Afya

Susceptibility to multiple diseases, damaged mental and emotional development, or even death – malnutrition can have severe and long-lasting consequences. The cognitive development of young children is especially affected by the lack of nutrients and vitamins, denying children the ability to reach their full learning capability.

At Afya, we combat this problem with spirulina algae. Spirulina has an extremely high nutritional value in both protein content and vitamins. Just three grams per day are sufficient to effectively fight malnutrition. Spirulina can be easily consumed in powder form by mixing it with daily meals.

Our technology is simple but highly effective and allows us to keep costs at a minimum. We will produce spirulina locally and sell it to schools, where it will be integrated into daily canteen meals. The simplicity of our model allows us to spread our solution globally and enable children worldwide to reach their full potential.

About 2 billion people worldwide still suffer from malnutrition to this day. In Uganda, our target region, malnourished people amount to 34.6% of the general population.

Malnutrition is especially dangerous to children and child-bearing women: 45% of child deaths in Uganda are caused by malnutrition. And even if the child survives, it can have severe consequences for his or her life, both of physical and of mental nature. About one third of Ugandan children suffer from stunting and with Uganda being situated in Africa, it belongs to the region with the world’s slowest decreasing stunting rate. 

Stunting can manifest itself in various forms. Many malnourished children have a weakened immune system and as a result of this, a lower life expectancy. Also their mental development can be impaired, malnourished children can suffer from underdevelopment of the brain and even brain damage, compromising their capability to thrive in their adult life.  As some initial studies by the Universities of Georgetown and Virginia in the United States show, even their social and emotional development can be disturbed, which has a great impact on their later career and personal life.

Children and child-bearing women in Uganda being malnourished can be attributed to many Ugandan households not having access to or the means to afford a diverse food selection. Additionally, many lack a proper health education. Therefore, they live on an unbalanced diet consisting of only few different foods that are low in protein and lack important key nutrients.

During our first project trip to Uganda we interviewed students and teachers at different primary schools and were able to gather information on their everyday eating routines. As it is common to be provided with lunch at school, it will require minimal effort to enhance this food with spirulina. There won’t be any difference in taste and the children will be provided with all essential nutrients on a regular and long-term basis. 

Our proposition has been met with great enthusiasm. Therefore, we are confident that spirulina will be well-received. After introducing our product to the Ugandan market, we intend to keep working closely with schools through our local partner, who will hold various workshops about healthy nutrition. Additionally, the schools will constantly report directly back to us, which will enable us to monitor and ensure the success of our measures.

Spirulina has exceptional nutritional values and is already being treated as the “superfood of the future” by the WHO. It consists to over 70% of proteins and contains 11 different vitamins. This makes consuming spirulina as a dietary supplement an effective method to counter the acute effects of malnutrition. Merely a teaspoon of the microalgae per day are enough to provide all essential nutrients and to save a child from malnutrition.

Once harvested and dried, spirulina is very easy to consume. In its powder form, it can be easily mixed with meals or drinks, without impacting the taste.

In addition, spirulina grows efficiently and sustainably: it can double its biomass every 24 hours, contains more protein than meat or soybeans and uses only one 200th of the land and water required for producing a comparable amount of beef.

The production of our spirulina is extremely low cost and at the same time simple to manage. Traditionally, spirulina is cultivated with very expensive and highly technological photo-bioreactors. To make our spirulina accessible to people in need, however, we worked together with our technological partner MINT-Engineering from Berlin and identified all essential core components. We used this gained knowledge to develop our own low-tech solution that includes all key elements of the high-tech versions but operates at minimal cost.

For our open pond algae farming system we use raceway ponds that can be built from materials already locally available and runs on 100% green and sustainable energy. On top of this, we created a holistic quality assurance process.  This allows us to grow spirulina in a controlled environment and to ensure the quality of the nutrients it provides as well as to prevent any type of contamination.

Our unique and innovative approach is the combination of German high-tech manufacturing knowledge with local resources 

Several approaches to counter malnutrition already exist. On a global level, the World Food Program distributes a large variety of supplements to treat acute malnutrition. While this is an effective way to treat acute malnutrition, it is not sustainable in the long run, as these supplements are imported.

We offer a solution that produces locally and thus enables local entrepreneurs to gain an economic advantage. Together with engineers and scientists we developed a method of growing spirulina at a local level in a simple and effective way. The solution is a low-tech algae system, where spirulina is grown in a concrete pond. Harvesting can be done on a daily basis, and starts very soon after inoculating the tanks with the starting culture. Generally, the first harvest occurs within a month and a half of starting operations. The harvesting process is simple and is based on the simple filtration of the growth medium. The filtered mass is then dried for the rest of the day and processed at the end of the afternoon. The simple use of our system with it’s great outcome makes our solution highly innovative.

We see two distinct values of our solution. First, spirulina offers a short-term treatment of malnutrition. Second, given its simplicity, our approach requires little change in behavior. When the dried algae mass has been ground to powder, it can be eaten immediately, or added to traditional foods. 

We have built a solution around our cost-effective, open-pond algae farming system. The system was developed in cooperation with MINT Engineering, a company specialized in algae farming solutions here in Germany. Our system combines a shallow, open, concrete water basin with a cover to protect against contamination. The ponds can be built with locally available materials in almost every part of the world and additional ponds can be added without much effort. Additional features, such as a solar-powered paddle wheel that increases water movement and makes the system more efficient or sensors that automate part of the quality control process can be easily added later.

This low-tech, modular, locally adapted approach allows us to produce nutritious micro algae at an affordable price locally in rural Uganda. The system requires little training and the producers can take over responsibility quickly and operate mostly independent. The modular set up of our system also increases the resilience of our solution as it serves as a fail safe in case one algae culture becomes contaminated.

Overall, we believe that our system can empower rural Ugandans to become entrepreneurs and provide a local alternative to imported nutritional supplements.

The major prerequisite for developing critical learning capabilities and cognitive skills in children is a proper physical development of the brain and the body. This development is highly affected by the nutrient intake through our food. In developed countries the problem of malnutrition - the lack of nutrients and protein intake - is almost non-present. However, on a global scale more than 2 billion people are affected, leading to stunting, impaired mental and physical development, lower attention spans and reduced working memory. Without the necessary intake of nutrition children are not able to reach their full cognitive potential, no matter how good or affordable education might be.

If we want to reduce inequality on a global scale, we must ensure that every child has the same physical starting position - beginning with nutrition 

(https://www.gainhealth.org/knowledge-centre/fast-facts-malnutrition/) (https://www.ncbi.nlm.nih.gov/pmc/articles/PMC2519065/, https://www.medicalnewstoday.com/articles/179316.php). With Afya we strive to tackle this issue with Spirulina. By selling our product directly to schools, we make sure to reach the ones affected most by malnutrition - children in their early stages of development. Spirulina has been proven to effectively fight acute malnutrition with a dose of as little as 3 grams per day in children. (https://www.bmj.com/content/326/7381/146/rr and own estimates gathered together with Roquette Klötze) With Spirulina, we provide children with the necessary protein and nutrient intake to fight the problem at its very root - unequal starting positions due to a lack of access to affordable supplements.

Our project team consists of seven students from the student initiative “Enactus” at the University of Mannheim in Germany. We have diverse academic backgrounds in economics, business administration, psychology, political science, and law. For technical expertise we consult with engineers from MINT engineering. For the foreseeable future, it is not planned to create any paid positions within the project team.

Currently we are on the implementation stage of our business. Once we kick off our production this summer we foresee to be serving 250 children and 30 adults. 

Our sustainable business model and efficient production technology has high scalability rates and allows the easy reproduction of our current cultivating pond. One year from now we plan to have doubled our production and therefore effectively and sustainably fight malnutrition in 500 children and 60 adults. Once we prove the success of our solution in Uganda we plan to expand to other countries fighting with high rates of malnutrition. 

Within the next 12 months we will distribute our first products to schools and NGOs and achieve our proof of product. With our first cultivation pond we will produce approximately 2 kg of Spirulina per week, serving two schools and approximately 3 pharmacies. This will have an impact on the lives of 500 people, only within the first few months of production.

Next 5 years: Thanks to the scalable nature of our business model and our unique easy-to-build cultivation system, our strategy is to grow and expand within the Ugandan market. We plan to build another cultivation pond shortly after achieving our proof of product and approximately 3 more in every consecutive year, depending on the financial success of our solution.

Our vision is to become the largest provider of Spirulina supplements in Uganda, creating a lasting change on the way people treat malnutrition. 

Funding:
Our proof of product required approximately 5.000 EUR initial capital that we were able to raise by participating in pitch competitions. However, to grow our vision and sustainably build a social enterprise, we need larger amounts of seed capital. Currently, raising funds for our venture requires a substantial part of our time that could be invested better into product development, customer relations or impact measurement. 

The second issue we are currently facing is our product certification due to cross-border communication problems. Even though we have a strong partner network in Uganda, reaching out to the relevant governmental institutions such as the National Drug Authority or the Uganda Industrial Research Institute is not easy from Germany.

The third hurdle to overcome is our market entry in the high value supplement market within pharmacies. We have to position Afya as a high class brand within the stores in order to generate enough profits to cover the subsidies of the second distribution channel to schools and NGOs. 

Funding: By reaching out to large institutions such as MIT and by participating in competitions we strive to achieve our funding goal this year. To pursue this goal, we have recruited a new project member who is responsible for fundraising only.
To overcome the lack of funding and shortage of time we decided to dedicate our efforts on wider fund raising channels, this is why we are currently not only participating in pitch competitions, but also offering enterprises related or not with our product or families in our region the possibility of supporting our business by reaching out to them through public media channels and participating in fairs spreading mouth to mouth the uniqueness of our business.

This summer three of our project members are in Uganda to built our whole production facility, kick off the production, certificate our product and register our social business. 

To surpass the barriers of the market entry we are strongly cooperating with an Ugandan businessman that knows the food and supplement market in Uganda and has experience on marketing in the local culture. In addition we also cooperate with an GoSmile Uganda NGO that supports us by acting as a third instance that assures that our product really gets to the malnourished children in the schools.

Afya is part of Enactus Mannheim e.V.. Enactus is a global student organization that acts as an accelerator for social businesses. The advantages are a strong partner network with experienced business advisors from reputable companies, access to complementary IT-Infrastructure and a great multiplicator effect through the communication channels of enactus.

Furthermore, if we want to become an independent entity we are able to found a company and transfer our IP as well as our funds without any limitations. 

Our project team consists of seven students from the student initiative “Enactus” at the University of Mannheim in Germany. We have diverse academic backgrounds in economics, business administration, psychology, political science, and law. For technical expertise we consult with engineers from MINT engineering. For the foreseeable future, it is not planned to create any paid positions within the project team. Additionally we are training an operator and a supervisor that will be in Kampala running the operational part of the business.

Together with our expertise in social business from the leading business school in Germany, our strong connection to our technical and social partners as well as our strong business advisor network from KPMG and Freudenberg, we have developed unique core skills in creating profitable social ventures paired with technical hard skills required for our solution. 

Thanks to the diverse nature of our backgrounds and nationalities we challenge every outcome for improvement from many different angles. Every idea we generate is discussed and evaluated until we have chosen the best alternative.

Our project is part of enactus Mannheim e.V., a student initiative at the University of Mannheim. enactus Mannheim e.V. has 7 local and international projects that aim to provide sustainable, entrepreneurial solutions to social, ecological, and economical problems. enacuts Mannheim e.V. provides us with a network of business advisors from international companies and allows best practice sharing among the different projects.

MINT engineering supports us regarding the technical side of our project. We jointly developed our algae farming solution and they provide consulting when technical challenges emerge.

 For the implementation of Afya we have partnered with GoSmile Uganda, a local NGO that provides a local network and expertise. They are also responsible to oversee local operations on a day to day basis and are the first point of contact for the algae farmers.

Additionally, we are in contact with health experts and government representatives to promote our project, gather local support and raise awareness on the problem of malnutrition.

The unique feature of our solution is the financial sustainability of our business model. We plan to become a profitable business that can cover the expenses by 100% and invest the remaining profit to scale our production. This is achieved through a two track selling model. First, we sell our products at no margin to our target need group - children affected by malnutrition. Our main sales channel will be direct sales to schools and NGOs that will use the product to enhance childrens’ meals. To finance our operations, we will sell Spiruina through pharmacies and supermarkets and position the product as a high value superfood, targeting middle to upper-class Ugandan citizens with a higher willingness to pay. Fortuntely, there already exists a market for Spirulina in Uganda with products imported from Switzerland at very high costs. By entering the market with our product, we can have a competitive price advantage while still positioning our product as high class due to our country of origin effect from Germany. 

Beyond the contacts and partnerships that we have already established, we are looking for partners and organizations in two categories.

On the one hand side, we would like to promote our solution to organizations that are engaged in projects to counter malnutrition in Uganda or other countries. We are convinced, that Spirulina can serve as an effective and locally produced tool to counter malnutrition. Winning institutions such as UNICEF or the World Food Program as customers and promoters of our solution would ensure a growing demand and awareness for the benefits of Spirulina.

On the other side, we aim to serve the needs of the local communities as well as possible. To that end, we are looking for influential government or non-government sponsors for our project in Uganda. Becoming part of initiatives from the Ugandan Ministries of Health or Agriculture would allow us to scale our project faster and reach more people in need. Current state initiatives such as school feeding programs could be supplemented with our solution and potential lead to higher effectiveness and lower costs. The support of local non-governmental actors could be similarly impactful.

Solutions that use innovative technology to improve the quality of life for women and girls are eligible for the Innovation for Women Prize. This prize is funded by the Vodafone Americas Foundation, which supports technology-focused projects to advance the needs of women and girls, and to promote a world where women’s voices can be celebrated. Up to $75,000 will be granted across up to three Solver teams selected to receive the prize. Eligible Solver teams may be selected from any of Solve's four current Global Challenges.]

Solutions that use innovative technology to improve the quality of life for women and girls are eligible for the Innovation for Women Prize. This prize is funded by the Vodafone Americas Foundation, which supports technology-focused projects to advance the needs of women and girls, and to promote a world where women’s voices can be celebrated. Up to $75,000 will be granted across up to three Solver teams selected to receive the prize. Eligible Solver teams may be selected from any of Solve's four current Global Challenges.]