At the Kenya Meat Expo and Conference held last week, the sweet smell of grilled meat whetted the appetites of many.
But in the meat-filled environment lurks a stranger, Paaraj Sehra. While many exhibitors displayed meat products and meat cutting equipment, Pavraj had meat alternative products, made from soybeans and peas.
He is the co-founder of Planta Foods Factory.
“We serve only vegetarian food. We came to the Meat Expo to show people the alternatives to meat. Our products have the same or more protein level compared to meat, less fat which means less cholesterol, and are good for the environment as well. The amount of water used to raise Livestock consumes eight times more water than is used to prepare plant-based alternatives.
With an initial investment of Sh10 million sourced from savings, friends and family, Bavraj and his co-founder were able to get the project off the ground.
“We started from my father’s garage back home (Lurishow Estate in Nairobi). We started with half that space, but now we have taken over the entire garage and are looking to move out of it,” he said, adding: “Our biggest investment has been raw materials and machinery.”
“At the time, as we were starting out, it was like a shot in the dark for us. We didn’t know if it was going to work or what to expect. What we did know was that Kenya is a predominantly carnivorous country but we had to find our way to the market.” .
Establishing a business
They've built the company, which turns two years old next month, in phases.
“We've been phasing it out. At first, we had to test the waters. We couldn't put our feet down without knowing how to tread carefully,” he said.
They also produce in batches.
“We usually make batches of 10 kilograms at a time. In a month we produce 250 kilograms. We produce in stock so that when the order comes we send it from there. We always have to keep a buffer to make sure we have enough to deliver when the order arrives,” said Pavraj. “.
Drawing inspiration
Bavraj, who has worked with investment firms, said he decided to try entrepreneurship during the coronavirus pandemic.
“Everyone wants to have an impact and make a difference. During Covid, we got to a point where we decided we wanted to make an impact. We wanted to make a sustainable difference. I have a background in investing but I ended up working with investment firms and working for someone else,” he said. “I ventured into entrepreneurship.”
“I thought I was too young. I didn't know if I had enough experience to start out on my own. I've only worked for five years so I wasn't sure. But I always believe that if you don't try,” the 29-year-old said: “I never know.”
Supply of raw materials
The company sources raw materials of isolated peas, TVP soy rice and kidney beans from various European countries including Germany and the Netherlands.
“The challenge arises due to high import costs. To reduce costs, we import a large quantity at a time, and this way we do not have to continue importing. The problem comes when we run out of one flavor, which puts pressure on production. Currently we are working on doing local withdrawals so that we do not depend on On import.
The problem is that no one owns the raw materials locally. We like to buy from farmers and toss peas to get isolated peas and soybeans to get soy TVP (textured vegetable protein, also known as textured soy protein) so we can use it in production. He noted that this is a very expensive endeavor.
Product categories
They produce three categories of plant products; Alternatives to chicken, beef and fish.
“We started with the green range which is our beef range and we have five different products in this category; Original Burger, Spicy Burger, Original Veggie Balls, Spicy Veggie Balls and Veggie Veggie Balls.
We have the yellow group which is our chicken group and it includes chicken nuggets, chicken breasts and chicken burgers. “Finally, there is the blue range which is our alternative to fish and here we have fish fillets and fish fingers,” Bavaraj said.
“For the beef range, our main ingredients include pea protein and gluten-free soy protein. Chicken and fish are for people who don't want to eat soy. So, these products contain pea and rice protein instead,” he added. It also contains gluten because of the breadcrumbs.
Pavraj Sehra, Head of Sales at Planta Foods Factory during the Kenya Meat Expo at KICC Nairobi on June 13, 2024.
Image credit: Wilfred Nyangarisi | Nation Media Group
He said the finished products appear the same way as meat.
“For example, burger patties appear like beef burger patties that are round in shape, chicken nuggets are a nugget, fish fingers are real fish fingers, and veggie balls are ball-shaped. It's the same as what's on meat, it's just an alternate version of it,” he explained. Bavraj at the Kenyatta International Conference Center in Nairobi, the venue of the exhibition, said that the shape is the same, and the size is also similar.
Growth strategy
Of the two employees, the company's founder added three more.
As part of the company's growth, Planta Food relies heavily on customer feedback, Bavraj said. “We take our customers' comments very seriously. For example, during this exhibition, we received a lot of comments from people who said they wanted sausages. Now we will work on producing vegetarian sausages for our customers.
While he admitted that he is not a vegetarian, he said that in the last two years of his work in the industry, he has become more aware of meat and his eating habits.
“I started eating more plant-based food. I put myself in the flexitarian category,” he says.
Demand in the market
Sales are promising as it exploits social media, educates consumers about the benefits of meat substitutes, and different cooking methods for preparing them, and supermarkets are preparing to receive them.
“Not many supermarkets wanted to stock our products right away. We are starting with restaurants. Then we will move to supermarkets like Greenspoon and Chandarana. We are now in discussions to supply Carrefour and Naivas,” he said of the products that retail at between Sh500 and Sh800. And Kwik Mart.”
“People are becoming more accepting of meat alternatives. We have grown 10 times more than we started.”
He pointed out that the competitive advantage is that the products are made locally.
“We do not import ready-made products. We produce our products locally, and this gives us an advantage because we can design the product to suit the Kenyan market,” the businessman noted.
Future plans
As is the case with many companies, the biggest challenge they face is the difficult economic environment that has hampered their expansion plans.
“Bank interest rates are very high at the moment, so access to loans is not sustainable. Based on where we expect to be in five years, we will only be held back by a lack of financial capacity.
“At every stage of the business cycle, you need more money, and now that we are approaching two years, we have proven that we are more likely to stay in business. Now we have the confidence to pump in more money. We plan to raise Sh30 million. We are open to investors “We want to increase our logistics, machinery and manpower,” Angels said of their future plans.
“We want to make it a mass product with good nutritional value and at a cheaper cost,” he concluded. “