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Business established

5

FOOD SAFETY IMPROVEMENT AND HYGIENE IN UGANDA

Modern Agricultural Development and Agro-Processing (slaughtering Animals, selling live animals and their by-products).

It is the intention of KISHITA YOUNG FARMERS to improve Food Safety and Hygiene in Uganda in by constructing a modern slaughterhouse and butchery in line with HACCP certification according to European Standards. A fattening scheme is also to be established for quality, and constant supply

Mr. Aart Jan Van Ginkel, our PUM expert and co-ordinator brought this option to register with BiD Challenge during his consultancy with us April 2007.

Facts

Legal status business

Formally registered

Year of establishment

1973

Sales (US$)
Two years ago: 485,714
Last year: 562,857
This year (forecast): 833,333
Year 2 (forecast): 1,111,111
Year 3 (forecast): 1,666,650
Net profit after tax (US$)
Two years ago: 158,333
Last year: 244,444
This year (forecast): 310,444
Year 2 (forecast): 517,579
Year 3 (forecast): 816,608
Total number of Employees
Two years ago: 429
Last year: 504
This year (forecast): 578
Year 2 (forecast): 590
Year 3 (forecast): 600

Finance needed

Finance needed for fixed assets (buying of machines, buildings, ...) 1,413,229
Finance needed for working capital (salaries, stock, rental, leasing, transport, ...) 42,720
Total finance needed (US$) 1,455,949

How do you expect this to be financed? Please note: the total amount mentioned here should be equal to the total finance needed at the previous question.

Own Contribution in cash 113,800
Loans (debt) 759,000
Share capital that you seek from investors (equity) 582,379
Other sources 770
Total finance needed (US$) 1,455,949

The Business

What is your product/service?

Kishita Young Farmers has majored in the following slaughterhouse activities.
Activities:
Product/services Status
Slaughtering of animals fees
Hides and skins sold for export
Meat trading supplied to institutions, butcheries and restaurants.
Horns for processors
Blood for animal feed production.
Value addition to wastes (rumen content) to get fertilizers and bio-gas.

What customer need/problem do your products/services satisfy?

1. provision of protein

2. Provision of employment.

3. Schooling of families.

4. Regarded as social factor that helps to reduce insecurity caused by un emploment and idolness.

5. Resource centre for data.

How will you make the product/service?

The Production process involves reception of livestovck in the evening, organized for the following slaughter. Slaughtering begins at 3.00 a.m in the morning to be able to sell as red meat.

The slaughtering process will be use of machinery like the conveyor, the key unit for hygienic operation.There is provision of water.

The personel are skilled flayers, butchers, transporters, meat inspectors and company operational management.

Explain how you will sell your product/service (marketing strategy) and how you will reach your customers (distribution strategy)?

Promotional technics like use of sign posts, publications(brouchers, business letters)
Business networking in workshops and conferences.
Use of trained marketiers and media like radio and news papers
Operating from acceptable facilities and legal compliance
Business trips
Offering quality services
By tender applications to organizations and institutions
Opening branches
Customer care and incentives transport offers and deduction.

To whom are you selling, what is your market?

The current market is a number of meat-shops widely distributed in and around Kampala City/disrict. There are also hotels, schools, collages and other organizations. Kampala hosting a big number of occupants present a big market for meat.

We supply approximately 10% to 20% of the market potential in Kampala or Uganda. The alternative sauce is fish, beans and other green vegetables.

Describe your competitors?

Competition
At present there is only one slaghterhouse and a butchery shop that can comply with these standards, that is to say Uganda Meat Packer and Quality Cuts respectively. Others are small slaughter slabs scattered over the country and they short of required standards.
The meat shops are numerous without any machinery
Other animal protein suppliers are fish factories and lake landing sites.
Alternative to this crop produces -beans

What makes your business different/better than your competitors (competitive advantage)?

High quality, with good packing and HACCP certification
Consumer protection
Full time hour services
Available and well distributed to customers’ destination
High regard for customers (customer handling).

What makes your business, your product or service innovative?

The quality of meat with a flavor and test from local animals is preffered by most of the people.

The good price, accessibility and ever available to the consumer or customer is a motivation factor.

The consumption level of meat products is increasing among the people due improved standards, that is say more people are getting involved in business activities and are getting sensitized on health matters like feeding.

How will you ensure the growth of your business?

By strengthening the marketing strategies mentioned above
Capacity building of work force.
Being socailly and environmentally compliant
Use of experts/consultants in meat processing.
Having strong and good livestock supply network like own fattening lot, livestock markets and extensive farming.

The Entrepreneur & Management

Describe the entrepreneur & management

Kishita Young Farmers ltd has seven promoters - board of directors chaired by Ahmed Kezaala who is also the managing Director. He runs the enterprise with operational management(staff), government health inspectors and traders' representative. Some of the directors are sectional-heads like finace director. The set up is like any other Small and Medium Enterprize.

What specifically makes you and (if relevant) your management team most qualified to build this business?

The managing director has got wide experience in meat processing, trained catering services and worked in different hotels as store manager and chief cook for along perod.
The operational management is also experienced in meat processing trained in other fields like adminitration and finance.
The management is flexible in operation that is to say can be transfered to different sections of project.
Capacity building is requisite in management.

How much time do/will you expect to spend per week in the business?

Ten hours a day for six working days. Private businesses in Uganda most work for seven days. This is because the demand is continious and little or nothing is left as supplus.

Development

How does your business improve the local living standards (social and environmental)?

Provision employment to 1000s of people.

poverty reduction
beneficiaries to educate their families.
It plays a big role in environmental management
It is a venue to improved hygiene and food safety.
It is a resource centre for the government analytical data for livestock production, transportation and food supply outlets.
The diversification of company activities leaves no wastage from animal product and by-product (animal production).

5 comments

Incquiry

For more information please contact Mr. Aart Jan Van Ginkel.

Thank you

Kishita Young Farmers/ Ahmed Kezaala
Managing Director.

19 May 07, 11:23 AHMED KEZAALA, 19 May 07, 11:23

No

No

19 May 07, 11:25 AHMED KEZAALA, 19 May 07, 11:25

CURRENT POSITION AND DEVELOPMENT

OUR BUSINESS IS GOING ON WELL AND EXPECTING TO GET NEW INVESTMENT THROUGH THE NETWORK. WE HAVE SOFAR RECIEVED VARIOUS EXPRESSIONS OF INTENT TO COOPERATE WITH US IN THE DEVELOPMENT OF THE SLAUGHTERHOUSE BUSINESS. THERE IS HIGH DEMAND OF MEAT PRODUCTS IN UGANDA AND NIEGHBOURING COUNTRIES LIKE CONGO, SUDAN AND SOMALIA.
THE WAY FORWARD IS TO MEAT HIGH STANDARDS AND EU CERTIFICATION

MAY 2008.

28 May 08, 10:06 AHMED KEZAALA, 28 May 08, 10:06

I take interest...

I take interest in your business.

ghaliinvestment@gmail.com

23 Nov 10, 11:55 Ghali Marnwan, 23 Nov 10, 11:55

I want to invest in your business

I am interested in your business intention send me an email via this email address: joeh.gilber@oakwaldeen-asset.com

10 Aug 11, 14:58 Account blocked, 10 Aug 11, 14:58