The West African Development Bank (BOAD) has approved a 6 billion CFA franc loan to Label d’Or SA, a Togolese firm specialising in organic shea nut processing, to significantly scale up its industrial capacity.
The financing package was formalised during the BOAD Board of Directors meeting held on March 25 and 26 in Dakar. The funds are earmarked for modernising production equipment and strengthening the shea value chain, a move expected to benefit approximately 33,000 women active in the sector.
Located in Gbatopé, within the Zio prefecture, the Label d’Or facility was inaugurated in February 2023 with the capacity to process 30 tonnes of nuts per day, yielding roughly 4,300 tonnes of shea butter annually. Despite this infrastructure, the company has yet to reach its full operational potential. Challenges include high seasonal procurement requirements—estimated at 10,000 tonnes of nuts over just a few months—as well as stiff market competition and the rigorous certification standards required for international export.
In addition to BOAD’s financial backing, the project receives advisory support from the International Finance Corporation (IFC). The IFC is providing guidance on financial management, environmental and social compliance, and improving overall access to capital.
Through this investment, BOAD aims to stimulate local industrialisation, promote economic inclusion for women, and enhance the competitiveness of Togolese exports.
While Togo is a major producer of shea, much of its output is still exported in raw form. With this new support, Label d’Or plans to expand its certified processing operations to better penetrate European and American markets, where global demand for high-quality shea butter continues to rise.
RNK/te/Sf/lb/as/APA