SunRice

Focus Area

Community Development

Short Description

SunRice is a mobile rice-drying service provider that uses business model innovation to solve both food security and empower the poor. Our 2 main objectives are 1) To reduce rice wastage that could feed our future 2) To empower poor rice farmers SunRice can reduce post-harvest losses of rice by up to 30% providing enough food to feed our every growing population (food which is projected to run out). Simultaneously, SunRice will also be increasing the income of rice farmers by up to 50% every year.

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Voting end : 30.06.2018

The Project

Project Owner

Lincoln Lee Ming Tze

Location

Kedah

Problem

The problem we aim to tackle is both food security and poverty at the same time. By 2023, we won’t have enough to feed out population as population growth will exceed food production. However, our current production rate actually has the potential to sustain our future population. Rice, a staple food of Malaysia suffers up to 40% loss in production mainly at the drying stage after harvesting. This loss occurs because majority of rice is grown by small farm owners who are stuck in a vicious cycle of poverty leading to a lack of investment into proper drying technologies which leads to the aforementioned loss. Due to the loss, farmers are only able to earn up to RM300/month which keeps them below the poverty line.

Solution

SunRice aims to disrupt this process by taking existing sustainable agricultural technology and making it accessible to the farmers to reduce the rice loss and increase the farmers income. This technology is called the Solar Bubble which is currently being sold by GrainPro on the market but it is too expensive for farmers to purchase. SunRice will purchase the Solar Bubble and operate as a mobile rice drying service. However, we will not charge the farmers because after using our service farmers instead agree to sell us their harvest. Because we reduce waste, the farmers are able to sell more to us, thus increasing their income. On the other hand, we will act as middlemen and sell the dried grain to the millers (there is an existing margin difference on the market). The profits earned between buying from the farmers and selling to the millers is enough to sustain SunRice and the cost of purchasing the Solar Bubble.

Target Beneficiary

We will be impacting small holder rice farmers in Malaysia. We want to help them because not only is 30% of rice wasted during the drying process due to traditional practices used by poor small farm owners, but they are also currently in debt or underpaid. Their poverty stops them from buying proper drying technology which could recoup the 30% loss and help them escape the poverty cycle. With SunRice, farmers would be able to reduce loss by 30%, and produce higher quality grains. This results in a 50% more income which they rightfully deserve and can help them resolve previous debts. Small farmers are also exposed to new technology previously unencountered to maximise their drying efficiency, increase their income while providing enough food to feed Malaysia’s future.

Impact Parameters

  • The number of farmers we have spoken to
  • The number of millers that we have spoken to
  • The number of tons of rice saved

Project Endorsement

Supporter

Sunway i-Labs – provides co-working space, mentor support (one of the 15 selected under the SISU program) International Rice Research Institute – provides agricultural academic knowledge and verification of feasibility of business solution. In contact with Head of Post-harvest for the institute.

GrainPro – Provides technical knowledge behind the technology that we will use. Letter of intent obtained securing discounted price and maintenance support for product. In contact with CEO.

Project Needs

Type of help needed

Funding

Project Cost

RM 75,000

Describe Needs

Cost for project as below:

DescriptionPrice/Unit (RM)QuantityAmount (RM)
 Solar bubble10000 330000
Transportation5000315000
Manpower3000618000
 Marketing20001 2000
Overhead & Maintenance 500015000
Storage100055000
Total cost75,000

Milestone

  • 10th August – Interview farmers in Kedah about the problem
  • 20th August – Interview millers in Kedah about the problem
  • 31st August – Learn how to operate a Solar Bubble
  • Estimated date of delivery: Next Main Season Harvest in Malaysia which is March 2019

Voting start date: 21/06/2018

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