OREANDA-NEWS. February 11, 2015. Unilever, Acumen and the Clinton Giustra Enterprise Partnership, an initiative of the Clinton Foundation, have launched a landmark Clinton Global Initiative (CGI) Commitment to Action called the Enhanced Livelihoods Investment Initiative (ELII) to improve the livelihoods of as many as 300,000 smallholder farmers and their communities in Africa, South Asia, Latin America, and the Caribbean.

Enhanced Livelihoods Investment Initiative

President Bill Clinton and Frank Giustra, Co-Founders of the Clinton Giustra Enterprise Partnership, Paul Polman, CEO of Unilever, Jacqueline Novogratz, Founder and CEO of Acumen, announced the collaboration today on a panel at the Clinton Global Initiative’s 2015 Winter Meeting in New York City.

Catalyze economic growth in low-income communities

The ELII will be a three-year, minimum USD \\$10 million investment initiative to catalyze economic growth and alleviate poverty amongst low-income communities in the developing world, while creating more inclusive and sustainable value chains. One of the primary goals of the partnership, which leverages Acumen’s and the Clinton Giustra Enterprise Partnership’s market-based approaches to poverty alleviation, will be to create and scale-up privately-held enterprises which will support smallholder farmers and link them to Unilever’s global supply chains and distribution networks.

“I’m excited about this partnership between the Clinton Giustra Enterprise Partnership, Acumen, and Unilever, which will improve the lives of smallholder farmers by bringing them into global markets and distribution networks, empowering hundreds and thousands of people to expand their skills and lift themselves from poverty,” said President Bill Clinton.

“We believe that in the long term, successful businesses can only be sustainable ones. Our vision is to decouple our growth from our environmental footprint and increase our positive social impact. We can only do this by working with others. This partnership has the potential to dramatically increase the scale of what we can do to support smallholder farmers, empower women across our supply chains and in turn help build sustainable, viable businesses that alleviate poverty. Ultimately, we see this as a new model for creating a vibrant ecosystem of enterprises across supply chains.” said Paul Polman, CEO of Unilever.

According to the International Fund on Agricultural Development, 2.5 billion people are involved in smallholder agriculture globally, accounting for an estimated 500 million small farms producing 80% of the food consumed in emerging markets, from Southern Asia to sub-Saharan Africa.

In addition, the increasing trend in global demand for food in developed as well as emerging countries, driven in part by population growth, has created opportunities for the expansion of smallholder agriculture.

However, many of these smallholder farmers face challenges to accessing and adopting beneficial agricultural innovations that can help pull them out of poverty, as the companies providing them with those products and services face a number of challenges in reaching these customers and achieving profitability. Leveraging the findings from a recent study(Link opens in a new window) titled Growing Prosperity: Developing Repeatable Models® to Scale the Adoption of Agricultural Innovations, Unilever’s, Acumen’s and the Clinton Giustra Enterprise Partnership’s investments will help these companies overcome these challenges.

Similarly, for corporations, responsible sourcing of raw agricultural products, which is a growing priority, relies heavily on the ability to enable farmers to run viable, profitable farms that can guarantee a reliable supply of raw materials while incorporating best practices in ethical farming. Building sustainable and inclusive supply chains must also extend beyond achieving reliable, high-quality sources for key commodities, and rather should lead to more prosperous communities with improved livelihoods and quality of life.

To overcome these barriers, the ELII has been specifically designed to create, invest in, and accelerate the growth of agricultural enterprises and innovative business models that can bring smallholder farmers into global markets while improving the livelihoods of their customers, families, and communities.

According to Acumen’s CEO and Founder, Jacqueline Novogratz, “It is my hope that this partnership will set a new standard for how social enterprises and corporations must work together if we are to achieve a shared vision of creating more inclusive economies that bring dignity and positive change to those traditionally left behind by traditional aid and capital markets.”

Frank Giustra, Founder of the Clinton Giustra Enterprise Partnership, said “This partnership builds on our years of experience and success creating and scaling enterprises globally that bring thousands of smallholder farmers and entrepreneurs into the supply chains and distribution networks of large multinational corporations, like Unilever. Under this model, entrepreneurs and farmers will gain access to capital and skills training – all essential tools needed to pull them out of poverty.”

All three organizations will engage their global teams across India, Africa, Latin America, and the Caribbean in a collaborative process to identify investments, provide capital and deliver technical expertise and capacity building to support enterprise development and impact measurement work.

Leveraging the findings from a recent study titled Growing Prosperity: Developing Repeatable Models® to Scale the Adoption of Agricultural Innovations, Unilever’s, Acumen’s and the Clinton...

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About Acumen

Acumen is working to change the way the world tackles poverty by investing in companies, leaders, and ideas. We invest patient capital in business models that deliver critical goods and services to the world’s poor, improving the lives of millions. Since 2001, Acumen has invested more than \\$88 million in 82 companies across South Asia and Africa. We are also working to build a global community of emerging leaders that believe in creating a more inclusive world through the tools of both business and philanthropy. Learn more at www.acumen.org(Link opens in a new window) and on Twitter @Acumen(Link opens in a new window).

About the Clinton Giustra Enterprise Partnership

The Clinton Giustra Enterprise Partnership established by President Bill Clinton and Canadian philanthropist Frank Giustra, combines the best of non-profit and for-profit approaches to create new enterprises that capitalize market opportunities to generate social impact and financial returns by addressing existing market gaps in developing country supply and distribution chains.

The Clinton Giustra Enterprise Partnership has been refining its approach for several years and believes there is great potential to enhance the economic and social benefits of marginalized communities by incorporating these individuals into one of three “market-driven” models – Distribution Enterprises, Supply Chain Enterprises, and Training Center Enterprises. Through these models, the Enterprise Partnership seeks to help people work themselves out of poverty. Learn more at www.CGEPartnership.com(Link opens in a new window), on Facebook at Facebook.com/CGEPartnership(Link opens in a new window) and on Twitter @CGEPartnership(Link opens in a new window)

About the Clinton Global Initiative

Established in 2005 by President Bill Clinton, the Clinton Global Initiative (CGI), an initiative of the Clinton Foundation, convenes global leaders to create and implement solutions to the world's most pressing challenges. CGI Annual Meetings have brought together more than 180 heads of state, 20 Nobel Prize laureates, and hundreds of leading CEOs, heads of foundations and NGOs, major philanthropists, and members of the media. To date, members of the CGI community have made more than 3,100 Commitments to Action, which have improved the lives of over 430 million people in more than 180 countries.

CGI also convenes CGI America, a meeting focused on collaborative solutions to economic recovery in the United States, and CGI University (CGI U), which brings together undergraduate and graduate students to address pressing challenges in their community or around the world. For more information, visit clintonglobalinitiative.org and follow us on Twitter @ClintonGlobal(Link opens in a new window) and Facebook at facebook.com/clintonglobalinitiative(Link opens in a new window).