Nigeria - Business creation project

Describe your project or startup in a few words

THACK is an agro-allied initiative aimed at providing food security and better working conditions for Nigerian Farmers. It's a tomato product aimed at empowering tomato farmers while increasing the availability of the product all year round.

01.01 Describe your project in more detail

THACK stands for Tomato Hack. It aligns with the sustainable development goals by focusing on minimal waste, environmental protection, fair compensation for farmers and workers, and recyclability and sustainability. THACK purchases tomatoes from farmers during the harvest season. Any tomatoes that can't be transported immediately are stored in zero-energy cooling chambers, which are cheap and easy to construct in the rural areas where the tomatoes are harvested. The finished tomato products are packaged in recyclable glass jars that consumers can return for huge discounts on future purchases. THACK does not aim to directly grow its tomatoes because the region already has abundant tomato resources. THACK wants to demonstrate that food security in tomatoes can be achieved using current technology such as using plastic crates to transport tomatoes, zero-energy storage facilities to prolong the shelf life of raw tomatoes, and water dump tanks to reduce loss and wastage during processing.

01.02 What is the main problem you are trying to solve?

THACK is aimed at fighting food insecurity. It does this in two ways. Firstly, by making the product available. Secondly, by providing it at an affordable price. Every year, Nigerian farmers suffer up to 45 percent losses of their tomato harvest. These losses are the result of a combination of factors: diseases, pests and inadequate storage and processing (John Babadara, 2023). Farmers in Plateau state are no strangers to this menace. This problem persists despite tomato constituting 20 percent of Nigerian’s daily consumption. THACK wants to take the produce from these farmers and process them locally to extend their shelf life, thereby preserving the farmers’ incomes and making the processed produce available at affordable costs long after it is out of season. THACK aims to optimize the tomato value chain starting from the farmers by providing them with better inputs and education; to local processing, storage and improved transportation with proven methods in the industry.

01.03 Tell us the major benefits and/or advantages of using the product/service that your project intends to provide (at least 3).

Firstly, THACK is a win for food security. It will keep shelves filled with food that would otherwise not be available all year round. Secondly, THACK benefits the local economy. Because we refuse direct vertical integration, we can keep farmers on their farms with better returns for their labour. THACK also benefits the local economy by providing jobs in the community. Thirdly, THACK benefits the environment through its eco-friendly approach to production and consumption. These approaches include heavy recycling and sustainable farming practices that will be encouraged on partnering farms(More on this under the SDG goals).

01.04 Please describe who exactly your project is aimed at serving. Who are the targeted beneficiaries?

The targeted beneficiaries are the consumers, the farmers and the society. The consumers are introduced to a product that assuages their access to an indispensable commodity at affordable prices. It also assuages their fears of cancer from consuming too much chemically processed food. It also benefits the small scale farmers that THACK works with. The farmers’ harvest is preserved and their profits maximized due to the improved access to improved farming techniques and an immediate market that guarantees their products are taken off their hands before post-harvest losses can take their toll. The society as a whole also benefits from the increased supply of the product which will drive prices down and reduce scarcity.

01.05 When did you start working on your project?

2023-12-01

01.06 How many other partners are associated with your business venture?

3

01.07 Among the other partners, how many are female?

1

01.08 Please describe the profile of each of the other partners (skills, experience, etc.)

Ezeanya Great blends legal expertise with real-world business acumen. His law degree with a specialization in consumer protection underlines a commitment to ethical business practices. His training as an SDG leader by the Plateau State Government during his NYSC service highlights his passion for driving positive social and environmental impact. Akuenu Chioma is an accountant. She runs a confectionery business that demonstrates her entrepreneurial spirit, leadership capabilities, and ability to translate financial insights into actionable business strategies. She has a talent for identifying and capitalizing on opportunities, reaching target audiences, and driving business growth. Ugo Chime is a serial entrepreneur. He possesses a deep understanding of supply chain management and cost optimization strategies, honed through his firsthand involvement in logistics and procurement. He leverages on this experience to navigate and adapt to the ever-changing business climate in the country.

01.09 If you have a website, a social media page (Facebook, Instagram, Linkedin…), or app, please provide the link here:

01.10 Which industry best describes your project?

d) Primary commodities (food, drink, household and personal products)

02.01.01 My project contributes to the No poverty goal

7 - Strongly Agree

02.01.02 No poverty - Justification

Tomato farming in Plateau state is traditionally done by small scale farmers many of whom suffer heavy post harvest losses. These farmers are left vulnerable to poverty being unable to pay back loans taken from credit institutions. Our startup protects farmers from these losses by taking them at harvest, storing them properly and processing them. This preserves the farmers’ incomes enabling them to lead better lives far from the menace of poverty. THACK's establishment will also create well paying jobs for its employees enabling them support themselves and their families.

02.02.01 My project contributes to the Zero hunger goal

5

02.02.02 Zero hunger - Justification

THACK is a food security project that creates large stores of essential vegetables. Nigeria’s vegetable market is highly seasonal and therefore suffers high price fluctuations. By creating stockpiles that will be available in and out of season and at stable and affordable prices, access to food is ensured. Fobstoc will provide increased technical knowledge with lectures in local languages from professionals to encourage sustainable farming practices.

02.03.01 My project contributes to the Good health and well-being goal

4

02.03.02 Good health and well-being - Justification

02.04.01 My project contributes to the Quality education goal

1 - Strongly Disagree

02.04.02 Quality education - Justification

02.05.01 My project contributes to the Gender equality goal

2

02.05.02 Gender equality - Justification

In Plateau State, the major factor keeping girls out of school is poverty. If the farmers earned more, they would be able to school all their children. By buying the farmers' produce instantly before post harvest losses set in, the farmers' incomes are bolstered, allowing them to school their children regardless of gender.

02.06.01 My project contributes to the Clean water and sanitation goal

2

02.06.02 Clean water and sanitation - Justification

02.07.01 My project contributes to the Affordable and clean energy goal

1 - Strongly Disagree

02.07.02 Affordable and clean energy - Justification

02.08.01 My project contributes to the Decent work and economic growth

6

02.08.02 Decent work and economic growth - Justification

Through the establishment of our business, jobs will be created both directly and indirectly. The farmers who work with us will be paid at a time when their goods are will fetch premium price for their quality, thereby boosting farmer's income. THACK is also committed to giving those in its direct employment decent pay. By paying company tax and other dues THACK will contribute to the economic growth of the nation. This is in addition to its production activities contributing to the nation's GDP. By producing within the nation and with local resources THACK will reduce dependence on foreign products further strengthening the economy.

02.09.01 My project contributes to the Industry innovation and infrastructure

4

02.09.02 Industry innovation and infrastructure - Justification

02.10.01 My project contributes to the Reduced inequalities goal

7 - Strongly Agree

02.10.02 Reduced inequalities - Justification

02.11.01 My project contributes to the Sustainable cities and communities goal

5

02.11.02 Sustainable cities and communities - Justification

The tomato farmers who are our target reside mainly in settlements away from the cities. Due to poor harvests many leave the villages and come to the cities in search of work. This rural urban migration puts a strain on facilities in the city while leaving the essential industries in the countryside that cater for the cities undermanned. By giving them a stable income, they remain in the countryside and help build their communities preventing cities from becoming overwhelmed by the influx of job and livelihood seekers.

02.12.01 My project contributes to the Responsible consumption and production goal

7 - Strongly Agree

02.12.02 Responsible consumption and production - Justification

THACK is big on recyclability. Instead of the disposal single use wrappings that tomato paste regularly comes in, THACK envisions a 375ml glass jar. This glass jar is to be returned after use much like soft drink bottles at the depot. To encourage this, buyers who return their previous jars get a 25 percent discount on new jars purchased. This is to encourage a recycling culture and promote a circular economy among Nigerians.

02.13.01 My project contributes to the Climate action goal

7 - Strongly Agree

02.13.02 Climate action - Justification

THACK participates in climate action through eco-friendly policies. With its reusable packaging it aims to mitigate land and water pollution that results from the single use packaging that is used in the traditional tomato paste industry. By encouraging sustainable practices on partnering farms, such as cover cropping, crop rotation and integrated pest management systems THACK will reduce soil erosion and creeping desertification, while reducing the use of chemical pesticides that are harmful to the environment. THACK also follows a no waste policy that sees byproducts of the manufacturing process returned to the farm as compost. Consumer education will also be embarked upon on the labels of products aiming to win more people for climate action.

02.14.01 My project contributes to the Life below water goal

4

02.14.02 Life below water - Justification

02.15.01 My project contributes to the Life on land goal

7 - Strongly Agree

02.15.02 Life on land - Justification

02.16.01 My project contributes to the Peace justice and strong institutions goal

1 - Strongly Disagree

02.16.02 Peace justice and strong institutions - Justification

02.17.01 My project contributes to the Partnerships for the goal

4

02.17.02 Partnerships for the goal - Justification

05.01 There are a large number of customers who already use a product/service very similar to the product/service we envision creating.

2

05.02 The product/service we envision creating represents an entirely new type of product/service.

5

05.03 The product/service we envision creating could be described as a new technology.

3

05.04 The product/service we envision creating is an improvement on an existing product or service.

7 - Strongly Agree

05.05 The product/service we envision creating could be described as an extension of a range of products or services.

7 - Strongly Agree

05.06 The product/service we envision creating responds to a demand or need that has not been satisfied by other products/services.

5

05.07 The product/service we envision creating is a new version of an old product/service.

7 - Strongly Agree

05.08 Justification

Our product is chemical and additive free. It is purposed to be the closest alternative to ubiquitous homemade tomato paste in flavor and cost. THACK as we call our product, like homemade tomato is designed to be used alongside the traditional paste found in the market.

05.09 Who are your main potential competitors and what makes you stand out from them?

While all tomato paste makers can be considered competition. That wouldn't be entirely true. THACK is the result of a survey which shows that consumers use a combination of homemade tomato sauce along with traditional tomato paste. In many cases, if a suitable alternative is found, many users would switch to a more natural alternative. This is where THACK comes in, with its natural flavor, no chemical additives and competitive pricing, THACK has no real competition. (we can make available the results of the survey.)

10.06 Are you initiating actions within your community to promote the role of female entrepreneurs?

On a personal scale, I've often given small loans to female entrepreneurs.