Implementation

Developing the Supply of Organic Mangoes in Ghana, 2007

    Description
    Integrated Tamale Fruit Company (ITFC) operates in the Savelugu-Nanton District, in Ghana's Northern Region, an area that has a very high incidence of poverty. From 2001, ITFC has operated an outgrower scheme which currently includes 1,300 farmers (a total of 2,000 projected), each having a farm of about 1 acre with 100 mango trees.

    ITFC provides an interest free loan to the outgrowers exclusively in the form of required inputs and technical services. The farmers start paying for the loan from the sale of mangoes after five years. This arrangement guarantees that ITFC can source a large volume of quality organic mangoes and the low-income farmers can produce mangoes, enabling them to earn a long-term sustainable income for their families. This case examines the key challenges of running the outgrower scheme and the implications of this arrangement for the business of ITFC.