Lagos, Nigeria, July 26, 2022—To strengthen food security in sub-Saharan Africa, IFC and Jubaili Agrotec, a Nigeria-based agrochemicals manufacturer and distributor, today announced a partnership that will support the company to expand its regional footprint and increase thousands of smallholder farmers' access to key inputs such as fertilizer used to protect crops and increase food production.
IFC's $35 million financing package will help Jubaili expand its production capacity in Nigeria, Ghana, Tanzania and Uganda, helping to offset Africa's reliance on agrochemical imports. Farmers use agrochemicals to protect crops against pests and diseases. With support from the local currency facility of the International Development Association's Private Sector Window, IFC is providing $20 million of the financing in Nigerian Naira.
IFC's financing package will be accompanied by advisory services to support Jubaili to incorporate products that contribute to climate adaptation and climate smart agriculture such as drip irrigation equipment. The advisory work will also support smallholder farmers to integrate sustainable farming techniques and benefit from improved productivity and incomes.
"Agriculture is a significant part of many African economies and our partnership with IFC will help us to expand across Africa to reach thousands of farmers, helping them to build more resilience in their crops," said Rajab Jubaili, Managing Director of Jubaili Agrotec.
"Our partnership with Jubaili will contribute to improving food production in sub-Saharan Africa at a time when many parts of Africa, and the world, face rising food prices and food shortages. The region is heavily reliant on imported agrochemicals for crop protection and this partnership will improve the competitiveness of local production, thereby bolstering Africa's agricultural resilience," said Samuel Dzotefe, IFC's Manager for Agribusiness and Forestry in Africa.
IFC's financing and advisory support to Jubaili is part of the organization's broader work in Africa to support sustainable agriculture practices and to develop regional value chains and markets that will support the continent's food security and job creation.
About IFC
IFC—a member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2021, IFC committed a record $31.5 billion to private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity as economies grapple with the impacts of the COVID-19 pandemic. For more information, visit www.ifc.org.
About the IDA Private Sector Window
As part of the 19th replenishment of the International Development Association (IDA), the World Bank Group is continuing the IDA Private Sector Window (PSW) created under IDA18 to catalyze private sector investment in the poorest and most fragile countries. Recognizing the key role of the private sector in achieving IDA's objectives and the World Bank Group's twin goals, the window provides a source of co-investment funding and guarantees to de-risk private investments supported by IFC and the Multilateral Investment Guarantee Agency (MIGA). The IDA PSW is an option when there is no commercial solution and the World Bank Group's other tools and approaches are insufficient. For more information, visit: http://ida.worldbank.org/psw
About Jubaili Agrotec
Founded in Lebanon in 1944, Jubaili Agrotec is a leading importer, formulator, manufacturer and distributor of agrochemicals in Africa, including over 130 crop protection products (CPPs), to farmers, retailers, and other value chain players. The product portfolio includes crop protection products (i.e., insecticide, herbicide, fungicide), animal feed, veterinary drugs, fertilizer and sprayers and seeds. It reaches over 50,000 farmers and has c. 40 warehouses and over 100 retail depots. The Group has expanded its geographical footprint for the distribution and sale of its products in Ghana (2014), Uganda (2015), Tanzania (2016) and Kenya (2017). As of September 2021, the Group employs over 2,300 workers in five operating countries. The Group has separate subsidiaries for distribution, formulation / manufacturing and procurement in various countries.
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