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AIC is an agribusiness service center, under PASS Trust, mandated to provide business development services to agribusiness enterprises that are growth oriented or with potential to grow, giving special attention to youths and women entrepreneurs in Tanzania. Since 2015 AIC has been implementing three intervention models:
a) No-Wall Incubation agro-processing enterprises that show potential for rapid growth. The enterprises receive a full set of business development services (BDS) over a three-year period that include strategic management, operations, finance, human resources, markets, technology and product development.
b) Seed Fund which was established to operate as a mezzanine fund (in-between equity and loan, a form of quasi-equity) for enterprises that AIC is incubating after realizing that accessing commercial loans by SMEs in agriculture is a lengthy and unpredictable process. However, the Seed Fund was not implemented following the enactment of the new Microfinance Act 2018.
c) Walled Incubation centers established in two locations, in partnership with Sokoine University of Agriculture (SUA), Morogoro and Tanzania Livestock Research Institute (TALIRI), Kongwa. The incubation centers incubate youth in agribusiness enshrined in green growth principles with the aim to achieve youth owned and operated successful agri-enterprises in many agriculture sub-sectors across the country. The incubation centers incubate youths (from all levels of education) in horticulture, agriculture, aquaculture, livestock and agro-processing agribusiness for a 12 – 18 months period. Upon exiting the centre, the youth will be assisted to set up their own agribusiness in their own premises/land. The incubation centers transfer skills on modern agriculture and agro-processing using green houses, drip irrigation, livestock pens/sheds, processed feeds, pest/disease control, efficient use of water, waste management, renewable energy, and recycling, among others. AIC’s plan is to expand to new sub sectors in aquaculture using fish tanks and cages, hydroponics for both crops and feed production, poultry farming using cages etc. In 2018, 20 youths (11 males and 9 females) joined the AIC incubator at SUA, Morogoro. In 2019, AIC incubator enrolled 60 youths (50 at SUA and 10 at TALIRI), in 2020 enrolled 132 youths (112 in Morogoro and 20 in Kongwa) while in 2021 it enrolled 88 youths in Morogoro. AIC walled incubations are successful in transforming the mindset of youth beneficiaries on agriculture as the model has shown a great potential and a need to be replicated in other areas of Tanzania. Edina Perfect Kibaya, one of the 2021 youth graduates said, “before joining AIC SUA in Morogoro, I was engaged in agriculture and livestock keeping, but the difference between what I was doing before and what I am doing here (AIC SUA) is that the latter is agribusiness. Here, I make calculations for everything before, when in the farm and after harvesting as well as selling so as to make profit. This opportunity (incubation) is very useful. Now all my mind is on agriculture, and I am very happy…”.