Expanding the Vanilla Value Chain – Tanzania
Natural Extracts Industries (NEI) is a for-profit social enterprise producing, processing, and exporting green vanilla into vanilla pods and extracts to international traders and retailers in the flavours industry. NEI has created a vertically integrated vanilla chain since 2011 by directly sourcing from 5,000 smallholder farmers. Its team of agronomists and field officers is assisting the farmers with trainings in good agricultural practices and other services throughout the full cycle from planting of the vines, pollination of the flowers to harvest of green vanilla. NEI has planted over 200,000 vines to date and using mobile-based technologies to reliably trace the quality and origin of vanilla on farmer level.
The CFC has extended a USD 500,000 working capital loan ensuring its farmers direct access to markets amid the challenges of COVID-19 and declining global vanilla prices. More than 5,000 farmers are expected to benefit from NEI’s inclusive sourcing model over the facility’s 5 year tenor.
Submitting Institution | Natural Extracts Industries Ltd. |
Location | Tanzania |
Commodity | Spices |
Total Cost | USD 1,800,000 |
CFC Financing | USD 500,000 (Loan) |
Counterpart Contribution | Other impact financiers USD 1,300,000 |
Year of Implementation | 2020 |
SDGs