In 2012, the IKEA Foundation committed EUR 6.88 million over five years to KickStart International to establish a local KickStart country program in Zambia. Over the course of the five year partnership, the IKEA Foundation and KickStart estimate that more than 47,000 of KickStart's MoneyMaker pumps will be used to create highly profitable agribusinesses that will enable families to lift themselves out of poverty. This will translate into approximately 280,000 people lifted out of poverty by 2017.
By enabling KickStart to expand their work in Zambia, IKEA Foundation's contributions will build toward KickStart International's 2011 CGI commitment to lift 'Half a Million People out of Poverty' between 2011 and 2014. Funding from the IKEA Foundation will enable KickStart to take the lessons it has learned from its retail programs in East and West Africa, and combine these with a set of new innovations, to establish a dynamic retail marketing and sales program to sell MoneyMaker pumps across Zambia and the surrounding region. Thousands of farmers will buy pumps, irrigate high value crops throughout the year, make a lot more money and lift their families out of poverty as a result. The funding will also mobilize KickStart to partner with other NGOs and import/wholesale shops to sell thousands of additional pumps throughout Southern Africa.
Support from the IKEA Foundation over the five year period will enable KickStart to build an efficient private sector supply chain in Zambia and implement major marketing and sales efforts in all of the high potential areas of the country. KickStart has already sold over 8,100 MoneyMaker pumps in Zambia through wholesale shops and NGOs, but there is no established retail network and almost no marketing has been done. The vast majority of poor farmers do not know about the pumps, or understand their potential to help them climb out of poverty, and the new program will specifically address these issues.
In addition, KickStart will establish Zambia as launch pad to reach poor farmers in the surrounding Southern Africa region including in: Southwest Congo, Angola, Zimbabwe, Namibia, Mozambique, Madagascar, and Botswana. KickStart will develop a dynamic business to business (B2B) partnership program and sell pumps to import/wholesale shops and to NGOs working with farmers throughout the region.
The IKEA Foundation's contribution is focused on enabling KickStart to build a sustainable program over the course of the next five years in Zambia. We recognize that scale-up of the program will take time and our impacts will start off slow and double by year-3. As part of KickStart's commitment of 'Half a Million People out of Poverty' by 2014, between 2012 and 2014 alone, the IKEA Foundation's contribution will enable poor rural farming families to establish more than 10,400 agribusinesses and lift approximately 52,000 people out of poverty; tens of thousands of additional people will be lifted out of poverty in the three years to follow.
80% of the rural poor in Zambia live below the poverty line according to the Zambian government's Central Statistical Office. In a 2011 report on progress toward MDGs in Zambia, the government reported that while many goals are on track, additional accelerated efforts must be made, especially around extreme poverty, to reach the goals by 2015. A vast majority of the rural poor are small-scale farmers who grow the same rain-fed crops, harvest them at same time and sell them into the same markets. Most make just enough money to survive, but not enough to escape poverty. Men often leave home looking for work, but paid jobs are scarce, except in the mines, where work is dangerous and wages are low. Families are often separated, children malnourished and withdrawn from school, and there is a significant lack of food security. Many other countries in the Southern Africa region share these same challenges.
KickStart International implements a market-based solution, through their line of manually powered, MoneyMaker branded irrigation pumps, that enables poor rural farmers to water crops year-round and grow and sell fruits and vegetables during the dry seasons when the prices are high. With the pumps, farming families grow larger harvests more often, increase their incomes and lift themselves out of poverty. KickStart has demonstrated the greatest impacts through their country programs in Kenya, Tanzania, Mali and Burkina Faso where they implement innovative sales/marketing efforts, employ local sales staff, and build local distribution networks of suppliers and dealers to encourage the adoption of the pumps. They also export pumps to 23 other countries in sub-Saharan Africa and 12 beyond the continent. KickStart has sold more than 206,000 pumps across Africa, enabling more than 671,000 people to take a major first step out of poverty.