LIMA LTD., Tanzania
The experiences of Cordaid in Africa are again different.
The enterprises that have arisen are joint ventures between
entrepreneurs in the Netherlands and entrepreneurs in the African
countries who primarily engage in contract farming. Such is the
case of LIMA Ltd in southern Tanzania where local investors own
10 per cent of the enterprise. Initial capital was provided by the
founders, part funding came from EVD in the form of a grant
through the Dutch PSOM Programme and part capital came from
an enterprise G. Bijendijk B.V. from the Netherlands. LIMA Ltd.
was founded in 2001. Its main activity is to buy cherry coffee from
small holder farmers, process them in some 23 pulperies spread
over the Mbeya region of southern Tanzania. The processing adds
value to the quality of coffee which enables it to fetch higher
prices on the world market.
LIMA Ltd. presently reaches out to and works directly with 50.000
small holder farmers who have 0, 5 hectare to 3, 0 hectares of land
planted with coffee. In addition to the 23 pulperies, LIMA Ltd. has
put up a modern coffee mill from where the coffee is exported
to the Netherlands. Part of the coffee that is exported has IMO
organic certification from Switzerland. All of the coffee bought
and processed from the 50. 000 small holders is exported. Export
sales, including export auctions, have reached
USD 4.230.000 mark in 2006. Besides providing a regular source
of employment and income to the 50.000 small holder farmers
and their families, the company provides sources of employment
and income to village coordinators, village supervisors and field
supervisors who liaise between LIMA and the small producers.
The company also supports HIV/Aids education and it encourages
the small holder farmers to participate in a cooperative health
insurance scheme which it assists by securing funding for the
same.