*Formerly Vinh Thai commune.
Group I Enters Commercial Agreement with Chicken Supplier
Hearts for Hue is very happy to announce that, as of Friday 6th March, we have negotiated a commercial agreement between Group I of our Phu Gia Chicken programme (who recently sold their chickens with big profits) and Mr Vu VanTu from his Chicken, Food and Medicine company. Mr Tu is the owner of the chicken produce store from which we originally purchased the baby chicks and veterinary goods for Group I. He was very impressed with the performance of the first group, and sees that there is potential to expand the project profitably.
The details of the agreement are as follows: participating families will be able to purchase baby chicks and have them delivered directly to their homes. They will pay for these baby chicks up front. This is the only cost they will pay up front. All other costs in raising the chickens will be paid for by Mr Tu. He will provide the chicken feed and veterinary assistance including vaccinations. When the adult chickens have been sold, the Phu Gia Chicken Club Members will repay Mr Tu from their profits. If Club Members are unable to find a good price for their adult chickens in local markets, Mr Tu will purchase the chickens directly. Essentially, it is an interest free loan to align with the cash flow of Club Members, with a guaranteed buyer at the end of the loan term.
The pilot will provide 5 families with 200 baby chicks and all going well, will expand further in future months.
At Hearts for Hue, we believe this is proof of the viability of the project and of the great ability of our Club Members. We are proud that this project will continue supporting the livelihoods of some of the most marginalised families in Phu Gia long after the official end date of our project.
Group III Begins
Recently, many of our training programmes have been postponed due to government concerns about large group meetings with the prevalence of covid-19. Fortunately, on Friday we were also able to hold the first training for Phu Gia Chicken Group III. If all goes according to plan, Group III will have built their chicken coops and receive their baby chicks in a months time.
This is the beginning of the project for another 50 families. Hopefully our new commercial agreement is in full swing when, in June or July, they are ready to sell their Rotary sponsored chickens, and purchase the next brood for themselves!
As always, Hearts for Hue is very grateful to our generous sponsor, Rotary International for supporting the Phu Gia Chicken Clubs. We are also particularly indebted to the Phu Gia People’s Committee and to the Vice Chairman himself who was personally involved in facilitating the agreement with Mr Tu.
