Sunday, July 10, 2022

How Njoroge bags 1 M weekly from onion business



KENYA:  

He believes that just because the past taps on his shoulder doesn’t mean he has to look

back.

American musician Jackson Brown challenges us that nothing is more expensive than a

missed opportunity.

From a tender age, Peter Njoroge demonstrated the zeal to tap any opportunity that he

stumbled on the way.

In Bwayi village, Kwanza constituency, Trans-nzoia County, he became a herd’s boy; the

the only thing he could do since he was bred in a humble family.

He could not complete schooling due to poverty, a situation that rendered him a school

dropout.

He decided to cast his net to the world of more opportunities after dropping out of school

in class seven with little expectations, skills, and knowledge. However, he had ardent ambitions

to become a resourceful person in society.

He landed a peanut-paying job at one of the major hotels in Eldoret, where he worked as

a chef.

His situation got messy and noisy following the bleakness and uncertainties that came

forth after losing the job; hence, planning on how to cast his net again to salvage his life. He had

to make a rational decision on what to indulge in bearing in mind the consequences that may

result from the decision that he would make.

"I sat down and thought of what to do after being laid off, and making the decision was a

major hurdle for me because I did not have the skills that are required in different offices,” says

Njoroge.

After meekly consulting with friends, in 2004 he decided to take a stab by selling onions.

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"However, I noted that I had small savings, so I decided to open a small onion stall,

believing that it was the best thing for me to do.”

He delved into the business as a local middleman and later started selling the onions as a

wholesaler in town.

His prowess and consistency in onion selling created a positive rapport with other

business people in the market, rendering him trustworthy.

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“In the same year, my business colleagues used to send me to get onions in bulk on their

behalf at a friendly transport fee,” he said, adding he was able to tap profit from transportation;

thus, adding to his business.

It is estimated that one acre of land produces at least 16,000 kilos of onion bulbs. In 2022,

the price of onion per kilo has been around Sh107.83. Notably, red onions are the most profitable

in the country.

The entrepreneur started penetrating beyond borders to source onion in countries such as

Tanzania, Burundi, and Rwanda. According to him, this was a milestone.

He acquired a 50-acre land at Moshi, Mang’oli province in Tanzania, an asset that has

been vital to boost his enterprise by growing onions.

Now he imports six lories of onions from Tanzania every week. The stock is then

distributed to different counties in Kenya Including Kakamega, Kitale, Kakuma, and Naivasha.

In Kenya, Njoroge&'s source of onions is mainly Loitoktok.

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The 2014 Food and Agriculture Organization’s (FAO) report showed that 50 percent of

the red onions are imported from Tanzania.

According to Faostat, onion consumption per capita reached 0.590 in 2019 in Kenya.

Historically, onion consumption per capita in Kenya reached an all-time high of 2.97 in 2008 and

an all-time low of 0.130 in 1966.

World onion production is approximately 105 billion pounds each year. The average

annual onion consumption calculates to approximately 13.67 pounds of onions per person across

the world.

This year, Kenya has been ranked 145 out of 151 countries in terms of interest rates on

onion consumption per capita.

In a 50kg bag of onion, Njoroge gets Sh400 profit.

“A lorry carries around 400 bags. That means that from a single lorry I get a profit of

Sh160, 000. Therefore, in a week I make nearly one million including tax.”

As an open-minded entrepreneur, he has set up rental houses in Tanzania and Kenya.

He also rears dairy cattle, such as Freshian and Ayrshire, from which he sells milk at

friendly prices.

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