Modern pelleting facility for chicken feed The applicant, Ottevanger Milling Engineers B.V., is a family business with 75 employees. It was established in 1909 and currently has clients on all continents. The company is being run by the fourth generation who own all the shares. Ottevanger is specialised in the design and manufacture of equipment and complete plants for the grain processing and compound feed industry.The project partner, Biyinzika Enterprises Ltd., was established in 1991 by Samuel and Milly Mukasa. It is a family business with 350 employees. Biyinzika is the largest poultry producer in Uganda with a market share of about 60% and a production of about 300,000 chicks per week. Customers of Biyinzika are chicken breeders.According to Ottevanger the market for feed mills in Europe has stopped growing and has become a replacement market. Ottevanger is seeking opportunities to extend its activities. For Ottevanger, the Uganda project offers a window to enter the African market.The chicken feed production in Uganda consists only of powder feed of insufficient quality and volume to meet the market demand. Existing millers use traditional equipment to blend and mix feed and do not produce pelletized feed. Biyinzika and Ottevanger explored the possibilities to set up a modern feed mill for pelleted poultry feed.The aim of the mill is to provide the Uganda chicken production chain with top quality pelleted chicken feed at a competitive and stable price. It will be the first pelleted chicken feed mill in the country.Corporate Social Responsibility (CSR)The CSR policy of the project will reflect both Ottevanger's and Biyinzika's current approaches to CSR. They will provide all employees with labour contracts, good and safe working conditions, the freedom to associate and a working environment free of discrimination.Unskilled personnel will receive a wage of € 100 per month. All employees will receive an allowance for medical care and a pension as well as a monthly portion of sugar and soap. All employees will receive a HIV/Aids prevention training and receive protective clothing where necessary. All employees will be trained specifically on environmental awareness including on minimising waste, pollution and energy consumption. The project will apply a zero-tolerance policy with respect to corruption.Impact•	Employment and working conditionsThe salaries are at least 133% of minimum wages. Unskilled labour will receive a minimum of 100 euro per month. All employees will receive an allowance for medical care and a pension, as well as a monthly portion of sugar and soap.There is always the risk that once the partners have invested in the training of their employees, the latter decide to resign and work for another company. The partners will have to offer good working conditions and salaries, to keep a loyal staff.•	Innovation / Transfer of knowledgeThis will be the first facility to produce pelletized chicken feed in Uganda.•	Chain effects100 outgrowers will be contracted within the project period. They will receive training on improving the quality and increasing the productivity of maize. They will have a secure market for their products and will likely increase the cultivate a larger area for more production and increase their income. The total value of local supplies from farmers will be at least 3,700,000 euro annually. The supply chain will involve more than 120 local operators who will have an outlet for their produce through the project.The local customers will have access to high quality chicken feed thereby increasing the productivity of their chicken.•	Impact on the sectorAgents and local outlets will be involved as suppliers of raw material from the farmers (non-outgrowers).•	EnvironmentThe project produces almost no waste. All waste is used in other processes or sold to third parties. The maize and soya waste are sold and the oil from the soya is used for bio diesel for tractors. This is already the case at Biyinzika.•	Position of womenThe project will employ 6 women of which 1 at medium-level and 5 at basic-level. The total number of employees is 40.•	Impact on food safetyOn the one hand positive as the project will indirectly lead to more and better quality chicken meat. On the other hand possibly negative as maize will be used for producing chicken feed which means it will not be available for human consumption. To set up a modern production unit for the production of 20,000 tons of pelleted high-quality chicken feed to boost the poultry sector in Uganda.