Sub-Saharan Africa Transport Policy Program


	Local Transport Solutions (Main Index)

	Spontaneous spread
	Adoption is not automatic
	Women's transport constraints
	Transport empowers women
	Learn from experiences
	Promote, evaluate and improve
	Credit assists adoption
	Transport services
	Talk with stakeholders
	Environmental factors

	Further Information (References,background and contacts)
	Texte Francais

Credit assists adoption

Intermediate means of transport increase profitable farm production, trade and provide hire income, but the high cost is a constraint for many. There is much evidence that credit can assist the adoption of local transport solutions. Manufacturers and stockists may also need credit.

Credit was important for the spread of carts in Senegal
Prior to 1960, animal-drawn carts were not very common in rural Senegal. In 1960, SISCOMA established a factory at Pout in Senegal to manufacture a range of agricultural implements and animal-drawn carts. Sales in the 1960s and 1970s were high, boosted by agricultural credit schemes. The sudden termination of credit in 1980 caused sales to plummet and made SISCOMA bankrupt. A new company, SISMAR, was formed to take over the factory, and has been selling many carts, although annual sale have not returned to the levels when credit was readily available to farmers.

Ox carts in northern Senegal

Credit for carts in Tanga, Tanzania
The Tanga Animal Draft Power Project found that men and women wanted to buy donkey carts but they could not afford the purchase cost. Rural incomes and employment opportunities were low. Credit repayments were difficult for such expensive items. This was partly solved by combining credit with a labour-intensive, rural road maintenance programme. Farmers were contracted to bring gravel to resurface roads, and the income from this programme made it possible for farmers to repay loans. The carts were used for many other purposes besides gravel haulage. Women and men both benefited from the spread of donkey carts.

	SSATP > Local transport solutions for rural development > Credit assists adoption