Case for olivie trees in Tunisia

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Sprinkly Partners

Sprinkly Partners is a private company registered in Belgium since 2018. Sprinkly Partners' vision is to be recognized among olive tree companies in Tunisia in a responsible and sustainable way, while maximizing value creation for investors and the local community through innovative technical solutions Sprinkly Partners' objective is to develop olive groves over a total area of around 1000 hectares within one year.

Introduction

Over the millennia, the olive tree has shaped the landscapes, history, culture and gastronomy of the Mediterranean basin, which is still today the productive and commercial heart of olive oil. Tunisia is the most important olive-growing country in the southern Mediterranean. In 2014/2015, excluding Spain, Tunisia is the world's largest power in the olive oil sector in terms of production, making major efforts to restructure, modernise and improve the quality of its oils, accompanied by a considerable expansion of land. Tunisia is also the world's largest exporter of olive oil, with 300,000 tonnes during this period. The challenge for Tunisia will be to ensure a permanent adjustment of its olive oil policy and to develop and implement competitive strategies enabling it to take advantage of these new opportunities and strengthen its competitiveness.

Sprinkly Partners

Why olive trees in the south of the Mediterranean basin?

The species that is cultivated in the Mediterranean world is Olea europaea. The varieties are mainly Chemlali and Chétoui. The olive tree is distinguished from other fruit species by its long life span.

The species that is cultivated in the Mediterranean world is Olea europaea. The varieties are mainly Chemlali and Chétoui. The olive tree is distinguished from other fruit species by its long life span.

It has beneficial properties for health, especially cardiovascular health, thanks to its content of vitamin A, vitamin E and mono unsaturated fatty acids. The benefits related to vitamins are mainly observed when consuming raw oil, such as in salads.

Export price of virgin olive oil (Tunisia)

Export price of virgin olive oil (Tunisia)

Trends for the export price of virgin olive oil in Tunisia

The price of virgin olive oil is, paradoxically, very little sensitive to the quantities produced. Thus, between 2017 and 2018, production increased by nearly 325%, while prices increased at the same time.

Since 2013, prices have increased by an average of 10% per year, while export volumes have risen from 127,000 tonnes to 176,000 tonnes. The factors are obviously varied, but demand is constantly increasing.

Rationals

Why olive oil in Tunisia?

  • In the very positive context described above, we aim to achieve a net return to the investor equal or superior to 8%per year without compromising either socially or environmentally.
  • Financial benefits: subsidies (up to 50% for some equipment) for agricultural investments
  • A wide range of agricultural land suitable for olive tree cultivation is available
  • Large quantities of groundwater are potentially available for irrigation
  • Close proximity to the European market
  • The Mediterranean climate is perfectly suited for olive growing
  • This project will be managed transparently by the Sprinkly Partners team, with its agricultural engineers, agro-business specialists, project managers and financiers
  • Excellent command of local and international languages as well as local legislation and professional practices and costs
  • Very good knowledge of the different local administrations and the ways of interacting with them to obtain authorizations, subsidies and various supports
  • 54 agreements have been signed with various countries to protect foreign investment
  • The political transition in Tunisia has been gradual and much less chaotic than in other countries (compared for example with Egypt or Libya), which has enabled the country to create an overall positive environment in terms of business and investment
  • The Tunisian economy can count on a young and qualified workforce, with very competitive costs in terms of wages

Perhaps the most important: a highly experienced team

Sprinkly Partners' management team has a long and proven track record in terms of project execution and value creation, whether technically, commercially or financially. The team includes Yves Speeckaert, Slim Kechaou, Yousra Abou Messaad, Cédric Biart, Jean-Sébastien Debusschere and other professionals, with a total of more than 90 years of cumulative experience in the fields of agroforestry and/or finance, having delivered first-class performances.