Category Archives: ideaexchange

Strathmore Promotes Agri Export Business Opportunities

On Thursday at Strathmore Business School, there was a session to highlight some of the opportunities and challenges for Kenyan companies that wanted to get into the farm export business.

Kenya is known for flower exports, but not so much for fruits and vegetables which can be quite lucrative and are better suited to the climate here. An example was cited that a kilo of dhania (coriander) that sells for Kshs 50 per kilo in Nairobi, can fetch €3-4 euros in Europe.

Some excerpts

Export fruits and vegetables

  • Know the markets. Buyers have no obligation to buying from Kenyans. Companies have to know how to sell at expos where everyone is selling the same fruits and vegetables.
  • Kenyans are known for sending good samples, but the problem that buyers in other countries have with many Kenya companies is that they are later not consistent in quality and quantity of food exports. 
  • How to identify opportunities and threats in the news; Things like Brexit, earthquakes and climate changes and others like Muslim migration across Europe.
  • One can’t venture into exports unless they interact with the government – HCDA, Export Promotion Council, KEPHIS and others like the FPEAK, and the Kenya National Chamber of Commerce & Industry. Also, potential exporters must update themselves on changing regulations.
  • How to manage finance when upfront payments are rare, and there are international frauds who take deliveries but don’t pay. Also how to avoid the many fake consultants.  
  • The biggest challenge in this country is labour, not capital! One solution is shared labour for exporters and farms who can’t employ full-time skilled workers.
  • If one is not in charge of their own logistics, they are not in business. 

The Strathmore Business School exploring international markets program class takes place early next year and involves two modules: The first will take the class to the Fruit Logistica in Berlin, in February 2018 which is the world’s leading trade fair for the international fresh produce business where they will learn about the packaging, presentation, logistics, marketing. and other business aspects at the fair that had had 3,000 exhibitors from 84 countries and 76,000 visitors this year. Then at module two in Nairobi, they will learn about local production, logistics, local bank and financial options, obtaining global certification, branding, and other aspects of the food value chain. The deadline for applications is December 20.

Idea Exchange: Startup Roundup

Recent and upcoming startup events around Africa

AVCA Nairobi: The African Private Equity and Venture Capital Association (AVCA) cordially invites you to an informal evening of networking over cocktails on Wednesday, 22nd November 2017 5:30 – 9:00 pm Sarabi Pool & Supper Club Sankara Nairobi. AVCA Members and Qualified LPs: FREE, Non-AVCA Members: £25

ABLAA Africa: 7th All Africa Business Leader Awards will feature winners from West, Southern and East Africa at the AABLA Finale on November 30th in Sandton, which will be broadcast on CNBC Africa on December 7th. West Africa will be represented by Alloysius Attah, Co-Founder and CEO of Farmerline (Young Business Leader of the Year), Oluwatoyin Sanni, Group CEO of United Capital Group (Business Woman of the Year), Mustapha Njie, CEO of TAF Africa Homes (Entrepreneur of the Year), Guaranty Trust Bank (Company of the Year) and Herbert Wigwe, CEO of Access Bank (Business Leader of the Year).

Startups that use drones are welcomed.

The Airbus BizLab initiative in Africa, launched in August this year, targeted African startups innovating for future applications in the aerospace business. Startups that use Unmanned Aerial vehicles (UAVs), satellite Operations and Imagery, 3D Printing, Smart sensors, Internet of Things (IOT), smart energy and Artificial Intelligence (AI) were encouraged to apply. There were 11 finalists who were shortlisted included Aerobot Technologies – Kenya, ESIPPS International – Uganda, Kuunda Three Dee – Kenya, Maisha – Ethiopia, QTRON Industries – Kenya, Swahili Box – Kenya, Savannah Circuit Technologies – Kenya, Startup Lions – Kenya, Track Your Build – Sierra Leone, UAV Kenya – Kenya and the overall winner of the Airbus Bizlab  was lluminum, an Agri-tech startup that uses connected sensor technology with its solar panels to automate and enable remote control of greenhouses. Illuminum greenhouses will get a 10-day trip to Europe to meet with Airbus experts as well as present to Airbus Executives and investors.

I Love Black People Tour & Pitching Competition: Blockchain startup BitMari has teamed up with the National Society of Black Engineers to bring you a unique opportunity to tackle financial challenges across the global African Diaspora and has been inviting undergraduate students, graduate student, and professionals across all fields, including developers, designers, product developers, and entrepreneurs, plus businesses that want to embrace the idea of social innovation or initiatives that combine a positive mission with business. Students can now enter the pitch competition and win up to $5,000 for sending a youtube link with a 60 seconds pitch on an idea that uses Bitcoin technology which will qualify them for a hackathon at the end of November.

Innovate Ventures, the leading Somali tech and business startup accelerator launched in partnership with VC4A, Telesom the Work in Progress! Alliance, had their second cohort of 10 startups from Somaliland and Somalia graduate from their programme. This year’s accelerator saw over 400 applications received and the seed investment given doubled from $15,000 last year to $30,000. First place went to Bilan Baby, a startup that sells baby furniture, accessories and baby clothing as well as maternity products. Bilan Baby received $7,000 in seed investment. Second place went to SAMS, an agritech marketplace for farmers and buyers and Almijet, a digital printing company who received $5,000 each. Finally, Brandkii, an online marketing and advertising startup, received $3,000. Further investment was provided to Muraadso, an e-commerce startup and last year’s winners; they received $10,000.

Kenya Bankers Catalyst Award nominees include Barclays, Commercial Bank of Africa, Cooperative Bank, Diamond Trust, Equity, KCB, Kenya Women’s Finance Trust, Lendable /Levanter, National Bank, NIC, Prime, Safaricom, Standard Chartered, and Stanbic among others.

MasterCard Foundation sponsored ‘Client at the Centre’ Prize which highlights best practices in financial services where client satisfaction is a priority. Jumo, a South African based company beat close to 100 financial services firms to win the$150,000 prize in recognition of its innovative and impactful low-cost financial services that serves poor people. The winner was picked by a 400-person audience during the ongoing Mastercard Foundation’s Symposium on Financial Inclusion  2017 Symposium on Financial Inclusion in Accra, Ghana. The other two Prize finalists were ftcash, one of India’s fastest-growing financial technology ventures which aims to empower micro-merchants and small businesses with the power of digital payments and loans, and Destacame, a free online platform in Latin America that empowers users by giving them control over their data to build their financial capabilities and to access financial products.

Orange  announced the winners of the 7th Orange Social Entrepreneur Prize 2017 in Africa and the Middle East. 49 local winners who were drawn from Orange’s 17 subsidiaries in Africa and the Middle East were entered into the international contest. The winning projects this year were: 1st prize was awarded to Manzer Partazer in Madagascar, a startup that aims to reduce food waste by sharing excess food from restaurants, hotels or supermarkets.  2nd prize was awarded to City Taps which has developed a solution which bridges the gap between water services and the most disadvantaged citizens.  3rd prize was awarded to eFret.tn in Tunisia a website that links up foreign exchange senders with transport and transit professionals in Tunisia .Also a Special Content Prize was awarded to Génie Edu in Cameroon, an e-learning platform which aims to help students having problems by providing online video courses and Internet users were also invited to choose their “User Favourite” project and this was the Malagasy project Majika that facilitates access to renewable electricity and support for rural entrepreneurship.

Reuters Journalism Training Programme (Middle East & Africa): The Reuters Journalism Programme is an opportunity for recent graduates, early career reporters, or professionals with proven experience who are looking to switch careers into journalism. The programme in 2018 will consist of 6 months of formal and on-the-job journalism training, initially in our London newsroom, followed by one of our other main reporting newsrooms or bureaus in the Middle East or Africa.

 

USAID: Enterprises within the Kenya Innovation Engine (KIE), a USAID-funded program Feed the Future initiative have leveraged $8.2 million worth of private sector investment, and created more than 6,000 jobs at the business and farm level. In the course of implementation, in order to ensure sustainability, KIE-supported enterprises formed 56 strategic public-private partnerships with progressive local and international organizations such as Safaricom, Equity Bank, Microsoft Corporation and VISA. Over 670 innovation applications received in four solicitation waves and over $4.2M invested in a total of 26 awards made to date. Project awardees: Stage I (proof-of-concept): M-Farm; Quest Agriculture; The Real IPM Company; University of Nairobi; Virtual City; Kenya Medical Research Institute (KEMRI); Maseno University; Caytree Partners; and Kenya Network for Dissemination of Agricultural Technologies (KENDAT). Graduated to Stage II (pilot-roll-out): Arid Lands Information Network (ALIN), Kenya Livestock Marketing Council (KLMC), iProcure, Amtech Technologies; Wanda Organic; and Kenya Biologics. Direct entrants at Stage II (pilot-roll-out): Lachlan ; Indicus Kenya.; Value Farms and Takaful Insurance.

Village Capital is launching the Fintech Africa 2018 program in collaboration with PayPal. The U.S. headquartered VC firm is recruiting a cohort of 12-14 early-stage fintech startups to go through a three-month investment-readiness program, early next year. They are recruiting from Ghana, Kenya, Nigeria, Rwanda, South Africa, Tanzania, and Uganda and are looking for startups that address insurtech, pensions and savings, cooperative finance, and financial literacy; leverage data for credit scoring and consumer insights; and apply fintech to other sectors of interest: agriculture, energy, education, and health. Two startups will be peer selected by fellow entrepreneurs to receive $50,000 investment each. The deadline for applications is November 24.

XL Africa: Twenty of the most promising African digital start-ups will take part in the XL Africa  residency, the flagship initiative of the business accelerator launched last April by the World Bank Group’s infoDev program. The residency will conclude with the XL Africa Venture Showcase, a regional event organized in association with the African Angel Investor Summit.  With support from African investment groups, XL Africa will help the startups attract early stage capital between $250,000 and $1.5 million. Selected from a pool of over 900 applicants, the startups participating in the event are: Aerobotics (Data, South Africa), Asoko Insight (Data), Coin Afrique (Marketplace, Senegal and Benin), Edgepoint Digital (Jamii) (FinTech – Insurance, Tanzania) , Electronic Settlement (FinTech, Nigeria), Lynk Jobs (HR, Kenya), MAX (Transport, Nigeria), ogaVenue (Venue Platform, Nigeria), Ongair (SME Services, Kenya), Pesabazaar.com (FinTech, Kenya), Prepclass (EdTech, Nigeria), Printivo (Printing, Nigeria), Rasello Company (SME Services, Tanzania), Rensource (Energy, Nigeria), Sendy (Delivery, Kenya), Snapplify (Publishing, South Africa and Kenya), Sokowatch (Delivery, Kenya), TalentBase (HR, Nigeria), Timbuktu (Travel, South Africa), and Tizeti Network (Connectivity, Nigeria)

Startup Battlefield Africa by Techcrunch and Facebook

The Techcrunch Startup Battlefield Africa, supported by Facebook, was won by Lori, a logistics platform being developed to simplify the movement of cargo in Kenya.

At the TechCrunch event in Nairobi, 15 startup companies pitched and demonstrated their concepts in between chat sessions on the unique business climate of Africa that featured other seasoned entrepreneurs, advisors, and funders, with moderation by Facebook and TechCrunch staff.

The competing companies were drawn from sectors like finance (WeCashUpAbacus), data collection (Form+Delivery Science), logistics (Lori Systems), sales (Sellio,  SynCommerce), entertainment (Big5 Games, Tango TV, Gazkar from Lomay), health – ConnectMed,  education (M-Shule, Dot Learn), recruitment – Talent2Africa and agri-business – AgroCenta.

Lori won the day and walked away with $25,000 and an all-expense paid trip for two to compete in  TechCrunch’s flagship event: Disrupt SF 2018

Winners will join TechCrunch’s Startup Battlefield Alumni Network. Alumni have collectively raised nearly $7 billion and produced nearly 100 exits and IPOs to date.

Some excerpts from the day:

  • Brands are creating collections and Michele, Beyonce, Rihanna are wearing African brands – that’s opportunity @KISUAonline #TCBattlefield
  • Most lucrative buyers for @agrocenta are big companies such as breweries, animal feed, soya oil #TCBattlefield
  • Logistics is a $500B market for innovations that eliminate middle-men and make food supply and demand efficient – @agrocenta #TCBattlefield
  • 80% of farmers don’t have access to direct markets and logistic inefficiencies lead for 25% of food being wasted – @agrocenta #TCBattlefield
  • Black Africans in tech are not getting a lot of the money coming into tech – @africatechie #TCBattlefield
  • I’m in Silicon Valley; I may be on a board, but I’m not at the birthday party or talks for the next round – @africatechie #TCBattlefield
  • @big5games builds localized data-optimized easy-to-play games on sports, farming, stocks with partners like Kwese & telcos – #TCBattlefield
  • If you arrange for 20 cargo trucks between Nakuru to Eldoret, 15 will commit, 5 agree on price, but 2 will show up – Lori #TCBattlefield
  • A typical lorry takes 3 days to load its cargo, to make a 12-hour journey, then another 3 days to unload – Lori #TCBattlefield
  • Products cost more in Kenya as the logistics chain is broken; trucks are empty or idle 93% of the time – Lori #TCBattlefield
  • Today @AbacusKe launches Kenya’s first automated investment service – using algorithms to personalize advice – @TheMacharia #TCBattlefield
  • @AbacusKe aims to be Africa’s e-trade; local & foreign investors can make stock debt property & unlisted buys – @TheMacharia #TCBattlefield
  • @wecashup does 1M transactions per month of ~10 euros and partners with banks so they don’t need a license for every country #TCBattlefield
  • @wecashup 2.0 integrates payments whether cash, mobile money, cards, crypto-currencies in 42 countries, and own 6 patents #TCBattlefield
  • You can build a $50M business serving a Lagos neighbourhood; but there’s a daily swing between risk & uncertianity – @EghosaO #TCBattlefield
  • Local investors say – don’t tell me about 10-yr plans when I can bring a container from China and make more money – @EghosaO #TCBattlefield
  • Africa is about iceberg micro-economies; see below the surface – biggest opportunity is organising offline markets – @EghosaO #TCBattlefield
  • Saying Nigeria has 180m people or Africa has 1.2 billion brings wow – but you should think at city levels – @EghosaO #TCBattlefield
  • Our challenges include raisng capital and dealing with regulators & muscled players (non-market forces) – @oviosu #TCBattlefield
  • Nigeria is the biggest market in Africa. River State is bigger than most African countries – @oviosu #TCBattlefield

Huawei in Kenya

Huawei Kenya held a media briefing at their Kenya headquarters near Lavington. This was refreshing as last year when they were to do a demonstration of the Nairobi Smart Cities project; they scaled it down as soon as they heard the Cabinet Secretary was not going to show up for the event.

Huawei has been operating in Kenya for 19 years since 1998. They have done lots of projects mainly in the telecommunications space; they rolled out networks for Safaricom and Telkom Kenya and also launched the Ideos, the $100 smartphone with Google and Safaricom.

The Huawei Kenya representatives spoke about ongoing projects with the government such as cloud services for the entire Kenya government, roll out of government fibre to all 47 counties, and police security & 4G networks. Since 2015 they also provide the software for M-Pesa for Vodafone to roll out across Africa and the world. They also provide about 2/3 of the infrastructure of Safaricom and also power M-Kopa solar payment systems.

Huawei is a $75 billion company with 180,000 employees (80,000 who work in R&D), and operate in 170 countries. It is entirely employee-owned by 81,000 employees in China while the founder/CEO owns  1.4% of the shares. They have 300 staff working in Kenya and provide about 100 scholarships a year for Kenyans to study in China.

In 2016, Huawei sold 139 million smartphones – (number three behind Apple and Samsung). They work hard to combat the reputation that Chinese means ‘low quality’ and Huawei is the world biggest patent filer, and have been granted over 62,000 patents. They spend over $10 billion a year in R&D – and build their own its own chipsets, batteries, and some phones have three antennas etc. to optimize their phones.

Microsoft Insiders4Good East Africa

The Microsoft Insider Program connects the world’s largest community of people using technology to make a lasting impact on the world. The #Insiders4Good East Africa fellows were announced on Thursday along with the the concepts they are working on:

  • Mensa Healthcare – Nairobi, Kenya (smartcard-based system enables the centralized storage of digital records for patients and hospitals)
  • Chanjo Plus – Nairobi, Kenya (helps parents keep track of their children’s vaccination schedules and aggregates vaccine supplies)
  • ClinicPesa – Kampala, Uganda (enables individuals to conveniently set aside funds for future health services through their mobile phones.)
  • Kids Comp Camp – Nairobi, Kenya (a coding and ICT training unit aimed at helping youth in tech-scarce areas gain computer skills and enhance their employability)
  • Sahibu – Nairobi, Kenya (offers refugees in camps an SMS platform to connect with each other, share stories and access crucial information)
  • Spurred – Nairobi, Kenya (convenient way for customers to contribute a portion of their points from loyalty programs towards the humanitarian projects)
  • Infoshule – Dar Es Salaam, Tanzania (enables parents to access the academic records at any time, message teachers, and use mobile payments for school fees)
  • Worknasi.com – Dar es salaam, Tanzania (connects startups and freelancers with businesses and office owners who want to share their working spaces and meeting rooms)
  • IV Drip Alert – Kigali, Rwanda (enables nurses to more easily manage intravenous fluids through a wireless alert system)
  • mobScore – Arusha, Tanzania (produces reliable credit scores by analyzing user data from mobile banking and enables Tanzanians to secure affordable loans).
  • Lyons Analytics – Nairobi, Kenya (will develop a system that uses machine learning to track the progression of breast cancer from onset to late stages)
  • Ivomerere – Kigali, Rwanda (enables farmers to manage their watering systems automatically)
  • Sophie Bot – Nairobi, Kenya (an artificial intelligence persona that answers questions about sexual health, providing private, curated, and verified information.)
  • SchoolMaster Solutions – Kampala, Uganda (enables East African schools to use efficient digital systems to manage records and reduce personnel time as result)
  • Mega Gas – Hamisi, Kenya (refines unsorted polythene/plastic waste into clean cooking gas through a process that creates no emissions, residue, or pollution)
  • Mtaalamu Group Limited – Nairobi, Kenya (connects tailors to customers through reviews, a portal, and profile and search functions.)
  • SMART Insider Cheetahs – Nairobi, Kenya (affordable internet to rural and remote areas serving schools, lodges, police stations, and medical centers.)
  • KRHF Managed Telemedicine Hub – Ibanda, Uganda (provides rural clinics with remote access to services of qualified medical professionals)
  • Gawana – Nairobi, Kenya (a ridesharing platform that enables travelers to share long distance journeys and split the cost of fuel)
  • Fem Care – Bweyogerere, Uganda (a phone-like device that provides women with verified information about maternal and child health, in their own language)
  • Azali of (Mayol Ltd) – Nairobi, Kenya (Azali connects borrowers to a multitude of lenders, including small lenders like chamas and SACCOs)