To give an example of one of our investee companies – Madagascar Lychee Export is a lychee export station based in the port of Toamasina, Madagascar. CDC invested in fund manager Adenia Partners, who in turn invested in MLE. Madagascar is the world’s leading lychee exporter to Europe delivering about 70% of the EU’s total annual supply. In recent years, European customers, including top retail chains such as Carrefour, have required increasingly higher standards.
To meet these standards, the business has grown its dedicated team focused on quality and trained these employees on food quality and safety standards. It has also provided training on hygiene, health and safety for permanent and temporary workers and suppliers and it has invested capital into infrastructure to make the business operations more efficient and hygienic
As a result of these improvements, the company achieved something called the Global Good Agricultural Practices (GAP) certification, which has enabled it to continue to supply to European markets, and to remain in business.
Zahid Torres-Rahman said:
Thanks for all the comments and contributions!
Let's move on to our third question:
Question 3: How can the adoption of responsible business practices in developing countries amongst local firms improve their competitiveness and opportunities to access global supply chains; and how can large companies play a role in supporting local firms to improve ESG performance?