Kilombero Valley Teak Company
Region and country of operations: Africa, Tanzania
Jurisdiction of registration: Tanzania
Business sector: Forestry
Date of agreement (month/year): 6/2021
Finnfund’s financing: USD 345,000
Share of Finnfund’s financing: 23%
Size of project/financing: USD 1,500,000
Environmental and social category: B+
Kilombero Valley Teak Company (KVTC) was established in 1992 and is one of the most innovative forest management projects in Africa, bringing a wide range of social, economic and environmental benefits to a remote area of Tanzania.
At the heart of the project are the planting and sustainable harvesting of plantation teak and the protection and management of over 20,000 ha of native forests and wetlands and a wide range of wildlife and flora within.
KVTC has established an integrated processing plant to produce timber and value-added product, bringing much needed long term employment and social development to the region.
Main development impact
Employment for over 300 people.
Support to the local economy through purchasing domestic goods, salaries and contributing to community development.