Moringa invests $5M in Ghana’s B-BOVID to transform agribusiness
Moringa SCA SICAR (Moringa), the European impact investment fund specialized in agroforestry companies with strong environmental and social impact, has partnered B-BOVID Limited, a Ghanaian agribusiness company.
Created in 2004, B-BOVID Ltd is a national and United Nations (UN) award-winning farming and processing palm oil enterprise based on social entrepreneurship principles and agroforestry practices. The company already produces crude and palm kernel oil from fruits harvested from more than 2,000 farmers.
Originally, B-BOVID developed a 110 hectare demonstration plantation showcasing oil palm agroforestry practices and has implemented a comprehensive training structure to promote the best agroforestry farming models and management practices toward revenue diversification, social inclusion and low environmental impacts.
The company has trained several thousands of farmers and students on climate smart agriculture.
Moringa is investing $5 million into B-BOVID to enhance and strengthen the company’s unique out-grower palm oil polyculture model, with the objective to engage up to 4,000 farmers within the next few years. Tree maintenance and preservation will be a major focus in the implementation of this model. The investment will also support the modernization of B-BOVID’s manufacturing plant and expand its production capacity to meet growing local and regional demand while improving livelihood of the outgrowers.
Issa Ouedraogo, a Ghanaian social entrepreneur with experience in international development institutions created and leads B-BOVID.
He says “the agreement with Moringa is a recognition by the international investor community of B-BOVID’s credibility and viability as a social enterprise, providing sustainable solutions to deforestation, unemployment and poverty in the country”. He confirmed that B-BOVID is committed to transforming the face of agribusiness in Ghana and called for support from state and non-state actors, particularly the banks to make agriculture attractive to the youth”.
A statement by Adrien Henry, Investment Director of Moringa said “This cooperation between Moringa and B-BOVID is our first investment in Ghana and it reinforces Moringa’s presence in Western Africa and its strategy to create strong sustainable practices on the continent. We are already working to strengthen the company’s human resource base, and increase its overall efficiency while consolidating its position as a leading center of agroforestry and livelihood enhancement activities in Ghana and beyond. Following Moringa’s bold investment strategy, we will strive to achieve a sustainable polyculture model around palm oil farming in order to serve both local and regional markets”.
B-BOVID is an agribusiness promoting a new model of socially-inclusive commercial farming that combines innovative agricultural practices with ecological farming.
B-BOVID is internationally recognized and has won a UN social investment pioneer award in 2012. The company was introduced at the 15th international business forum in South Africa in 2012.
The event attracted over 300 business experts from around the world. B-BOVID was among the case study during the launch of the Global Compact Network Ghana, and also a case study by the Inter Agency Working Group of the World Bank, UNCTAD, FAO, IFAD on Principles for Responsible Agriculture Investment.
Issa Ouedraogo’s personal recognition
In November 2017, Mr. Ouedraogo was crowned the Chamber Businessman of the year 2016, at the maiden Chamber Business Awards by the Chamber of Commerce and Industry Awards, for his innovative agricultural business based in Pretsir in the Ahanta West District of the Western Region.
B-BOVID was also recognized as the Innovative Agribusiness Company (Primary) of the year 2016.
Mr. Ouedraogo was decorated by President Akufo-Addo, and presented with a citation, a portion of which read “Your passion towards self-empowerment and self-fulfillment drove you to set up a company, B-BOVID, through which you have touched and transformed many lives in the agro-sector.”
In December 2017, he won for the second time at the 2017 Farmers’ Day, the Best Farmer in the Western Region. This was after he had won the same award in 2013.
B-BOVID wins prestigious UN award
B-BOVID’s model has received several commendations locally and internationally, including the United Nations (UN). In 2012, B-BOVID, won the UN’s Social Investment Pioneer Award along with nine other businesses from around the world.
The awards were given in recognition of the companies’ outstanding contributions to local community development. The awards are the initiative of the Principles for Social Investment Secretariat and the United Nations Global Compact.
The Moringa Fund is an investment company that provides equity financing for sustainable agroforestry projects in sub-Saharan Africa and Latin America. Agroforestry combines tree planting with agricultural crops to create positive synergies in economic, environmental and social terms.
The fund was initiated by the Edmond de Rothschild Group and ONF International, an international subsidiary of the French Office National des Forêts (ONF), and supported by major international development agencies, financial institutions and families.