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Food Retail

Distributing milk for local dairy farmers

John DoeJ
EntrepreneurGilbertLocationNakuru, Kenya
Project status
100%funded
$435raised
56%paid forward

I am a resident of London estate- Outskirts of Nakuru town and I am the third born in a family five. I grew up in a farming village and developed a great passion in agriculture.

I source raw milk from the rural Mau-Narok area-supplying dairies, hotels, New KCC Limited as well as my own dairy in Nakuru town. This business has not only helped me pay my bills but also gather for my younger siblings. I am very enthusiastic with investments especially in agricultural sector. The current business has a ready market and I am confident it will only get better as I target to improve on volume.

Among other small scale businesses, I'm a Milk Trader- Sourcing raw milk from the rural Mau-Narok area and supplying dairies, hotels, New KCC Limited as well as my own dairy in Nakuru town. I get an average margin of 35% for every litre of milk I purchase and sell. I mostly sell all the volumes the same day except the surplus that goes to the processor; New KCC Limited where payments are made on a monthly basis. The untapped potential along the dairy value chain is huge and I can only grow into it- from improving on milk volumes to long term plans to venture into other businesses along the entire chain for instance, establishing my own farm, provision of contracted services such as milk transport and input supply and ultimately establishment of a milk processing plant in future

I am grateful for the support Zidisha has given me so far. The first loan was a success and helped me add volumes.

It is the onset of dry season here in Nakuru region- when the demand for fresh milk is high in town. The competition for the same milk is also high in the field. To meet this demand, I will need to increase volumes. With To achieve this, I have plans to establish a milk bulking point at Mauche shopping centre. The town is centrally located within my catchment area and will help me source more milk as well as build trust among the locals. The structure will also give me an upper hand among my competitors.

I will therefore use the loan as follows;

$118 on 3 months rent for the premise

$45 on painting and branding

$35 on assembling and branding a metallic sign post

$220 on sourcing more milk during the first month

$17 other miscellaneous expenses

With this premise, I project a 40 increase in profits which I will use to further expand the business and in future venture into other opportunities along the value chain of the dairy industry.