A significant investment of $35 million has been secured by Delphos for Pearl Dairy Farms, a leading dairy processor in East Africa.
This funding, provided by the International Finance Corporation (IFC) and Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden N.V. (FMO), aims to enhance food security and sustainable agricultural development in the region.
The financing will support the upgrade of Pearl Dairy Farms’ powdered milk plant in Uganda and the acquisition of a packing facility in Kenya.
This development is expected to have a substantial impact on both countries, improving access to raw milk markets for smallholder farmers and enhancing the dairy supply chain’s resilience to macroeconomic shocks.
Pearl Dairy Farms’ robust Dairy Development Program, supported by IFC, will benefit over 15,000 local farmers by providing training on best practices and data access to enhance productivity and profitability.
This initiative aligns with Uganda’s Dairy Policy Action Plan, launched in August 2022, which seeks to boost consumption, incentivize production, improve quality, and access new markets.
The investment is expected to have a broader economic impact, driving growth and excellence in the dairy sector, and creating significant economic returns for communities and countries.
The deal comes after Kenya opened doors for Pearl Dairy Farms to invest in local dairy factories, further solidifying the company’s presence in the region.
The partnership between Pearl Dairy Farms, IFC, and FMO demonstrates a commitment to driving sustainable agricultural development in East Africa, ultimately contributing to food security and economic prosperity in the region.