Robust International
Introduction
Robust International (Robust) is a multi-national trader of agricultural commodities, specialising in sesame seeds and cashew nuts, sourcing primarily from East and West Africa.
Africa exports many agricultural products for processing and refining. Swedfund’s investment supports increased local processing capacity in Africa, central to job creation, economic growth and trade. The company will buy sesame seeds and cashew nuts directly from cooperatives, aggregators and farmers locally to support operations at its new processing facilities in Côte d'Ivoire, Mozambique and Burkina Faso.
Co-investors include FMO, BII and Proparco.
Read more in our press release: Swedfund supports local food processing and smallholder farmers in Africa
Related links:
Swedfund Policy For Sustainable Development
Swedfund E&S Categorisation
Facts
SDG in focus
No Poverty
End poverty in all its forms everywhere.
Decent Work and Economic Growth
Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all.
Reduced Inequalities
Reduce inequality within and among countries.
Value creation
Impact
The investment will contribute to establishing sustainable local manufacturing and processing facilities. Furthermore, the investment is expected to contribute to jobs and other income-generating opportunities locally and to promote economic growth.
Additionality
Swedfund’s investment is financially additional as we invest in a challenging context with high risks and where access to capital is limited, the business climate is challenging, and poverty is high. The investment is expected to contribute to capital mobilisation. The investment is value additional through a strong focus on active value creation during the investment phase, where the environment, sustainability and corporate governance are prioritised.
ESG Summary
Requirements
In line with Swedfund’s Policy for Sustainable Development, the portfolio company is required to materially comply with, inter alia: (i) all internationally recognised human rights (ii) the EDFI harmonized exclusion list and EDFI Fossil Fuel Exclusion List, (iii) local environmental, health & safety and labour laws and regulations, (iv) applicable IFC Performance Standards, (v) the ILO’s Declaration on Fundamental Principles and Rights at Work and the ILO’s Basic Terms and Conditions of Employment.
ESG risk
E&S risk categorisation is Medium-High risk (B+) based on the inherent risks related to processing activities and associated supply chain human rights issues, and a relatively large workforce coupled with contextual risks manifested in conflict countries. Environmental risks relate to climate change impact which are higher for sesame seed farmers due to the more resilient nature of the cashew crop. Social risks are related to human rights in the supply chain across all countries.
ESG mitigation measures
Syndicate ESAP addresses the strengthening of the company's environmental and social management system (ESMS) and Human Resources processes, prioritising issues relating to climate change mitigation, labour conditions and human rights.
Applicable IFC Performance Standards
IFC Performance Standard (PSs) 1-4 are applicable, while IFC PS 5 was triggered and complied with as part of land acquisition for construction of processing plants.
Whistleblowing channels and Grievance Mechanism
Swedfund’s whistleblowing services can be used by employees, contractors and others at Swedfund, and by the companies and funds in which Swedfund invests. The complaints mechanism can be used for all types of complaints concerning Swedfund and Swedfund’s portfolio companies, but not for complaints concerning individuals as a result of restrictions arising from data protection legislation. 🔹 Link in website footer.