Sahel Capital Backs Nigeria's Agriarche to Boost Market Access for Smallholder Farmers
Summary
The investment aims to enhance connections between farmers and fast-moving consumer goods (FMCG) companies, strengthening Nigerias agricultural supply chains.Agriarche plays a crucial role in addressing challenges within Nigerias fragmented commodity value chains.The funding will enable the enterprise to expand its reach, ensuring stable pricing for farmers and optimizing the agricultural supply network for FMCG companies.According to Deji Adebusoye, a partner at Sahel Capital, Agriarche is making a significant impact on smallholder farmers livelihoods by leveraging technology to reduce the distance between farmers and economic hubs.This has led to fairer pricing and greater reinvestment opportunities for farmers.By partnering with Agriarche, FMCG companies can drive meaningful impact for smallholder farmers, who remain the backbone of Nigerias food system, Adebusoye noted.Sahel Capital manages multiple funds, including the Fund for Agricultural Finance in Nigeria (FAFIN), which supports SME agribusinesses in the country, and SEFAA, which provides structured debt financing to agribusiness SMEs across 13 sub-Saharan African countries.The firm is also in the process of raising capital for a new investment initiative, the Sahel Capital Agribusiness Fund II, aimed at expanding agribusiness opportunities across West Africa.