Countries in the sub-Saharan region of Africa seem to have the lowest prices in absolute terms which makes African food products more affordable to consumers in Europe, however, African consumers do not enjoy the same benefit.
There is abundant agricultural produce in the continent, however, there is the challenge of the food supply chain in Africa. A Kenyan startup, Farmula is established to change this narrative by developing a digital backbone for African food supply chains.
The founders consist of a diverse team of individuals from different parts of Africa. They understood these common challenges from different perspectives and have solid assumptions.
Farmula started operating in Ghana in November 2019 after they tested their theory carrying out feasibility studies.
In this regard, Farmula is trying to move off a very asset-heavy model to an asset-light one by changing the focus from being a supply to a demand-driven company.
“We have been operating with mini-distribution centers who house inventory and are close to the customers.”
Farmula is the answer to increased revenues for farmers and fewer costs for buyers.
At Farmula, buyers send less while farmers earn more. This is achieved by making pricing more transparent for farmers and link buyers to farmers to get the products they want.
“We understand the problem in a way that no one else does and we use technology to deliver value every single time.”
How Farmula deploys technology
Farmula’s main goal is to digitize the main operations of key players across the food supply chain by developing software tools. Farmula stated that the B2B supply chain is manually operated and as population increases, dependencies on the supply chain become more fragile.
“Our objective is to connect the fragmented pieces of the B2B food supply chain under one platform. Our Vision is to be the number one software service for traditional players across the food supply chain.”
In all Farmula’s operations, each and every stop across the food supply chain is a data point. It is either a loss or a gain depending on who is championing the chain.
“We wanted to capture all this data and for the longest time, it has been captured manually which makes it hard to make the right decisions effectively. For all purchases, sales, logistics are now captured under one platform. We assist our customers to keep in touch with multiple subs and main distributors for inventory restocks. Data of the frequency of purchase, money spent in every purchase are recorded and this opens more avenues of credit access to our customers.”
In these 3 steps, Farmula deploys its service
Post your demand
Buyers post demand by calling order numbers, posting on Farmulas website, and dialing the company’s shortcode, or sending a text message through text or WhatsApp
Get matched to supply
Buyers are matched to quality products that are affordable and the order is confirmed.
Last-mile delivery
The products are delivered within 24 hours based on the website
About Distro
Distros an inventory management platform that simplifies Farmulas distribution centers to manage their inventory. The platform can issue SMS-based receipts, do inventory reconciliation, and understand inventory performance on a modular level. It provides Farmula real-time information about its inventory across the board, which enables its retailers to have access to the stock they need. With the platform, Farmula combines online and offline by making use of a distinct distribution design with its proprietary tech. The distribution designs provide the framework for the operation of each location, what they stock up, and the location.
Farmula’s offering
Making use of the solution for your service offers you the following benefits:
Best bargains
Farmula offers you prices from different markets daily to select the most affordable.
Remote Purchase
Leveraging on the existing partnerships of Farmula with transport companies, the company makes it possible to purchase products from the farm without going to the farm.
Price forecasting
Farmula can predict what prices will be tomorrow, so you don’t have to wait for the prices of food to skyrocket to influence your purchase.
Quality Check
Sometimes, when you go to the market, you try checking the quality of produces or buy bad products. Farmula saves you from the challenge of ensuring that you get quality products.
