Inside AGCOT Partnerships

1. INTRODUCTION

The Agricultural Growth Corridors of Tanzania (SAGCOT) is a public-private partnership that seeks to develop the agricultural sector by fostering responsible agribusiness investments in Tanzania.  The AGCOT Centre Ltd works as an honest facilitator and catalyst of partnerships among registered partner organizations to incubate initiatives around inclusive, sustainable, and viable agricultural value chains.

AGCOT is made up of registered partner organizations from across government agencies, private sector companies, development organizations, research institutions, foundations, civil society and farmer groups. Our partners have a breadth of expertise across the entire agricultural value chain, and bring a range of experiences in research, technology, finance, and business.

2. BENEFITS OF BECOMING AGCOT PARTNER

a. Knowledge Sharing & Networking

i. Participate in the Annual SAGCOT Forum event to share experiences and best practices

ii. Develop your network and build connections with relevant stakeholders

iii. Gain access to leading public and private actors

B. Project & Advocacy Opportunities 

i. Connect with other potential partners and collaborate on investment ideas and project design

ii. Join meetings, missions, and field days to explore investment and project opportunities

iii. Contribute to advocacy on project-specific bottlenecks and more general policy issues

Members who subscribe to the Partnership Principles and pay the partnership contributions will have full access to information, networking, professional services, and other opportunities as can be provided or facilitated by the AGCOT Centre. Specific benefits to members of the AGCOT Partnership will include:

A. Farmers and Farmer Organizations

i. Improved linkages with commercial agribusiness

ii. Access to information on current best agricultural practices to increase productivity and competitiveness, and contacts for specialist support if needed

iii. Connections to improved marketing systems and finance

iv. Opportunities to link with other farmers – both small-scale and large-scale

B. Local and international agribusiness

i. Facilitating access to relevant finance

ii. Coordination of infrastructure development to support commercial investments

iii. Access to an enlarged potential client base

iv. Support for an improved business environment for agriculture

v. Access to analysis of value chain issues

vi. Linkages to complementary companies and new opportunities for risk sharing partnerships

i. Identification of focal points for prioritized and targeted public investment to enhance commercial agriculture

ii. Identification of priority infrastructure needs

iii. Access to analysis and feedback on priority policy, regulatory, fiscal and legislative constraints currently hindering agricultural profitability and further private investment

iv. Feedback on practical suggestions on how to improve the business environment for agricultural growth

E. Donor Partners

i. Identification of target areas and activities for coordinated programs to enhance private sector development that supports linkages to smallholders

ii. Access to analysis and feedback on priority policy, regulatory, fiscal, and legislative constraints currently hindering agricultural profitability and further private investment

iii. Identification of effective entry points for improved environmental management, responses to climate change, and support to women, youth, and the disadvantaged in development.

F. Civil society/NGOs

i. Identification of entry points to enable the provision of their specific services and support, where complementary activities are already underway

ii. Participation in key discussions on key policy and regulatory issues

iii. Opportunities to link with and add value to commercially driven agri-business activities in the corridors and clusters

 

4. WHAT CAN THE AGCOT CENTRE DO FOR PARTNERS?

A. For existing investors

AGCOT offers existing investors a strategic platform for promoting inclusive and environmentally sustainable investments. The initiative enhances access to investment opportunities and relevant networks while also promoting knowledge of industry best practices. Furthermore, AGCOT acts as a voice to communicate critical policy constraints to the Tanzanian government and relevant institutions.

Each AGCOT Partnership member will be required to abide by the Partnership Principles:

Agreement on the overall AGCOT Objectives –sharing the AGCOT objectives for responsible commercial growth and food and nutrition security. This includes the need for commercially viable

Agricultural businesses – to incorporate the interests of small-scale and emerging farmers into their

Agreement to work with other members to promote a harmonized approach and strategy – so that within their own particular sphere of activities, each member will cooperate with the overall, coordinated AGCOT programme of planning, investment, implementation and policy 

Agreement to engage with the partnership, maintain communication and support the AGCOT Centre – to support the AGCOT Centre in its work. Until the benefits become evident, the underlying trust and intrinsic goodwill of each member will be essential to maintaining

Agreement to contribute to the resolution of policy and infrastructure constraints – by bringing to the attention of the AGCOT Centre their own concerns about specific factors that currently hinder local and national development of commercial agriculture. Members at all levels must be prepared and able to contribute to identifying and the resolution of these impediments, each according to their role and

Agreement to consider new and innovative financing mechanisms, which are aimed at catalysing additional private investment in AGCOT in ways that ensure major benefits also accrue to smallholder farmers. This will require creative investment and the willingness of farmers and agri-business to accept new types of risk and modifications to traditional

Agreement to adhere to the Inclusive Green Growth principles -reference is to the Inclusive Green Growth (IGG) tool. The Tool provides a structured introduction to Environmental and Social Governance matters.

6. SOCIAL & ETHICAL OBLIGATIONS

Partners are strictly advised to refrain from intentionally causing harm, whether directly or indirectly, to the professional reputation, growth prospects, or business interests of the AGCOT Partnership and therefore the initiative.  They are expected to be a living example of building and nurturing trust and integrity within the collaborative network.

The following shall be expected in the partnership:

a. Commitment to upholding labour laws, including policies to prevent child labour and forced labour, and ensuring a fair and ethical workforce.

b. Implementation of a robust Environmental Social and Governance (ESG) strategy to address community needs and promote social development.

c. Adherence to environmental management practices that align with sustainable agriculture and mitigate ecological impact.

d. Regular reporting and transparency on social and ethical performance to foster accountability and trust among stakeholders

7. FAILURE TO COMPLY WITH THESE PRINCIPLES OF MEMBERSHIP

a. Any breach of these Principles should be brought to the attention of the AGCOT Centre CEO;

b. The AGCOT Partnership, through the AGCOT Centre, reserves the right to withdraw membership for serious breaches of these Principles, without refund of partnership contributions paid, based on a majority agreement of the Board members; and

c. Failure to pay annual partnership contributions is construed as a breach of the AGCOT Partnership principles and will trigger a review of the partnership/relationship by the evaluation committee to assess whether to suspend investment facilitation support to the partner until the annual partnership contribution is paid.

8. PARTNER EVOLUTION

The AGCOT Centre supports its partners in developing inclusive value chains. Most partners begin as General Partners, exploring opportunities for investment, collaboration, and interventions within the corridors. Those who progress to become Compact Partners commit to specific investments, projects, and targets through formal agreements with AGCOT, such as Letters of Intent, Memoranda of Understanding, or Letters of Engagement. These partners receive targeted support to advance AGCOT’s strategic goals.

At the highest level are the Lead Partners (T1 Partners). These are organizations that have successfully progressed through all partnership stages, made significant investments in AGCOT corridors, and demonstrated a strong impact in transforming agriculture.

9. IN ADDITION, THE AGCOT CENTRE IDENTIFIES STRATEGIC PARTNERSHIPS THAT

a. Seek end-to-end value chain solutions and investments, and convene a coalition of partners to leverage synergies,

b. Offer the opportunity to be scaled or replicated to maximize impact, provide transformative results to farmers for food security and improved livelihoods; and

c. Demonstrate positive Social and environmental impact.