Developing a program that enhances livelihoods and generates sustainable profits across a value chain demands precise modeling, thorough planning, and consistent tracking. The African Poultry Multiplication Initiative (APMI) serves as a prime example of this approach, concentrating on a sustainable poultry model with extensive social implications. At the heart of APMI’s strategy is the recognition of value across the entire value chain, where accurate modeling and meticulous planning act as the foundational elements that unify the ecosystem. Randall Ennis, CEO of the World Poultry Foundation (WPF), emphasizes the critical nature of value realization among all participants in the value chain. He asserts, “If at any point in the value chain, this breaks down, the entire model collapses.” This underscores the necessity for accurate analysis of all input and variable costs along the supply chain to achieve sustainable outcomes.
The APMI’s thoughtful planning and risk evaluation position its private-sector partners, Brooder Units (BUs), and Small-Scale Producers (SSPs) for long-term success, even after donor funding concludes. This planning stage transcends immediate results, aiming instead at architecting enduring viability. Before launching operations in a new country, the APMI begins with a feasibility study to evaluate market dynamics, determining the likelihood of success. This assessment focuses on various factors, such as local market conditions, input costs, breed preferences, and associated risks, ensuring a solid foundation for the program’s long-term viability. The goal is to maintain profitability throughout the value chain, even when external funding is no longer available.
Once the feasibility is established, APMI collaborates with a local partner to deepen the model and create a comprehensive business plan tailored to the partner’s unique needs and strengths. Senior Program Director for Africa, Jan de Jonge, stresses the importance of this stage, stating that working closely with local partners allows for a thorough exploration of the business plan and local conditions, ensuring the value chain developed is engaging for them. During these initial planning phases, several crucial aspects are addressed, including market scope, growth strategies, production targets, operational requirements, and budgeting for necessary infrastructure. Additionally, the planning includes strategies for feed availability, distribution efficiency, and a marketing plan that resonates with local mediums.
The operational environment is dynamic, characterized by fluctuating feed prices, changing inflation rates, and advancing technologies. APMI rigorously tests its model upon the rollout of birds to verify its assumptions and financial viability. If any discrepancies arise during implementation, adjustments are made to ensure the program’s success. The true measure of success for APMI lies in the sustained purchase and adoption of the new dual-purpose (DPP) birds by farmers. This demand-driven model signifies that APMI’s strategies are yielding real-world benefits. Ennis notes that “it takes several cycles to get a good feel for the profit flow in the process,” with consistent sales and repurchase of DPP products indicating successful value realization.
Balancing profitability for private-sector partners while achieving WPF’s social impact objectives is central to the APMI model. The initiative envisions comprehensive benefits for rural areas, aiming to reach not just urban centers but also peri-urban and remote communities. Maureen Stickel, Director of International Program Development, highlights that while profitability remains a focus during modeling and planning, the ultimate aim is to impact rural households positively. This involves understanding cost structures for sales into rural areas and planning for growth that extends beyond capital regions.
The APMI framework serves as a blueprint for sustainable poultry models that deliver significant societal benefits. Its dynamic and tailored planning process is vital for ensuring the program’s overall success, striking a balance between profitability and extensive social impact across the communities it serves.
