Miro Forestry Company
Region and country of operations: Africa, Ghana and Sierra Leone
Jurisdiction of registration: United Kingdom
Business sector: Forestry and wood products
Date of agreement (month/year): 11/2018 (2014, 2015 not disclosed)
Finnfund’s financing: USD 8,065,115
Share of Finnfund’s financing: 31%
Size of project/financing: USD 25,000,000
Environmental and social category: B+
Miro Forestry Company Limited is a private forestry development company with operations in Ghana and Sierra Leone. The Company’s local operating companies have landholdings in Ghana and Sierra Leone amounting to a total of over 30,000 ha (gross). Current planted area covers an area of 12,000 hectares, of which 60% in Ghana and rest in Sierra Leone. The Company’s medium term target is to continue plantation development and to enter into the local wood products markets – mainly sawmilling products, plywood and electricity transmission poles. Finnfund’s investment has been primarily used for the plantation establishment and expansion.
Main development impact
Currently the operating companies employ over 1,400 people directly. It is assumed that once the operations are fully scaled up, the company’s operations will provide income to 5,000 people. In both countries as part of the Company’s land-use arrangements, the company will pay a profit share to the local communities once the company starts making profit. Over time this will provide the local communities with significant income. Approximately 1% of the company’s annual budget is set aside for community projects which focus on education, access to water and healthcare. Plantation development combined with protection of natural habitats has significant positive climate and environmental impacts in highly deforested regions.