Chithumba is an access-to-input-finance and hybrid contract-farming scheme where farmers pay for inputs by delivering commodity after harvest to an ACE-certified warehouse. Repayments are auctioned on the ACE trade system to repay the input suppliers.

The main problem for contract farming in Malawi is side-selling. Chithumba mitigates that risk by only contracting a small proportion of the harvest, leaving farmers free to do what they want with the rest — a deliberate design choice after farmer feedback suggested that side-selling risk falls when producers remain free to choose how to market their commodity.

The model bundles three core services: pre-harvest finance for farm inputs, agricultural extension services, and market assistance. Repayment rates have exceeded 85% for soya. In 2019, Chithumba stock was exported to Zimbabwe at a premium of USD 50 per MT compared to local prices.

The model also has clear challenges. Farmers are not always loyal to Chithumba, often moving to cheaper input schemes, which makes it hard to build a track record and to increase the value of input packages.