# Smallholder Agribusiness Partnerships

SAFE AGRO PRODUCTS – Chillie Cultivation

Total Project Cost

RS. 547,681,000.00

Locations of the Project

Nochchiyagama, Medawachchiya, Rambewa

Number of Beneficiaries


Background of the Proposed Project

Overall Objective

To implement appropriate modern technology for green chili cultivation and value addition in Anuradhapura District for productivity improvement and marketing

Specific objectives

o To enhance the productivity of green chili cultivation to increase 30% household income
o To reduce the cost of cultivation by introducing mulching (polythene layering), fertigation and improved modern irrigation system.
o To introduce efficient marketing networks by establishing collection centers and managing marketing surplus.
o To offer 10% of higher farm gate price of green chilies, by trading with exporters.
o To Introduce value-added end product of dry chilies by drying and grinding with the use of machinery

Project outputs

• 1200 production units established : 1200 farmers cultivate chili in ¼ acre (1,000m2) a total of 300 ac(120 Ha) protected with insect-proof netting up to 10 feet, apply polythene mulch for control of weeds and 1200 drip irrigation systems are established for productivity improvement.
• One collection net work established : Two collecting centers established with 1600 plastic crates . 600 farmers connected with each collecting center and supply green chilli in an organized net work.
• One processing center established: one processing center with processing facility established. Red chili will be collected from 100 farmers
• Improved crop management and finance management practices adopted : 1200 farmers including youths are trained and improve financial management at the household level.
• Increased chili production : 4480 MT of green chilies produced per season by 1100 farmers and 100 farmers engaged in Dry chili production and produce 6 MT of dry chilies per season.
• New employments created : 20 New employments created

Project benefits/Outcomes

• Increased Livelihood Improvements of 1200 farmers
• Enhanced high-quality products such as green chilies and dry chilies for consumption
• Reduced health and environmental damages through less use of chemicals and water
• Increased employment opportunities for youth and women • Enhanced food security, and health through higher income generation
• Improved capacity of the Producer organization to operate social enterprise

Investment Plan

Social Impact

• Chili farmers will continue to have increased output.
• Positive impact on foreign reserves of the country.
• Increased living standard of the farmer.
• Social enterprise in operation for betterment of the village society.