Natural Value Added Products For Boosting Nutrition Status

Mitundu Agro Business Group is allocated near Mitundu Trading centre in Lilongwe district. As an OVOP project they are producing tomato jam, groundnut oil, Soya milk, and cassava bread and cassava chips.
They were assisted by JICA through OVOP programme with food processing training and were provided with a variety of processing machinery.
The Mitundu OVOP group has rich agricultural commodities. Although they are located near to Lilongwe the capital city, their agricultural products were fetching low prices. However, after the assistance from OVOP they are now capable of processing their produce, hence adding value, thereby achieving higher prices on the market.
At the moment, there is a model village factory, which has more than 130 members from different groups. The groups are involved in various activities like bakery, groundnut oil extraction, jam making etc.
On 15th May 2007, the group received an electric oil extractor machine. This will increase production and quality of groundnut oil currently produced at the factory.

We would like you to eat our natural foods!

[Future Vision] by Group Leader Mr Nkhoma
Our oil will be used in the whole of Malawi. Then it will be exported to other countries. And we get the money and change the lives of all group member.
[Product Strong Point]
Our oil is made from 100% material grown in Malawi. Without a mixture of chemicals, and manufactured by cold press processing is said to break the nutrients.

Our Main Products

Group Information

[Support from OVOP/JICA]
(a) Food processing training (2004), (b) Participatory management training (2006), (c) Financing for a model village factory (MK 300,000), (d) Financing for processing machines MK 200,000), (e) Financing for an oil squeezing machine for groundnuts(MK 250,000).
Remarks: the group paid 30% of the budget for (a) and (c)
[Support from Other Organizations]
Fin coop provided micro-credit to member clubs in the range of MK 500,000 to 100,000 in 2006 for various purposes including working capital or construction. It seems that some of the loans are misused and non-performing.
[Contribution by members]
Each one of 24 member clubs contributed MK500 initially. Clubs pay MK200 per bag of groundnuts. Monthly contribution at MK200 per individual, which is prescribed in the constitution, is not maintained.
[Support by District Assembly]
Community District Officer introduced clubs to JICA training and Fin Coop in the first place.
[Background]
The association initially started with 70 members, and the number of the members increased to 480 (24 clubs). Clubs are using the groundnut processing facility in turn.

Strength and Opportunities

[Human Resources]
The Executive Committee of the Association is well organized, and is effectively managing the factory. The chairperson is taking initiatives in all aspects of the management.
[Materials]
The factory is located close to the central market, where farmers in the vicinity bring raw materials.
[Product]
The vegetable oil is all natural, not using chemical additive as other competing products (imported oil or Kazinga oil - major domestic product) do. According to JOCV Volunteer, the oil seems to be more nutritious than well-refined oil. Price is lower than national / international brands. Container -250mm or 500mm pet bottles- are available in Lilongwe.
[Production]
The factory's production capacity is 50 liter/day.
[Transport]
The town is relatively close to Lilongwe: MK 300 by minibus; two persons are able to bring 50 bottles of 500 ml oil to the capital at MK 1,200 (round trip).
[Infrastructure]
No problem with water (bore-hole) and electricity.
[Wastes]
Wastes (husks, peels, etc.) are composted to be used as manure. The factory keeps cats to eradicate rats.
[Quality Control]
The Executive Committee prepared a manual and chairperson or another person is always inspecting the processing to maintain the same quality.
[Sanitary Condition]
The factory is kept clean, and headwear is made compulsory.

Challenges

[Materials]
Due to poor rain in the last rainy season, there is a scarcity with groundnuts, and their price has gone up. As a result, the Association managed to produce only 50 Liter of oil last year. The Association wishes that if they had a sufficient capital, they would be able to buy groundnuts and stock them when the price is lower.
[Production]
Since filtration is conducted manually, the refining of oil is not sufficient, making the oil's color brown. The Association also claims that they do not have enough store space for raw materials
[Administration]
Cost seems not to be properly managed due to lack of knowledge.