Investment Story

AKTZ Industries Ltd (Alaska) is an agri-value addition company playing a very key role to support the work of smallholder farmers in Tanzania. The company’s business model links the rural smallholder farmers produces with major markets in urban areas. Alaska’s intervention has significant impacts to the community and especially marginalized women who are the main target.

By providing market to farmer’s produce, the local economy in rural areas improves but also provides for food security, entrepreneurship, job creation and other multiplier effect on the local economy. Value added quality products (eggs, rice, maize flour, sunflower oil, etc) are sold through supermarkets, restaurants, hotels and direct delivery to selected customers and of recent to women roadside food vendors.

Of recent, Alaska launched an online sales platforms ( intended to capture online customers. This is done in partnership with another logistic company (AIM Co) responsible for distribution of products. Customers can now place order online and get products delivered to their homes. The strategy is slowly gaining traction within certain classes of customers and seen to be a future competitive strategy. Currently the uptake is still low with average of three customers per week.

Facts and Figures

  • AKTZ Industries LTD

    Project Developer

  • Tanzania


  • $519,119

    Total Project Cost

  • 2019-2023


Our Response

LFI technical support coupled with seed capital and concessional loan attracted debt financing. The unlocking from the local bank accounted for 33% of the total project cost and enabled the business to implement the planned expansion.

Results Achieved

  • $169, 629

    Unlocked from the Local Bank

  • 300

    Trained Women

  • 85%

    Sales Increase

    Youth and Women
  1. With UNCDF’s concessional loan ($100K), the business was able to unlock additional $169,629 from the local bank. Additionally, UNCDF’s technical assistance helped to structure the project’s investment documents, de-risk the project and enabled the developer to meet the lender’s requirements.
  2. Technological improvements and potential linkages to microcredits. UNCDF’s support enabled Alaska to develop technological application and database which allow profiling of informal roadside food vendors. Profiled vendors become not only Alaska’s customer, but they also develop a track record prerequisite by microlenders and for growth. More than 300 women who are roadside food vendors have been profiled and trained on business management.
  3. With support from UNCDF, the project (Alaska) managed to upgrade its processing facility, enhanced sourcing and distribution capability. Also, Alaska recruited a team of skilled personnel to run the growing business operations. New three key staff including accountant and marketing officer were recruited on permanent terms.
  4. Post financing performance: Alaska’s sales revenues and margins have gone up, profit and cash flows improved allowing the business to successfully repay its debt installments (bank loan and UNCDF loan). No default so far and the company has a strong optimistic view on the future. Sales increased by 85% in 2019 compared to year 2018 resulted into profit realization compared to losses sustained in 2018.

Stories from the Field

Our Team

Sirra Foon
LFI Investment Officer