Idea, network transforms Richard’s life

Dar es Salaam. Many people spend lots of money when starting their businesses, but for some, it is not a necessity-- Idea and network are capital itself.
This is true for a resident of Mbezi Kwa Msuguri, Mr Winfred Richard (39), who shares his story with The Citizen on how he is currently minting millions of shillings from the business he started at his young age without money.
At 20 years old, Mr Richard joined his uncle in bananas trade at Mabibo Fresh Fruit Market, which is popularly known as ‘Mwahakama ya Ndizi’. He knew too little it.
His uncle, Mr Ferigo Njovu, brought him to Dar es Salaam from Morogoro in 2001 after failing to continue with secondary studies in the late 1990s.
“I dropped out of the school when I was in form two at Kizuka Secondary School in Morogoro in 1998. It came shortly after the death of my father,” he said.
Mr Richard, a married father of four, said his mother could not afford to pay his school fees plus other things pertaining his education.
He then decided to quit studies and help his mother raise his two siblings, until his uncle took him to Dar es Salaam and introduced him to the business.
“With my mathematics skills, regardless of the educational level, my uncle trusted me in the sales section,” he noted.
For the consecutive eight years, he worked under his uncle at the position of sales manager, with a task of searching for buyers and farmers as well as tracing and documenting all the sales records.
He earned nothing during the entire period, but he built his business network with buyers and farmers who worked with his uncle.
“My uncle was not paying me a salary, but he took care of me with all basic needs and transport costs until he set me free in 2010,” he said.
He started with zero capital, but took bananas from the farmers and sold the products on their behalf (agent) to his royal customers and found markets.
He was earning up to Sh160, 000 a day through the business as an agent.
“The farmers were paying me Sh500 per every bunch of bananas I sold. With my big network, I was able to sell up to 320 bunches of bananas every day,” he said.
He opened up a bank account in 2010 and saved some money he earned for five years.
In 2015, his bank account had Sh3.8 million of which he took it as a starting capital for fetching bananas direct from farmers to the market.
His first trip was to Lugombo village in Tukuyu, Mbeya where the majority of the farmers who sold their products under his help as the agent, welcomed him and introduced him to the local farmers.
“It was a blessing. They hosted me nicely, treating me with a shelter and food for the entire two weeks I spent in the village. They also introduced me to farmers where I collected fresh bananas and made deals with producers,” he explained.
He collected a total of 285 bunches of bananas at the price of between Sh7, 000 and Sh8, 0000 per a bunch, depending on the size.
“It was easy and profitable to me because I didn’t pay food and shelter costs at the village. Apart from the money I spent to buy the bananas, I spent another Sh700, 000 to transport the products to Dar es Salaam,” he said.
When they reached the Mabibo Fresh market, he sold the bananas at wholesale prices of Sh22, 000 and 25, 000 per bunch, depending on their sizes.
Achievem ents
Mr Richard’s capital now stands at Sh10 million, with capacity of selling up to 1,200 bunch of bananas per two weeks.
With the price of Sh25,0 000 to Sh40, 000 per bunch, according to their sizes, he earns more than Sh25 million in two weeks.
He built two houses at Mbezi Kwa Msuguri in the Dar es Salaam for his own family and for his mother.
“I feel happy and blessed to build a house for my mother. She took care of me since my father passed away in 1997,” he said.
Being a leader of Mahakama ya ndizi market for the banana section is another big step for him, believing that his fellow traders trust him.
“I am a member of six leaders in our section (banana traders). The position assures the trust of my clients and lenders,” he said.
Mr Richard is also a role model and inspiring person for many small traders and farmers, including Gertrude Mwakipesile (47).
She was a mere farmer who sells bananas to Mr Richard and other traders at Rungwe in Mbeya until he motivated her to start the business in 2012.
“I was growing bananas for domestic use and later started to sell to traders. Richard inspired me to transport my products to Dar and I found it profitable. I am currently growing and buying from other farmers and trading them here at Mabibo market,” she said.
She plans to expand her capital to 1,200 bunches of bananas a week from 600 current bunches.
Future plans
His big plan is to raise his business capital to Sh100 million in 2025 and expand his business to other new products.
He has already started to sell yams, buying them from Bukoba and Mbeya regions.
“I am planning to buy the trucks in the future in order to easy and reduce transport disturbances and costs,” he said.
He plans to secure funds from commercial banks and other financial institutions.
“I have opened my bank account a long time ago and my transaction records are not bad. I have also been taking loans of up to Sh10 million,” he said.
Challenges
Accessing storage and selling areas at Mabibo Fresh Food Market is his main headache, particularly during rainy seasons where customers are required to rent gumboots for Sh1, 200.
The big market which thousands of Dar es Salaam residents depend for their daily needs is shaped by poor infrastructures.
“As you can see, the area is covered by water and mud. I don’t even have a place to store my products,” he said.
The market, according to him, does not have storage rooms to keep the products, making it difficult to expand her business.
The market was established in 2002 following an agreement between traders and Urafiki Textile Tanzania China Friend-ship Textile Company Ltd (Urafiki) where the two sides enjoyed the profits and some shares were sent to Kinondoni municipality.
However, the market was taken by Ubungo Municipal Council in 2016 and later in late October 2020, the late President John Magufuli returned the market under the management of the traders during one of his Presidential election campaigns.
“During those times, no necessary rehabilitations of the market took place. We have no safe areas or cold-rooms for storing our perishable products and enough places for packing the trucks,” he said.
He with other traders are inviting local and foreign investors to modernize the market, assuring them to get their money back on the back of the good business which goes on at the area of more than 35,000 traders and more than 13,000 customers visiting the market each and every day
“At least Sh6 billion is needed to modernise the market but the amount is too big for us (traders) to provide at the moment,” he said.
Mr Richard said the traders are also seeking the audience with the President Samia Suluhu Hassan to talk on how the government can help them.
“We want to meet President Hassan and tell her our plan and how she can help us. The government, itself, can invest here or it might find the investors on our behalf,” he noted.