How Rwanda’s ban on single use plastics gave rise to eco-friendly straws
Manshan Trading Company Limited, manufacturers of eco-friendly and edible straws in Rwanda plans to diversify its product portfolio and introduce eco-friendly cutlery in a bid to tap into Rwanda’s Climate Action Plan. Its CEO Landry Manzi spoke to CNBC Africa’s Eugene Anangwe for more.
Wed, 24 Aug 2022 10:41:52 GMT
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AI Generated Summary
- Manshan Trading Company Limited is the first and only company in Africa to produce eco-friendly straws, benefiting from Rwanda's ban on plastic straws and competitive labor costs.
- The company has shown significant growth, producing over 2,000 boxes of straws per day and employing over 50% women and 100% youth under 30, including refugees.
- Challenges such as funding constraints and raw material sourcing exist, but the company aims to scale up production, introduce edible cups and spoons, and attract investors to meet market demand.
Rwanda, a country known for its beautiful landscapes and progressive policies, has been making waves in the global fight against climate change. One company at the forefront of this eco-friendly revolution is Manshan Trading Company Limited, a manufacturer of edible and eco-friendly straws. In a bid to diversify its product portfolio and tap into Rwanda's Climate Action Plan, the CEO, Landry Manzi, spoke to CNBC Africa's Eugene Anangwe about the company's journey and future plans.
Manshan Trading Company Limited is a pioneer in Rwanda, being the first and only company in Africa to produce eco-friendly straws, particularly edible ones. The company received government support when Rwanda banned plastic straws, paving the way for eco-friendly alternatives. CEO Landry Manzi highlighted that Rwanda's low minimum wages provide a competitive edge, making their products more affordable for export markets in Europe and Asia.
Investing in such a business may not require a large capital, but it demands courage, motivation, and a deep love for the cause. With an estimated initial investment of $150,000, one can establish a venture in the eco-friendly sector. The journey for Manshan Trading Company Limited began in April, and within four months, the company has shown promising growth, producing over 2,000 boxes of straws per day and selling 500 boxes monthly.
The company not only focuses on sustainability but also on social impact. With a workforce comprising over 50% women, 100% youth under 30, and even refugees, Manshan Trading Company is positively impacting the community by providing employment opportunities. The company's future plans include scaling up production to introduce edible cups and spoons, aligning with their vision to export edible products worldwide within the next five years.
However, like any business, Manshan Trading Company faces challenges. Access to funding remains a significant hurdle, as the company aims to meet the high market demand for eco-friendly products. Additionally, sourcing high-quality raw materials, such as rice cons and cassava, presents logistical obstacles, with some materials needing to be imported from outside Africa.
Despite these challenges, the company's clientele, which includes coffee shops and juice bars, continues to grow. These establishments have recognized the value of eco-friendly alternatives and have embraced Manshan Trading Company's products. As the company looks to expand its production capacity to meet market demand, the need for financial support becomes even more pressing.
In addressing potential investors or financial institutions, CEO Landry Manzi emphasizes the vast market opportunity in Rwanda. With a shortfall in meeting current demand for eco-friendly straws, there is immense potential for growth and profitability for investors looking to support sustainable initiatives in the region.
The journey of Manshan Trading Company Limited symbolizes Rwanda's commitment to environmental conservation and sustainable development. As the company paves the way for eco-friendly alternatives, it not only contributes to the global fight against climate change but also sets an inspiring example for other businesses in Africa and beyond.