Deal #4281

Tanzania
Created at
2014-01-09
Last update
2020-06-01
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

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, commercial 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

Negotiation status
  • [2012, current] Concluded (Contract signed)

Implementation status

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

Contract farming

Contract farming
Yes
Not on leased / purchased (out-grower)
Yes
Not on leased area/farmers/households (out-grower)
  • [current] 5.0 ha
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.