The objective of this component is to support small-scale farmers groups in their efforts to produce marketable commodities, improve their ability to respond to market requirements, and help motivated semi-subsistence producers to move towards increased commercialization in line with natural resource management (NRM) considerations. The main target groups are smallholder farmer groups in areas with high production potential, who are already engaged in market-oriented production or have good potential to become commercially active. 

The approach is to plan, prioritize and demonstrate how market-oriented agricultural activities can be a worthwhile undertaking for smallholder producers and how to better address natural resource management issues in such planning processes.  This will be done by offering a package of support that includes: (a) technical training, to improve production in line with market requirements; (b) commercial training, to better consider demand, costs and benefits when making production decisions (“farming as a business”), and to become more effective market participants; and (c) initial investment support to encourage farmers to venture into new activities.  

This component will establish an effective program management and administrative system, to ensure coordination between the program and other initiatives and national institutions in the sector.  The program oversight and implementation arrangements are further described in Annex 3.