut butter (75MT); increased volumes of aggregation of soy beans (from 35MT to 150MT) and maize (from 800MT to 1500MT); increased membership to 685; increased services to members (timely payment of groundnut supplies  patronage bonuses  trainings in production improvement/RK/post-harvest handling  equipment provision eg shellers)BHAG 2022: Full processing of crops of 1 000 members into end products that have a strong brand in outlets in major districts in the region.The project will focus on Production  Business  Cooperative Governance  Financial Management  Marketing  Member Commitment and Strategic Planning. Increased production and productivity of maize  groundnuts and soy beans; value addition of maize to mealie meal and groundnuts to peanut butter; increased volumes of aggregation of soy beans and maize; increased services to members; increased membership from 368 in 2017 to 685 in 2020. Planned activities 2020:Implementation of marketing action plan  following marketing training in 2019: procurement of raw materials/packaging materials/labels  data collection on selected PMCs  procurement of safety food processing certificates  community-based trainings on groundnut production. Expected result: sales of peanut butter under brand name.Continued support to extension officer (Production): Agriterra will contribute 50% to his salary. The expected result is Increased production of groundnuts from 7.5 to 30MT  soy beans from 37 to 150 MT  maize from 760 to 1 500 MT.Recruitment and training in accounting software of bookkeeper  50% salary support to salary (Financial Management). Expected result: improved financial reporting.Record keeping training at cooperative level to improve financial transparency. Expected result: Improved record keeping and transparency at coop level.External audit of past financial year with 50% Agriterra contribution. Expected result: consolidated external audit report of 2018-2019Development of seed outgrower model for groundnuts (continued from 2019). Expected result: Improve access to quality seed; increased farmer awareness to use quality  unrecycled seed.Gender and Female Leadership training to assist female members in taking up leadership positions. Expected result: Improved participation of women in leadership positions.Support to board in terms of relationship with management; monitoring business units; development of finance amp; operational manual  HR Manual. Expected result: Improved relationship  clarity on roles amp; responsibilities  improved professionalisation and transparency.Coaching on Financial Management  follow-up on Business Process Review. Expected result: Improved FM and transparency on incoming and outgoing funds.Planned activities 2019:Continued support to extension officer (Production): Agriterra will contribute 60% to his salary. The expected result is increased average production per member by 10%. Record keeping training at farmer level to extension officer and lead farmers (ToT) and at cooperative level. Marketing training: develop a marketing plan for the sale of peanut butter in formal market channels.Value Creator: follow-up of 2018 recommendations to kickstart peanut butter processing business.External audit of past 3 financial year with Agriterra contribution. Supervisory board workshop to support supervisory board members in performing their roleWorkshop youth participation to establish youth councilGender and Female Leadership training to assist female members in taking up leadership positionsPlanned activities 2018:Support to extension officer (Production): MBOCS will recruit an Extension Officer. Agriterra will contribute to his/her salary and also a motorbike rental until a 3rd party (e.g. ILO) has come in to provide the coop with a motorbike. The expected result is increased production of soy beans and other crops.Cooperative Governance training: address governance gaps in the cooperative and increase understanding of governance at board and management level.Financial Management training: address FM gaps in the cooperative and increase understanding of FM at board and staff level.Marketing training: develop a marketing plan for the sale of soybeans  maize and groundnuts in formal market channels.Internal Capitalisation/Member Commitment training: strengthen MBOCS's internal capitalisation strategy and improve member commitment.Strategic Planning: Agriterra will organise a strategic planning workshop to guide MBOCS on developing a SMART strategic plan guiding its strategic direction towards reaching the 2022 BHAG.Value Creator groundnuts: identify new business opportunities to create value in the groundnut value chain.