Manufacturing and Distribution of Efficient Cook Stoves - Zambia

The majority of households in Zambia cook and heat their homes with metal cook stoves using charcoal or firewood. As access to firewood and charcoal for fuel becomes more difficult, demand for cook stoves that burn the fuel more efficiently grows.

In order to support the proliferation of efficient cook stoves into Zambia, AREED is looking to support a company that produces energy-efficient "ZIKO" stoves. The demand for stoves is high in Lusaka, as well as the Copperbelt and Southern Provinces, where the company has established agencies for the marketing of ZIKO stoves. Currently, the company produces approximately 100 stoves per month. The company's production is limited by lack of equipment, insufficient staff, and inadequate working capital.

A supermarkets chain has expressed interest in purchasing the "ZIKO" for sale in its stores, but only if the company is able to increase production to over 1000 per month. In addition to increasing production, the owner of the business would like to improve the quality of the product and develop a distribution and marketing system. AREED has offered to assist the company in putting together a business plan and strategy at which time financing options will also be considered.