Fefifo collaborates with PayNet to improve incomes, advance digital payments inclusion for farmers in Malaysia

  • Collaboration helps develop Malaysia’s food safety interests
  • Aims to support B40 producers to become online knowledgeable rural entrepreneurs

From left : Chris Fong, co-founder, Fefifo, Shahirah Shafri, senior corporate affairs executive, Fefifo, Riri Yanti Razali, corporate affairs and partnerships lead, Fefifo, Azleena Idris, senior director, Strategy & ESG, PayNet and Kelveen Soh, co-founder, Fefifo)

Fefifo, an AgriTech startup, announced that online applications have been made available for qualified farmers from B40 communities in Malaysia to participate in the Farmer Digitalisation Programme, which uses Fefifo’s Magic Bean app and is based on Payments Network Malaysia ( PayNet ) digital payments.

The agreement between PayNet, the nation’s payments system and provider of key financial infrastructure, was formalized in November 2023. This engagement includes:

  • Fefifo will provide funding to train B40 producers to become technologically savvy rural agropreneurs.
  • Bonuses, education, and project sponsorships from PayNet for farmers in the B40 area who are in Fefifo’s Farmer Digitalisation Program to embrace digital payments
  • PayNet support has been provided to lower the cost of running Fefifo’s digital distribution centers, as well as maintaining a logistics ship that transports plantation create for sale to Fefifo’s network of offtakers.

Fefifo’s Farmer Digitalisation Programme aims to digitalize smallholder farmers so that they can grow high-quality food plants by providing a thorough value chain answer using Fefifo’s custom mobile system” Magic Bean.” These solutions include MyGAP- qualified stage- by- step, on- demand online farming SOPs, agricultural expert support, lower priced key agri- inputs, guaranteed 100 % offtake, and access to financing facilities. &nbsp,

It aims to promote sustainable livelihoods for smallholder farmers by growing high-quality harvests more frequently for a prompt harvest.

Leveraging Fefifo’s expertise in food crops know- how, specialized online farming platforms, complimented by PayNet’s wide network of ecosystem participants and range of digital payment products and services, this simultaneous collaboration helps to improve the nationwide food security priorities, increase local food production, and reduce reliance on imported food, in support of National Agrofood Policy 2021- 2030.

Kelveen Soh, co-founder of Fefifo, stated that this sponsorship supports farmers as a kick-starter financial support by subsidizing the cost of the initial seeds and nutrients needed at the beginning of a crop growing cycle. On top of all the other advantages and benefits that come with being a part of our fast-growing network of farms and farmers, he added,” Small farmers in our network appreciate this help to start a new cycle of growing.”

Muhamad Hafizam Rasidi, a second-generation settler from FELDA, is one of the earliest beneficiaries. He has been receiving three months of on-the-job training at Fefifo Co-farm in Perak since December 2023, and is now back in his village in Pahang onboarding other interested farmers. &nbsp,

On my family farm, I used to grow lemongrass. Income was uncertain, due to price and harvest. I’ve heard that if grown properly and properly, chilies produce a better harvest and steadyer income. Then Fefifo was introduced to me and I made the decision to try. It has been a good experience, learning hands- on how to grow chili at commercial scale”, he added. &nbsp,

” I look forward to returning to my kampung to encourage others to participate in this program. It’s simple for me to switch to this new way of farming thanks to the modern methods, digital SOPs, and ongoing support in Fefifo’s mobile app Magic Bean. Fefifo takes care of everything, which also means I do n’t have to worry about sales. Everything is fully cashless and received immediately”, Hafizam said.

Up to 100 B40 farmers will receive sponsorships from PayNet to join the program, and several distribution centers will be established nationwide in the next few months to facilitate farmers ‘ access to rural markets through the program so they can send their produce to Fefifo and receive payments digitally. In addition, PayNet has also funneled potential additional cohorts from its other ESG initiatives. They include graduates from the B40 communities who are relocating to their hometowns to launch their own social enterprises, one from a public university in Pahang and the other, one in Johor. Additionally, cohorts from one of the PayNet-supported fintechs are in the pipeline from B40 communities in Sabah.

This program is an extension of the firm’s PayNet Cambah programme, which aims to create virtuous cycles of sustainable, cashless communities, and is the first in AgriTech, according to Azleena Idris, senior director and head of the Strategy &amp, ESG Office at PayNet. It has the potential to truly transform and revolutionize the agricultural sector, enabling creative yet practical application of technology for small farmers to increase their income from more money made from more advanced farming methods, lower production costs, and assured returns. Because everything is cashless and credited directly to their accounts, they no longer have to worry about handling cash or payment delays,” she continued. &nbsp,

In order to advance cashless payments integration and equip these target segments with digital literacy skills, PayNet is also working with public sector bodies, NGOs, start-ups, fintechs, and local entrepreneurs. Working together is essential to unlock the potential of the digital economy for these segments, Azleena said.

The Farmer Digitalisation Programme has so far piqued the interest of participating ecosystem partners and communities in Negeri Sembilan, Pahang, Perak, and Selangor, and is expected to expand to Johor, Penang, Kedah, and Sabah in the near future. discussions with local governments and local communities for large-scale participation, including those with the Penang DOA, the Malaysian Communications &amp, the Multimedia Commission, and other local cooperatives. &nbsp,

To know more about the program details, please visit www. fefifo. co/fdp. Fefifo program advisors will conduct an in-person verification process to evaluate the applicant and the current farm conditions for all online applications.