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Mapping and improving agroecological business models in Kenya

The process involved an agroecological value chain (VC) analysis to map out actors and identify existing business models. These models were then evaluated using tools such as the Business Model Canvas (BMC), Business Agroecology Criteria Tool (B-ACT), Cost and Benefit Analysis (CBA), and Strengths, Weaknesses, Opportunities, and Threats (SWOT) analysis. The objective was to pinpoint models with the potential for agroecological transition.

The BMC was employed to understand the business structure within the mango and green leafy vegetable VCs, focusing on the interaction between the demand and supply sides. SWOT analysis helped in identifying challenges and areas for improvement in the business models. Meanwhile, the B-ACT was used to assess the alignment of food system enterprises with agroecological principles, identifying gaps and potential areas for intervention.

Based on these assessments, improved agroecological business models were co-designed. For mango VCs, interventions included intercropping and the use of organic inputs, while for green leafy vegetables, strategies like organic Participatory Guarantee Systems (PGS) and out-grower schemes were considered. A Cost-Benefit Analysis (CBA) was then conducted to estimate the costs and benefits of transitioning to these improved models, comparing them with business-as-usual scenarios.

Investment case analysis was also carried out to highlight the operations, scale, opportunities, and challenges related to upscaling the agroecological business models. This analysis aimed to attract investment by showcasing the potential for growth and the benefits of scaling up agroecological enterprises.

Finally, a financing mechanism will be identified to support the transition and upscaling of agroecological enterprises by evaluating existing financial service providers and investors in Kenya. This mechanism aims to facilitate the allocation of financial resources towards agroecological enterprises, supporting their growth and sustainability.

Source: CGIAR

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