In a major move to boost food security and support sustainable agribusiness in Sub-Saharan Africa, Norfund, the Norwegian development finance institution, has committed USD 18 million to expand Irvine’s Group’s poultry operations across the region. The investment, targeting Irvine’s operations in Tanzania, Botswana, Mozambique, and Kenya, aims to scale up high-impact poultry production and enhance the availability of affordable, quality protein for millions of people.
This strategic partnership will drive Irvine’s growth in East Africa, where it is already a leading supplier of broiler Day-Old Chicks (DOCs) and premium poultry feed. The expansion will see the construction of an ultra-modern grandparent farm in Tanzania, which will breed parent stock locally, reducing dependence on imports and ensuring a more stable and cost-effective supply chain for poultry products across Africa.
By developing this grandparent farm in a joint venture with long-time partner Cobb, Irvine’s aims to address the logistical challenges and costs of importing parent stock, a move that will ultimately improve the cost competitiveness of poultry products. This initiative is expected to significantly boost food security, providing reliable access to affordable, high-quality protein sources like chicken and eggs.
Speaking at the partnership announcement in Nairobi, Norfund’s Regional Director for East Africa, William Nyaoke, emphasized that this investment aligns with Norfund’s broader mission to build sustainable food systems.
“Irvine’s contribution to agribusiness value chains has been transformative, creating long-term employment, particularly for the youth in rural areas. This partnership will further empower smallholder farmers, create jobs, and enhance local supply chains,” Nyaoke said. He noted that the collaboration will strengthen Irvine’s ability to serve more smallholder farmers, providing them with essential poultry feed, chicks, and technical support, thus driving economic empowerment in East Africa’s rural communities.
As part of the investment, Irvine’s Group will increase its procurement of locally sourced grains, such as maize and soybeans, supporting local farmers and stimulating the regional agricultural economy. This focus on sourcing essential ingredients locally will strengthen the agricultural commodities value chain, further promoting food security and sustainable farming practices.
Craig Irvine, CEO of Irvine’s Group, highlighted the broader impact of the investment. “These funds will fuel our growth, allowing us to supply and serve our growers better, empower local communities, and ensure nutritious, high-quality protein reaches every market we operate in. This is not just an investment in Irvine’s—it’s an investment in the future of Africa’s food security,” he said.
With the population in Sub-Saharan Africa expected to grow significantly in the coming years, the demand for affordable animal protein will continue to rise. Chicken and eggs remain the most accessible and affordable sources of animal-based protein. Irvine’s expanded production capacity will play a crucial role in meeting this demand, ensuring that more communities have access to affordable, nutritious protein.
The announcement was made in Kenya on September 18th, 2024, marking Irvine’s most recent expansion into the country. The event was attended by prominent dignitaries, including His Excellency Gunnar Andreas Holm, the Norwegian Ambassador to Kenya, and the US Embassy Agricultural Counsellor, Tret J. Bret. Irvine’s leadership, including CEO Craig Irvine, board members David Irvine and Donnie Smith, as well as key Norfund representatives such as Andreas Davidsen and William Nyaoke, were also present at the event.
The transaction was orchestrated by Africa Insight Advisors, a boutique consulting firm with offices in Tanzania and Kenya, specializing in management consulting and transaction advisory services. The firm’s expertise played a key role in bringing this significant partnership to fruition.
As Irvine’s Group continues to scale its operations, this investment by Norfund underscores the critical role that agribusiness plays in driving economic growth and improving food security in Africa. With its commitment to sustainable farming and local economic empowerment, Irvine’s is set to be a driving force in ensuring that affordable, high-quality protein becomes accessible to all, helping to transform lives across East Africa.
Key Takeaways:
- Norfund’s $18M investment will boost poultry production in Tanzania, Botswana, Mozambique, and Kenya.
- Irvine’s partnership with Cobb will establish a new grandparent farm in Tanzania, reducing the need for poultry importation.
- The project will support local farmers by increasing the procurement of maize and soybeans.
- The expanded operations will help meet the rising demand for affordable protein in East Africa, driven by rapid population growth.
This partnership marks a major step forward in ensuring food security and sustainable economic growth in the region.
