Local agro-products struggle to make it onto supermarket shelves

He examines some documents from an envelope; then checks nervously the pack of mangoes that sits at his feet as he waits for the general manager of one of the upscale supermarkets in Kigali. Munyantwali, a successful farmer and fresh produce wholesaler from Nyagatare, is looking for buyers of his hybrid mangoes and beans. When the supermarket’s boss, finally meets Munyatwali, he just looks at the farmer’s mangoes, shakes his head and dismisses him, saying the supermarket cannot do business with him. Munyantwali’s documents, which show that he had won many awards for his quality produce and production processes, could not help either. Confused and looking disturbed, the farmer departs dejectedly. Muntwali is not alone; many local farmers go through similar situations whenever they try to sell their produce in the top local supermarkets and regional retailers operating in the country. It is rare to find local agro-produce on the shelves of these supermarkets. This situation is paradoxical; especially as the Rwanda National Export Strategy seeks to promote agricultural products to reduce overreliance on imports. Data from the National Bank of Rwanda indicate that Rwanda imports agro-products, live animals, meat and fish, milk and milk products, eggs, natural honey, vegetables, fruits like apples and mangoes, as well as cereals and flour. A mini-survey by Business Times showed that various retailers, including Nakumatt, Simba, Igihozo and Ndoli’s Joint supermarkets, stock huge volumes of imported agro-produce which are even very expensive compared to local produce. Beans from Kenya, for example, were being sold at between Rwf1,600 and Rwf1,800 per kilogramme, while peas were at Rwf1,900 a kilo. No local beans or peas were seen by Business Times in all of these supermarkets. Imported and packaged breast boneless chicken was being sold at Rwf14,200 per 900 grammes, while local ones were at Rwf6,800 a kilogramme. Punjabi white Indian rice was priced at Rwf10,000 a pack of 2kg, while local Lucki Basmanti rice grade one was the only sole product struggling to make it with 5kg being priced at Rwf8,000. So, why are foreign agricultural products dominating in local supermarkets, yet similar products are readily available in the country? Adolphe Sibomana, a supervisor at Nakumatt Supermarket, said supermarkets have a large clientele, including foreign customers, hence the need to maintain a certain level of standards. “Foreign clients want to buy products which are certified by standards bodies, as well as a label describing the product. However, local produce does not meet these standard guidelines,” she said. “Though about 100 heads of cattle are slaughtered at Nyabugogo every day, we have to import meat from abroad because of poor packaging and labeling, among others,” he said. Sibomana also said Rwandan commodities are packed in non-transparent materials, what he claims is not friendly to customers as they “like buying products they can clearly see”. He added that local entrepreneurs are using poor production and packaging innovations, which makes the products less attractive. He noted that in the past they have given orders to local suppliers, who failed to sustain volumes after a few months. So, retailers prefer to import from dealers abroad because they are assured of supplies. Efforts to solve situation Eric Kabayiza, the director for planning at National Exports Development Board (Naeb), said they are planning to conduct a campaign to sensitise and train farmers and dealers so they are able to improve produce quality to be competitive. “Supermarkets have special requirements in terms of commodity standards as they receive customers from all over the world. So, Naeb is trying to train local suppliers and farmers on how they can enhance commodity quality to meet standards. The interventions will include giving farmers high quality varieties, fertilisers and nutrients, as well as equipping them with best farming practices to increase crop productivity and ensure constant supply,” he said. He said when this is achieved, supermarkets will have few excuses not to stock local agro-produce. On the issue of poor packaging and labeling, he said local producers face a challenge of opaque wrappers, which “makes it hard for them to be competitive in the market”. “Some commodities are being packaged in aluminum materials. We are, however, discussing with the Rwanda Environment Management Authority (Rema), the Industrial Development and Export Council and other entities to find suitable alternatives since plastic packaging materials were banned in Rwanda,” he noted, adding that customers often want to ensure they are genuine. Kabayiza said the government is promoting value addition, especially through attractive packaging and other initiatives, to make Rwandan produce, including fresh agricultural produce, more competitive. He cited Lucki rice, which is processed and packaged locally, as part of such initiatives. He advised Rwandan commodity producers to have their produce assessed and certified by the Rwanda Standards Board (RSB) “so they can gain credibility in supermarkets”. This financial year the government is promoting initiatives to increase agro-exports. However, experts are saying Naeb and other government agencies should first ensure that Rwandan products are of quality and can compete on the local market before they are promoted abroad.

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Local agro-products struggle to make it onto supermarket shelves