In the first place, there is potential for the current organic product market demand to support higher supply. The project is economically sustainable because it will ultimately improve the income of producers due to the price and demand for organic honey is much better and improving from time to time. The production system is highly integrated with natural forest conservation, hence it is environmentally friendly and economically sustainable. This business already secures market for the honey produced. Since sustainable supply chain is in place and supported by good market the business can finance itself and no need to rely on funding. To keep the supply chain strong the money earned will be re invested to strengthen the supply chain.
Return on Investment:
Due to this intervention the income of the rural youth will be impacted significantly in sustainable way. From the nature of the project the outcome is by far higher and not comparable with investment. The benefit from this intervention for the youth will be 1200 USD per youth. This means per month they will earn 100 USD per youth which is equal to the monthly salary of graduates. Moreover, the return to the project is also big due to sales of the honey. In the other hand the total cost of implementing this project is about 50, 000 USD to reach 500 rural youth and 2500 smallholder farmers. This cost is not one time cost since we use revolving system. From every sales of honey some amount will be used for system development.
How could we successfully replicate this solution elsewhere?:
The base of this model is the learning center, engaging rural youth, design coaching, strong follow up system, include conservation of forest and link to sustainable market. This system can work for any agribusiness linked to substance smallholder based supply chain. Livelihood improving and solving food security problems is not possible in ignoring the issue of biodiversity and environment. Currently we finalized pilot stage of our model working in one village and start expanding to potential villages. For these intervention 8,000 USD per one learning center per village is necessary including the initial training cost. The total cost depends on the number of village planned to reach at a time. Regarding the stakeholder for this intervention, agriculture office, office working with youth and forest conservation, NGOs, product buyers and others are important if they act responsibly. Involving such stakeholders and convincing about the result is good for the success of the project.