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Animal feed initiative

Project status

This project was completed in March 2021.

 

Partner

Temple Bakhmut Church, Bakhmut

Background

Our partner in Bakhmut runs a rehabilitation centre for alcoholics through their charitable foundation Help from the Heart. They want this centre to become self-financing and provide valuable work experience for its clients. Their market research revealed good opportunities for animal feed production. Under Ukrainian law, it is difficult to set up a non-profit company to support charitable work. Therefore Help from the Heart will produce animal feed on a non-commercial basis. They will appoint a supervisor to run the initiative and oversee the farming activities at the centre. The centre’s clients will gain work experience by producing the animal feed and working at the centre’s small farm.

 

Project goals

  • Produce high-quality and cheap animal feed for the rehabilitation centre farm 
  • Sell extra feed to local small farmers and at local markets
  • Use this profit to cover the basic running costs of the rehabilitation centre and develop its farm 
  • Provide work experience for rehabilitation centre clients to make it easier for them to find a job or start their own business

 

Investment Our Daily Bread

Our Daily Bread invested 4000 euros for this project. This covered the costs of the production equipment, an initial supply of grain to produce the feed and a small starting cash buffer for the initiative.

 

Investment partner

Our partner has invested in kind with knowledge and contacts. 

They did a lot of market, business and technical research to give the animal feed production initiative a good start. They established contacts with other animal feed producers, and one of them is acting as an advisor for this project. Misha Kuryak who coordinated the renovation of the rehabilitation centre (Our Daily Bread project in 2020) will invest his business and managerial experience by running the initiative. The partner also bears the risk for the initiative’s financial success. Our Daily Bread will provide no further capital for this project, only advice where needed.

 

Flywheel effect

  • The funds generated will make the centre less dependent on donations from others. This will enable it to take more initiative and respond more flexibly to the needs it sees.
  • After they have acquired work experience, clients who possess the right skills and mentality can eventually be coached further to start their own business. Our Daily Bread can fund such candidates.
  • The experience gained from developing the centre’s farming activities can be used as a springboard to set up smallholding initiatives in surrounding villages so that the people there are less dependent on hand-outs. Our partner is exploring this possibility with a church in Mariupol that has a lot of experience in this area.