September is here (cues in “September” by Earth Wind & Fire) and the sun is showing out and showing off. Maybe, just maybe, this could be a turning point of fortunes to come.
August at Tukalime was filled with prep, as we get ready for planting season. This involves speaking with suppliers, servicer providers and managing client expectations. Everything must be immaculately planned to ensure a seamless process flow. It’s like a three-legged race. You know the one where you tie one leg to your partner’s, bringing you together at the hip and you run in tandem? It’s quite frustrating; especially if your partner has a form of ADHD and can’t focus on the task at hand.
In my last ramblings, I took you through the planning process before embarking on this humble agribusiness journey. Today, let’s talk about labour. This can be the most expensive aspect of any agribusiness, as it accounts for approximately 50% of your production costs. Unfortunately, due to the lower level of mechanization available and the associated costs, manual labour is our secret source in these parts of the world. Is it unfortunate though? The contribution to the job market and the transfer of skills to other generations is priceless. I don’t believe in having champagne showers in Kilimani while your people don’t have jobs and can barely make ends meet. I’m sorry, but it’s just un-African.
Understanding the different elements that motivate labour in your area will save you a headache. A Mara Moja sized one. Boy do I have gems for examples! Two weeks ago, we were clearing a farm in the outskirts of Karen. The first quotation for clearing the thicket was a cool 100,000 for an acre. (We are not speaking of Zimbabwe dollars here, guys.) After a tense Mexican standoff, the price was considerably reduced although I was still left scratching my head. To add insult to injury, the quote to till the land using a tractor-driven plough was Ksh 30,000 an acre. (Guys, just to put this into perspective, the going rate is Ksh 4,000 an acre). We were left with no other choice than to seek these services in Kikuyu. Clearly the labour motivation in Karen/Nairobi is money. Nairobi ni shamba la mawe.
In Trans Nzoia, labour is quite affordable and runs between Ksh 200-250 a day, but the impetus in the Mulembe nation is that you must cook a proper lunch. Preferably ugali na maharagwe. Once that is catered for, you can rest assured that the work will be completed to your satisfaction. In Central and its environs, labour rates are between Ksh 400-500 a day. The only issue in this region is that you must be prompt with payment and don’t be surprised if they don’t show up the next day… or show up on the verge of spontaneous combustion due to consuming highly flammable libations. (My Mount Kenya people, where did we go wrong?) Towards the coastal region, as a result of low commercial agricultural activity, you may have to invest in training but best believe that we are not working a full day. Please don’t get me wrong, I know it might sound like I am being stereotypical, but the purpose of this blog is to share the knowledge and lessons we have accumulated in this field. And to ensure we are our brother/sister’s keeper and, most importantly, to help shorten the learning curve you may have to go through on your agribusiness journey. Ginni Rometty, the former IBM CEO, told us, “Your value will be not what you know; it will be what you share.”
Another pivotal labour hack that we have discovered is that, when it comes to getting tasks done around the farm, it is always in your best interests to negotiate a piece rate as opposed to a daily rate. This will ensure that the costs remain manageable and do not balloon to ridiculous levels. Furthermore, we discovered that women are often key assets in the task of transplanting, due to their meticulous attention to detail. And when it comes to spraying, a task that involves carrying a spray pack that weighs 20kgs or more, men seem to fare better, possibly due to their physical make up. If there is one thing that COVID-19 has taught us is how to be efficient. Not only in the operations of multinational corporations, but also in the shamba.
I hope that these monthly lessons and musings that I share with you are helpful and that reading them is not an exercise that is as dull as ditchwater. My central promise is to keep these posts honest and to never sugarcoat what it takes to have a successful agribusiness venture. In case you would like a specific topic addressed or if you just want to say hi you could write to me at kevin.kamau@tukalime.com. (Tafadhali, do not start your email with “I hope this finds you well…” I will leave you with this quote from the gifted Ghanaian author, Ernest Agyemang Yeboah, which very nicely sums up my foremost intention with this blog post, “Remember to be your brother’s keeper in September.” Twende Tukalime.