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

ItemCost (KES)Description
Land Rental (1/4 acre)50,000 (per year)For a nursery to grow the single eye-bud settlings.
Sugarcane Bud Procurement50,000 (5000 per tonne)Purchase high-quality sugarcane buds from certified suppliers.
Polybags (10,000 units)70,000Used to plant individual buds in a controlled environment.
Fertilizers and Agro-Chemicals20,000For nutrition and pest management during growth.
Irrigation System Installation60,000Drip irrigation or manual watering system for the nursery.
Labor Costs (3 months)45,000For preparing, planting, and maintaining the nursery.
Nursery Shade Net25,000To protect buds from harsh weather conditions.
Tools and Equipment20,000Secateurs, spades, hoes, and watering cans.
Training for Youth Group20,000Workshop on single eye-bud technology and nursery management.
Marketing and Outreach10,000To promote settlings to farmers.
Total370,000Estimated startup costs.

Market Potential

  1. 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.
  2. 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

  1. 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.
  2. 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

  1. 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.
  2. 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

  1. 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.
  2. Market Linkages
    • Connect youth groups with sugar millers, cooperatives, and export buyers.
    • Facilitate participation in agricultural expos to showcase their products.
  3. Labor and Resource Sourcing
    • Help recruit skilled labor for nursery setup and maintenance.
    • Provide access to suppliers of certified sugarcane buds and agro-inputs.
  4. 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.

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