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Democratic Republic of Congo
Health
The Kenya-based private entity Shambani pro intends to tackle smallholder farmers’ income loss by turning their second grade agricultural produce into into high value products (like oil). FID’s funding will enable to test two different business models in order to validate the most effective one.
On average in Kenya, the fruit and vegetable supply chain and smallholder farmers suffer up to 50% post-harvest losses. This amounts to an annual loss of around $1.1 billion. Mango is one of the key produce to suffer from post-harvest loss.
Annually, the mango industry yields 770,000 tonnes, predominantly harvested between December and February. This period witnesses a surplus causing an inundation of mangoes in markets, leading to drastically reduced prices. Consequently, some farmers contemplate discarding their produce due to exceedingly low market rates.
Research conducted by the University of Nairobi reveals an alarming discrepancy in compensation, with farmers receiving a nominal 3-7 cents per kilogram of mango while the same product fetches over 50 cents in market hubs. This economic disparity particularly affects smallholder mango farmers below the poverty line, depriving them of the opportunity to increase their incomes.
Shambani Pro's project consists in setting up micro-factories run and managed by women to collect unwanted mangoes that are unable to sell and process them into mango chips to be sold on international markets. Shambani Pro aims to sell these second-grade products at higher prices, and to promote the use of solar energy in the transformation units to reduce food waste.
The processing of the unsold mangoes is carried out at the Shambani Pro hubs. Once collected, the mangoes are then transported to the micro-processing units to be turned into chips and sold on international markets.
The processing of unsold mangoes will be carried out in two different ways:
Involving small-scale producers in the creation of high-quality products will enable them to generate additional income.
FID’s funding will be used to measure the effectiveness of these two operating models, with the aim of extending the most effective model to several communities and selling these processed products on a wider range of markets.
This pilot will be tested during a year and aims to:
Projects
Projects funded by FID
Democratic Republic of Congo
Health
Benin
Agriculture
Biostimulant to boost farmers income and soil quality in Benin
Morocco
Education
Improving basic academic skills with a remedial education program in Morocco