business applications

GroWise - Improving the lending potential of credit providers in southern Africa

The GroWise service will consist of a Crop Growth Index (CGI) for a variety of common African crops.  The CGI will be modelled on a crop-specific basis utilising SAR data, optical satellite data and precision weather information.  The CGI will provide the credit providers with daily updates of the crop’s growth stage, the biomass of the crop and the Leaf Area Index (LAI). These three measures of growth will allow credit providers to assess how well the crop is performing. This information will be delivered via a Grower Management Tool used by the credit providers to store and aggregate customer data – names, addresses, mapped area of crop, cropping history, input provision, loan value and crucially the crop growth indices. The tool will allow credit providers to communicate with the farmers directly to provide agronomic advice via the third element of GroWise – the mobile app.  The app will be used by growers and the credit providers’ agents on the ground.  The app will primarily be utilised by extension officers, lead farmers and agents of credit providers working with small-scale farming communities.  Growers will also be able to access the app if they have a smartphone.  Each grower will have an account (linked to the Grower Management Tool) and will allow them to receive live agronomic information from the credit provider.

Users and their needs

The customers of the GroWise service will be agricultural credit providers, contract farming companies and insurers.  These companies supply credit in the form of money, seed, fertiliser or pesticides to small-scale farmers.  Repayment of loans is pursuant upon growers producing a good harvest therefore it is in the credit providers’ interest to be able to see how well crops are performing and have the ability to intervene with agronomic advice to secure their return on investment. 

Currently credit providers lend to farmers with inadequate details informing their lending decision. Farmers do not have a credit history and have no collateral to support the loan which leads to high interest rates being offered to small-holders.  As the primary users, agricultural credit providers need aggregated data. GroWise will be able to manage big data on extensive customer groups, inputs such as fertiliser and persticide applications, anticipated yield versus actual yield and crop progression throughout the growing season.  

Service/ system concept

Space Added Value

  1. SAR Earth observations
  2. Optical earth observations
  3. GPS

Current Status

The project team plan to provide a bespoke service to credit providers in southern Africa that will allow them to mitigate the risk of non-repayment of loans by tracking the crop and intervening with agronomic knowledge small-scale farmers are lacking. The service will be called GRID and will provide the creditor with regular and consistent crop growth data alerting them to problems with the crop that would result in a default on the loan.  There is currently no tool on the market specifically for credit providers to track crop performance and enable them to actively engage with their investment. 
 
Specifically, the GRID service will consist of a Crop Growth Index (CGI) for a variety of common African crops, advising the user what growth stage the crop has reached, as well as other growth indictaors. This information will be delivered via a Grower Management Tool used by the credit providers to store and aggregate customer data. The tool will allow credit providers to communicate with the farmers directly to provide agronomic advice via the third element of GRID – the mobile app.  The app will be used by growers and the credit providers’ agents on the ground.  The app will primarily be utilised by extension officers, lead farmers and agents of credit providers working with small-scale farming communities.
 
After a long period of design, AgSpace have begun developing the GRID platform ready to be trialled at the end of the year. Several visits to Africa has resulted in verbal agreements with four credit providers who are keen to test the software with their customers.  The project team have been collecting ground-truthed data in order to both develop the Crop Growth Models and validate them.  The GRID value proposition was put together July – Aug 2018, changing from the previous project name of GroWise. Training is well under way with two of the credit providers and the pilot is due to commence in November.

Project Managers

Contractor Project Manager

Lucy Bane
AgSpace, Unit 5, Dorcan Business Village Murdock Road
Swindon
Wiltshire
SN3 5HY
United Kingdom

ESA Project Manager

Brian Tittley
ESA ESCAT, Harwell Campus. Fermi Avenue.
Didcot
OX11 0FD
United Kingdom

Status Date

Updated: 02 October 2018 - Created: 16 February 2018