Sumet Technologies, a Tanzanian startup focused on revolutionizing the distribution of fast-moving consumer goods (FMCG) in Africa, has successfully raised US$1.5 million in a pre-seed funding round. This funding, a combination of equity and debt financing, will play a crucial role in supporting Sumet’s mission to enhance its technological infrastructure, improve operational efficiency, and venture into new markets.
Established in 2022, Sumet operates a technology-driven platform that connects FMCG brands with more than 6,500 active retailers across all 26 provinces of mainland Tanzania. The startup’s innovative model aims to address the logistical complexities and high costs associated with reaching the fragmented and informal retail sector that characterizes much of the African consumer market.
The pre-seed funding round attracted a diverse group of angel investors, including the African Business Angel Network (ABAN), Catalytic Africa, and an angel syndicate from Egypt. This infusion of capital comes at a pivotal juncture for Sumet, which has witnessed a remarkable fifteen-fold growth since the second quarter of 2023 and has expanded its workforce to over 70 employees.
Hazem Afify, the Chief Executive of Sumet, highlighted the significance of this investment in tackling a significant challenge in African commerce. He emphasized, “At Sumet, we’re addressing one of Africa’s most pressing challenges—enabling new brands to enter and thrive in the market. This funding is essential for bolstering our tech stack, bridging distribution gaps, and establishing a dynamic, cost-effective ecosystem that empowers brands to scale effectively.”
Sumet’s core business model revolves around optimizing the supply chain through data-driven algorithms and predictive analytics. This approach enables more efficient delivery routes, enhanced inventory management, and decreased credit risks for both suppliers and retailers. The company asserts that its technology-first strategy substantially reduces barriers for new brands seeking to penetrate the African market, where traditional distribution methods can be prohibitively expensive and unreliable.
Fadilah Tchoumba, CEO of ABAN, commended the investment, stating, “Sumet Technologies is transforming consumer goods distribution by facilitating market entry for new brands and streamlining supply chains across Africa. Their commitment to impact-driven innovation aligns with our goal of supporting ventures that foster sustainable economic growth on the continent.”
A notable success story for Sumet is the rapid growth of its own insecticide brand, Ex-pido, which has emerged as one of the top three insecticide brands in Tanzania, underscoring the effectiveness of its distribution network.
Looking ahead, Sumet has ambitious expansion plans, including the introduction of a full range of products under the Ex-pido brand and the launch of new brands to fill market gaps. The company is also exploring opportunities to extend its operations into other African markets, with a long-term vision of becoming a leading pan-African FMCG distribution platform.
Sumet was co-founded by Mr. Afify, who brings a background in technology and supply chain operations, alongside Abdallah Omar, the Chief Commercial Officer with over 20 years of experience in market expansion, and Mahmoud Tawfik, the Chief Technology Officer with extensive technological expertise from companies such as Aramco and Schneider Electric.
Mr. Omar emphasized, “Our focus is not solely on growth metrics but on creating meaningful impact. We empower local entrepreneurs by providing access to a broader range of products and the necessary tools for success. Simultaneously, we are building an ecosystem that fosters business growth and community prosperity.”
Mr. Tawfik stressed the role of ongoing innovation in Sumet’s strategy, stating, “We are continually developing new solutions—from predictive analytics to robust distribution networks—to meet the evolving needs of the market. Our technology platform serves as the backbone of our operations, enabling us to scale efficiently and deliver lasting value to our partners.”
As Sumet Technologies embarks on its next phase of growth, the pre-seed funding will be instrumental in solidifying its position in the Tanzanian market and laying the groundwork for its broader aspirations across Africa. The company’s innovative approach to FMCG distribution underscores the potential of technology to address longstanding challenges in African commerce and unlock significant economic opportunities.
