SUN CS Learning Route in Rwanda 2016 - Case study Pro-poor PPP: DUHAMIC and SOSOMA case study

1. Strengthening PPP to fight malnutrition, the
experience of DUHAMIC-ADRI and SOSOMA
November, 2016
Presenter: NGEZAHAYO Diogène
P/QC Manager
MERDIEN HOTEL - SUN ALLIANCE

2. OUTLINES
A. Introduction on SOSOMA Industries Ltd
B. Why are cereals and oilseeds elementary
products of SOSOMA ?
C. SOSOMA products & description
D. Value chain development
E. Quality Assurance and research & development
F. Impacts and perspectives of SOSOMA Industries
Ltd
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3. Acronyms
• SOSOMA: Sorghum-Soy bean- Maize
• HACCP: Hazards Analysis and Critical Control Point.
• DUHAMIC ADRI: Duharanira Amajyambere y’Icyaro- Actions pour le
development rural integré
• FSMS: Food safety management system (ISO 22000:2005)
• ISO: International standard organization
• RSB: Rwanda Bureau of Standards
• ESA: Eastern and Southern Africa
• BSI: British standardization institute
• NGO: Non Governmental Organization
• MINISANTE: Ministère de la Santé
• MSB: Maize Soya Blended
• RwFr: Rwandan francs
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4. INTRODUCTION
• SO.SO.MA: SORGHUM-SOYA-MAIZE
• One of 3 units of DUHAMIC ADRI: support to farmers,
support to carpentry and food processing unit (1986);
• It started in March 1989 for objectives:
1. Contribute in fighting against malnutrition
2. Add value to agricultural produces of farmers cooperatives
by producing a product rich in protein
3. Job creation
4. Technology transfer by value addition to rural farmers by
enrichment with soybean products
5. Income generation for DUHAMIC ADRI.
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5. SOSOMA UNIT of DUHAMIC ADRI -
SOSOMA Industries Ltd
• DUHAMIC ADRI is non profit organization
• SOSOMA unit was an income generating unit within
DUHAMIC ADRI
• Regulations: profit making company (taxation) and
NGO
• Management of the systems; production system and
local NGO: staff, productivity, strategic plan,
research& dvpmt…
• Extension of production activities to earn more
income
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6. SOSOMA Industries is a limited company created in
November 2008 by DUHAMIC-ADRI(NGO) and
other shareholders.
2269 shares with value of 100 000 RwFr each
(=226 900 000 RwFrs)
The main shareholder is DUHAMIC ADRI with 90%
Vision Statement
To be a credible business and regional reference in
agro-processing.
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7. Mission Statement:
• Generate revenue through the development of
agricultural production;
• Provide food products of high quality and nutrient
values at affordable prices;
• Respond to customer expectations through innovation
and appropriate technology.
Core Values
Innovation, Integrity and Good Governance.
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8. 1985 legally
TIMElINE
FOOD
PROCESSING
UNIT
DUHAMIC
ADRI
1979 1986
SOSOMA
unit
1989 2008
SOSOMA
INDUSTRIESLTD
2016Genocide
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9. PARTNERSHIP
SUPPORTERS:
Trocaire,
OXFAM, ACTI,
USAID…
DUHAMIC
ADRI Farmers
Cooperatives
SOSOMA
INDUSTRIES
Ltd
WHOLESALERS HUMANITARIANS AGENCIES:
COMPASSION, WE ACT, PIH,
CARITAS, WFP
PUBLIC
INSTITUTIONS:HOSPIT
ALS, HEALTH CENTERS ,
SCHOOLS…
RETAILERS
CONSUMMERS
Gvtinstitutions,regulators..
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Supporters NGO:
ESA FOOD TRADE,
BSI

10. Organigramme de SOSOMA Industries Ltd / Organization chart of SOSOMA Industries Ltd
Assemblée Générale des Actionnaires
General assembly for shareholders
Conseil d’Administration (5)
Board members
Comité de Direction
Directorate commission
Direction Générale (1)
Director General
Assistant Administratif (1)
Adminstratif assistant
Service Production & contrôle de la
qualité (1),
Production and Quality control unit
Service Administratif & Financier (1)
Administratif and Finance unit
Service Vente & Marketing (1)
Sales and Marketing unit
Gestion des Stocks
Store clerk (1)
Caisse/Secretariat
(1)
Comptabilité (1)
Accountant
Personnel
Human resources
Maintenance
(1)
Vente/Vendeur
(1)
Promotion &
Marketing
Chauffeurs (2)
Drivers
Sécurité (2)
Security gurads
 Ouvriers Qualifiés (4) (supervisors)
 Manœuvres (21) (laborers)
 Manœuvres Occasionnels (casual
labors)
Auditeur Interne (1)
Internal auditors
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11. Growth of the company
Parameter 2008 2012 2016
Staff: permanent 12 35 37
Staff: casual labors 30 35 40
Number of
products
6 10 11
Profit $ 31 360 $ 109 785 $ 142 656
Turnover $ 372 426 $ 1 225 717 $ 2 086 970
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12. 2016-11-07 12
Year Turnover (RWFr)
2009 698 843 493
2010 754 308 618
2011 927 042 298
2012 1 072 004 118
2013 1 094 541 013
2014 1 555 912 774
2015 1 320 599 453
Growth- value of share

13. B. Cereals and oilseeds
• Cereals and oilseeds are staple foods (Rwanda,
EAC)
• Cereals and oilseeds are rich in carbohydrates
proteins, fat and minerals. Cereals are most
economic source of energy. They supply 70 to
80% of energy requirements
• Cereals promote by virtue of their rich supply of
vitamins B and E, essential fatty acids and
lecithine, which allow the body tissues to better
use of oxygen. These also help to provide good
protection against heart diseases.2016-11-07 13

14. Con’t
• They are also good source of high quality
proteins.
• They are also potent source of minerals especially
calcium, phosphorous, magnesium, iron and zinc.
The high phosphorous content is helpful, as it is
an important component of brain tissue.
• Generally fruits & vegetables are poor source of
phosphorous and cereals supplement this
deficiency.
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15. Con’t
• They provide both soluble and insoluble fibre
such as pectin, cellulose and hemicelluloses
which are mostly present in the pericarp and
bran etc.
• It (fibre) helps to improve peristalsis in the
intestine and bulk to the stools.
• Fibre helps for slow release of glucose from
food and maintains sugar levels in the blood.
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16. • SOSOMA preferred to add value on cereals
and oilseeds (soybean) due to their importance
on all groups of age especially for high risk
people with much need of energy and
construction of body like children, old
people, breastfeeding mothers...
• Nowadays the flour products of SOSOMA are
5 composite flours (some fortified) and 6
single flours.
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17. C. Products of SOSOMA Industries Ltd
& Description
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18. • Composite flours:
1. SOSOMA 1
2. SOSOMA2
3. SOSOMA 2 FORTIED
4. Maize SOYBEAN BLEND
5. CORN SOYBEAN BLEND FORTIFIED
• SINGLE FLOURS
1. Edible full fat soya flour
2. Soy hot drink
a. SOSOMA Products
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19. b. Main Raw materials of
SOSOMA
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20. Other Ingredients
• Skimmed powder milk
• Sugar
• Vitamins (Vit A (retinol), Vit D3 (cholecalciferol), vit
E(tocopherol), vit k1 (philloquinone), vitC (Ascorbic acid),
vitB6, Niacin, Vit 12 (cyanocobalamin), Folic acid, Biotin… )
• Mineral (Potassium Chloride and DiCalcium
Phosphate)
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21. c. PRODUCTS DESCRIPTION
1. SOSOMA 1
a. Ingredients: soybean, sorghum
and Maize;
b. Packaging material: 1st Laminated
bags, 2nd Polyethylene bags
c. Important characteristics: Rich
in proteins and Carbohydrates
d. Who can consume: all people/ age groups
e. How to use: porridge after cooking within
boiling water2016-11-07 21

22. 2. SOSOMA 2
a. Ingredients: soybean, sorghum
and Maize;
b. Packaging materials: 1st Laminated
bags, 2nd Polyethylene bags
d. Important characteristics: Rich in proteins and
carbohydrates
e. Who can consume: all people/age groups
f. How to use: porridge after cooking within boiling
water
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23. 3. SOSOMA 2 FORTIFIED
a. Ingredients: soybean, sorghum
and Maize, vitamins and minerals
b. Packaging materials: 1st Laminated
bags, 2nd Polyethylene bags
c. Important characteristics: Rich in proteins,
carbohydrates and micronutrients
d. Who can consume: all people/ age groups
e. How to use: porridge after cooking within boiling
water
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24. 4. MAIZE SOYA BLEND
a. Ingredients: soybean
Maize and milk powder
b. Packaging materials:1st Laminated
bags, 2nd Polyethylene bags
c. Important characteristics: Rich in proteins and
Carbohydrates
d. Who can consume: all people
e. How to use: porridge after cooking within boiling
water
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25. 5. CORN SOYBEAN FORTIFIED
a. Ingredients: soybean, Maize, sugar, milk
powder, vitamins and minerals
b. Packaging materials: 1st Laminated bags
c. Important characteristics: Rich in proteins and
CHO and micronutrients
d. Who can consume: all people
e. How to use: porridge after cooking within boiling
water
f. Expiry period: 1 year when packaged
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26. - SUPER MAIZE(corn) MEAL
• It is a single flour, made from dehulled maize
grains
• It is one of the easiest foods
to digest and is very high in dietary fibre
• It is rich in Carbohydrates and to be used
sparingly by obese people
• It is recommended to all age Groups
• It is used as porridge and paste, cooked
within boiled water before consumption
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27. 8. Red and white sorghum flours
• Those flours are made from whole grains cereals
• Whole grain cereals contain a host of nutrients and
bioactive substances that have health-promoting effects
• There are rich in carbohydrates and minerals
• It is consummed as porridge after being cooked in
boiled water
Red sorghum flour white sorghum flour
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28. 8. WHEAT FLOUR
• It is a single flour made up of
whole wheat flour
• It is very nutritious flour, rich in
carbohydrates and minerals
• It is consummed as porridge after being
cooked in boiling water
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29. 9. EDIBLE FULL FAT SOYA
FLOUR
• It is a single flour processed from
whole grains roasted soybean
• It is a very important source of nutrients for
human body, with many nutrition and
nutraceutical advantages
• It is used as porridge after cooking within
boiled water.
• It is recommended to all age groups
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30. S
10. SOYA FLOUR FOR HOT DRINKS
• It is a single flour made up whole roasted
soybean
• It is rich in proteins and carbohydrates
• It is used within hot water like tea but mixed
not infused
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31. E. VALUE CHAIN DEVELOPMENT
APPROACH (SOSOMA PRODUCTS)
SOSOMA
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32. I. Post harvest handling
• The source of safe and good quality products
of SOSOMA is from raw materials
• SOSOMA Industries ltd works hand in hand
with 12 farming cooperatives in region
(Rwanda, Uganda and Tanzania) for cereals
and oilseeds by providing the trainings on
GAP(Good Agricultural practices), post
harvest handling, and grains specification.
• The grain traders are also aware on product
specifications2016-11-07 32

33. II. Processing
1. Reception and grading
At reception: varieties, moisture content and
total defectiveness, extraneous of batch are
checked.
2.Cleaning and de-stoning
By removing the dust, extraneous matter and
stones
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34. CONT’
3. Roasting
At this step the protein of some cereals are
denatured to enhance the digestibility, color
and flavor of sosoma products
4. Milling
The cereals are ground for size reduction in
different ways (SOSOMA 1 and SOSOMA 2)
to have the enthusiastic and distinctive
products of sosoma
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35. FLOUR FORTIFICATION
• We make a fortification to strengthen the nutritional value of
our cereal based products: proteins, minerals and vitamins
• We fortify the SOSOMA products to conform with
regulations of WHO.
• The fortification is made to prevail over the malnutrition
intricacies very stern for children and some group with
disabilities.
• The food fortificants: Potassium Chloride; Dicalcium
Phosphate; vitamins: Vit A (retinol), Vit D3 (cholecalciferol),
vit E(tocopherol), vit k1 (philloquinone), vitC (Ascorbic
acid), vitB6, Niacin, Vit 12 (cyanocobalamin), Folic acid,
Biotin…
• The product under fortification: SOSOMA 2,CSB…
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36. Cont’
• Fortification is a latest technology in the cereal
flour making to increase the nutritional value
of cereal based products
• In SOSOMA vitamins and minerals are added
to some of our flours for that purpose.
• SOSOMA 1&2 and CSB are one of fortified
products for customer satisfaction and
contributing to the improvement of nutrition
status
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37. 6. Packaging
• The products of sosoma are packaged in the
best packaging materials(polyethylene and
laminated bags)for safety and marketability
purposes.
• The packages are different in volume for
accessibility and availability in different size.
• ½ kg, 1 kg, 3 kg, 4kg, 5kg, 6 kg, 25 kg
• Our packaging materials are one of performing
packaging in East African flour processors
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38. 7. Storage
• The adequate storage is provided temporally
after packing and before dispatch.
• The conditions of storage are well maintained
for good quality products.
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39. III. Distribution
• National and international markets
• Wholesale and retail
• The main outlet point located at SOSOMA
headquarters- KICUKIRO-NIBOYE
• We supply the NGOs and governmental
institutions which provide the flours for
porridge to their beneficiaries; MINISANTE,
CARITAS, PATERNERS IN HEALTH,
COMPASSION, WE ACT…
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40. List of some big clients
• COMPASSION INTERNATIONAL
• PARTNERS IN HEALTH
• CARITAS RWANDA
• CARE INTERNATIONAL
• DREW CARE INTERNATIONAL RWANDA
• WE ACT
• SPIU/RBC (MINISANTE)
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41. C. Quality Assurance and
Research and Development
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42. • Application of new technology: from manual to semi
automatic system
• Improvement of packaging material design
• Application of standards and national/ international
regulations/ codex .
• Application of Quality control measures within
production chains
• Certification of the products and system (HACCP and
FSMS)
• Testing laboratories; Aflatoxins, Microbiological
testing and analysis of some physical parameters.
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43. Certificates and awards
• Best tax payer in medium enterprises 2016
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44. Impacts of SOSOMA
• Opening the mind of citizen to use the local cereal
produces for improving the nutrition status by
blending the cereal grains to make the more nutritious
products. e.g local blended flour, MASOSO.
• Contribute in reduction of malnutrition in Rwanda
• Provide the working capital of DUHAMIC ADRI
• Creation of the job more than 500 persons are
working with SOSOMA Industries Ltd , directly or
indirectly: cooperatives, sellers, staffs
• …
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45. PERSEPECTIVES
• To be certified by 2016 with FSMS
• 2018 Turnover of 2 776 732 Usds by 2018
• Increase the benefit to 186968 Usds by 2018
• Having full automatic system of production
• Tripling our production capacity
• Shift the processing activities to more confortable place
• Working with 20 cooperatives in region to improve the
Quality of cereal grains.
• Having chemical testing laboratory
• Complying with related requirements- international, national,
customer regulations
• …
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47. THANK U FOR YOUR ATTENTION !!
ngezahayo.diogene@sosoma.rw +250788381189 www.sosoma.rw
2016-11-07 SOSOMA is Quality and Healthy 47