French investment company Mirova investing $8.5 million on Macadamia Farming in Kenya & TZ
French investment company Mirova is investing $8.5 million in Pamoja. In Kenya and Tanzania, the company produces macadamia nuts with the help of small-scale farmers, who will have to make their practices even more sustainable.
How can we ensure the sustainable production of macadamia nuts? For Pamoja, the solution is also financial. The Swiss company has just raised 8.5 million dollars from the investment company Mirova, a subsidiary of Natixis Investment Managers. The aim is to develop the sustainable production of macadamia nuts. The nuts are produced by the small-scale farmers who work with Pamoja, mainly in two countries.
In Kenya, the company, which exports macadamia nuts to Europe, will accelerate the development of its projects by working with at least 6,000 small-scale farmers. In Nairobi, its subsidiary TenSenses operates a macadamia nut processing plant for the international market. For its part, Macjaro, Pamoja’s subsidiary in Tanzania, is “developing macadamia nut farms that respect agroforestry ecosystems”, says the company managed by Guillaume Maillard.
A booming global macadamia market
In the two East African countries, Pajoma aims to manage 6,200 hectares of land “according to demanding sustainability criteria (organic and fair trade)”, while supporting 13,000 small local producers by 2031. Initiatives such as these could have a considerable impact on the global market for these nuts, which are highly prized in pastries and cosmetics. This market is expected to be worth $2.48 billion by 2028, according to the Indian consultancy Mordor Intelligence.
The partnership with Mirova “will enable us to step up our efforts to promote the sustainable and profitable use of arable land and to train producers in best practices. We will also be able to strengthen our industrial facilities, which are managed according to our Swiss standards and enable our nuts processed in Kenya to compete with all other origins”, explains Guillaume Maillard, Pajoma’s founder.
Mirova is committing $8.5 million to macadamia nut production as part of the Land Degradation Neutrality (LDN) fund launched with the United Nations Convention to Combat Desertification (UNCCD) to finance projects that contribute to land degradation neutrality. In addition to macadamia nuts, this mechanism also supports the production of coffee, cocoa, wood, nuts, fresh fruit, ingredients for the pharmaceutical industry and payments for ecosystem services in Latin America, Asia and Africa.
Leave a Reply