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Business Digest Success Stories Traditional stoves, an idea that pays
Business Digest Success Stories Traditional stoves, an idea that pays
DAR ES SALAAM, TANZANIA – It is usually a very difficult
task, for any youth, to choose which business he or she can venture into
given the low levels of capital investment currently experienced in
Tanzania.
(Top Mustafa Mwakiruka making some of the stoves, down are some of his finished products ready for sale, Photo By Kenan Kalagho)
But, for Mustafa Mwakiluka, a local charcoal stove
maker based in Dar es Salaam, there was no difficult for him to
identify his current business.
“I wanted to invest in a business which its products are used by the entire population. I ventured in making locally made charcoal stoves because they are widely used here,” he told East African Business Week.
Mwakiluka started his business with only Tsh.100,000 ($62). He says that it wasn’t easy because he lacked means of transport, to transport his final products to the market.
“These locally made stoves are very heavy and anyone venturing into this business must look for a place where he can easily be seen by customers, otherwise it will be hard for the manufacturer to transport these products looking for customers,” emphasizes Mwakiluka.
Mwakiluka explains that having realized that he had no money to buy transportation equipments; he looked for an open place where every possible customer could easily see his products.
He settled at the Morocco near the US Embassy in Kinondoni district, some 5km north of Dar city centre for his charcoal stove making business.
Mwakiluka asserts that now he has advanced his business with a capital of almost Tsh.1, 000,000 ($621,688) from his previous investment of 100,000 ($62) 10 years ago. He has at the same time advanced his technology, now making different types of charcoal stoves.
Mwakiluka explains that most of the hotels in town buy his charcoal stoves, as most customers prefer roasted meat than that placed in an oven in a modern electric cooker.
“We have a range of customers, from individual persons buying just for a home use to those buying for multi-purpose use like in hotels and those getting tenders for cafeterias in different private and government institutions,” he says.
Mwakiluka adds that his charcoal stoves use as little heat as possible. He stresses that a single sachet of 1,000 ($0.62) charcoals can roast three goats in a row using his stoves.
Mwakiluka says he buys iron sheet materials to make the charcoal stoves in different shops in the city at reasonable prices.Sometimes, he uses scrap metals, old iron sheets and old car boards to make the stoves.
“The smallest one that is used in homes is often made using an iron sheet coated with mud on its inside.
“I sell it at between 5,000 ($3) and 8,000 ($5). The bigger ones used for beef roasting in hotels and cafeterias’ usually go for 100,000 ($62) and 150,000 ($93),”says Mwakiluka.
Mwakiluka asserts that the money he earns from his business helps him in educating his family; buying clothes as well as helping him pay for his house rent. He however notes that he faces a big challenge when customers, he trust fail to pay him for the purchased stoves.
“We do this business through trusting customers and once a customer buys for the first time and wants us to sell him on credit a bigger cooker, we usually do it not knowing that some customers do not pay back the debt,” Mwakiluka says.
Mwakiluka says he conducts his business at a place where there is no storage for his already made charcoal stoves. These, sometimes are damaged by heavy rains.
Mwakiluka calls upon city dwellers embrace his charcoal stoves because they are less expensive than gas and or modern electric cookers. They also consume small amounts of charcoal.
“I wanted to invest in a business which its products are used by the entire population. I ventured in making locally made charcoal stoves because they are widely used here,” he told East African Business Week.
Mwakiluka started his business with only Tsh.100,000 ($62). He says that it wasn’t easy because he lacked means of transport, to transport his final products to the market.
“These locally made stoves are very heavy and anyone venturing into this business must look for a place where he can easily be seen by customers, otherwise it will be hard for the manufacturer to transport these products looking for customers,” emphasizes Mwakiluka.
Mwakiluka explains that having realized that he had no money to buy transportation equipments; he looked for an open place where every possible customer could easily see his products.
He settled at the Morocco near the US Embassy in Kinondoni district, some 5km north of Dar city centre for his charcoal stove making business.
Mwakiluka asserts that now he has advanced his business with a capital of almost Tsh.1, 000,000 ($621,688) from his previous investment of 100,000 ($62) 10 years ago. He has at the same time advanced his technology, now making different types of charcoal stoves.
Mwakiluka explains that most of the hotels in town buy his charcoal stoves, as most customers prefer roasted meat than that placed in an oven in a modern electric cooker.
“We have a range of customers, from individual persons buying just for a home use to those buying for multi-purpose use like in hotels and those getting tenders for cafeterias in different private and government institutions,” he says.
Mwakiluka adds that his charcoal stoves use as little heat as possible. He stresses that a single sachet of 1,000 ($0.62) charcoals can roast three goats in a row using his stoves.
Mwakiluka says he buys iron sheet materials to make the charcoal stoves in different shops in the city at reasonable prices.Sometimes, he uses scrap metals, old iron sheets and old car boards to make the stoves.
“The smallest one that is used in homes is often made using an iron sheet coated with mud on its inside.
“I sell it at between 5,000 ($3) and 8,000 ($5). The bigger ones used for beef roasting in hotels and cafeterias’ usually go for 100,000 ($62) and 150,000 ($93),”says Mwakiluka.
Mwakiluka asserts that the money he earns from his business helps him in educating his family; buying clothes as well as helping him pay for his house rent. He however notes that he faces a big challenge when customers, he trust fail to pay him for the purchased stoves.
“We do this business through trusting customers and once a customer buys for the first time and wants us to sell him on credit a bigger cooker, we usually do it not knowing that some customers do not pay back the debt,” Mwakiluka says.
Mwakiluka says he conducts his business at a place where there is no storage for his already made charcoal stoves. These, sometimes are damaged by heavy rains.
Mwakiluka calls upon city dwellers embrace his charcoal stoves because they are less expensive than gas and or modern electric cookers. They also consume small amounts of charcoal.
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