Amsterdam-based Organic Development Finance (ODF) has secured a €10M senior loan from Dutch-based Invest International to support SMEs in emerging markets. These businesses, focused on organic agriculture, aggregate and export organic ingredients, linking smallholder farmers to global markets.
The funding aims to expand ODF’s capacity to provide fair-priced working capital loans, promoting sustainable agriculture.
For Invest International, this marks its first blended finance debt initiative, with aspirations to attract further impact investment in the sector.
Susie Horth, ODF Chairperson of the Supervisory Board, says, “With this €10M loan, we’re thrilled to expand our support for companies that are pioneering sustainable, organic agriculture in emerging markets. This commitment from a prominent partner like Invest International is a major milestone in the ODF growth path, showing trust in our investment strategy.”
Driving sustainable agriculture in emerging markets
Organic Development Finance (ODF) addresses the financing challenges faced by certified organic agricultural companies in low-income and emerging countries.
Founded by Dutch company Tradin Organic and managed by impact investment firm FOUNT, the fund strengthens organic commodity imports to the Netherlands and Europe.
With backing from USAID’s West African Trade and Investment Hub and Germany’s development agency GIZ, ODF provides affordable financing to organic businesses, enabling growth and innovation.
The initiative focuses on enhancing local supply chains for organic crops while promoting environmental sustainability and delivering social benefits through organic farming practices.
Tradin Organic CEO, Floris Wesseling, says, “Through ODF we can connect organic suppliers to appropriate financing, empowering them to sustainably improve their operations. This contributes to the development of their communities; economically, socially and environmentally, and leads to a more resilient supply chain.”
“We are delighted to welcome Invest International as a partner in ODF, joining us on our mission to foster a thriving organic value chain from farm to fork.”
With a portfolio of over 14 transactions across 8 companies, ODF aims to expand its network of buying partners and meet the growing demand for sustainable agricultural supply chains.
A recent $1M investment in Sierra Leone’s organic cocoa industry highlights ODF’s impact, benefiting nearly 30,000 smallholder farmers through sustainable practice training, Fairtrade certification, and market access.
The initiative supports ethical production, reforestation, and community welfare, while boosting Sierra Leone’s economy.
Capital utilisation
Bernadette Blom, Founding Partner of FOUNT, says, “With the capital provided by Invest International, ODF can scale up its investments in securing a sustainable future for our investees which will have positive, compounded effects along the organic supply chain.”
“We’re extremely pleased with the partnership and excited to continue on our journey for positive impact.”
Blom adds, “By providing tailored capital solutions to these SMEs in the organic supply chain, we can make a measurable impact on local economies and global sustainability goals, while fostering environmentally friendly practices.”
ODF is managed by FOUNT, a Dutch impact fund manager with expertise in sustainable development and impact investing in emerging markets. FOUNT’s experience in partnerships ensures ODF’s capital is effectively allocated to generate long-term social and environmental returns.
Gemma Verhoeven, ODF Fund Lead, adds, “At ODF, we believe that fair financing can be transformative for companies in emerging markets. With this support from Invest International, we’re helping SMEs thrive, protecting the environment, and creating opportunities for smallholder farmers to build sustainable livelihoods.”
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