Nairobi, 15th July, 2014. Presentation by Ernest Chitechi (Taita Agriculture & Livestock Enterprises) on Day 1 of the Fin4Ag conference

1. FUNDING FOR CLIMATE SMART
TECHNOLOGY – CASE OF KCIC
– FIN 4 AG CONFERENCE

2. • World Bank-infoDev initiative, funded by UK Aid and DANIDA
• Provides incubation, capacity building services and financing
to SMEs developing climate mitigation/adaptation solutions
• Operational since September 2012, the first among the CICs
that infoDev is launching globally
• GVEP International, PwC, Strathmore University and KIRDI are
the lead partners in a consortium contracted by infoDev to
establish and operate the KCIC. Actual implementation is done
works with many supporting partners and collaborators.
• Currently in the process of incorporation as a Company Limited
by Guarantee to strengthen sustainability of its operations.
2
What is the KCIC?

3. KCIC Model
• Providing risk capital through
a highly flexible fund that
offers financing through two
windows, namely proof of
concept and seed financing
• Facilitating other sources of
financing through
syndicating investors, building
partnerships with banks to
facilitate working capital
finance and facilitating
consumer financing to ensure
technology adoption in the
market

4. Key Success case
4
Kukubora Challenges and support being provided
Business challenges:
• Transform Indigenous Chicken rearing into a
viable and market oriented economic activity
• Proving the concept is technically and
financially feasible
• Need to understand key business drivers and
costs at each step of the value chain
• Attracting investors into the venture
Support being provided by CIC:
• Review technical feasibility and business
potential
• Verify assumptions on the value chain
• Mainstream gender and youth into the
economic agenda,
• Strengthen the marketing function of the
indigenous poultry value chain,
• Strengthen the rural cluster model of
production, improve quality assurance of
indigenous poultry meat products
Status
 Signed agreement with Bungoma
county
 Slaughter facility completed with 500
chicken per hour
 POC amounting to USD 42,000 granted
Additional comments:
The company to commercialize the idea
of growing indigenous poultry value chain

5. Key Success case
5
Aviva Kenya Challenges and support being provided
Business challenges:
• Kenya imports eighty percent of its rice.
• Low rice production has mainly been due
to rice varieties that only grow in continuous
flooded paddies.
• The company is encouraging farmers to
adopt nerica rice farming for diversification
and to enhance food security
• Proving the concept is technically and
financially feasible
Support being provided by CIC:
• Undertake further farmer mobilization
• Field testing of nerica rice production and
obtain feed-back from farmers on seed
performance.
• Implement a marketing campaign to raise
awareness of, and demand for, the nerica
rice, and limited market test to better
understand willingness to pay and price
point
Status
 Currently promoting rice growing in
non-traditional rice growing areas in
Arid and Semi-Arid areas of Meru,
Tharaka Nithi and Isiolo counties
 POC amounting to USD 27,000 granted

6. Key success cases
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MilestonesMineral & Allied
SunCulture
Mineral & Allied Ltd had grown from a small Agro-vet
shop that provides livestock inputs to farmers around
Wangige Shopping Center to a major provider of
hydroponics technology in the Country. It has opened
over 15 outlets/contact points and installed 285
hydroponic units across the Country. The business has
also grown its sales by 240%. The CIC support has been
directed at growing market awareness , development
of effective farmer outreach models and training
materials. The business has also been assisted to patent
the appropriate aspects of its technology.
SunCulture is providing low-cost and efficient irrigation
technology targeting smallholder growers of high-
value crops in the country. The business has sold 32
irrigation in the last 6 months when it entered the
market. The customers are further provided with
extension support and linkage to competitive markets
for their crops. The Company is currently embarked on
a robust market expansion plan within Kenya and
Uganda over the next 5 years. The main CIC support
has been in end-user financing through which the
Company has successfully entered into partnership with
Equity Bank..