Why 20 to 50 graduates sharing infrastructure, inputs and markets beat isolated micro-enterprises.
Isolated micro-enterprises often struggle with small scale, high input costs, weak bargaining power and limited market access. Graduate Enterprise Clusters are designed to overcome all four.
What a cluster is
A cluster is a group of 20 to 50 graduate members in the same or complementary enterprises within one area. It is registered as a legal entity, elects a management committee and has a business plan and contracts with suppliers and buyers.
What clusters share
- Infrastructure such as a milk cooler, cold room, feed mill, processing unit or workshop.
- Bulk input purchasing at lower prices.
- Common quality standards that open premium markets.
- Collective marketing and offtake contracts.
- Technical support from partner universities and research institutes.
Linking smallholders
Clusters buy raw materials from surrounding smallholder farmers, including PDM beneficiaries. The proposal targets 300 clusters linked to about 50,000 smallholder suppliers by Year 5.