AGRA-KGS TECHNOLOGY JOINT VENTURE TO BOOST AGRICULTURAL PRODUCTIVITY ACROSS SUB-SAHARAN AFRICA
LETTER OF INTENT May 15, 2015
KGS Agro Group, LLC and its affiliates (“KGS”) and the Alliance for a Green Revolution in Africa and its affiliates (“AGRA”), collectively the “Parties”, have agreed to leverage advanced agricultural technology that enables smallholder farmers to leapfrog technological and agro- climatic constraints to significantly and immediately enhance farm productivity and yields in a highly cost-efficient manner. The Parties agree to jointly collaborate and work closely together as Technology Joint Venture partners to increase agricultural yield for smallholder farmers, thus improving farmer livelihood and enhancing food security in 17 breadbasket countries in Africa, namely, Burkina Faso, Ethiopia, Ghana, Kenya, Liberia, Malawi, Mali, Mozambique, Niger, Nigeria, Rwanda, Senegal, Sierra Leone, South Sudan, Tanzania, Uganda & Zambia (collectively referred to as the “Sub-Saharan Africa Focus Countries” in the document) as outlined in this Letter of Intent (“LOI”):
The purpose of this Agreement is to establish a general framework in which the Parties will cooperate on areas of common development interests including conducting field trials of KGS products, purchase and distribution of KGS products to smallholder farmers at a subsidized rate, and developing & distributing improved seeds, fertilizer, micronutrients, and other inputs for the Sub-Saharan Africa Focus Countries.
The points below detail the Parties’ understanding on the terms for field trials, purchase and distribution, and product development. Each Party will strictly maintain the confidentiality of information of other Parties.
Article 2 – Areas of Cooperation
(A) AGRA will test the Greenamax and Agronomax range of KGS products in the Sub- Saharan Africa Focus Countries. Field trials will be taken to test benefits including yield