FAO Agricultural Development Economics Technical Study, No. 17.

This study looks at the business models of small and medium-sized rice processors in Kenya in order to better understand the policy and technical support they need to grow and fulfill their role in agrifood systems transformation. More specifically, by employing semi-structured interviews with Kenyan rice millers, the technical study identifies challenges in their day-to-day business activities, including procurement, inbound and outbound logistics, in-house operations, financing, and human resources management. Additionally, the publication looks at opportunities for improving the business enabling environment in which these enterprises operate, providing a set of policy options to foster their role. The methodology cross fertilizes different disciplinary perspectives in order to gather evidence for formulating policy in a way that integrates several policy fields and cross-cutting issues such as food safety, quality and nutrition; farmer-market linkages; decent rural employment and gender equality; or rural investment. The paper showcases how small and medium agrifood manufacturers respond to the business enabling environment and also contribute to local development from multiple angles.