Single Eye-Bud Technology for Sugarcane Settling Production
Overview
Single eye-bud technology produces sugarcane settlings from individual buds, allowing farmers to cultivate high-yield varieties with less planting material. This business model targets youth groups, providing them with an opportunity to establish and grow a sustainable agricultural enterprise.
Startup Costs and Requirements
Item | Cost (KES) | Description |
Land Rental (1/4 acre) | 50,000 (per year) | For a nursery to grow the single eye-bud settlings. |
Sugarcane Bud Procurement | 50,000 (5000 per tonne) | Purchase high-quality sugarcane buds from certified suppliers. |
Polybags (10,000 units) | 70,000 | Used to plant individual buds in a controlled environment. |
Fertilizers and Agro-Chemicals | 20,000 | For nutrition and pest management during growth. |
Irrigation System Installation | 60,000 | Drip irrigation or manual watering system for the nursery. |
Labor Costs (3 months) | 45,000 | For preparing, planting, and maintaining the nursery. |
Nursery Shade Net | 25,000 | To protect buds from harsh weather conditions. |
Tools and Equipment | 20,000 | Secateurs, spades, hoes, and watering cans. |
Training for Youth Group | 20,000 | Workshop on single eye-bud technology and nursery management. |
Marketing and Outreach | 10,000 | To promote settlings to farmers. |
Total | 370,000 | Estimated startup costs. |
Market Potential
- Kenya
- Local Demand: Kenya’s sugar industry relies on high-yield sugarcane varieties, creating strong demand for quality planting material. Farmers in sugarcane-growing regions such as Kisumu, Bungoma, and Kakamega would benefit.
- Government Support: The government’s focus on reviving the sugar sector provides a conducive environment for this business.
- Export Market
- Neighboring countries like Uganda, Tanzania, and Rwanda, where sugarcane farming is growing, have potential for importing high-quality settlings.
Where to Sell and to Whom
- Local Market
- Target Clients: Smallholder sugarcane farmers, sugar processing companies, and cooperative societies.
- Distribution Channels: Direct sales to farmers, partnerships with sugar companies, and agriculture expos.
- Export Market
- Target Clients: Sugarcane farms and cooperatives in East Africa.
- Channels: Engage export trade bodies and use Yakazi’s platform for regional outreach.
Strategies to Access These Markets
- Local Market
- Partner with sugar millers like Mumias Sugar and Nzoia Sugar for bulk orders.
- Organize farmer field days to demonstrate the benefits of single eye-bud settlings.
- Work with agricultural cooperatives to sell settlings to their members.
- Export Market
- Partner with trade bodies like the East African Sugarcane Growers Association.
- Obtain phytosanitary certifications to meet export quality standards.
Profit Potential
- Cost of Production per Settling: Approx. KES 10.
- Selling Price per Settling: KES 30–50 depending on the buyer.
- Profit Margin: 200–400%.
Example: Producing 10,000 settlings per cycle can generate a profit of KES 200,000–400,000 after covering costs.
How Yakazi Can Facilitate and Support
- Training and Capacity Building
- Provide specialized training on single eye-bud technology and nursery management.
- Host workshops on financial management and business growth for youth groups.
- Market Linkages
- Connect youth groups with sugar millers, cooperatives, and export buyers.
- Facilitate participation in agricultural expos to showcase their products.
- Labor and Resource Sourcing
- Help recruit skilled labor for nursery setup and maintenance.
- Provide access to suppliers of certified sugarcane buds and agro-inputs.
- Technology and Networking
- Promote the business on Yakazi’s digital platform to attract local and regional buyers.
- Offer ICT tools to manage nursery operations, inventory, and sales tracking.
Conclusion
Single eye-bud technology is a high-potential agribusiness in Kenya that addresses the needs of the sugarcane industry. By supporting youth groups with training, market access, and resources, Yakazi can empower them to establish a profitable and impactful business.