Please note: you are viewing an old version of this deal. The current version can be found here: Deal #4281

Deal #4281 Version #66712

Tanzania

Created at

2014-01-09

Last update

2016-03-17

Last full update

2016-11-18

Land area

Intended size

2 500 ha

Size under contract (leased or purchased area)

[2012, current] 2500.0 ha

Size in operation (production)

[2012, current] 1000.0 ha

Intention of investment

[current] Food crops

Nature of the deal

Comment on nature of the deal

AgDevCo has entered into a relationship with Sasumua disbursing a total of $190k to help to establish a pilot banana unit as well as the development of a full business plan for a vertically integrated farm production and processing business. The overall plan includes an export banana enterprise, commerical horticulture operation and the development of a protein value chain business to included outgrowers and local smallholder farmers. additional investment of $500,000 is also under consideration.

Negotiation status

[2012, current] Concluded (Contract signed)

Implementation status

[2012] Startup phase (no production)
[2012, current] In operation (production)

Contract farming

Yes

Not on leased / purchased (out-grower)

Yes

Comment on contract farming

On-and off-site training placements with key suppliers for villagers who can then return and offer extension training in key areas of agricultural best practices. Sasamua will increase the supply of inputs to the out-grower farmers, leveraging buying power through large pre-contracted input volumes. Off-take agreements for village produce will be established, offering competitive pricing compared to existing milling company demand for produce.