28 March 2022
©Foundation Grameen Crédit Agricole/Philippe Lissac

SSNUP is a programme coordinated by the NGO ADA, whose objective is to increase the productivity of smallholder farmers in Asia, Africa and Latin America through better risk management and the development of sustainable agricultural value chains. Funded by governments of Luxembourg, Switzerland and Liechtenstein, the SSNUP aims to improve the living conditions and food security of more than 10 million smallholder producers. The Grameen Crédit Agricole Foundation is one the impact investors in charge of implementing the project.

The producers’ cooperative, a lever for development

In Ivory Coast, where half of the producers of cacao lives below the poverty line, producers’ cooperatives are an important development lever. Beyond the commercial advantage that it offers to producers, cooperatives offer to theirs members services ranging from small equipment input and supply to the improvement of community life through actions such as the establishment of schools and hospitals. However, cooperatives sometimes encounter repayment difficulties of their members and unpaid debts are covered by cooperatives with their own funds, which prevents them from carrying out their social development mission.

This is what Advans Ivory Coast wanted to support since its creation in 2012, by being the first financial institution to give access to input credit to cocoa cooperatives. Advans Ivory Coast’s input credit consists of granting cocoa cooperatives financing that allows them to grant credits to their members for the purchase of fertilizers and crop protection products.

Reinforce the capacities of the cocoa cooperatives in Ivory Coast and its members

Advans Ivory Coast has received a grant of SSNUP to support cocoa cooperatives in improving the level of reimbursement of theirs members. With the funding received, the institution has recruited technical assistance providers to develop input credit management and monitor tools for cooperatives and financial education modules on credit management for smallholder cocoa farmers.

Ultimately, building the capacity of small producers in financial education will help limit the risk management and thus fulfil their role as facilitators on the value chain and carry out their social actions in favour of the community. It will also make it easier for cooperatives to renew their loan from Advans Ivory Coast and for producers to have access to the inputs needed to ensure a good agricultural yield and thus increase their incomes and improve their living conditions. Finally, Advans Ivory Coast will strengthen its risk profile, which will help consolidate existing relationships with its current partners and attract new investors.