XtraPay - thanks to farmers

XtraPay wants to make international supply chains more transparent and establish a direct connection between producer and consumer. The bonus payment system was successfully piloted on 16 August in ten Edeka supermarkets in Braunschweig.

(c) Foto XtraPay
The workers receive 20 cents for every pineapple sold. Photo: GIZ/Viktoria Eberhard

Project Name

XtraPay

Term

April 2010 - Dezember 2022 (EZ-Scout programme)

Client

BMZ

Budget

45 Million Euro (EZ-Scout Programm)

 

Simple in the supermarket

(c) WFP/Archiv

Many consumers would be prepared to pay more for food from developing countries provided their money goes to the workers. With XtraPay, consumers who buy a pineapple can make a voluntary payment of 20 cents, which goes straight to the workers at the farm in Ghana. To do so, they simply have to present the small card attached to the pineapple at the supermarket checkout.

Unique connection

The cashiers scan the card along with the rest of the shopping. This is an easy way for the consumers to help reduce the social inequalities in developing countries. It also allows them to find out more about where their pineapple came from. Anna Peter, project initiator, explains the idea:

“With XtraPay, we establish a unique connection between the consumer and the farm worker. Consumers find out where their products come from and can offer their thanks to the people at the start of the supply chain.”

 

(c) Foto XtraPay
Photo: GIZ/ Sebastian Waidelich

Mobile money on a mobile phone

But how do the workers receive their money? They receive their token of thanks in the form of “Mobile Money” on their mobile phones. Their “Mobile Money” allows them to pay in their local shops or withdraw cash.

 

Cooperation on a broad basis

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Foto: GIZ/David Dotse

XtraPay is implemented by the EZ-Scout programme on behalf of the Federal Ministry of Economic Cooperation and Development and supported by the Strategic Partnership Digital Africa (SPDA). The system is operated in cooperation with the Federal Association of Wholesale, Foreign Trade and Services (BGA), the Görge fresh markets, MTN Ghana, Tropigha Farms and the GIZ Market-Oriented Agriculture Programme (MOAP) in Ghana, which supports companies and workers by providing training in good farming practices and marketing.

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A Project by

GIZ

Federal Ministry for Economic Cooperation and Development

Mit der 2014 gestarteten Sonderinitiative "Eine Welt ohne Hunger" hat das Bundesministerium für wirtschaftliche Zusammenarbeit und Entwicklung (BMZ) diesem Ziel eine neue Priorität gegeben.

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