This study investigates the effectiveness and efficiency of public procurement processes in IFAD-supported agricultural projects in Zimbabwe, with a focus on the Smallholder Agriculture Cluster Project (SACP). Public procurement accounts for approximately 60% of Zimbabwe’s national budget, yet challenges such as corruption, political interference, capacity limitations, and insufficient transparency undermine its effectiveness. Using surveys and interviews across five provinces, the research evaluates stakeholder perceptions, procurement behavior, and business bottlenecks, revealing mixed views on transparency, high incidence of delays, limited awareness of policies, and bureaucratic inefficiencies. While compliance and supplier quality have improved, long procurement cycles and capacity gaps remain persistent obstacles. Systemic weaknesses, including inadequate institutional controls and limited digital infrastructure, compromise value for money and project success. The study draws on institutional, principal-agent, and transaction cost theories to explain internal and external factors influencing procurement performance.
The public procurement landscape in Zimbabwe faces long-standing challenges that affect service delivery and national development objectives. Despite the creation of regulatory frameworks, inefficiencies such as rent-seeking behavior, poor adherence to procedures, and limited application of competitive tender criteria continue to erode public trust and deter investment. These systemic shortcomings exacerbate delays, cost overruns, and hinder the effective implementation of development projects, highlighting the need for reforms aimed at enhancing transparency, accountability, and optimal resource allocation.
The Smallholder Agriculture Cluster Project, running from 2021 to 2027, is a multi-partner initiative funded by IFAD, OPEC, the Government of Zimbabwe, and the private sector. It seeks to transform smallholder agriculture through private sector-led value chain development, operating across Mashonaland Central, East, West, Matabeleland North, and Midlands. The project integrates value chain development, climate-proofed infrastructure, and policy support, emphasizing partnerships with smallholder farmers, SMEs, and larger agribusinesses. Robust and transparent procurement processes are critical to the project’s success, given Zimbabwe’s history of public resource mismanagement and limited citizen trust. Examining procurement practices in SACP provides insights into how governance and process efficiencies influence agricultural development outcomes.
Existing literature indicates that public procurement in developing economies frequently struggles with corruption, insufficient professional capacity, and weak regulatory enforcement, which compromise efficiency and effectiveness. Government spending on procurement can constitute up to 70% of national budgets, underscoring the need for rigorous policies to prevent wastage. Globally, public procurement malpractices are estimated in the hundreds of billions, illustrating the scale of inefficiencies in developing countries, including Zimbabwe. Theoretical frameworks, including institutional theory, principal-agent theory, and transaction cost economics, provide a lens to analyze procurement behavior, conflicts of interest, and the costs associated with governance and contract management.
The study applied a mixed-methods design, combining quantitative surveys and qualitative interviews, to assess procurement processes in five Zimbabwean provinces. Data were collected from 854 smallholder farmers, 40 extension staff, and 8 development workers, capturing perceptions of procurement efficiency, transparency, and effectiveness. Thematic and statistical analyses revealed a 64% response rate, reflecting strong engagement with the study. While respondents reported improvements in supplier quality and compliance, perceptions of procurement cycle time, policy awareness, and administrative efficiency were mixed, indicating areas requiring targeted interventions. Delays, bureaucratic hurdles, and lack of capacity were cited as major barriers to optimal procurement performance.
Empirical findings suggest that stakeholder perceptions of transparency are varied, with some respondents appreciating competitive procurement procedures and others reporting limited involvement or knowledge. Institutional theory highlights the gap between formal regulations and actual practice, showing that procedural existence alone does not guarantee uniform application. Principal-agent dynamics are evident in the lack of trust from suppliers, misaligned incentives, and susceptibility to political interference, which undermine efficiency and compliance. Transaction cost analysis indicates that lengthy procurement cycles, administrative bottlenecks, and complex bidding procedures increase operational costs and reduce overall project effectiveness, despite improvements in compliance and supplier quality.
Comparisons with previous studies indicate that challenges in Zimbabwe’s public procurement system are consistent with broader trends in developing countries, including corruption, political influence, and inadequate capacity. Inefficiencies in procurement hinder service delivery, compromise project outcomes, and limit the ability to achieve value for money. The study emphasizes the need for multi-faceted reforms that address procedural weaknesses, governance deficits, and infrastructural limitations while fostering transparency, accountability, and stakeholder engagement.
The study concludes that, despite progress, public procurement in IFAD-funded agricultural projects faces systemic inefficiencies that impede effectiveness and optimal resource use. Persistent issues include bureaucratic delays, limited capacity, and weak enforcement of policies, which undermine project success and public trust. Enhancing procurement effectiveness requires strengthening institutional frameworks, capacity building for personnel, and leveraging digital solutions such as e-procurement systems. Policy reforms, continuous stakeholder engagement, and adoption of technological innovations are critical to optimizing procurement processes, reducing delays, and promoting sustainable agricultural development. By addressing these challenges, Zimbabwe can better utilize its significant procurement budget to achieve resilient, inclusive, and efficient rural development outcomes.
Recommendations include tailored training programs for procurement personnel, improved communication and compliance mechanisms within projects, and greater use of digital technologies to enhance transparency and accountability. Future research should explore the potential of artificial intelligence and blockchain to further optimize procurement efficiency and investigate contextual factors affecting transparency and governance in competitive tendering within developing economies. Such interventions are crucial for aligning procurement processes with broader developmental objectives, ensuring that public resources contribute effectively to smallholder agricultural growth and sustainable development.
