Tag: tanzania

*SPECIAL* Silicon Savannah: Business Lessons from East Africa Talk

Overview

We’ve got a slightly different format for this episode – it’s a recording of a talk that I gave on a recent trip back to London.

It was held at a co-working space (@huckletree) to an audience of people interested in learning more about the business scene in East Africa.

We have a bit an intro and overview of the main industries in the region before delving into a few other topics which haven’t really been covered so far on the podcast

  • Some thoughts around how technology in the region is being adopted quicker, leapfrogging the developed world
  • How the education system means it can be difficult to hire in East Africa
  • And a discussion around the implications of Brexit and the Trump election on the region

About half way through we get to Q & As which, in my opinion is the best bit as we get to cover some more contextual questions of the business scene.

Some of the questions might be a bit tricky to pick up, but you should be able to work out what’s going on from the resulting discussion.

In any case, this is a slightly longer episode than you might be used to, but with the diversity of topics we cover, I hope you find it useful.

If you have any thoughts, questions or comments, just drop me a message on Twitter @Sam_Floy or by email [email protected]

Presentation slides

 

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Setting boundaries: how Agrinfo’s mapping technology overcomes pen and paper land disputes

Overview

Smallholder farmers are the majority of the East African population, but there are many issues that they face.

Rose, who founded Agrinfo, is using ICT to help. Identifying some key problems for Tanzanian farmers she and her team are looking to improve the agriculture sector by utilising modern technology.

We discuss the low number of farmers with legal right to their land, the process for mapping Tanzania and the benefits that come by knowing what is planted where.

There’s a bird tweeting outside the window at the beginning of the episode, and so apologies if you find that distracting.

 

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Here are some of the key quotes:

“We use ICT to solve challenges for small-holder farmers”

We consider ourselves a technology company and work backwards from the problems which farmers have told us.

“A big challenge is land”

Only 10% of farmers are working on land that they are legally entitled to. Often the documentation isn’t in order.

“Surveying costs can be 3x the cost of land”

Professionals need to be hired and require them to go across the vast country. This often becomes so expensive that people aren’t able to afford to make a legal rights.

“We’re helping to solve this”

Agrinfo are adopting mobile technologies and getting the help of schoolchildren to undertake this work remotely, rather than the expensive status quo. We also look to include the whole village.

“We have a process around giving ownership of land”

This involves with going to the village, holding talks with the local government who then hold a village meeting and plan out the different boundaries throughout the area (where will be the hospitals/ schools etc.). The whole things takes 3 weeks.

“There are many many villages to map”

A large amount of the country isn’t fully mapped and so we see lots of opportunity across Tanzania.

“We also want to track what’s being planted”

Through asking farmers, we are looking to understand all of the crops which are being planted in different areas of the country.

“People will tell you what they have”

The exchange that I’ve seen work is that farmers are willing to say what it is they are planting by believing that it will lead to an increased likelihood of selling their produce.

“There are other problems”

For example, the cotton farmers now need to spray a new pesticide on their crop. This makes it difficult in terms of practicability.

“We make money”

Through a number of a services such as up front costs of doing the mapping. Our vision is that Agrinfo will become the Tanzanian Agriculture Google.

“Drones”

We’re looking forward to using drones to give advice on how much fertiliser they should use on their crops.

Social Media Follows etc.

USSD: kind of like an SMS

Website: www.agrinfo.co.tz

Facebook: AgrinfoTZ

Twitter: @AgrinfoTZ

Training rats to save lives (no joke) in Tanzania, with Georgies Mgode from Apopo

Overview

Humans are good at a lot of business functions, but one where animals have got us beaten is at sniffing things out.

Rats have the best sense of smell of all mammals and can detect landmines and turburculosis to a much higher accuracy and in a fraction of the time of the best detection technology that humans can manage.

Apopo trains rats from birth and then sets them out to do the job of detecting things which humans struggle at.

Georgies and I discuss the applications of Apopo rats, the school program that they go through and how it’s easier to train the Giant African Rat rather than a dog.

This one is a lot of fun and so I hope you enjoy.

 

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Here are some of the key quotes:

“Apopo is part of a university department”

I’m a professor at the university, and the department I am in is all about training the Giant African Rat for useful purposes.

“Rats detect land mines and turburculosis (TB)”

We train the rats to find solutions for problems that are difficult for humans to solve.

“The rats go to school”

Some are at kindergarten. Others have graduated. They progress through different classes learning along the way until they can off into employment.

“We use the Pavlovian method”

From when the rats are born they are trained in the laboratory to get them used to humans, then obeying command, then identifying a target. Typically it takes 6 months to do the program.

“Rats have a super developed sense of smell”

They have the most olfactory receptors of any mammal which means they can discriminate whether a sample has TB microbacteria or not incredibly quickly. 120 in 20 minutes vs 20 in a day for laboratory technicians

“TB is detected by a spit sample”

These are collected anyway when a patient goes into hospital and once there is enough, the rats sniff them out. 40% of the time rats identify samples which humans missed. This is because rats can smell the microbacteria of TB, rather than the actual TB present in spit sample which can sometimes not be present.

“It takes 200 miliseconds to detect”

The rat spends 3 seconds scratching at the spit sample to indicate when it finds a positive sample.

“Rats scratch at the landmines”

It sniffs out for TNT in a field and when it finds a place, it stops. Because it is very light, it does not set off the landmine.

“They live to about 8 years old”

In the wild things are more competitive, though after eight years they start to wind down the amount of work that they do.

“Apopo customers are anyone interested in saving human lives”

We are a humanitarian organisation whereby we are hired by organisations such as the World Health Organisation. The major beneficiaries are people in areas of high levels of landmines or TB.

“Individual donations are accepted!”

There are many ways for people to support what Apopo is doing, such as adopting a rat. More details at the bottom.

“You could also train wasps and worms”

These are other animals with a good sense of smell. It’s possible to train dogs to sniff out cancer, however it takes a long time to train a dog which somewhat makes things more difficult.

“Taking our rats elsewhere”

The next few years will be spent training rats and applying them in areas of Tanzania where there is a high probability of TB, such as prisons and refugee camps.

Social Media Follows etc.

Pavlovian conditioning

BBC article on Apopo

Adopt a rat: www.apopo.org

Facebook: www.facebook.com/heroRAT

Twitter: https://twitter.com/HeroRATs

Treasure from trash: how The Recycler creates value/ maggots from waste in the booming Dar es Salaam

Overview

One of the by products of a country’s development is the amount of waste that is produced.

As populations grow the number of, say, plastic bottles that are consumed increases.

It’s costly both financially and environmentally to transfer these materials to dumpsite and Matthew from The Recycler wants to change this.

His business is all about creating value out of products that would otherwise be thrown away to increase the amount of recycling that occurs.

We discuss why Tanzania is the prime location for this type of business, the applications of waste, and how he is growing maggots as a much more sustainable form of chicken feed.

 

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Here are some of the key quotes:

“We’re a waste management and recycling company”

We collect a wide range of items for big organisations, and then sort it out into recyclables.

“We also grow maggots”

This is about adding value to organic waste.

“Most people took waste to the dump”

At such volumes that they were going twice a day. We now save them money by sorting it and reducing the number of trips they need to make.

“Our waste goes to local companies”

The whole philosophy is about giving value to materials that would otherwise go into a landfill. This means selling white paper to an envelope factory etc.

“It’s a great way to create jobs”

You’re literally making jobs out of things that people were throwing away.

“So… maggots”

60% of waste in Tanzania is organic. The conditions in Tanzania are perfect for these types of maggots to grow.

“Chicken feed”

The maggots are used to feed chicken. It’s much more sustainable than soy or fishmeal. And it’s also what chickens have been eating forever.

“We have commercial and individual products”

As well as a large scale process for these maggots, we have also developed a bin that can be used by families. They keep their organic waste separate and soon maggots start appearing.

“Make bins accessible as possible”

We want to make it as affordable as possible. People might then be able to sell the excess maggots for chicken feed. Rough sums are a two month payback.

“Dar es Salaam is the third fastest growing city in Africa”

The place is projected to grow rapidly in the next twenty years and so with that waste is going to be increasing.

“The Tanzanian recycling market is undeveloped”

In Nairobi, the price for recycled materials is up to 5 times as high. The industries are much more used to tapping into a recycling infrastructure.

“Next, we’re looking to informal collectors”

The citizens earning the least in society are typically those collecting up plastic bottles for resale. If we can create value from other products, we can pay people more.

“Shredded plastic bottles are turned into T-Shirts”

Informal collectors pick up recycled products, sell to middlemen who then ship it to China so that it can then be turned into (polyester) T-Shirts.

“My experience of business in Tanzania has been very positive”

It might not be the case for everyone. A lot of people cite that Tanzania is one of the worst places to do business, however I haven’t felt that.

“Our prices differ”

In some instances we have a weekly pick up service, in others we give rebates to companies where we can sell on the waste.

“Glass is incredibly sustainable”

The bottle deposit system of returning a glass bottle once you’ve finished your Coke is one of the most environmentally friendly methods. There’s much more resource involved in recycling plastic bottles.

“Zero waste”

It’s a new movement which is anti-recycling. It’s about designing products in such a way that we don’t throw things away.

“How can separation occur naturally”

If people have an incentive to separate their organic and other waste because there is value in it, then that saves a lot of effort.

Social Media Follows etc.

WWF article: soy bad for the planet

Zero waste movement

Website: www.recycler.co.tz

Facebook: Recycler Tanzania

Creating linkages in agriculture to improve farmer incomes, with Maria Biswalo from Ninayo

Overview

A big issue in Tanzania, and indeed the rest of East Africa, is connecting agriculture buyers and sellers.

The fact that produce goes bad because it can’t find a buyer is a real problem
in terms of the incomes that farmers can receive.

Ninayo is a marketplace where farmers can list their produce, giving buyers a place to search for goods.

Maria and I discuss how the marketplace is being built, the plans for making revenue and how they are using Facebook to their advantage.

We were in a cafe and so at some point you can hear people in the background. We’ve done our best to edit this out, but apologies if you find it distracting.

 

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Here are some of the key quotes:

“We’re an online trading platform for agriculture”

It’s about connecting food supply and demand for the people of Tanzania. There are avocados going rotten in some parts of the country and people paying high prices in another. We are the bridge between them.

“Farmers are already seeing better prices”

People are using the platform and having the connection between buyer and seller has meant many are getting value from transactions that were previously costly.

“You access via your smartphone”

Farmers log on to the website, or through Facebook, and then follow the steps through to listing the produce that they have.

“We’re pre-revenue”

At the moment we just put people in touch with each other for free. In time we will look at ways to extract value from the arrangement.

“There’s a big discrepancy…”

In what is being produced, and what is reaching the market. A lot of produce is going off as it can’t find a buyer.

“Currently it’s middle men”

The main route between buyer and seller is to go direct, or to a middle man who has power over what price they will buy at which often means farmers lose out.

“There are different means of monetising”

One could be to take a percentage of the sale. Another could be to sell the data that we’re collecting. Also advertising agricultural products.

“The service is developed in San Francisco”

I am currently heading up the operations in Tanzania, with Jack the founder relocating out here in the new year. The tech team are based in San Francisco.

“A partnership with Facebook means it’s free to go on our website”

The internet.org project means that access to Facebook is free from a smart phone, even if you do not have a data plan. Ninayo has just been accepted as one of the “Free Basics” meaning there is no cost to visiting the site.

“Tanzania has good infrastructure…”

… but not the services. The government is looking to help push services which can help the country develop, such as Ninayo.

“Our funding comes from Expa Labs”

Their remit is to help startups that are improving livelihoods through access to technology.

“Trust is key”

Similar to anything that involves a behaviour change, people need to be able to trust what they’re doing. We need to make sure that farmers and buyers feel that they can rely on the Ninayo platform.

“Ninayo means ‘I have it’”

In a marketplace “Does anyone have mangoes?” “Ninayo!”. I have it, come get it.

Social Media Follows etc.

Internet.org: (Facebook’s Free Basics)

ExperLabs: programme details

Website: www.ninayo.com

Facebook: Ninayo

Where does your tea come from? Toby Theobald from Chai Tausi in Tanzania explains

Overview

Tea is an product that has a strong industrial base in East Africa.

It’s been going for years, meaning that many companies have emerged and there is a pretty competitive landscape.

In this episode I speak with Toby, Operations Manager at Chai Tausi in Tanzania

We discuss the supply and sales network that they have in place, the best conditions for growing tea across the region and the considerations when it comes to making their blend.

I’ve spoken to a lot of high tech companies on my tour in East Africa but this is a proper old school business that we chat about.

I hope you enjoy it as much I did

 

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Here are some of the key quotes:

“We’re a tea packing company”

Based out of Arusha in Northern Tanzania. We blend and pack in Arusha and then distribute across the local market.

“Increasing costs led us to move”

We were originally in Dar es Salaam, but found that costs (financial and time) were getting high and so relocated the processing plant upcountry.

“Our tea comes from one area”

All of the tea comes from our sister company which ensures we have a steady supply. If we need more tea we can always find other producers in that region.

“Tea can be picked throughout the year…”

but it’s best to do it at certain times, especially after rainfall. It means there are peaks and troughs of supply over the year.

“Shelf life of 3 years”

This means it’s possible to stockpile to buffer for the variance, however this can be difficult with tight cash flow.

“Kenya and Rwanda have better tea quality”

In Rwanda this is owing to the geographical conditions. In Kenya, there is still good geography but there is also a learning aspect of having grown it for years.

“Tanzania has a less competitive market”

Which means that, as well as having lower costs, we are able to make the most of being close to the market. We’re really competitive on price.

“Tea is drunk differently in Tanzania”

In a big pot the tea, milk and sugar is boiled up and then drunk throughout the day. Often it is eaten with bread for breakfast.

“Quality comes from…”

Colour, aroma and taste. Our factory manager checks the quality every morning by tasting samples that come in.

“Blending is key”

This is all about mixing high grade and low grade tea. Costs can come down by combining the grades meaning we get a good quality tea at an affordable price.

“Tea prices vary”

And so we’ll adapt each blend based on the price and availability of the tea that we have available.

“The factory runs Monday to Saturday”

The set up takes the tea leaves through the production line where it gets jumbled together and then put into packets before being sent off.

“The machinery is all from India”

Which we get second hand and means there is a good market for spare parts which is an important consideration.

“Depots around the country”

We send our tea across Tanzania to sales agents who then go out and sell to wholesalers around a region. The orders are generally consistent each month.

“Our indirect competitor is phones”

Income is a big determinant of sales. There’s a real opportunity cost when money is spent. Other factors are the weather and the price of sugar.

“We’re looking elsewhere in Africa”

The factors we’re considering are whether there are local producers of tea, and what are the current tea prices. DR Congo is looking promising though the key is getting a good distributor.

Social Media Follows etc.

Website: no need…

Facebook: Chai Tausi

“Netflix for Africa”: how Tango TV is creating a platform for streaming local East African content

Overview

Most people like to be entertained.

Soon after getting a smartphone, people in East Africa start to seek out entertainment in the form of videos on Youtube not even considering the idea of a traditional television which has to stick to a schedule and requires being at home

Internationally, the dominant “on demand” video service is Netflix though the content isn’t very relatable to the African market.

Victor and I discuss Tango TV, the Netflix alternative starting in Tanzania

We discuss the current media distribution model in Tanzania, considerations of building a video streaming app in East Africa and why the local market won’t watch Game of Thrones even if it was in Swahili

It’s a very interesting conversation that we have, and so I hope you enjoy.

 

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Here are some of the key quotes:

“Media streaming service for local content”

You can think of us as Netflix, but for local African content. We started in Swahili with a view of expanding our range across other languages.

“Local comedy films are most popular”

We have lots of different content, and lots of

“The issue is distribution”

Swahili films are very popular however there are many issues with how they distribute. A lot of piracy, DVDs are obsolete.

“It’s just going to get better”

The trend is always towards accessing films and shows over the internet rather than watching linear TV. If we’re early, then we’ll wait for everyone to catch up.

“Streaming beats downloads”

After doing some testing we found that people preferred to stream than download, typically because they don’t have the storage space on their device.

“We looked at different data”

Such as how many people are watching a Swahili film on Youtube. We estimate 11 million people have access to the internet in Tanzania.

“When people get a smartphone…”

First thing is Whatsapp and Facebook. Then it’s used for entertainment.

“Game of Thrones is niche”

Most people are wanting local content. Foreign programmes aren’t really mainstream.

“I targeted key terms”

Through analysing what people were searching for on Play Store and Instagram we made some specific posts which is a good way for us to get users.

“Costs come from infrastructure”

It’s relatively straightforward to work out how Youtube works. The bit that’s difficult is customising it to a local market, such as compressing files and ensuring quality.

“Web development is done in Tanzania”

The team works from Tanzania. Our server is currently based in Europe which means its a bit slower, however there isn’t the reliable infrastructure here.

“Maybe Netflix will acquire us…”

It’s difficult to go and sign up a load of film distribution companies. Netflix might have bigger markets to go to first, but we’ll go on and build our business here regardless.

“We charge a subscription”

This is how we make money (~$4/ month) from our active users. We pay for the content.

“Tanzania X Factor”

The equivalent is called “Ubongo Star Search”. If we are able to get that, then we’d be really happy.

“Most urban households have a TV”

We’re looking at customers who are currently watching TV at home and try and convert them to using Tango TV.

“Not many people have tablets”

If they have a smartphone then there’s not really a need for a tablet. If they want a bigger device, they’ll get a laptop.

“When we expand, it’s not just language”

The most important thing in the content is the cultural significance of the show. Even if it was subtitles in another African language, then people in the region would understand it more than, say, The Dark Knight film spoken in Swahili.

Social Media Follows etc.

Download on Play Store: Tango TV

Website: Tango TV

Facebook: Tango TV TZ

Twitter: Tango TV TZ

Tanzania X Factor: Bongo Star Search

Digital transformation in Tanzania hospitals – how Geek Technologies make local businesses paperless

Overview

As more of East Africa goes online, they need web services.

The trend is towards broader access to the internet and with that
a demand towards bringing more and more offline interactions into the digital world.

In Tanzania, this is exactly what Geek Technologies are doing

Mbelwa and I discuss the trend towards making services digital, how they win customers and why they decided to name their business Geek Technologies

It’s an insightful interview about technology in the country, and so I hope you enjoy

 

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Here are some of the key quotes:

“After graduating I started Geek Technologies with my friends”

The core services we provide are graphic design, website design and software development. We also do PC Maintainence etc.

“Our team is nine”

The three founders and then six part time workers who undertake specific functions such as marketing.

“We do not market ourselves Face-to-Face”

Instead we focus on getting customers through social media platforms and advertising agencies. We have about 50 customers.

“Paperless Hospital System is my favourite project”

It’s all about making things more efficient in hospitals by using digital processes, helping save lives, and increasing incomes.

“We just said ‘Paperless’”

When it came to winning this big contract, we convinced the person at the hospital that this was the best way forward. As it was our first customer, we went to them.

“Trusting start ups is the biggest lesson”

Customers really want to learn that you are doing all of the professional things and that they can entrust you. This helps by being as open as possible. Never lie.

“University and the internet”

This is how we learnt how to do the skills that we now provide for customers.

“To redesign a website it’ll roughly cost $200”

Most companies can afford this, however for private clients that’s probably quite restrictive.

“Personal communications are now online”

Very few companies using social media for business purposes, and so we are finding good results when people see our adverts.

“Digital data is a big prize”

The country is instilling a movement where more and more services are going to move online. The Tanzania Backbone is the nation’s fibre optic internet connection that is being installed.

“‘Geek Technologies’ needs to stand out”

The word is still thought of as “a bit weird”, but we’re happy with that. Not everyone knows what it means, but we tell people that it’s about the person who uses computers to maximum. That’s us.

Social Media Follows etc.

Paperless Hospital System: case study

Website: Geek Technologies

Facebook: Geek Technologies

How Living Labs teaches entrepreneurship to rural Tanzanians, with Victoria John

Overview

Education is something which a lot of people are hungry for.

Living Lab is a non-profit organisation in Tanzania that looks to empower people in low income communities
through giving training in entrepreneurship and leadership

In this interview, Victoria and I discuss the demographics of their participants, the logistics around organising rural education programmes and why liquid soap production is a popular business idea

 

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Here are some of the key quotes:

“We help people in entrepreneurship and leadership”

Living Lab is a non-profit organisation that works with low income people across Tanzania.

“Training program”

We help people go through different training regimes so that they have skills to act upon their ideas that they have.

“18-29 is the typical age”

It varies, but most people undertaking this part-time training program are in this age range.

“Most people are risk averse”

Lots of people do things that are similar to each other, often for fear of doing something different. The most popular are liquid soap and computer training.

“People have to start from zero”

In beginning the program people have to come up with an idea that they can start with no money. Such as turning water bottles into dustbins.

“No beef”

Living Lab is in partnership with the Finnish government. As far as I’m aware Tanzania and Finland get on well!

“Commitment is the key”

You need to be really committed in order to help change someone. Else failure is at your doorstep.

“People are tired of doing the same thing every day”

We find that the demand for coming on the course is huge. People really want the chance to improve their lives.

“Lessons take place in town”

So it’s easy for people to take the bus into the town and are then able to come to us.

“How to come up with an idea”

This is the most important skill that I want people to understand. We use a number of tools to help with idea generation.

“A dress out of paper”

We gave our students a piece of paper to come up with an idea. One of them came back wearing it as a dress.

“Our own businesses”

Cover the costs of Living Labs. For example, I run a dry cleaning business that helps to keep Living Labs operational.

“Just make it clean!”

Is the best advice I can give for running a dry cleaning business.

Social Media Follows etc.

Website: Living Lab

Lotus Flower idea generation

Facebook: Mbeya Lab

Twitter: Mbeya Lab

Cycling with elephants: breaking new ground in Tanzanian travel with Mejah Mbuya from Afriroots

Overview

When most people think of East Africa, they visualise safari.

The region is home to many large and exotic animals which parade through the national parks

Mejah runs Afriroots, a tour company which focuses on experiences that are off the beaten track

We discuss the different customer types they have, how he started his company with $200 and what to do if you ever become confronted by a lion.

We were also next to where an aerobics class was taking place, and so if you hear some throbbing beats in the background, it’s just that.

Either way, it’s a really interesting discussion about the tourism market in Tanzania and so I hope you enjoy.

 

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Here are some of the key quotes:

“We’re an adventure and eco-tourism company”

There are bicycle tours, hiking and game drives. We always look to minimise the amount of time that someone is sat in a car.

“Bicycle safari is our big new thing”

We recently got permission to run bicycle tours through a National Park in Tanzania. We’re the first people doing this.

“It was a new idea”

At the beginning we were sent around to many government agencies as they couldn’t decide if we were a sports company, or a tourism company…

“We started with $200”

To start a normal safari company is expensive (buying 4x4s etc.). We didn’t have that.

“The expat/ volunteer market was underserved”

These are people who are here for a while. They want to do something at the weekend, but don’t have tons of money to spend. We started hiking trips at the weekend.

“We’re in every embassay”

Our posters are in each building where tourists go to. We’re also in the guidebooks like Lonely Planet.

“We stopped publicising tour details”

There were other (rogue) tour companies who would just copy our tour schedule when it was on our website. We are now more discrete…

“Attitude is the most important”

When it comes to hiring guides. As well as speaking English. Typically we go for people who have just finished school, rather than getting experienced people.

“The Afriroots vision is…”

Environmentally friendly. Socially concious. Thinking outside of the box.

“Business has been slow this year”

It’s been due to the introduction of VAT. It became an unexpected cost to the tour providers and so some of them had to cancel.

“Patience pays”

I’ve learnt that things need to start small. It doesn’t need a huge input of money, but instead it needs an input of ideas.

“Buying a bicycle”

This was what we spent our first $200 on. Because we were doing something we loved we didn’t mind doing everything and starting small.

“I’m excited about National Park bicycle tours”

We’re looking to do mapping in all of the National Parks so that we can find routes which are safe for people to cycle through.

“Play it cool with lions”

With lions, don’t run and don’t make eye contact. Elephants, make noise at them.

“… but I’m scared of buffalo”

They’re always angry. They will look to trample on humans were as other animals will leave people alone.

“We want to leave a legacy”

We’re not focusing too much on wealth creation, but instead on making jobs and bringing tourists to new sites across Tanzania.

Social Media Follows etc.

Uwaba: Promoting bicycles in Dar es Salaam

Graffiti: interview

Website: www.afriroots.co.tz

Facebook: Afriroots Adventures

Most Popular Tour: Dar Reality Tour