Outgrowers Program


OUR OUTGROWERS PROGRAM

IMC Plantations in order to ensure adequate quantity of Oil Palm fruit bunches and loose fruits of appreciate quality to operate its processing facilities for the production of palm products has promoted a programme called the Outgrower’s Scheme , the essential features of which, inter alia include technical and financial assistance for the cultivation of Oil Palm by farmers to produce palm fruit solely for sale to IMC Plantations.

The Outgrower Schemes, sometimes called "CONTRACT FARMING SCHEMES", involves a contractual relationship between small Farmers called OUTGROWERS and firms or Companies in the Commodity chain. These Companies often have a processing facility of the crop in question and with their own Plantation or not.

The two main types of Outgowers are the SCHEME OUTGROWERS and the UNSCHEMED OUTGROWERS. For schemed Outgrowers, the contracting Company often supplies the Farmers with some farm inputs and Technical advice. Sometimes called VERTICAL COORDINATION, the model of production allows the Companies to organize commodity chains in order to ensure security of supply, provide commodity of a standardized quality and maximize efficiency and profitability.

BENEFITS OF SCHEME TO FARMERS AND THE COMMUNITIES

Inputs Credit
IMC will provide credit in the form of improved high yield seedlings and fertilizers to participating plantations under the scheme. This eliminates the cash flow constraints that hinder investments for higher outputs often faced by plantation owners. The credit is paid off over the course of the year with palm fruit harvests.
Farm Management
Plantations can hand over management and care of their palm trees to IMC’s technical teams. Activities like harvesting, pruning, slashing, planting and fertilization will be carried out by highly trained and technically competent teams from IMC. Plantations will benefit from the same level of good agricultural practices and technical expertise employed in IMC’s plantation as well as farm management training by oil palm experts.
Assured Palm Bunch Off-take
IMC commits to off-taking palm bunch harvest from participating plantations at prevailing market prices. This eliminates market uncertainties and guarantees a fair price to participants.
Job Creation
4,000 direct and 19,000 indirect jobs through our outgrowers program and newly leased lands. Additional higher level jobs with health care workers, teachers, outgrowers’ program trainers. Also, ⦁ Participating in the IMC out grower scheme gives access to improved high yielding seedlings that can give up to 3times your current yield ⦁ IMC will arrange inputs financing for participating out growers, meaning that participants can manage cash flow better and pay with palm fruits at harvest. ⦁ IMC will also arrange for harvesting, pruning and other plantation care activities, allowing participants enjoy the benefits of professional care of their plantation. ⦁ Participating plantations can save up to 25% on farm labor costs. ⦁ Access to experienced palm plantation personnel from around Africa. ⦁ IMC will provide skilled farm labor to participating plantations at very affordable costs generally below current market prices. This means that the perennial search for skilled plantation workers is over. ⦁ An assured market for your palm fruit bunches at the prevailing market price, means that planned long-term investments in expansion and replanting becomes possible with the increased cash flows.
Criteria for Participation
Participation in the scheme is open to owners of plantations between 5 – 500 hectares in size. IMC will verify ownership and plantation size to qualify interested participants in the scheme.
Benefits of scheme to IMC Plantations and expectations:
The only benefit IMC Plantations will derive from the relationship with the farmers is getting more fruits to satisfy the throughput of the mill as the Company embarks on its replanting program. IMC’s vision and expectation is get 5,000 hectares of plantations in the OUTGROWER program.

IMC Plantations

OUTGROWERS PROGRAM