AMFRI Farms Limited (AMFRI Farms), a Ugandan agro-processing company, picked up a €1.3 million (about Shs5.4 billion) investment from Yield Uganda Investment Fund (Yield Fund) and FCA Investments (FCAI).
A joint statement from the investment firms says the company will use the money to boost production by recruiting more certified smallholder farmers.
Located in Luwero and founded in 1998, the company will also increase its processing capacity and expand its footprint to the organic food market that is underserved.
"The company is a recipient of top organic food exporter awards and quite notably obtained and maintained certifications to export products to organic markets in the EU, USA and the Middle East," reads the statement.
Yield Fund is an agribusiness impact fund jointly supported by the European Union (EU), the National Social Security Fund (NSSF), the Open Society Foundation (OSF) and FCA Investments.
As part of this investment, the International Fund for Agriculture (IFAD) has made available a Business
Development Support (BDS) grant, which will among other interventions, improve business operations and increase the network of smallholder farmers working with the company.
“It is an honour and unique privilege for AMFRI Farms to be selected as one of the portfolio investees in the Yield Fund’s and FCAI’s exceptional holdings," said Nazim Shivji, the managing director of AMFRI Farms.
"The TIMING of the investment, coming at what is generally regarded as uncertain and exceptionally
economically challenging, merely affirms AMFRI’s immense confidence in our fellow stakeholders’ long
term and ethical outlook in making impact investments. AMFRI and Uganda’s sustainable and climate-smart
agricultural practitioners look forward to the coming decades with unlimited confidence and enthusiasm.”