Honey producers find sweet business opportunities
Elite Honey LLP, based in Kostanai, Kazakhstan, keeps abreast of the latest news and business approaches in management, marketing, and logistics, and strives to be a top company in honey craft. For this reason, in spring 2012 it was selected by USAID’s Regional Economic Cooperation Project for its intensive training program.
The business networks established during USAID Regional Economic Cooperation’s training sessions have made it possible for the participants to discuss new business opportunities, expand distribution networks, and enter into business contracts with each other. As a result, Elite Honey has signed a $13,500 monthly contract with a confectionary and bakery producer that runs a chain of cafes and restaurants in Pavlodar. Elite Honey is also negotiating a deal with the same company to become a distributor of Elite Honey’s products in Eastern Kazakhstan.
Based on the new knowledge received in the training, the honey producer has developed an export plan envisioning an increase of cross-border export supplies of its products to Russia. The company has contacted a large retail chain Sosedushka in Orenburg (Russia), and signed a letter of intent to supply Elite Kazakh honey products to the Sosedushka retail chain in the near future. In August, Elite Honey signed a $20,000 a month contract with the Sosedushka retail chain.
Marina Tyslenko, director of Elite Honey, notes, “The training program organized by USAID’s Regional Economic Cooperation Project is very useful, as it has practical application for me personally and for my company. I have acquired knowledge on cutting edge business processes and made friends with the participants. My company has found business partners and signed a contract for supply of its honey products.”
USAID helps Uzbek wood company increase export sales by nearly 70%
FAYZ WOODGROUP is an Uzbek wood processing company that saws, trims, and dries hardwood, plywood, and parquet flooring. As a result of USAID’s assistance, FAYZ increased its export capacity and sales and became one of the Central Asian local suppliers to the U.S. Department of Defense (DOD) in Afghanistan.
Ruslan Kuchkarov, Export Manager of FAYZ, participated in the spring 2012 “Export Partnerships Initiative” organized by the USAID Regional Economic Cooperation project. Training topics included trade marketing, management, logistics, and strategic presentations, such as “How to Supply to the U.S. Department of Defense (DOD).” The knowledge Mr. Kuchkarov gained from the training courses improved FAYZ’s operations and expanded its export potential. He also had the opportunity to build business connections in the Central Asia region. During the training course, FAYZ recognized an unmet demand for heat-dried lumber in Afghanistan and expressed interest in supplying its products.
FAYZ joined one of the USAID project’s “Export Partnership Groups” that focuses on exporting to Afghanistan. Together with 13 other Central Asian firms, the group’s goal is to improve the quality of their products, share best practices, meet required standards and diversify their client base.
USAID facilitated the cooperation between FAYZ and Theodor Wille Intertrade, which is one of the U.S. companies responsible for purchasing non-lethal supplies for the DOD as a “Prime Vendor” In Central Asia. In July 2012, FAYZ signed two contracts to supply over 800 m3 of heat- dried lumber, valued at approximately $400,000.