Common Fund for Commodities (CFC) (May 2014-April 2015) CFC s support to the New Partnership for Africa s Development (NEPAD)

Transcription

1 Common Fund for Commodities (CFC) (May 2014-April 2015) CFC s support to the New Partnership for Africa s Development (NEPAD) PROJECTS IN AFRICA (APPROVED IN 2014) During 2014 the Common Fund for Commodities has approved 8 regular projects and 7 smaller Fast Track projects with a total cost of USD 24,828,382. These projects aim at enhancing of small-holder producers through increases in production and productivity, horizontal and vertical diversification, value-addition, increasing access to markets and capacity building. In accordance with its new operational priorities, in these projects the CFC expands its network of collaboration to reach out to NGOs, Impact Investors and private sector to achieve development impact through commodities. The project implementation partners as well as total cost of the project and beneficiary countries is given in Table 1 and Table 2.

2 Table 1 PROJECTS APPROVED IN 2014 No. Project Code Project Title Project Executing Agency/Impleme nting Agency 1 CFC/2013/03/0038 Expansion of the Dairy Farm and Value Addition 2 CFC/2013/03/0120 Rural Injini (Engine) Inclusive Maize Trading & Processing 3 CFC/2013/03/0073 Production & Export of Fresh Vegetables for European Market 4 CFC/2013/03/0128 Commodity Value Chain Finance Program 5 CFC/2013/03/0129 Reach Sustainability of Social Business Star- Shea Ltd. 6 CFC/2014/04/0038 Mwelya Biogas Plant Tanga-Tanzania 7 CFC/2014/04/0064 TSARAKAFE: Revival of the Robusta Coffee Chain 8 CFC/2014/04/0094 Optimizing the Smallholder Maize Value Chain in Western Kenya Mosse Melese Dairy Farm Joseph Initiative Ltd. Koga Veg Agricultural Development Plc Benefiting Countries Total Project Cost (USD) Ethiopia 576,875 Uganda 1,929,000 Ethiopia 3,000,000 ACFIME (Agence Burkina Faso 800,000 Communautaire pour le Financement de la MicroEnterprise) StarShea Ltd. Ghana 1,560,000 Katani Ltd, Tanzania Tanzania 4,700,000 TSARAKAFE Madagascar 2,336,000 ICS NGO in joint venture with Nafics Ltd and Agrics Ltd. Kenya 453,200 TOTAL 15,355,075 2

3 Table 2 FAST TRACK PROJECTS APPROVED IN 2014 No. Project Code Project Title Project Executing Agency/Impl ementing Agency 1 CFC/2013/03/0107FT SME Impact Investment Opportunities 2 CFC/2013/03/0072FT Commencement of Processing of Castor Seeds 3 CFC/2013/03/0165FT Cotton Contamination (Regional Seminar) 4 CFC/2014/04/0103FT MORINGA agroforestry Technical Assistance facility 5 CFC/2014/04/0122FT Req. Support Commodity Value chain Finance Program (Cashew) 6 CFC/2014/04/0047FT Commodity Value chain Tropical Timber from Commodity Forests 7 CFC/2014/04/0107FT Modern processing Prosopis Charcoal and Animal Feeds Financial Alliance for Sustainable Trade Benefiting Countries Kenya, Tanzania Total Project Cost (USD) 2,284,307 Tranquil Mazabs Farms Ltd Nigeria 1,875,000 National Burkina Faso 650,000 Coordinator for CFC projects in Burkina Faso Moringa Africa 4,100,000 Agroforestry Fund ACFIME Burkina Faso 30,000 Community Forest Group BV (CFGBV) Start!e Limited (Social Enterprise) Cameroon 320,000 Kenya 214,000 Total Fast Tracks 9,473,307 3

4 Annex Brief Description 1. Expansion of the Dairy Farm and Value Addition (CFC/2013/03/0038) The farm was established to supply dairy products to the surrounding community. The goal of this farm is to increase the supply of dairy products to the region and maximize profits. In addition, the farm has a goal to contribute in reducing malnutrition with the supply of hygienic and quality dairy products. The model of this farm focuses on value chain approach and customers demand for the product. This model not only focuses on supplying raw milk but also packing (pasteurized) in small packages. In addition, cheese and butter are highly requested by the market and should be supplied by the farm. The model also includes supplying heifers to small holder farmers, small and micro enterprises, which in turn will increase the supply of milk to the farm. All these activities: value addition, new products, artificial insemination program and heifers supply will generate multiple growths from the initial investment. 2. Rural Injini (Engine) Inclusive Maize Trading & Processing (CFC/2013/03/0120) The Joseph Initiative Limited is a Ugandan Agricultural commodity trading and processing company that currently connects maize production with regional users of whole maize by managing a fully capitalized and integrated supply chain for dried agricultural and financial services for Ugandan producers that catalyse productive growth. With capabilities in farm gate origination and sourcing, processing, and marketing, the JL supplies East African Grade I and II maize to meet high-value regional demand. 3. Production & Export of Fresh Vegetables for European Market (CFC/2013/03/0073) Koga Veg Agricultural Development PLC is a new company in Ethiopia with the explicit aim to establish a production of fresh vegetables for export to the European market. Koga Veg is an initiative of Durabilis NV, a Belgian impact investing company with activities in agricultural value chains in several countries in Africa and Latin America. Durabilis has 10 years of experience in growing and exporting fresh vegetables and mangoes to the European Market. 4. Commodity Value Chain Finance Program (CFC/2013/03/0128) ACFIME is an independent micro finance institute regulated under the decentralized financial institutions framework of the BCEAO. The vision of ACFIME is to offer financial and nonfinancial services which are adapted to the needs of micro and small entrepreneurs in the rural and urban areas, in particular to women. Aim is the improvement of economic and social well being. ACFIME has an associative set-up and all profits are reinvested in the business operations. 5. Reach Sustainability of Social Business Star-Shea Ltd. (CFC/2013/03/0129) The company builds on the StarShea Network which currently enlists 5,000 women. Direct contact with members is maintained through Shea Coordinators who conduct training of trainers in quality processing, communicate prices, supervise processing and coordinate loading of bags for shipment. StarShea Ltd. further undertakes marketing activities engaging social buyers and other potential users of sheanut butter. The company will use its social business model to achieve sustainable improvements in the lives of primary producers of sheanuts. 6. Mwelya Biogass Plant Tanga-Tanzania (CFC/2014/04/0038) Katani Ltd processes and commercializes sisal and operates sisal decortication factories in five 4

5 estates (Hale, Mwelya, Ngombezi, Magoma and Magunga) all located in the Korogwe District of Tanga region. The produced fibres are processed in the Katani s weaving and spinning mills. Products are sold in local and international markets. 7. Tsarakafe: Revival of the Robusta Coffee Chain (CFC/2014/04/0064) Tsarakafe s core business is sourcing, drying / processing, grading, storing, and marketing of Robusta coffee. By improving the management of robusta value chain the project will support the rehabilitation of the coffee sector in Madagascar. 8. Optimizing the Smallholder Maize Value Chain in Western Kenya (CFC/2014/04/0094) ICS set up Investics Ltd as a social investment branch and as the commercial holding company for all socio-economic activities. Nafics and Agrics operate under the Investics holding and aim to increase smallholder productivity and provide maize farmers with a reliable and accessible market outlet and storage facilities. The proposed intervention will address three levels of the smallholder maize value chain: 1. Increase the number of smallholder farmers using quality agricultural inputs (fertilizer and certified seeds) and modern agricultural practices from 4,200 farmers (2013/2014) to 100,000 farmers (2018/2019) and increase smallholder maize production by 250% on average (Agrics); 2. Set up 4 local buying centres that comply with East African Grain Council (EAGC) standards in the vicinity of these smallholders and increase maize purchase from smallholders (120,000 bags fortrade by 2018/ Nafics); 3. Provide storage services and launch a Warehouse Receipt System for smallholders in order to decrease postharvest storage loss from up to 30% to as low as 5%; and to allow farmers to take advantage of price fluctuations. 5