Formalising the Informal Market

By joe on September 06, 2018

The agricultural sector has always been the backbone of Kenya’s economy, with small-scale farming dominating 75% of the total agricultural output. However, due to lack of assured markets, a drastic increase in rural-urban migration, market fragmentation there has been a decrease in food production leaving urban centres unable to provide residents with affordable access to food leading to market insecurity.

Twiga aims to solve market insecurity with a two-sided approached; sourcing and selling, to ensure sustainability in the market. We believe that by empowering farmers to grow their business, we are able to create a constant supply of quality produce. We provide a guaranteed market; farmers largest problem is access to market, by guaranteeing a market we ensure that farmers grow their business without worrying about finding a market. We provide fair and transparent pricing; we aim to properly compensate farmers by providing fair and transparent pricing. A business; farmers are unable to access credit due to the informal sector, Twiga promptly pays farmers, sends receipts and partners with financial institutions to help their businesses grow.

Twiga has Collection Centres or store fronts that directly connects us to farmers, where we source for produce ensure quality and handle the transportation of produce to Nairobi. These centres are also the transaction point for farmers, where we display the market prices on a daily basis. Each of the 48 centres around the country are staffed with qualified agronomist who assist and advise farmers on how to improve their yield, provide extension services, register farmers and maintain community relations. Twiga currently has over 8,000 registered farmers that we work with.

Twiga believes in providing easily accessible quality produce at lower prices in urban centres. We provide our vendors with quality produce; produce is handled in a professional cold-chain, meaning they are easier to sell and last longer on the shelves. Better prices; Prices are reviewed in real-time to provide the lowest price on the market. Free delivery; products are delivered directly to shops, free of charge, therefore they have no reason to make 4.00 am trips to the market. Product safety; products can be traced back to the farms they come from. Our produce is handled through a fully licensed, export-grade, distribution facility in order to provide our vendors with quality produce. Twiga has over 5,000 vendors in our system in Nairobi, Thika and Machakos.

By formalising the market and providing access to markets, Twiga is on the road to making Kenya and, in the near future, Africa market secure.