Kagera Sugar Limited

Africa

Region

108.4

Commitment (MNOK)

Active

Status

Kagera Sugar Limited is a sugar manufacturing company situated in North-Western Tanzania. It was incorporated in 2002 and is involved in growing sugar cane, processing and distribution of sugar. Norfund provided funding to Kagera Sugar to expand its production capacity.

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Key information

Sector:
Scalable enterprises
Commitment (MNOK):
108.4
Year:
2020
Region:
Africa
Country:
Tanzania, United Republic Of
Domicile:
Tanzania, United Republic Of
Instrument:
Loans
Status:
Active
Mandate:
Development

KAGERA SUGAR LIMITED KSL is a sugar manufacturing company situated in Bukoba, in North-western Tanzania. The company is the third largest sugar producer in the country and is involved in growing sugar cane, processing and distribution of sugar.

Norfund’s investment is part of a syndicated loan that will finance an expansion of the company’s production capacity.

This will contribute to the creation of new direct jobs in the company, as well as indirect jobs through expansion of the company’s existing out-grower program to smallholder farmers.

The investment will also contribute to more efficient sugar production through improved mechanization and state of the art irrigation technologies. Over time, this will also result in Tanzania becoming less dependent on sugar imports.

Additionality for Kagera Sugar Limited

This investment is particularly additional on the following ambitions:

  • Investing in the poorest countries      
  • Investing in capital constrained markets    
  • Investing in risky markets    
  • Investing in difficult business environments    
  • Investing in high risk instruments          
  • Promoting social and environmental standards