NIRSAL boosts cocoa supply chains in Lagos with N1.15bn

• ADT Russet Ltd to export 4,000MT yearly
As the world global cocoa market value hits $67 billion, the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL Plc) has activated its resources to maximise Nigeria’s participation in the raw material supply chains.
 
Hence, NIRSAL has provided 50 per cent Credit Risk Guarantee (CRG) on a working capital facility of N1.15 billion to ADT Russet Limited, a cocoa bean-sourcing and exporting company in Lagos State.
 
Besides the absorption of a substantial part of its risk exposure in the event of loan delinquency, NIRSAL Plc is also providing efficient monitoring of the project, which is aimed at boosting ADT Russet’s export volume to 4,000MT yearly.
 
By supporting ADT Russet’s operations, NIRSAL Plc is also indirectly creating a stronger market for the many cocoa farmers who supply their inventory.
 

ALSO present at the tour of ADT Russet’s facility were the Managing Director of the company, Mr. Charles Eteri, and members of his management team; Mr. John Chukwu, Regional Head, Keystone Bank and his team, as well as staff of NIRSAL Plc’s Project Monitoring, Reporting and Remediation Office (PMRO) in Lagos State who are promoters of the project.
 
Mr. Eteri commended NIRSAL for its unique role in supporting serious-minded business firms, which operations were contributing to Nigeria’s quest for economic growth and diversification.
 
He said that his foray into agro exports had been successful, and the potential for growth owing to NIRSAL Plc’s support are enormous.
 
Speaking for Keystone Bank, Mr. John Chukwu said deposit money banks do not need to be coerced into financing agriculture, insisting that structured value chains and de-risked projects would naturally, and on their own merit, attract any profit-seeking business entity.
 
He added that where there was a strong intention to support national priorities, like in Keystone Bank, de-risked and structured agribusiness projects would become an even more compelling business proposition.
 
The tripartite relationship between NIRSAL Plc, ADT Russet Ltd and Keystone Bank is part of the growing outcomes of NIRSAL Plc’s high-level engagements with Deposit Money Banks, Merchant Banks, Finance Houses, MDAs of government, and local and international Development Finance Institutions (DFIs), wooing them into an agriculture/agribusiness space.