The Marbi business model is based on 6 pillars:

1. Procure agricultural inputs in bulk. Marbi buys agricultural inputs in large volumes for economies of scale, based on projections of the number of farmers involved for the subsequent year.

2. Sell the inputs to smallholder farmers on credit. Marbi does applies an interest rate of 15% to the input credit and makes a mark-up of 15% from its bulk purchase leaving a target gross margin about 30%.

3. Deliver the inputs to the farmers at the onset of the production season. Marbi uses an efficient distribution system to deliver the inputs to the farmers on time for the commencement of the planting season.

4. Provide extension and other training services to optimize yields. Marbi trains the smallholder farmers for optimal use of the inputs, in collaboration with government extension workers. Marbi also offers digitised farmer training using smart projectors with many visuals which is more efficient with semi-literate rural farmers.

5. Pro...
The Marbi business model is based on 6 pillars:

1. Procure agricultural inputs in bulk. Marbi buys agricultural inputs in large volumes for economies of scale, based on projections of the number of farmers involved for the subsequent year.

2. Sell the inputs to smallholder farmers on credit. Marbi does applies an interest rate of 15% to the input credit and makes a mark-up of 15% from its bulk purchase leaving a target gross margin about 30%.

3. Deliver the inputs to the farmers at the onset of the production season. Marbi uses an efficient distribution system to deliver the inputs to the farmers on time for the commencement of the planting season.

4. Provide extension and other training services to optimize yields. Marbi trains the smallholder farmers for optimal use of the inputs, in collaboration with government extension workers. Marbi also offers digitised farmer training using smart projectors with many visuals which is more efficient with semi-literate rural farmers.

5. Provide market linkage and off taking services. Marbi also does contract farming and buyback arrangements for the high value commodities like groundnuts and beans for onward trading with food processors and grain traders.

6. Maintain strong client relations. Marbi has a wide network of field officers who maintain close contact with the farmers and play a crucial role in farmer mobilisation, screening, training as well as credit repayment.

Scaling up for sustainability

Over the next few years, Marbi will scale-up its operations in terms of portfolio size and number of clients to become profitable. Increasing the portfolio size will be done by extending the product/service portfolio with new and more high-value products and services. About growing the number of clients, focus will be on increasing farmer density in the current operational areas, moving into new geographical areas of operation, as well as increasing the client retention rate.
More information

Employees

Bernadette Mwanza
Admin
Bernadette Mwanza CEO Marbi Agrics Limited is a for profit social enterprise offering quality farm inputs such as hybrid seeds (maize, beans and groundnuts)
Alexander Mutua
Admin
Alexander Mutua