CFC Graduation Fund Launches Investment Portfolio with First Financing for Zimbabwe's Odzi Food Industries
The CFC Graduation Fund, established in partnership with the UK Foreign, Commonwealth & Development Office (FCDO), has completed its first investment with the signing of a USD 300,000 financing agreement with Odzi Food Industries, one of Zimbabwe's leading food and beverage manufacturers.
The investment marks an important milestone for the Fund as it begins supporting high-potential agribusinesses across Sub-Saharan Africa with catalytic financing and technical assistance to strengthen smallholder inclusion, build resilient food systems and accelerate sustainable business growth.
The financing package comprises a USD 150,000 revolving working capital facility to finance the procurement of groundnuts from smallholder farmers and a USD 150,000 term loan to acquire delivery trucks that will improve distribution efficiency and expand market access across Zimbabwe.
Founded in 2014, Odzi Food Industries has established itself as an innovative Zimbabwean producer of peanut butter - one of the country's most accessible sources of protein - and fruit beverages. Responding to foreign currency shortages and the scarcity of imported raw materials, the company has invested in building a resilient, locally integrated groundnut value chain. Through its Community Empowerment through Sustainable Groundnut Farming (CET) programme and the Makonde District Outgrower Scheme, Odzi currently partners with more than 3,000 smallholder farmers, over 70% of whom are women. By providing quality agricultural inputs, extension services, technical training and reliable market access, the company has helped transform groundnuts from a traditional subsistence crop into a viable cash crop, creating sustainable income opportunities for rural farming households while strengthening Zimbabwe's domestic groundnut value chain.
Through the Fund's investment, Odzi aims to expand the programme to over 10,000 farming households, significantly benefiting farmers in the Makonde District who rely on agriculture for their livelihoods, while transitioning to sourcing 100% of its groundnuts locally. The investment will strengthen Zimbabwe's domestic agro-processing sector, retain more value within the national economy and create sustainable market opportunities for smallholder farmers. By further developing a resilient and locally integrated groundnut value chain, the partnership will diversify rural incomes, strengthen climate resilience and reinforce Zimbabwe's domestic food system.
Reflecting on the significance of the investment, David Jazire, Chief Executive Officer of Odzi Food Industries, said:
"We are incredibly proud to partner with the Common Fund for Commodities (CFC) as we scale our mission to provide affordable, high-quality nutrition to the people of Zimbabwe. Peanut butter is more than just a staple food here; it is the most accessible source of protein for millions.
Securing financing from CFC, Odzi Food Industries is empowered to strengthen our outgrower scheme in the Makonde District, where we currently support over 3,000 smallholder farmers—more than 70% of whom are women. This partnership allows us to transition from importing scarce raw materials to sourcing 100% of our groundnuts locally. Our goal is to reach 10,000 households, transforming groundnuts from a subsistence crop into a powerful cash crop that diversifies incomes, fosters climate resilience, and ensures sustainable livelihoods for the future."
Ernesto Daza Lacouture, Investment Manager at the Common Fund for Commodities and lead originator of the transaction, also highlighted the significance of the first investment:
"The CFC Graduation Fund was established to help promising agribusinesses overcome the 'missing middle' stage by providing catalytic financing and technical assistance that enable businesses to grow sustainably while delivering meaningful development impact. Odzi Food Industries exemplifies this vision.
As the Fund's first investment, this partnership demonstrates how patient capital can strengthen local value chains, create reliable market opportunities for thousands of smallholder farmers and build more resilient food systems. We look forward to supporting Odzi as it expands local sourcing, reaches more farming households and contributes to a stronger, more inclusive agricultural economy in Zimbabwe."
In addition to financing, Odzi will benefit from the Fund's Technical Assistance Facility, which will complement the company's existing extension services through farmer training in climate-smart agriculture, business development and responsible environmental and social practices. The programme will help farmers strengthen resilience to climate shocks such as El Niño, promote sustainable production practices, including reducing carbon footprints, and improving environmental and social performance, while increasing productivity across the groundnut value chain.
Together, the financing and technical assistance provided through the Fund will help build a more resilient and inclusive groundnut value chain in Zimbabwe, demonstrating how catalytic finance can enable high-potential agribusinesses to scale while delivering lasting development impact.
As the first investment under the Graduation Fund, this milestone demonstrates how catalytic finance can unlock the potential of local agribusinesses, strengthen resilient food systems and advance the Sustainable Development Goals, including poverty reduction, food security, gender equality, decent work and sustainable agricultural development.
About Odzi Food Industries
Founded in 2014, Odzi Food Industries is a Zimbabwean food and beverage manufacturer producing peanut butter, fruit beverages, and other consumer food products under the Odzi, Nutra and Golden Deli brands. The company operates integrated manufacturing facilities in Harare and supplies products through more than 2,200 informal retailers and approximately 30 formal retail chains across Zimbabwe. Through its Makonde District Outgrower Scheme, the company is building a resilient, locally integrated groundnut value chain that creates sustainable market opportunities for smallholder farmers while strengthening Zimbabwe's domestic food system.
About the CFC Graduation Fund
The CFC Graduation Fund, established in partnership with the UK Foreign, Commonwealth & Development Office (FCDO), provides catalytic financing and technical assistance to high-potential agribusinesses across Sub-Saharan Africa. By addressing the "missing middle" financing gap, the Fund helps enterprises scale sustainably, strengthen smallholder inclusion, improve climate resilience and build more resilient and sustainable food systems.