By Yves Iyaremye,
Two women cross-border business cooperatives operating between Rubavu-Goma borders received a financial boost of Rwf.5 million each after they suffered losses caused by the impacts of Covid-19 pandemic.
The financial support to help the traders recover was granted from Mupaka Shamba Letu project funded by Alert International to support small and developing businesses.
KODUIMU and Dutezanyimbere Gisenyi Cooperatives, who received the grant are based in Gisenyi, Rubavu District and run a fresh vegetable business that operates between Rubavu in Rwanda and Goma town in the Democratic Republic of Congo (DRC).
The cooperatives were established by former informal and illegal traders at the border known as ‘Abacoracora’ or ‘Abazunguzayi’ to formalize their business dealings after spotting market opportunities in Goma town.
Felecite Mujawiyera, the President of Dutezanyimbere Gisenyi, a 24-member cooperative welcomed the grant promising to put it to good use through reestablishing their business operations that were affected by Covid-19 restrictions.
“We have received a grant of Rwf.5 million, part of this will help us to acquire a cargo motorcycle locally known as ‘Big Lifan’ to transport our goods. We having been using persons with disabilities to transport our goods from Rubavu to Goma which has been expensive,” Mujawiyera said.
The funds will also help the cooperative to develop a good chain management and offsetting some losses as well as monthly payments for the cooperative’s employees.
The cooperative which sells vegetables, bananas, beans and fruits, has been not operating well for some time. With the restrictions in place they would use third parties to send and sell their good in Goma which would result in losses because of the unstable market, unregulated local taxes and most of the goods would perish because of delays to reach consumers accrued from lack of follow-ups.
“We had no access to Goma in the lockdown period which caused us a lot of losses, because we were sending other traders to sell for us, they were asked to pay a lot of taxes and since we deal in perishables our good were getting spoilt everytime.” She added.
With the easing of the movement restrictions, the cooperatives continued to suffer because of other expenses like Covid-19 testing and requirements to stay in hotel for quarantine which is expensive for them.
Epiphanie Nyiransabimana, the head of KODIAMU Cooperative explains that during this crisis exporting to Goma was not going on smoothly because were ending up cheated or goods stolen at the same time selling at low prices because of lack of accessibility.
Mujawiyera added that with the grant, they plan to start value addition like processing of fruits so that their merchandise is not spoilt before it gets to the market.
“We will start value addition chains, we plan to start a small processing plant of fruits for juices and various other things we have started researching and hopefully we will achieve something,” she said.
Aline Marie Michel Kanamugire, coordinator of the Mupaka Shamba Letu project underlined that they are trying to empower the cooperatives and will continue to support them.
Mupaka Shamba Letu Letu is a project of the Catholic Justice and Peace Commission funded by Alert International with support of Sweden. The project has supported the women traders from their informal trade through trainings in asset management and project planning.
Kanamugire observes that since we have empowered the cooperatives, we are confident that what they are going to be more productive. We have provided some capital injection to rejuvenate their operations and offset the losses.
Jean De Dieu Manirakiza, Rubavu District Investment Officer appreciates the role of the project in promoting women cross-border businesses, helping to formalize, encouraging be more productive and sustainable.
“Once your cooperatives are strong, you are required to be proactive, timely and supportive, and we want to help them and reach out to others. We appreciate the national leadership that has so many programs that help entrepreneurs, especially in these difficult times,” he said.
All operations have been affected by the Covid-19 Pandemic, so many need support to recover.
Betty Mutesi, CEO of Alert International in Rwanda, says the aid to the cooperatives is aimed at helping them cope with the effects of the Covid-19 Pandemic that has shaken their businesses.
“We thought about it after seeing the effects of Covid-19 because we saw them losing almost everything, as partners we helped them to develop and carryon from one stage to another. We have 5 cooperatives that we continue to support in this recovery process.” Mutesi said.
Deogratias Nzabonimpa, Vice Mayor in charge of Finance and Economic Development for Rubavu District, thanked Alert International for thinking of traders who have suffered especially in these times of Covid-19.
“To support the traders is to accompany them on the development journey. You are required to move up as a small business and become great businesswomen.” Nzabonimpa advised the women traders.
He urged them to try resolve in challenges and stay united as a cooperative as a way to achieve sustainable development and the district will continue to be close and give their advice.