Agricultural logistics services

Agricultural logistics services
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Agricultural logistics services
SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Food and Beverage
Food and Agriculture
Business Model Description

Provide logistics services to connect smallholder farmers with the nearest processing/storage facilities, and offer online payments with the possibility to schedule pick-up services for products.

Expected Impact

Increase value added in food chains, strengthen economic growth and generate decent jobs.

Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
> 25% (in IRR)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Medium Term (5–10 years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
3 million farmers are not connected to transportation services.
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
USD 1 million - USD 10 million
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
Zero Hunger (SDG 2) Responsible Consumption and Production (SDG 12)
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.
Good health and well-being (SDG 3) Reduced Inequalities (SDG 10) Life on Land (SDG 15)
Sector Sources
  • 1) Federal Republic of Nigeria (2017). Implementation of the SDGs: a national voluntary review. https://sustainabledevelopment.un.org/content/documents/16029Nigeria.pdf 2) Sachs, J., Schmidt-Traub, G., Kroll, C., Lafortune, G., Fuller, G. (2019). Sustainable Development Report 2019. New York: Bertelsmann Stiftung and Sustainable Development Solutions Network (SDSN). 3) Federal Republic of Nigeria (2017). Economic Recovery and Growth Plan 2017 - 2020. Abuja: Ministry of Budget and National Planning. 4) Dalberg (2020). Charting the future for Africa's largest economy: Economic impact of COVID-19 in Nigeria. https://dalberg.com/wp-content/uploads/2020/04/FINAL_Dalberg-Report-Charting-the-Future-of-Africa%E2%80%99s-Largest-Economy.pdf 5) Federal Republic of Nigeria (2011). Agricultural Transformation Agenda 2011.
IOA Sources
  • 6) PwC (2019). Responding to the Impact of COVID-19 on Food Security and Agriculture in Nigeria. https://www.pwc.com/ng/en/publications/impact-covid-19-food-security-nigeria.html 7) Dayo P, Ndirpaya Yarama D (2020). Digitalization in Agriculture, Food and Nutrition - A Case Study of Nigeria. (Forum for Agricultural Research in Africa, March 2020). https://library.faraafrica.org/wp-content/uploads/2020/03/Digitalization-in-Agriculture-Food-and-Nutrition-A-Case-Study-of-Nigeria-.pdf 8) Food and Agriculture Organization of the United Nations (2020). FAO in Nigeria, http://www.fao.org/nigeria/fao-in-nigeria/nigeria-at-a-glance/en/ 9) African Green Revolution Forum (2020). The Agribusiness Deal Room at the 2019 African Green Revolution Forum (AGRF). https://agrf.org/dealroom/wp-content/uploads/2020/07/Agribusiness-Deal_Room-AGRF-booklet_020919.pdf 10) PwC analysis based on Prof. A. Damodaran data 2020. 11) Ogunleye O, Ajibola A, Enilolobo O and Shogunle O (2018). Influence of road transport infrastructure on agricultural sector development in Nigeria. https://content.sciendo.com/view/journals/jlst/9/1/article-p39.xml?language=en 12) World Bank (2019). Future of food: harnessing digital technologies to improve food system outcomes. http://documents1.worldbank.org/curated/en/941601554962010560/pdf/Future-of-Food-Harnessing-Digital-Technologies-to-Improve-Food-System-Outcomes.pdf 13) USAID. The digital financial services landscape in Nigeria: enabling market conditions for pay-as-you-go solar. https://www.usaid.gov/sites/default/files/documents/1860/Enabling_Market_Conditions_for_Pay-As-You-Go_Solar_Executive_Summary.pdf 14) Central Bank of Nigeria (2013). Financial Inclusion In Nigeria: Issues And Challenges. https://www.cbn.gov.ng/out/2014/rsd/occasional%20paper%20no.%2045%20issues%20and%20challenges.pdf 15) World Bank (2019). Future of food: harnessing digital technologies to improve food system outcomes. http://documents1.worldbank.org/curated/en/941601554962010560/pdf/Future-of-Food-Harnessing-Digital-Technologies-to-Improve-Food-System-Outcomes.pdf 16) World Bank Database. 17) PwC (2019). Responding to the Impact of COVID-19 on Food Security and Agriculture in Nigeria. https://www.pwc.com/ng/en/publications/impact-covid-19-food-security-nigeria.html 18) Alkire et al. Charting Pathways out of Multidimensional Poverty: Achieving the SDGs. 19) Central Bank of Nigeria (2017). Anchor Borrowers’ Programme Guidelines 2017. https://www.cbn.gov.ng/out/2017/dfd/anchor%20borrowers%20programme%20guidelines%20-dec%20%202016.pdf 20) Federal Ministry of Agriculture and Rural Development (2011). Agricultural transformation agenda: we will grow Nigeria’s agricultural sector. http://unaab.edu.ng/wp-content/uploads/2012/10/Agricultural%20Transformation%20Blue%20Print.pdf 21) Omojokun, J (2012). Regulation and Enforcement of Legislation on Food Safety in Nigeria. https://www.intechopen.com/books/mycotoxin-and-food-safety-in-developing-countries/regulation-and-enforcement-of-legislation-on-food-safety-in-nigeria 22) Federal Ministry of Agriculture and Rural Development (2011). Agricultural transformation agenda: we will grow Nigeria’s agricultural sector. http://unaab.edu.ng/wp-content/uploads/2012/10/Agricultural%20Transformation%20Blue%20Print.pdf 23) PwC. Tax summary. https://taxsummaries.pwc.com 24) Agronews Nigeria. Nigerian States and Their Agricultural Products. http://agronewsng.com/nigerian-states-and-their-agricultural-products/ 25) TAK Logistics. About TAK Logistics. https://taklogisticsltd.com/about/ 26) Federal Republic of Nigeria (2017). Implementation of the SDGs: a national voluntary review. https://sustainabledevelopment.un.org/content/documents/16029Nigeria.pdf 27) Federal Republic of Nigeria (2020). Integration of the SDGs into National Development Planning: A Second Voluntary National Review (2020). https://sustainabledevelopment.un.org/content/documents/26309VNR_2020_Nigeria_Report.pdf