Three steps towards the international supply chain
The impact story of Dragon Farming Limited
Dragon Farming Limited (DFL) is a soya bean processing company based in the seaport city Tema, close to Accra, the capital of Ghana. The company, established in 2000, processes raw soya beans into various soya products. Although DFL’s primary customers are local feed millers, the company aspires to become a major regional player. Gideon Aboagye, Managing Director of DFL, explained that they “want to participate in the international supply chain, and I want to be able to tick all the boxes that are necessary to get there.”
In 2020, DFL received a loan from the Agri-Business Capital Fund (ABC Fund) of €800,000, which will enable the company to purchase 30,000 bags of soya beans. This will create an additional income of €900 per worker per year for over 800 farmers.
As part of the ABC Fund loan, DFL also received technical and advisory services support through the Technical Assistance Facility (TAF), managed by Agriterra and implemented by Advance Consulting.
Prior to receiving support from the ABC Fund, the processing of soya beans had been fragmented and inefficient, leading to unnecessary waste and loss of productive time. With the TA, the DFL team was able to develop a clear focus on its priorities, and small changes had a big impact, allowing DFL to work towards its goal.
The first change achieved with the support of the TA was the improvement of DFL’s human resources policy and practice via the creation of job descriptions and formal contracts. This small change made workers feel more secure, which increased productivity and had a big impact on the stability of the workforce. In turn, this led to better results and better pay, further motivating the workers.
Secondly, the TA worked on quality improvement. Gideon explains: “I want to do things right. I want to know that the product I sell is a good product.” The TA has helped Gideon to be more confident that he can meet the customers’ expectations. “I have an increased feeling of control over the quality of our products. As a nutritionist, this is highly satisfying.”
Thirdly, DFL developed a benchmark document for the supply chain manager with the support of TA Fund partner Advance Consulting which lists all the criteria that need to be met for a sustainable supply chain. The tool is to be used during field visits and engagement with soya bean suppliers in the Northern Region of Ghana. Additionally, the supply chain manager was trained to be attentive to the presence of children around the farm, empowering him to act promptly should child labour be suspected.
DFL has become more resilient, confident and professional through the support of the ABC Fund and its TAF. This is a great step towards achieving their goal of participating in the international supply chain.
