The Feasibility of Small-scale Indigenous Fruit Processing Enterprises in Southern Africa - Indigenous Fruit Trees in the Tropics: Domestication, Utilization and Commercialization - page 282

15.4.3 Zimbabwe: fruit jam and fruit cereal bars
The market and economic environment
The Zimbabwean feasibility study was conducted to determine the viability of
two products in collaboration with Speciality Foods of Africa (SFA), a
Zimbabwean-based company specializing in the production of products from
indigenous African fruit. SFA identified a market opportunity for good-quality
indigenous jam made from the mazhanje ( Uapaca kirkiana ) fruit and a health
bar (the 'Baobar') containing pulp from the baobab ( Adansonia digitata ) fruit to
be sold in Zimbabwean, South African and European retail outlets. The analysis
of the financial feasibility of the proposed products revealed that, based on the
assumptions that were made, the products are potentially profitable, have
reasonably healthy cash flows, and are viable over the longer term. A summary
of the financial feasibility appears in Table 15.2. A major concern for the
viability of these enterprises is the prevailing unfavourable economic conditions
in Zimbabwe. The current operating conditions for these enterprises, amongst
others, hinders the procurement of inputs and the distribution of final products
and generally decreases their profitability and hence viability.
The resource environment
Again, a lack of comprehensive and detailed data on available natural resources
in Zimbabwe prevents the feasibility study from making accurate assessments. It
is assumed that any proposed enterprise could be environmentally feasible
when fruit is obtained from both natural and domesticated sources.
The social and institutional environment
The direct benefits for communities associated with Speciality Foods of Africa
products include the creation of employment opportunities, the creation of a
market for currently under-utilized resources and on-the-job training of participants
in growing, harvesting, processing, packaging and marketing of semi-processed
fruit products. Through the efforts to improve the benefits to the communities,
SFA was able to register as a Fair Trade business with the International Fair Trade
Association. The assurances that such registration provides are that the harvesting
of natural products used in the products under feasibility investigation adds
diversity to the income of rural people, decreasing their reliance on the success
and value of a single crop. It also provides work for those not engaged in farming,
making use of their existing knowledge and skills and harnessing their productive
potential for the benefit of themselves and the environment. Fair Trade practices
ensure that communities receive the full value of their labour and command fair
prices for their produce (Speciality Foods of Africa, 2005).
The science and technology environment
Speciality Foods of Africa does not process any of its products but makes use of
specialist contract processors who turn fruit into final products on an outsourcing