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Tanzanian agribusiness expands to global markets

Hadija Jabiri, founder of GBRI, initiated her agribusiness journey while still a student in Tanzania. Originally planning to manufacture soap, Jabiri shifted gears due to financial constraints when banks refused funding for her intended factory. Her pivot led her to vegetable farming, capitalizing on the steady local market demand.

With an initial investment of under $300, Jabiri secured two acres of land in Iringa, a fertile region, from landowners who allowed the remaining six acres to be paid over two years. Before planting, Jabiri arranged supply deals with local supermarkets, employing a strategy of securing orders before production.

GBRI launched by cultivating tomatoes, capsicums, and onions, expanding its output by collaborating with nearby smallholder farmers. However, increased imports by supermarkets from Kenya and South Africa presented competitive challenges on price, prompting Jabiri to explore international markets. Recognizing the opportunity in Europe for snow peas, sugar snap peas, and French beans, she encountered hurdles like certification and refrigeration, which required capital she didn't have.

To secure financial backing, Jabiri engaged with influential figures, including Amina Masenza, who facilitated connections with Tanzania's leadership. This visibility captured the attention of MEDA, a Canadian development organization, leading to an investment of C$150,000. Consequently, GBRI established the EatFresh brand and built necessary infrastructure, including a packhouse with cold storage and refrigerated transport.

For international clientele, Jabiri leveraged online platforms to connect with buyers, securing the first overseas customer, a distributor in Ireland. GBRI's European client base expanded through trade shows and Tanzanian embassies, employing airfreight for exports. The team grew to 40 employees and increased reliance on sourcing from roughly 150 smallholder farmers.

The COVID-19 pandemic forced a temporary halt in operations due to unmanageable airfreight costs. In response, Jabiri adapted, utilizing the company's facilities for banana ripening and local sales. Subsequently, GBRI transitioned to avocados, suited for sea shipment, thus reducing export reliance on airfreight.

Now engaging over 10,000 smallholder farmers, including collaborations outside Tanzania, GBRI also processes surplus avocados into crude oil for export to Portugal and Spain, demonstrating adaptability in the agriculture value chain. Jabiri envisions GBRI evolving into a multifaceted group, expanding factory operations and business ventures within agriculture.

Source: HwmiiA