Sierra Leone Organic Cocoa Trading Agreement

RNS Number : 1212G

Agriterra Ltd

18 November 2015

 

Agriterra Ltd / Ticker: AGTA / Index: AIM / Sector: Agriculture

18 November 2015

Agriterra Ltd ('Agriterra' or 'the Group')

Sierra Leone Organic Cocoa Trading Agreement

Agriterra, the AIM listed pan-African agricultural company, is pleased to announce that its wholly owned Sierra Leone cocoa business, Tropical Farms Limited ('Tropical Farms') has signed a trading agreement ('the Trading Agreement') with a leading global company focused on natural, organic and specialty foods (the 'Offtaker').

Under the terms of the Trading Agreement, Tropical Farms will use its organic certification and buying networks to source and supply up to 500Mt of Sierra Leonean cocoa beans to the Offtaker during the 2015/2016 buying season; the Offtaker will provide Tropical Farms with pre-financing for the purchase of beans.

The Trading Agreement will leverage Tropical Farms' extensive infrastructure in Sierra Leone, including a 2000m² state-of-the-art warehouse in Kenema.  As well as Tropical Farms sourcing and supplying cocoa, the Offtaker has expressed its interest in additional produce and both parties have committed to explore opportunities for organic coffee and other organic food crops.

Adrian Simpson, Managing Director of Tropical Farms, said, "I am pleased to announce this Trading Agreement, which marks a positive step in the recovery of the cocoa industry in Sierra Leone following the Ebola outbreak in 2014.  I am proud to say that Tropical Farms remained active throughout the crisis - utilising our fleet of vehicles, logistics hub in Kenema, and extensive warehousing facilities to support the work of international aid agencies - which was an invaluable support in the heart of the region most affected.

"Now that Sierra Leone has been declared Ebola free, Tropical Farms and Agriterra firmly support post-Ebola reconstruction and development works.  This Trading Agreement, with a leading international company focussed on natural, organic and specialty foods, is a positive step in rebuilding the cocoa industry in-country and redirecting much-needed foreign investment back into Sierra Leone."

**ENDS**

For further information please visit www.agriterra-ltd.com or contact:

Andrew Groves	Agriterra Ltd	Tel: [phone]
Adrian Simpson	Tropical Farms Limited	Tel: [phone]
David Foreman	Cantor Fitzgerald Europe	Tel: [phone]
Michael Reynolds	Cantor Fitzgerald Europe	Tel: [phone]
John Beaumont	Peat & Co.	Tel: [phone]
Charlotte Heap	St Brides Partners Ltd	Tel: [phone]
Hugo de Salis	St Brides Partners Ltd	Tel: [phone]

 

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