YAP Proposal #6: “Kienyeji Kuku farm” (Collins Aswan, Kenya)

I am Collins Odhiambo Aswan. I am a 28 year old male graduate of Bsc. In Agriculture and a currently sponsored student in project planning and management (masters).

My passion in agripreneurship is solely driven to be self reliant and self employed due to higher rate of unemployment in my country and this shall also make me create employment. This therefore compels me to find and run the own company agribusinesses, that shall have the social responsibility of ensuring a better life for the small holder farmers in the counties of Kenya.

To start this, I need to establish “a kienyeji kuku farm” -a fully operational poultry farm that incubates, breeds and sell improved local (kienyeji) breed chicken (kuku).

This kuku farm is to major on improved kienyeji (local) chicken production as its unique feature due to its uprising demand of the broilers and the eggs. The initial exotic hybrids are to cushion the production and any risk available for capital cushioning sustainability. The targeted market in Kisumu city is 25km away from the production site (home).

I plan to put an immense infrastructure in terms of housing, solar energy for production, incubator, poultry stock of 30 improved KARLO kienyeji layers (giving 30 fertile eggs per day for incubation thus 900 eggs per month), 4 improved KARLO kienyeji cocks for fertilization, 100 kienyeji chicken layers for eggs sale, 100 exotic chicken layers for eggs supply (capital risk cushioned), 600 broiler stocks to help me cushion the capital of the business, supply of locally assembled feeds and sourcing of medicine.

For the number of birds quoted, the profit forecast as per expected capacity of production in relation to the market venture is as shown below. The business is expected to further project vertically with additional birds as per the sales projections included.

For the 30 kienyeji layers, I shall get a supply of 30 fertilized eggs per day thus 900 eggs per month to be incubated. Meaning 900 chickens when hatched. For my farm, I shall need 600 in the first 6months due to capacity then sell (at a cheaper cost @ $0.5 instead of $1 as it is}, the remaining 300 chicken to the local community). After 4-6 months of intense feeding, my chicken shall be ready for market at $10 each and since I produce and incubate per month, this is continuous business cash inflow.

For the 100 kienyeji layers, it means I shall be getting 100 eggs per day thus 900 eggs per month The local community love the local eggs (kienyeji) therefore better market since this has never been explored. @$3 per crate, it means I expect $90 per month for the start from this and as the agribusiness improves, I expect more.

This shall be the same as the 100 exotic chicken layers though the preference for the eggs diminishing but it’s meant to keep relevance in the market at first.

For the 600 exotic chicken meant to cushion me the capital, raising them successfully for 2 months means I expect @ $5=$3000 in the third month and consequentially till enough capital accrued. To help me in expansions and the business maintenance costs.

My incubated and bred kienyeji chicken of 600 per month shall be ready after the 4th to 6th month giving me an expectation of @$10=$6000 per sale.

The birds are to be sourced from licensed dealers including but not limited to Kenya Agricultural Research and Livestock Organization (KARLO) njoro for the improved chicken, kienyeji chicken dealers in ruiru, kenbrow, all in Kenya.

In the market niche, the gaps identified include but not limited to the growing untapped preference for the improved kienyeji chicken, preference to the unavailable commercial kienyeji eggs, unmet customer supply of broiler chicken in the targeted market area, cheaper production costs due to expertise in agriculture. The targeted markets include majorly star hotels in Kisumu that lack an established supplier for traceability, available kienyeji chicken for the urban dwellers which shall be through established retailers at identified sales points in Kisumu, schools, universities and any major event requiring supply.

Operational expenses and production costs have been inculcated taking advantage of the agricultural expertise, nearness to the market and cheaper production advantage.

The assumptions taken into account include advantage of agricultural background, available market not fully exploited, better pricing to outdo competition, cheap production costs.

Unique features I bring on board include the unexploited preference for the kienyeji chicken and eggs, no proper production of this kind in the locality identified, better pricing, nearness to market venture. The hybrid chickens are brought on board to ensure customer satisfaction and supply in case kienyeji stock out and also to cushion any risk that might arise.

The challenges foreseen are of capital (high initially) making me outsource, transportation that would prompt me acquire a means with improved production. In doing this, I shall be self reliant and self employed. My work shall support the communities by provision of the relevant breeds, medications, input and market linkages, provision of the stated services as therein, promotion of production technologies, and enlightening the farmers of better production. All these lead to self sustenance of the farmers and thus better food security.

With the agricultural background advantage, I request for funding of the same, then layout the logistics and implement the tenets for the success of the agribusiness.

Currently I am in crop production alone to raise the capital but the unfavorable climatic conditions lead to immense losses thus slow capital being accrued, most of which used in consequent productions. This dream not forth coming but when granted, it is valid.

The actual measurable success factors for the project include the sales, acquisition of the inputs and market exploitation. This is ultimately measured by the number of sales made every month.
For the $5000 grant, installing the 1052 capacity incubator shall cost $1000, fencing the site and installing a solar and CCTV shall cost $700, housing infrastructure $1800, poultry stock acquisition, medication and feeds costing $1500.

From April 2016, the infrastructure shall be put in place then in May, stock acquisition shall be done. Incubation shall be from June. The first sale of broiler stock expected after 3 months in August.

Blogpost and pictures submitted by Collins Aswan (Kenya) – collinsodhiamboaswan(at)gmail.com

The content, structure and grammar is at the discretion of the author only.

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