CDC Group has announced a $100 million debt commitment to ETG, an agricultural conglomerate, that will support the growth of ETG's food and agriculture business in 48 countries worldwide.
The debt commitment will also help ETG strengthen food value chains by expanding its logistic networks, boosting agriculture yields and the production of staple foods such as grains, rice and cocoa.
ETG has long standing relationships with over 550,000 smallholder farmers across Africa where it provides consistent future demand for their produce through access to regional and global markets.
“We are extremely grateful for the support of CDC Group. ETG is excited to expand its existing presence in various markets and further offer support to communities across our extended footprint,” said Anish Jain, Chief Treasury Officer ,ETG.
Operating a two-way logistics model, ETG drops fertilisers at the farmgate - improving crop quality and then picks up the farmers produce to sell on the global market.
ETG also provides warehousing and distribution centres giving farmers flexibility to store and sell their produce at the optimal time, thereby increasing their income potential substantially.
Furthermore, farmers supplying produce to ETG benefit from training, expert farming support and mechanisation which all lead to significantly improved yields.
Its team of agronomists guides farmers on production of higher margin cash crops and crop rotation to ensure year-round stability.
ETG has strong ESG credentials, recently launching a data driven agricultural intensification pilot project in Kenya to improve farmer productivity whilst enhancing the environmental risk management and climate resilience of ETG Kenya’s food staples.
“Agriculture and rural development are vital engines that are accelerating Africa's economic transformation and meeting global food and health needs. As these sectors continue to evolve and grow exponentially, this shift will be bolstered by a diversified, technologically-enabled, and commercially-oriented agro-industry –one that connects Africa’s markets regionally and internationally,” said Tony Morgan, Managing Director, CDC Group.
