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ACUMEN ENTREPRENEURS BUILD SOLUTIONS TO THE TOUGHEST CHALLENGES FACING THE POOR

East Africa

EthioChicken

EthioChicken

Providing high-quality, affordable chicks to rural farmers in Ethiopia to increase production while addressing the country’s malnourishment

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  • Sector
    Agriculture

  • Region
    East Africa

  • Created with Sketch.

    First Year of Investment
    2014

The Challenge

An estimated 30 percent of the Ethiopian population lives below the poverty line, and 47 percent of children in Ethiopia experience stunting and wasting as a result of extreme malnourishment. Ethiopia is challenged by a diet that is significantly deficient in protein, which chicken and eggs contain in large amounts. Indigenous chicken breeds have a survival rate of 50 percent, produce fewer eggs, mature later and are prone to disease.

The Innovation

EthioChicken produces highly fertile, disease-resistant chickens and sells them to smallholder farmers in Ethiopia through a unique and scalable distribution model. EthioChicken targets the rural farmer market, supplying farmers with breeds which can thrive in the village environment, are fast maturing, and produce five times as many eggs when compared to local Ethiopian chickens. The EthioChicken model farm grows the chicks to 40-days old, an age where their improved chicken variety can withstand the harsh environment in rural households. In tandem, local government officials aggregate rural demand for chickens on the behalf of smallholder farmers and facilitate the sale of 40-day-old chickens to rural households.

The Impact

The potential impact on smallholder farmer incomes is significant, as egg production is expected to increase five times and incomes are expected to double. Higher egg production will both increase the supply of protein to rural and urban households, as well as decrease the cost of protein, making this source of nutrition more accessible. Acumen invested in EthioChicken to fund its expansion plan. The company produces over 1 million day-old chicks per year and has plans to increase this to 2 million within 3 years.

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