Mekelle, Ethiopia - Millennium Cities Initiative - Columbia University
Mekelle, Ethiopia - Millennium Cities Initiative - Columbia University
Mekelle, Ethiopia - Millennium Cities Initiative - Columbia University
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38 <strong>Mekelle</strong>, <strong>Ethiopia</strong>: Potential Opportunities for Investment<br />
Case study: <strong>Millennium</strong> Villages Honey Project<br />
Opportunity<br />
• The <strong>Millennium</strong> Villages Project (MVP) is implementing a large scale honey and<br />
beeswax production system across its 11 villages in Tigray State. The major goal<br />
of the project is to support beekeepers by establishing cooperatives, providing<br />
inputs and hives and facilitating distribution of raw honey to customers.<br />
• Ten cooperatives have been established consisting of 1,500 households. Planned<br />
investments amount to USD450 thousand. 2<br />
• The project is aimed at developing a collection and management system for 4,000<br />
hives capable of producing 240 tonnes of honey annually, for revenue of over<br />
USD1.5 million 1 . 2,600 modern beehives are expected to be introduced by 2011.<br />
320 hives have already been distributed to 200 farmers 2 . From 2005 to 2008 the<br />
MVP provided free inputs for households producing honey. Starting from 2009<br />
inputs have been provided on a credit basis.<br />
• The introduction of modern hives by the MVP will lead to an increase in productivity<br />
from the current 8 kg per hive: in the first year — to 10 kg per hive; in the second<br />
year — to 30 kg per hive; in the fourth year — 45 kg per hive. 2<br />
Source: 1. <strong>Columbia</strong> <strong>University</strong> – Investment Promotion in <strong>Mekelle</strong>, <strong>Ethiopia</strong>, October 2009<br />
2,3. KPMG in <strong>Ethiopia</strong> interview programme, 2009<br />
Number of beehives to be introduced<br />
within the <strong>Millennium</strong> Villages Project<br />
No. of beehives<br />
3000<br />
2500<br />
2000<br />
1500<br />
1000<br />
500<br />
320<br />
0<br />
2009<br />
© 2010 KPMG International Cooperative (“KPMG International”), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG<br />
International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG<br />
International have any such authority to obligate or bind any member firm. All rights reserved.<br />
2,600<br />
2011F