Ethiopian Business Development Services (BDS) Network
Contact: info@bds-ethiopia.net - Addis Ababa

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BDS - Newsletter

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No. 20  -  December  2006

Mr. Jurgen Koch, Project Manager  of BOAM

Mr. Tesfaye T.Haimanot, Value
Chain Leader and an investor in dried pineapple processing plant and exporting business.

Dr. Wondifraw Tefera, the researcher in charge of propagating plantlets in Jimma Agricultural Research Centre.

 BOAM’s Experience with Value Chain Promotion

Business Organisations and their Access to Markets (BOAM) is a private sector development programme of The Netherlands Development Organisation (SNV) in Ethiopia. The details of the programme could be seen on www.business-ethiopia.com.

The BOAM Programme will shortly wind up its pilot phase and get into expansion phase counting on its achievements and the lessons taken form the former. The pilot phase of the programme has been promoting four value chains namely: Oilseeds & Edible Oil, Honey & other Bee Products, Milk & Dairy Products and Perennial Crops with specific focus on Pineapple.

The Programme was successful in many aspects. For instance, to mention the pineapple value chain, it was learnt that there was a very big shortage of pineapple product as well as planting materials after having launched the development of this value chain. The annual production of pineapple in Ethiopia was only 3 million most of which were Red Spanish variety. The Red Spanish is good for selling fresh. Studies and multiples of orders received by many exporters indicate that there is a very big market for dried as well as canned pineapple. MD2 and Smooth Cayenne varieties are currently popular in the market even though different varieties are emerging time to time. The BOAM Programme has used its fund for assessing suitable land and propagating planting materials in a research laboratory, promoting the findings on investors’ workshop organised by it and preparation of business plans for investors, etc. The workshop attracted more than 14 investors who are registered to invest in this product. In all this, the programme has mobilised several actors including but not limited to local and regional government investment bureaus, research institutes, universities, business development consultants, investors, farmers’ associations, cooperative bureaus, banks, etc. All these stakeholders meet on a Coordination Group Workshop which takes place semi-annually. The overall effort was just like creating a new product with big market potential which will eventually become one of the biggest export products and foreign currency earners for Ethiopia. All this, in about one year.

The experience of BOAM Programme is immense and its best practices are worth being replicated for those who are working on value chain developments.

Mrs. Yeshimebet Wale and Mr. Aragaw Admas

Mrs. Ethiopia Yimenu

People living with HIV have Needs for A Different Approach of BDS

People leaving with HIV/AIDS (PLWHA) are currently involved in many business activities to help themselves and their families. There are women entrepreneurs with HIV/AIDS who have obtained seed money in Bahir Dar Town and are vending some commodities on road sides. Road sides are the first steps to encounter the market for newly starting MSE operators who target the by passers with mainly presenting fresh food products.

PLWHA can properly function in the market so far as they take ART and are taking proper care. However, some times they feel weak to go to the market which is so bad for their businesses because the products they stored for trading can be spoiled until they recovered again. Simple lessons which could be taken by BDS Facilitators from this are that they have to guide PLWHA to choose the right products for business putting their health situation into consideration. For instance, not to involve in fruits and vegetables business or if they do, to keep small stocks. Secondly, PLWHA will have to work in collaboration with other partners so as to carry on the business in times of sickness.  They also need special supports in the acquisition of working premises in collaboration with local administrations.

Yeshimebet Wale and Aragaw Admas are both HIV Positive and good examples for synergising in business. They matched the seed money they received from their Association and decided to leave together and do business together as a good strategy to support each other. The products they chose are fuel wood and charcoal so as not to lose due to spoilage. They are selling in front of Aragaw’s house to neighbouring people.

On the other hand Mrs. Ethiopia Yimenu, another HIV positive woman, is peddling fruits on a road side in Bahirdar town where the police chase her now and then due to the illegality of the place for vending. She neither has a partner nor vending the right product i.e. high risk. She has two children to rear in this situation after she lost her husband due to HIV/AIDS. Up to now she is doing a good business for the last three months, but the future isn’t predictable.

Previous BDS Newsletters please visit www.bds-ethiopia.net/news.htm.

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