Quick Info

 Business Description

George is the owner and Founder of Maa Briquettes (sole proprietor), a local enterprise located in Narok County. The enterprise uses biomass to produce smokeless briquettes appropriate for household and cottage industry use.

Problem/Solution

More than 80% of Kenyan urban population use charcoal as their primary source of domestic energy, and other 30% of the rural population also use it to meet their cooking needs. Those who do not afford charcoal resort to firewood. There is therefore a need for affordable, easily accessible fuel that is eco-friendly and user- friendly. Maa Briquettes uses biomass collected from Narok market to make smokeless briquettes which are then sold at a cheaper price than charcoal.

Products/Service

The Maa Briquette innovation is a simple idea that uses charcoal dust, maize cobs and maize stalk and waste vegetable matter to make smokeless briquettes which are dried and then sold as fuel. The briquettes burn three times longer than charcoal, and are smokeless hence pose minimal risk to the respiratory health of the user.

Market

Maa Briquettes’ primary target market is the households in Narok town due to the nature of their energy needs and their proximity to the business which reduces the distribution costs incurred. They are also targeted owing to their socio-economic status, market size, benefits sought and lifestyle/activities.The target market has a population of 850,920. It secondarily targets business enterprises especially those in the hospitality industry (restaurants and safari campsites) and institutions like schools.

Competitive Landscape

The major competition for the briquette industry stems from traditional and alternative sources of fuel (wood fuel, charcoal, LPG and kerosene) which continue to have predominant usage in both rural and urban areas despite their high costs and health effects (for wood, charcoal & kerosene) in comparison to briquettes. Also, Maa Briquette currently competes with Biogas solution initiatives. However the installation cost is expensive and since a high number of people live below a dollar a day and do not have sufficient animals to provide the raw materials for biogas fuel, the initiatives have not been successful.

Business Model and Distribution Channels

The enterprise generates its income from the sale of the briquettes. The current standard packaging is 35 kg bags that retail at KES.500 (half the price of charcoal). Maa Briquettes plans to diversify its packaging in order to enhance the affordability of its products. Distribution channels include: direct sales, manufacturer representatives, wholesalers, agents/brokers, retailers and direct mail to expand outreach.

Traction to Date

The enterprise has acquired the premises where it set up its locally fabricated briquette making machine for production. It received its first capital through a local bank loan which it repaid in the first six months of operation. It also conducted a market research and has an established market base.