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Current challenges and possible entry points
Shortage of trained workers
A major challenge for companies in Madagascar is the lack of adequately trained workers capable of producing internationally competitive goods. At the same time, many people in the country lack employment prospects and income opportunities. This is precisely where eligible projects can make a difference: through targeted knowledge transfer and the training of local skilled workers, skills gaps can be closed, quality jobs can be created, and resilient production systems can be established.
Market access and export capacity
The violation of international environmental and social standards is not only detrimental to people and the environment locally – it also limits the export capacity of Malagasy companies, as products may, for example, be barred from entering the EU market. This presents another important entry point for potential projects: by introducing appropriate labor standards or implementing organic certification, companies can not only improve their social and environmental sustainability but also unlock access to important new markets.
The complete conditions of participation for develoPPP Ventures can be found here:
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Project examples
Local spice producer strengthens supply chain resilience and increases smallholder incomes
Madagascar’s agricultural sector employs around 80% of the population and is therefore a key pillar of the local economy. At the same time, this crucial sector is exposed to a range of risks, including international competitive pressure, volatile global market prices, and the long-term impacts of climate change. As a locally rooted yet internationally operating company, Floribis S.A.R.L.U. faces challenges such as unstable supply volumes, fluctuating product quality, and a lack of certifications among smallholder farmers, all of which hinder reliable access to international premium markets. To address these challenges, the company, in cooperation with the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, has supported the implementation of climate-resilient cultivation methods, smart farming approaches, and, as a result, sustainable productivity improvements. These efforts have significantly strengthened agricultural value chains and improved the incomes and livelihoods of more than 1,800 producers.
Malagasy and European companies jointly strengthen resilient supply chains
Madagascar is an important producer of spices, yet export-oriented companies face a key challenge: there is a lack of sufficient volumes of high-quality and certified raw materials to meet demand in European markets. A develoPPP project of the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH brings together the Malagasy exporter Phael Flor Export and the French company Arcardie SA to build stable and certified supply chains. To date, around 1,500 producers have been trained in climate-resilient agriculture, and 200 households have been strengthened through financial literacy training and savings groups. As a result, smallholder farmers benefit from more stable incomes, while companies gain from guaranteed quality, more reliable supply chains, and improved export opportunities to Europe.
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For questions regarding already concrete projects please contact the team of your implementing partner
