educing household vulnerability displaced persons in ... · such as chilli & coffee ,cashew...
TRANSCRIPT
REDUCING HOUSEHOLD VULNERABILITY OF FORMER INTERNALLY
DISPLACED PERSONS IN NORTEHRN UGADA THROUGH
AGRIBUSINESS
Presented by: Acham Ketty Elungat.
Mobile: +256-772-489682
Email: [email protected]
Website: www.necpaug.org
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North East Chilli Producers Association LTD (NECPA) is a company limited byguarantee without share capital. It was incorporated in the year 2000 formed by 1,027women. The principal objective of the organization is to improve food security andincrease household incomes of the rural poor through commercial production of high
Value crops such as chilli, Coffee, Cashew,Chia , Maize and Sesame
o NECPA has undertaken commercialized production of African bird’s eye chilli in theNorthern and Eastern regions of Uganda as the first innovator of African bird Eye chilliproduction
o NECPA is the biggest producer and supplier of chilli to exporters in Ugandaand East Africa.
o Currently NECPA supports 10,000 households, Mostly formerly Internallydisplaced and abducted persons of which 71% are women and youth, whoseproduction capacities have increased to 345, 000 kgs in 2014 and attracted apurchase price of up to ug.sh. 5,000 per kilogram from 4,500. Henceincreasing their incomes by 15% per household this season the current farmgate price of chilli is 6,000 and expected yield volumes is about 500,000 kgs(500 MTs) 2015 chilli crop
Organization background
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MISSION
Economic empowerment of rural poor House
Holds in Northern and Eastern Uganda
through the promotion of high value crops
and building community capacity, peace
building for financial stability.
Vision
Self-sustaining and financially prosperous
communities in Uganda .
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SOCIAL PROBLEM
The community of Northern Uganda are living
below poverty line due to war which lasted two
decades and the community was forced to
Internally displaced peoples camps with no
means to acquire human basic needs and
alternative incomes and food with the current
data of 46.2% poverty level as per national
household survey report 2009/2010 . In order to
reduce vulnerability caused by poverty NECPA
introduced high value and non- traditional crops
such as chilli & coffee ,Cashew nuts, Chia , and
Beekeeping in Northern Uganda 4
VALUE PROPORTION
African bird Eye Chilli is a high value crop
organically produced by 10,000 households in
Northern Uganda with high capsicum & pungency
required at the international markets
Our Coffee is the ranked 2nd best Robusta Coffee in
Uganda
Guaranteed and timely supply of quality quantities
dried chilli free of Aflotoxins
Easy traceability through contract farming
Chia has Omega 3 elements and very good for
household nutrition and improving body immunity
Our honey has high market demand locally and
internationally5
CUSTOMERS
Local exporters namely
ESCO Uganda Limited
MeTL Uganda LTD
Mayana Enterprises
Local communities ,
Asian Community in Uganda
DaniFoods
NUCAFE
UGACOFE
Shares Uganda Limited6
DISTRIBUTION
Direct sales to ExportersSupermarkets E-sales using( face book, YouTube, websites, Linked in
Plat forms such as APF forum and AAA
Sales agents
Community marketing committees
Agro input dealers
Sales points/ outlets
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Partnerships
Communities
Local Government
NARO, UEPB, UIA,UCDA,NUCAFE
Development partners
ICCO, USAID,NOW-WOTRO,YUNUS
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COMPETITION
Our main competitors are Mayana Enterprises LTD
Shares U LTD exporters of Organic chilli to Europe USA, North America
Middlemen who trade in produce
ICE mark Exporter of fresh chilli
DaniFoods The competitors are a major threat because they have enough cash to pay for the chilli however the cooperative advantage we have over them is that the farmers have built trust because of other benefits and services which we provide to them including contract farming access to seeds, extension services and capacity building which our competitors do not provide so they share 40% of the producers and suppliers
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Cost Estimates for 1 year in Euros exchange rate taken at UGX 3350 per Euro
No. Description/ Activity Quantity Unit cost Frequency Amount € Amount in UGX
1. Purchase of Isuzu track
(20 tons capacity)
1 € 45,000 1 € 45,000 150,750.00
2 Purchase of Chilli
processing Equipments
1 €65,000 1 €65,000 217,750,00
3 Construction of ware
house
2 € 25,000 1 €50,000 167,500,000
4 Purchase of dryers 10 € 3,000 1 € 30,000 100,500,0.
5 Promotions 1 € 5,000 3 € 15,000 50,250.00
6 Material cost/ purchase
of Chilli
35 tons € 2,600 1 €91,000 304,850.00
7 Operational,(Fuel,
maintenance &repairs
Lump sum € 15,000 1 € 15,000 15,000.00
8 Extension &
procurement Staffs
15 € 250 12 € 45,000 150,750.00
9 Management staffs 5 € 450 12 € 27,000 90,450.00
10 Technical staffs 3 € 400 12 € 14,400 48,240.00
11 Support Staffs 5 €200 12 €12,000 40,200.00
12 Branding 4 € 15,000 1 € 60,000 201,000,00
13 capacity building/
trainings
2 € 5,000 1 €10,000 33,500.00
Total €434.400 1,455,240,000
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REVENUE:
Our yield estimates 2015/2016 is 500,000kgs of
Dried Bird Eye chilli of which 250,000 kegs will be
crushed into chilli powder giving 90,000kgs of which
10,000 will be sold as powder and 80,000 will be used
to process chilli source
250,000 kgs @ 8,500 2,125,000,000
10,00 kgs powder @25,000 250,000,000
80,000 kgs Chilli Source @5,000 400,000,000
2,775,000,000
Equivalent Euros 828,359
Yield estimates for coffee 2015/2016 coffee year
is about 382,000 kgs kiboko which is bought at
2,300 per kgs and shall be hulled to FAQ and
total of 152,000 kgsFAQ Screen 18 which will be
sold to exporters at 8,000
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Challenges
•Limited financial resources/ Capital to Purchase African dried
bird eye Chilli & Coffee from producers, and other relevant
equipments/ machinery.
•Lack of Processing equipments
• Lack of a truck for transportation of chilli and other produce
•Limited Storage facilities / Ware houses
•Limited Drying equipment and technology
•Poor Quality of chilli due to poor post harvest handling and
lack of drying equipments
•Limited human resources to support the 10,000 households
and product diversification
•Limited transport facilities ( motorcycles and vehicles)
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CURRENT SOLUTIONS
Acquiring Bank loans, advance receipts from some buyers
We have small powder processing machine with limited
capacity
We have been using Double cabin pick ups with limited
capacity for carrying products only up to 1.5 tons and
hiring other tucks for collection and transporting at a very
high cost
We have small capacity store which can accommodate up to
25 ,000 kgs and hire others at community levels
Provision of local drying technology using UV polythene
sheets and direct sun drying using Drying racks and
papairus mats or tarpaulins in their open compounds.
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CURRENT SOLUTION CONTINUES
We have been conducting trainings for pre and
post harvest handling techniques.
We currently have up to 30 staffs and we are
using Community Based Facilitators to provide
services to the farmers using farmer field school
(FFS) methodology.
Currently we have two (2) double cabin pick ups
and five (5) motorcycles three (3) of which were
given by USAID Projects however they have
highly depreciated and so oftenly brake down.
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The project will improve quality and quantity of African Bird Eye
Chilli through provision of improved post harvest technologies and
dryers to the farmer households at a fordable cost, Value addition
through processing will be done this will increase farmer
household incomes as the farm gate price will improve Value
addition will be done to process chilli into powder and source in
order to promote local consumption and creating new market
opportunity
This will improve the mode of transportation of chilli from rural
collection centers to the main bulking stores
. Storage and Transportation will improve and the products will
increase NECPA incomes to provide better services to the
community
GROWTHAfrican bird Eye Chilli has very high demand in the Global
market and NECPA has technical expertise in chilli (human
resources) another opportunity is the diversification of
products such as Coffee, Chia, cashew nuts and Honey
which all have high market demand locally and
Internationally . The Government policy on
Industrialization and commercialization of agriculture
through value addition is opportunity for scaling up the
community will and commitment to produce quality
quantities of chilli and the selected value chains helps us to
scale up because currently we are at growth level and the
good climate for the selected value chains the mitigation
strategy for Climate change is already developed with the
community (Climate Change adaptation Strategy) 16
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