A.33 – Small scale businesses, urban and semi-urban  Kenya

ENEO SMART FARM REPORT 2023
By Josephat LIGAMI, Oct 2023

Ambition:As part of his livelihood, Mr. Fredrick Khabeko has practiced Natural Multi- Farming and animal husbandry, always in a meaningful way which has led to the existence of ENEO SMART FARM. It was started in February 2021 as a small home-based start up Poultry centre which has had its operations on and off, until 25th January 2022 when it had its first inception as a Business Venture. With Fredrick Khabeko as the CEO assisted with his wife Faith Omutiko as the Operations Officer, ENEO SMART FARM became HR&S Kenya RISE Member in June 2023. He is the fourth HR&S Kenya RISE Member from Kakamega County, Western Region found in Butere Division. Mr Khabeko holds a Diploma in Education and Certificate in General Agriculture. He has participated in various farming trainings like square foot gardening, sack farming, poultry, dairy, aquaculture etc. He is enthusiastic about farming. He has seen various stages of farm management practices with which he developed interest since 2007, after the General Election Clashes that rendered life in Kenya unbearable one. He has a Vision statement: To Increase productivity and incomes, enhancing the resilience of livelihoods through our farm practices.
His ambitions are as follows:
a. Generating a sustainable income and profitability from the farm, either as the primary source of income which can help in expanding the farm business, either by increasing the size of the operation, diversifying products, or entering new markets.
b. Have a Sustainable Farm where many farmers can come, to practice sustainable agriculture, involving using environmentally friendly and resource-efficient farming methods to ensure the long-term health of the land and minimize negative environmental impacts.
c. Producing high-quality crops or livestock that meet specific market demands, whether that’s organic produce, grass-fed beef, specialty crops, or artisanal products. Because in Kenya people eat food , and not just food but healthy food.
d. Building strong ties with the local community, potentially through farmers’ markets, farm-to-table initiatives, or educational programs which he believes will put him and his products on Africa’s Agricultural radar hence a Global achievement.
e. Contributing to social impact goals, such as supporting underprivileged communities, providing employment opportunities, or empowering marginalized groups.
f. Offering agritourism experiences like farm tours, pick-your-own operations, or farm stays to generate additional income. “I look forward to seeing the HR&S family visit my farm for even a month or so, and feel the the nuance, by the way Western Kenya has alot, and I will be glad”

Outcome Challenges: Frederick Khabeko, CEO ENEO FARM. “Starting and operating a farm venture can be highly rewarding, but it also comes with its set of challenges, particularly related to outcomes or results, which I must say, they are whole lot.” narrates Fred Khabeko. He says,
❖ Market fluctuations whereby prices of agricultural products have been highly volatile due to factors like weather conditions, supply and demand, and global market trends. This makes it harder for consumers to make orders like they used to even though they prefer indigenous products like his in ENEO FARM.
❖ Operational Costs: eg the cost of inputs like seeds, fertilizers, pesticides, feed, and labor. With the Poultry he needs steady supply of feeds to reach the required quality of egg production and the chicken meat. This has been a major challenge.
❖ Technological Challenges. Keeping up with evolving agricultural technologies and techniques has been challenging, as outdated methods may not yield optimal outcomes. He wishes if he could be assisted in getting funds to get an Incubator (kshs 65,000) and procure a milling machine (worth kshs 45,000) to prepare own feeds when maize ~the main ingredient is still in season and affordable that could earn him profits.
❖ Capital Constraints since everything needs money to run, adequate capital for farm operations, equipment, and infrastructure has been be a hurdle, but he believes he has the right support from

ENEO SMART FARM main activities include:
1. Natural multi- farming.- the practice of growing two or more crops in the same piece of land during one year,instead of just one crop. a. Vegetables both Indegenious such as Managu (African Night shade), Mitoo (Rattle Pod), Sagaa (Spider Plant), Mrenda (Jute Mallow), Kunde (Cow peas), Sukuma Wiki /Kale and Cabbage production which he supplies to schools and Supermarkets. b. Tomato and Carrot production. c. Maize and beans farming d. Tree seedlings and supplies
2. Animal Husbandry – A controlled cultivation, management, and production of domestic animals, including improvement of the qualities considered desirable by humans by means of breeding. Animals are bred and raised for utility (e.g., food, fur), sport, pleasure, and research. Eg.a. Api Culture/Bee keeping that is rearing of honey bees which are taken care of and managed to produce wax and honey. He currently has three bee hives in the apiary. He says he hasn’t started selling its products to the market since the demand is large and he can’t produce enough. b. Pisciculture/Fish farming that is a form of aquaculture in which he has Tilapia fish raised in a 10 ft by 5ft fish pond which he sells and some are for his family’s consumption. c. Cattle or Dairy farming an agricultural technique concerned with the long term production of milk, which is then processed to obtain dairy products such as curd, cheese, yogurt, butter, cream, etc. He says, the management of dairy animals such as cows, sheep, goat is an art that was passed on to him from his grandfather who had herds of them in large quantities. d. Poultry farming. A project concerned with raising and breeding of birds for commercial purposes. Birds like ducks, chickens, turkeys, etc. which he has domesticated for eggs and meat.Mr Khabeko’s Poultry farming produces Fertilized Eggs, Live Chicken, Chicks, Chicken Manure, as well as coordinating Vaccine drive to other farmers in the region and Home Delivery services.

Reaching out:  As an effective way to break down the long-term or complex projects into manageable steps, Mr Khabeko, who boasts of Agribusiness expertise approached the Directors of Human Rights and Science RISE Kenya via a Facebook page that was published by Mr Josephat Ligami- the Deputy Team Leader and Branch Accountant. He says he was interested in the fact that he could become a member of HR&S Support Center and that there was training, financial loans, expert advice, networking, and improved business infrastructure.

Base-line: ENEO SMART FARM before HR&S LOAN. Mr Khabeko , a proud father of five- two sons and three daughters, shares his experience from when the covid-19 came paralysing his main source of income -the Poultry Project which he had acquired a loan from a local bank. “Nilichukua nikiwa na matumaini ya kujiimarisha lakini wapi.” (I took the loan hoping to expand but it was to no avail). With no steady supply of Poultry feeds due to the curfews, movement restrictions, his business collapsed, leaving him with only 10 birds that couldn’t generate enough eggs for supply. In 2022, he again came strong, with 100 birds, supplying to local supermarkets, open air markets, Primary and secondary schools in Kakamega county. In December 2022, he was forced to sell his Poultry stock to cater for his eldest son’s Secondary School fees, a move that halted his supply chain a second time. He relied to vegetable farming alone and a few birds that he felt couldn’t sustain his vision.

Outcome: After HR&S LOAN, Having successfully become a RISE member, Mr Khabeko attended a minimum one RISE talk with accounting training and minimum one ROPE-Real-time Outcome Planning and Evaluation training which saw him secure a partial loan of ksh 100,000 (EUR 630) ON 17th June 2023. His initial Loan requested was ksh 250,000 (EUR 1,580) a deficit that he humbly requests the HR&S to fill to fully see his projected income grow so as to repay back the loan and sustaining his activities in the Farm Business. He was able to break down his share of Loan as follows:
ENEO SMART FARM EXPENDITURE REPORT
Item No. Particulars Before Loan Particulars After Loan Amount in Kshs
1. 100 Capacity Chicken house 200 Capacity Chicken house 30,900
2. 35 layering birds 52 Kenbro birds( improved kienyeji dual purpose), 30 chicks 21,500
3. Feeds (food left overs, maizen grains) Feeds ( July, August, September) 32,400
4. Vaccines & Medication Vaccines & Medication 2,700
5. Wages (1 Casual attendant) Wages (3 Casual attendant) 12,000
6. Miscellaneous Miscellaneous 500
TOTAL 100,000
Mr Fredrick Khabeko, the CEO, ENEO SMART FARM believes if his projects becomes sustainable, the other farm projects such as Bee keeping, Fish farming , Dairy Farming and crop production will increase its produce hence more revenue which would also see an expansion of a more advanced Smart Farm.