In northern Ghana, Savannah & Sahel Commodities (SSCL) is addressing chronic child malnutrition through a social enterprise model. This initiative, established in collaboration with the University of Development Studies in Tamale and the University of York, culminated in 2023 with the launch of C-Real, a fortified cereal made from locally sourced maize, rice, and soybeans.
Funded by Innovate UK, the partnership aimed to create a nutritious product while generating economic opportunities in one of Ghana’s most impoverished areas. The project yielded positive outcomes: farmers reported increased incomes and financial stability, transitioning to regenerative farming practices that significantly reduced fertilizer costs and boosted yields by approximately 30%. Women were further empowered, with fifty-seven securing jobs in cereal processing and distribution. The product is now being distributed to local health clinics and markets, contributing to 10% of SSCL’s income with gross margins exceeding 40%.
While the venture exemplifies “shared value”—the notion that businesses can support societal advancements while remaining competitive—SSCL now faces a crucial decision regarding its future growth strategy. Expanding into urban markets such as Accra and Kumasi could enhance brand visibility and attract investment but also poses risks, including competition with established multinational brands like Nestlé. Alternatively, focusing on local consolidation may preserve the company’s mission but limit growth potential in a competitive landscape.
The upcoming commissioning of a new factory aims to increase cereal production, representing a strategic pivot for SSCL. As CEO Senyo Kpelly emphasizes, finding the balance between social goals and financial sustainability is essential in building resilient supply chains.
Why this story matters:
- Highlights the intersection of social enterprise and economic development.
Key takeaway:
- The challenge of scaling socially-oriented businesses against established competitors.
Opposing viewpoint:
- The emphasis on rapid growth could dilute the social mission and community impact.
