Advice on Maize Business

[qalonzo]

@Blasty

You can buy a Moisture meter. Small gadget very portable. (For us in the biz, tushazoea kuweka Mkono kwa gunia).
You can gauge the moisture condition by hand mostly for maize.

It’s better to have a Moisture Meter esp in sensitive markets like EABL cz if the level is NOT right imagine ukirudishwa na Lorry mzima eti uende uanike vizuri.

For the Millers, Arabs and Indians have taken over the business wholesomely and what we are doing is kuwa Middlemen for them.
Unamwaga lorry then you wait for pay after 3 days. I you can access cash it’s a good biz, rlow risk.High capital, small margins.
But if you get say 2 millers ur Ok. One pays you for Cereals, you use that money to buy stock and supply to the other one, then build a good relationship with ur bank.
I once walked with my client & boss (am her broker) into Ekwiti and she was signing cheques worth 3.2, 2.1 and 2.7 from EABL as payments for delivery.She makes a clean 2bob per KG of White sorghum akiwa amelala, without investing zilch.Ako na konekshen na tender. (I was there for just 290K).
I was shocked! Good biz but you gotta have capital.
Feel free to keep in touch for cereals, am based in Meru.
Have done Dry grains mostly Sorghum for EABL and Sunflower for Oil production.

Hapo sawa

[Trojanex]

Saa hii mtu alikuwa amestock soya beans is an instant millionaire

[JayJay3]

@Trojanex

Of course you can sell but mostly in low supply seasons. For a real processor, 6T will be processed in less than 2hrs and they don’t want to pick so many of 6T. That’s why they prefer 28T trucks. Moisture content should be below 13% and total aflatoxin 8ppb na kampuni kama proctor & Allan 4ppb.

Just did my math and 28 tonnes translates to around 311 bags. So say for a 300 bag shipment at Ksh 2500, that’s Ksh 750,000. I am not sure if there are trucks for hire in Kitale and the other areas, but I’m assuming it will not cost more than 20k per day. I am not sure how much it will cost to fuel the truck to Nrb. The alternative is to use the Mombasa bound trucks as one talker had suggested, which I assume would be cheaper.
Short-term storage would not cost more than 20k for space enough for the 300 bags in Nairobi. Total expenditure so far is 790K, minus fuel. If I add miscellaneous expenditure of 30K, total costs comes to 820K before selling to millers or any traders willing to buy.
I am not sure about the average buying price for the millers in Nairobi and Thika so that I calculate the margins. I just want to get a picture of the capital needed to complete the whole shipment and deliver to the buyers. The next chapter will be financing. I hear banks are willing to finance LPOs from reputable millers, but only about 60 to 80 percent of the cost.

[Thirimaii]

@Siko_Twitter

Sounds like a wet dream

Is it that you don’t like the idea or you are jusy being a twat

[Ricbaldwin]

@JayJay3

Just did my math and 28 tonnes translates to around 311 bags. So say for a 300 bag shipment at Ksh 2500, that’s Ksh 750,000. I am not sure if there are trucks for hire in Kitale and the other areas, but I’m assuming it will not cost more than 20k per day. I am not sure how much it will cost to fuel the truck to Nrb. The alternative is to use the Mombasa bound trucks as one talker had suggested, which I assume would be cheaper.
Short-term storage would not cost more than 20k for space enough for the 300 bags in Nairobi. Total expenditure so far is 790K, minus fuel. If I add miscellaneous expenditure of 30K, total costs comes to 820K before selling to millers or any traders willing to buy.
I am not sure about the average buying price for the millers in Nairobi and Thika so that I calculate the margins. I just want to get a picture of the capital needed to complete the whole shipment and deliver to the buyers. The next chapter will be financing. I hear banks are willing to finance LPOs from reputable millers, but only about 60 to 80 percent of the cost.

Transport will be about kes. 85,000, as advised if u have ready market am sure the truck will just deliver to the location. You don’t need storage/warehouse. They trucks can also wait for a day or two wakifika as part of the charges

[Fal_468]

@JayJay3

Just did my math and 28 tonnes translates to around 311 bags. So say for a 300 bag shipment at Ksh 2500, that’s Ksh 750,000. I am not sure if there are trucks for hire in Kitale and the other areas, but I’m assuming it will not cost more than 20k per day. I am not sure how much it will cost to fuel the truck to Nrb. The alternative is to use the Mombasa bound trucks as one talker had suggested, which I assume would be cheaper.
Short-term storage would not cost more than 20k for space enough for the 300 bags in Nairobi. Total expenditure so far is 790K, minus fuel. If I add miscellaneous expenditure of 30K, total costs comes to 820K before selling to millers or any traders willing to buy.
I am not sure about the average buying price for the millers in Nairobi and Thika so that I calculate the margins. I just want to get a picture of the capital needed to complete the whole shipment and deliver to the buyers. The next chapter will be financing. I hear banks are willing to finance LPOs from reputable millers, but only about 60 to 80 percent of the cost.

Most guys are very clueless. Transport for such business is usually based on the kilometres covered. you can hire FH/FRR or any truck of your liking and you only pay once the goods have been delivered. with time, you can even be paying after you have been paid.
Another thing, you should know at least 2 brokers who will be advising you on the prevailing market prices before you make any purchases. Trust me, the best option is to sell to the Nyamakima cereals stores. Less stress.

[Mchagga_Fishscale]

@Pseudo

1. 300 bags. purchase cost, labour, transport, storage costs
2. wacha siasa
3. 500 per bag. storage costs depends on location.
4. stiff. tafta market kwanza kijana. Laa sio hivo utakaa na mahindi usote ujinyonge
5. Yes. but tafta market kwanza kijana

Kuna mtu najua huwa anatoa mahindi londiani, nitumie pesa nikuconnect atakupea info yote

Bag ni kilo ngapi?

Una maanisha “gunia” ambapo ni 100kg standard yake?

Ndio bei ni KES 500 kwa gunia moja?

Hard to believe…hebu nidadavulie vizuri nikuelewe!

[JayJay3]

@Ricbaldwin

Transport will be about kes. 85,000, as advised if u have ready market am sure the truck will just deliver to the location. You don’t need storage/warehouse. They trucks can also wait for a day or two wakifika as part of the charges

Thanks for this info. Very crucial.

[JayJay3]

@Fal 468

Most guys are very clueless. Transport for such business is usually based on the kilometres covered. you can hire FH/FRR or any truck of your liking and you only pay once the goods have been delivered. with time, you can even be paying after you have been paid.
Another thing, you should know at least 2 brokers who will be advising you on the prevailing market prices before you make any purchases. Trust me, the best option is to sell to the Nyamakima cereals stores. Less stress.

Would you know the buying price for the Nyamakima traders?