ELPS Initiative: Strengthening the Macadamia Nuts Export Value Chain with Private Sector Partners (Rwanda)

The objective of the ELPS initiative is to transform small-scale producers’ farming in a sustainable manner, improve productivity and market access by catalysing private sector engagement and investment in food systems. The prospective ELPS intervention in Rwanda aims to strengthen the macadamia nut export value chain by boosting sustainable productivity, enhancing market access, and improving climate resilience among smallholder producers, while engaging the private sector through transformative supply chain partnerships. ELPS partners with food, agribusiness and trading companies involved in global supply chains. The objective of collaboration under ELPS is to develop the supply chain of agri and food companies that source internationally, through supporting smallholder producers to integrate into their global supply chains. Supply chain development means increasing supply volumes and quality, as well as enhancing the sustainability of the overall supply chain with due consideration for environmental impacts and human rights. Private sector partners will contribute to building sustainable agricultural and food value supply chains, through sourcing agri produce from various regions, and crops which are relevant to the past or current IFAD project work. ELPS aims to forge win-win partnerships, with measured benefits both for the private sector and smallholder producers level. Collaborations are set up through various steps: both partners agree on crops and countries/regions for supply chain development, agree on a first high-level workplan and estimate of budget, determine the target producers or organizations and the division of activities, conduct a joint field visit to assess needs and conduct due diligence, develop a detailed project design proposal and submit to the donor, and implement the project with periodic progress reporting to the donor.

Agriculture is regarded as a major export opportunity for Rwanda, and macadamia nuts are an emerging commodity attracting interest due to the country’s suitable climate and soil. Despite rapid adoption and growth, challenges remain due to smallholder dominance, limited knowledge, low yields, and quality issues that hinder international market access. Infrastructure and value addition are underdeveloped, causing volatility in export revenues. To build competitiveness, Rwanda must focus on productivity, quality standards, value addition, and targeting premium markets alongside climate-smart agriculture.

IFAD seeks to engage with food, agriculture, and trading companies involved in global supply chains that can contribute resources to improve Rwandan farmers’ livelihoods and promote sustainable practices. Selected partners are expected to support the ELPS intervention through financial contributions, technical advisory services, or both, helping to build a resilient supply chain that meets ethical and environmental standards. Financial arrangements mandate that IFAD’s funds flow only through its chosen implementing partner, with private sector partners both funding and executing their own activities for targeted beneficiaries. Partners must contribute at least 50% of IFAD’s grant value, and collaboration will focus on operational coordination and joint planning.

Eligible applicants must have at least 10 years of experience in Rwanda’s macadamia nut business, must be engaged in global supply chains with the EU, Japan, or USA, and should demonstrate willingness to build small-scale farmer capacity for sustainable yield and quality improvement. Applicants must submit a concept note detailing experience and proposed collaboration, with final partner selection based on proven organizational capability, technical expertise, experience in capacity building, and implementation capacity.

For more information, visit IFAD.