Proparco lends US$5.9M to SOGUIPAL for yoghurt production, packaging expansion

GUINEA – Proparco has granted a €5 million (US$5.87 million) loan to Société Guinéenne de Produits Alimentaires (SOGUIPAL) to significantly increase its yoghurt production capacity and fund packaging equipment as part of a wider €7.2 million (US$8.45 million) investment programme.

French development finance institution Proparco’s financing will support the expansion of SOGUIPAL’s yoghurt production facility in Coyah, on the outskirts of Conakry, and finance the working capital requirements associated with the increase in production. 

The new production line will add six tonnes of yoghurt per day, bringing the plant’s total production capacity to 15 tonnes per day. 

French industrial expertise will support the project, with Tecnal supplying production equipment and Erca providing part of the packaging equipment.

Packaging Equipment Anchors Product Shelf Life and Distribution

Erca’s involvement is critical to the expansion, as yoghurt packaging requires precise filling, sealing and barrier properties to preserve product quality during distribution. 

Yoghurt is highly perishable and sensitive to temperature fluctuations, making packaging format selection essential for extending shelf life and enabling distribution across Guinea and neighbouring countries. 

The investment covers filling machines and packaging materials suited to the Best Yaourt brand’s retail formats, allowing the company to scale output while maintaining hygiene and product integrity across its distribution network.

Local Production Targets Import Dependence

Founded in 2011 by Guinean entrepreneur Ibrahima Diallo, SOGUIPAL is the agro-industrial subsidiary of the Comptoir Commercial Général group. 

The company currently produces and packages yoghurt, powdered milk, tomato paste, mayonnaise and margarine, marketed through a distribution network spanning Guinea and several countries in the sub-region. 

Guinea’s dairy sector remains heavily dependent on imports, making domestic processing capacity important for reducing foreign exchange expenditure and supply chain vulnerability.

Leadership Frames Investment as Industrial Milestone

Ibrahima Diallo, chairman and chief executive officer of SOGUIPAL, said the project marked another important milestone in the company’s development, adding that increasing production capacity would enable it to meet growing demand for high-quality, locally produced products. 

He noted that beyond expanding industrial facilities, the investment would strengthen the company’s contribution to employment, local processing and development of Guinea’s food processing industry. 

Sadio Dicko, Proparco’s regional director for West Africa, said the financing supported a Guinean entrepreneur who had built a company into a leading industrial player, adding that developing local food processing capacity was essential to strengthening West African economic resilience.

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