Aug 30, 2012
The Business Innovation Facility supports a growing number of small projects in its pilot countries, with light touch support on different aspects of the business. Support ranges from assistance in developing an inclusive business plan, to identifying partners, to designing key performance indicators or assessing the market for a BOP product or service. Theses projects are short and do not require as much support as the longer projects, which all have a project profile on this Hub.
BioCarbon Partners: conducting an analysis of the charcoal value chain (Ongoing)
In this short project, the Facility will work directly with BioCarbon Partners Limited, a carbon development start up involved in REDD+ (Reducing Emissions from Deforestation and Forest Degradation), to conduct a value chain analysis of the charcoal trade in rural areas around Lusaka. BioCarbon aims to develop viable, market-driven alternatives to charcoal trade, to reduce its impact on deforestation and climate change, and to generate carbon credits under the REDD+ scheme. REDD+ is an international financial scheme which seeks to make deforestation activities more costly than preservation activities, thereby ensuring forests in developing countries stay standing.
Sunline International: Conducting a business plan review (Complete: December 2011)
Sunline Limited is a Zambian agricultural processing company which aims to set up a peanut butter processing plant in Chipata in the east of the country. This will involve setting up an out-grower scheme with local smallholders who will supply groundnuts to the plant for processing. Sunline will train these farmers in the production of high-quality, low aflatoxin groundnuts so that the resulting products can be sold and marketed both locally and internationally. The project involved reviewing Sunline's business plan, ensuring that the commercial proposition and market potential was clearly articulated whilst also ensuring that the project's potential development impacts were appropriately mapped. The plant's success will create consistent and sustainable demand for smallholder farmers' groundnuts, contributing to improved rural livelihoods.
Sun International Hotels: local meat sourcing strategy (Complete: June 2012)
Sun International invests in and manages businesses in the hotel, resort and gaming industries, specifically focusing on the development, management and operation of hotels and resorts in Africa and South America. Like many other hotels in Livingstone, Sun International buy their meat and poultry from Lusaka as there is no local abattoir to process meat from local livestock in a clean and safe environment. As part of their social responsibility programme, Sun International aim to source meat for their restaurants from local livestock farmers. Engaging farmers in their value chain will create new, sustainable income opportunities for smallholders who may have limited access to markets for their livestock. Locally sourced meat will be fresh and cheaper than meat imported from Lusaka, which will increase the quality of Sun International’s supply. Facility research for this project identified the business case for setting up an abattoir in the area and the opportunities for locally sourcing chicken, quail, goose, duck, game and beef. Sun Hotels is also receiving more intensive support from the Facility;
Taj Pamodzi Hotels: smallholder farmer sourcing strategy (Ongoing)
Located in central Lusaka, The Taj Pamodzi Hotel, a member of the Tata Group of companies, is a luxurious, five-star business hotel. Taj Pamodzi wish to modify their procurement strategy by increasing the amount of fruit and vegetable locally sourced from smallholder farmers. The Taj Pamodzi also want their peers in the industry involved to create a sufficiently high level of demand to ensure that their procurement model is commercially viable and sustainable. This project aims to explore possible procurement strategies that address the challenges of local sourcing in the Zambian hotel sector, with a view to designing an appropriate implementation strategy. By gaining access to the local hotel business, smallholders will be able to increase their income levels and expand their production through new finance opportunities.
Conducting a landscape study on inclusive business access to finance (Ongoing)
In Zambia, accessing commercial lending is a challenge for new inclusive businesses, as most banks have prohibitively strict lending requirements. This project aims to conduct a survey of the different types of finance available to businesses, with varying types of requirements, and how they can be accessed. A workshop will then be conducted with Zambian inclusive businesses to communicate the available sources of finance and provide advice on how investments can best be structured to ensure their ongoing viability.
CHC Commodities: Scoping out the market for cassava-based glucose and starch (Ongoing)
CHC Commodities was established in February 2001 to provide reliable storage and handling facilities for agricultural goods and a brokerage service for bulk commodities including maize, wheat sorghum and soya beans. CHC plans to develop the market for cassava as a basis for products such as stock feed, brewing and glucose and starch production, sourcing inputs from smallholder farmers. This project will help CHC understand the size of the local and international markets for starch and glucose and the potential for growth in demand over time. This information will go towards designing a business plan to attract investment for processing and operations.