2021

ANNUAL
IMPACT REPORT
January – December 2021

Photo Credit: Tom Epperson

 TABLE OF CONTENTS
Welcome 2
About the Meloy Fund 3
Impact in Numbers 7
Impact Approach 8
Our COVID-19 Response 10
Impact in Action 12

1 | Annual Impact Report Jan-Dec 2021

 The Meloy Fund was created to demonstrate a new paradigm for
impact investing in a previously neglected sector – the near-shore
parts of the oceans that houses the majority of marine biodiversity

WELCOME
and supports millions of jobs for coastal communities. We invest in
enterprises to achieve triple-bottom-line results, that is, financial,
social, and environmental gains derived by adopting ESG-
forward, responsible business practices. This report provides an
update on the Fund’s 2021 impact results, and contains detailed
examples of how we work hand-in-hand with our investees – and
other community, NGO, and government partners – to realize this
vision.

Coastal fisheries, and the supply chains linked to them, are

often disaggregated, inefficient, and sub-optimally managed.
The Meloy Fund, in combination with our Technical Assistance
Facility, sets out to address these deficiencies by connecting
disparate dots and reforming supply chains, creating value that
can be shared among fishers, businesses, and investors.

We’re proud to present this most recent Annual Impact Report, to

explain our evolving approach and the progress our investment
portfolio has made in adopting responsible practices, and moving
the needle towards sustainability for coastal fisheries and
aquaculture.

While there is much work to do, we are pleased to see meaningful

results both in the water and on the balance sheets of our portfolio
companies. We appreciate your interest and support, and will
provide further updates as we work together to improve coastal
ecosystems on behalf of people and nature.

Dale Galvin
Fund Manager
CEO, Deliberate Capital
2 | Annual Impact Report Jan-Dec 2021
 ABOUT THE
MELOY FUND Coastal fisheries are in crisis. Thirty-four percent of coastal fish
stocks are considered overfished or in collapse. The situation is
particularly dire in the developing tropics where near-shore
ecosystems provide 50% of the fish caught and over 90% of total
fishing sector employment, providing food security and sustaining
livelihoods for climate-vulnerable coastal communities.

The Meloy Fund for sustainable community fisheries is the first

impact fund focused solely on supporting enterprises that
participate in the coastal economies of the developing tropics.
Sponsored by Rare and managed by Deliberate
Capital, the Fund was established to direct private
capital to fishing and seafood-related small and
medium-sized enterprises (SMEs) in coastal communities to support
their growth and incentivize the adoption of sustainable practices
and operations. The Fund invests to help these SMEs become
responsible businesses that comply with environmental, social, and
governance (ESG) practices, generate triple-bottom-line results,
and serve as catalysts for increasing sustainable fisheries
management.

3 | Annual Impact Report Jan-Dec 2021

 The Fund estimates that in its target geographies of Indonesia and the Philippines alone,
managing coastal fisheries sustainably can create upwards of $4 billion of value, benefitting
over four million fishers and improving over 20 million hectares of coastal habitat.

4.3 million 2.7 million 21 million $4 billion

small scale fishermen tons of fish hectares of critical latent value in small
marine habitat scale fisheries

4 | Annual Impact Report Jan-Dec 2021

THE MELOY FUND’S PRIMARY OBJECTIVES ARE TO:
Transform businesses: Support SMEs that impact coastal ecosystems,
including those involved in wild-caught seafood, mariculture, and
aquaculture supply chains, in an effort to modernize their operations,
improve their ESG characteristics, help them expand into new markets,
and implement value-added processes that reduce costs and/or
improve revenues for local fishers.

Transform supply chains: Ensure that supply chains support a path-

way to coastal natural resource sustainability, including enabling tech-
nologies (fintech, agtech, traceability, etc.), cold chain infrastructure,
green (ocean-friendly) materials and waste management, and more
sustainable inputs (e.g., feed and gear).

Transform sectors: Pursue sector-building investments such as market

platforms, creative financing to reduce indebtedness and increase
equity for fishers, certification and labeling schemes, climate-smart
adaptations, and more.

5 | Annual Impact Report Jan-Dec 2021

 The Fund achieves its objectives by investing
in three sub-sectors impacting coastal ecosystems:

1 Wild caught species 2 Mariculture that can serve as 3 Aquaculture that can be improved
that are most valuable a complementary or substitute to reduce environmental degradation and
for coastal communities; income for fishers; protect threatened mangroves.

The Meloy Fund pursues investments in

businesses willing to engage responsibly in
relevant supply chains or otherwise support a
transition to sustainability. Portfolio companies Processor

range from seafood processors to aquaculture

farms, and include those providing enabling
technologies. Investments have the potential to:

• Improve supply chain economics such that coastal communities may

benefit, including increasing household income;
• Provide incentives to reduce fishing pressure or otherwise hasten the
transition to sustainable ecosystem or fishery management.

Number of household members

positively impacted. Hectares of seascape
The Meloy Fund Jobs created or supported
are under improved
primary impact metrics: Aggregate annual purchases (permanent and temporary).
management.
from fishers/farmers.

6 | Annual Impact Report Jan-Dec 2021

 IMPACT
IN
NUMBERS
Portfolio Companies

Impacts Achieved To Date

853 jobs USD 17.2 M 61,153 732,244 hectares

(permanent and aggregate annual purchases household members of seascape are under
temporary). from fishers/farmers. positively impacted. improved management.

7 | Annual Impact Report Jan-Dec 2021

 IMPACT
APPROACH

8 | Annual Impact Report Jan-Dec 2021

From Minimizing Risks...
The Meloy Fund applies the IFC’s Performance Standards Technical assistance projects are funded through the Fund’s Technical Assistance Facility, which
to categorize and identify ESG risks in the due diligence provides grants and in-kind support additional to any equity or debt investment. The Technical
process, as well as the areas that need improvement in Assistance Facility focuses on adding value in two major categories:
order to achieve the Fund’s key impact goals. This process
results in a Corrective Action Plan for each investee.
Business
Improvement Services:
Focused on improving investees’ financial
management, operational efficiencies,
corporate governance, and strategic
planning, including meeting international
food quality standards.

Fisheries
Technical Assistance:
Focused on improving fishers’ livelihoods,
leading to sustainable fisheries manage-
ment. Includes fisher engagement and
loyalty programs, supporting existing or
development of new Fishery Improvement
Projects (FIP) where none exists, health
and safety training, quality improvement
initiatives, and more.
...to Maximizing Positive Impact Photo Credit: Tom Epperson

Based on each Corrective Action Plan, the Fund The Fund’s TA Facility is supported by:
co-develops Technical Assistance (TA) projects with its
investees. As part of that process, which includes
collaboration with other key stakeholders, the Fund better
understands the challenges its investees face.

9 | Annual Impact Report Jan-Dec 2021

 The Meloy Fund adopted a comprehensive response to the
pandemic to support the Fund’s portfolio and the coastal
communities engaged in our investees’ supply chains.
Initiatives focused on:

#1: Ensuring companies’ on-going financial viability

Providing continued liquidity to our portfolio companies and other small businesses
in need has contributed both impact and financial returns to the Fund. For our

OUR COVID-19
portfolio, the Fund offered forbearance on loan payments as needed, and
extended loan tenors to reduce cash flow pressures. Through our purpose-built Rapid
Response Loan Program, we provided supply chain financing to ensure that
purchasing of raw materials from local fishers and farmers could resume, even as

RESPONSE
trade terms from multinational corporations worsened.

#2: Encouraging companies to provide

ongoing employment and support to employees
We initiated Health & Safety trainings to support strict COVID-19 outbreak
mitigation efforts, helping our investees operate safely.
Government restrictions and localized lockdowns due to the COVID-19
pandemic had a significant impact on operations for the Fund’s investees,
and initial shutdowns caused global demand for seafood to plummet. A
steep decline in orders led seafood processors and exporters to reduce the
#3: Assisting small-scale fishers that supply our companies
amount of seafood they purchased from small-scale fishers. The pandemic
Via our Technical Assistance Facility, approximately 1,000 fishers engaged with our
complicated logistics and increased costs, and facilities strained to operate portfolio companies received a fisher aid relief kit of food and health and safety
safely. Many small-scale fishers lost their main source of income. gear (see next page), benefitting more than 5,000 community members and
enabling some level of fishing to resume safely.

10 | Annual Impact Report Jan-Dec 2021

 Through our efforts, the following relief supplies were provided to fishers and their communities:

49,110 Packets of noodles

52,500 Kg of rice
6,440 Pieces of face masks
900 Kg of sugar
3,000 Bars of antibacterial soaps
1,500 Liters of oil
300 Buckets for handwashing
2,760 Cans of corned beef
3 Sprayers
19,320 Cans of sardine
632 Liters of disinfectant
13,800 Sachets of coffee

11 | Annual Impact Report Jan-Dec 2021

 IMPACT
IN ACTION
This section provides insights into the
Fund’s transformative investments,
and how effective deployment of
the Technical Assistance Facility is
creating change at the local level.

12 | Annual Impact Report Jan-Dec 2021

 Meliomar’s primary product is marketed through its The Solution
Artesmar brand, which recognizes two distinctive • The Fund’s TA facility supported Meliomar in training
aspects of many artisanal small-scale fisheries: its high 600 fishers to improve post-harvest practices leading
catch selectivity and reliance on low impact capture to a higher quality catch;
gear.
• Meliomar then pre-financed fishing trips for seven
Through Artesmar, Meliomar provides a way for vessels, covering food, fuel, ice, and allowances for the
small-scale fishers to receive market recognition and fishers. This allowed Meliomar to buy the entire catch
incentives through a Fishery Improvement Project (FIP) while still providing quality-based incentive pricing.
initiated by Meliomar’s parent company, as a pathway
towards potential Marine Stewardship Council Providing pre-financing reduced interest costs and fisher
certification. indebtedness. When combined with Meliomar's incentive
pricing, the project:

Goal of the investment

The Fund financed a loan for Meliomar to build an
IT-based traceability system, upgrade its processing
facility and logistics, and increase its working capital to
WILD CAUGHT ensure cash on delivery for local fishers. The investment
helps to fulfill Artesmar’s brand promise to
professionally manage seafood supply chains based on Increased revenues for Improved the percentage of
traceability, consistent quality, food safety and fishers by 12% to 130% high-grade tuna caught from
per vessel; 18% to 46%, thereby reducing
transparency. waste and over-fishing.

About the company Technical Assistance

Meliomar Inc. is a sustainable seafood processing
company in the Philippines that sources yellowfin tuna Facility highlights This model gave Meliomar better access to a traceable,
sustainably sourced, higher-quality supply at a lower
caught by artisanal small-scale fishers using price than they would typically pay (even with its
While the Fund’s loan helped Meliomar to improve
handlines, and processes the catch in Manila. incentive model).
traceability and cashflow, challenges remained that
were addressed through funding from the TA Facility.
At the same time, this TA project also supports the
Why The Meloy Fund The Challenge
Meliomar uses a selective purchasing model, buying
implementation of the FIP by enabling a first-time
observer program on small vessels to gather data on
invested only high-grade tuna at a higher-than-average price to
encourage fishers to increase the percentage of
primary, secondary, endangered, threatened, or
protected (ETP) species and bycatch at sea.
Meliomar sources its tuna from artisanal tuna high-quality tuna in their catch. However, fishers are
single-hook handline fisheries. These fisheries comprise accustomed to selling most or all of their tuna at a
of 6,000 – 8,000 vessels that support 50,000 – 80,000 common price to a single supplier, and catching
households. high-quality tuna requires a higher investment per trip,
which many vessel owners or buyers are not willing, or
cannot afford, to finance.

13 | Annual Impact Report Jan-Dec 2021

 FROM
IMPACT OUR PARTNERS

Meliomar sources from:

2,526 fishers, benefitting 111,000 hectares of seascape are

12,630 household members under improved management

In all sites from which tuna sourced, Meliomar’s Fishery Improvement Project
Meliomar: (FIP) focuses on: Oscar Almaden, Ricky Ramintas,
Chief Procurement Officer Captain of Fishing Vessel
• Conduct safety-at-sea workshops and • Educating fishers and traders on their
“The objective of this TA project is to “My fellow captains, fishers and I are
provide safety-at-sea gear to the role in eliminating illegal, unreported, change the mindset of fishers and traders happy with the tuna quality improvement
most cooperative fishers; and unregulated (IUU) fishing to ensure from ‘Quantity is Money’ to ‘Quality is project as it gives us a big advantage
sustainable resources for all; Money’. compared to other captains - from the
• Conduct workshops on tuna quality allowance, ice, high price and incentive.
improvement protocols; • Registering and licensing vessels; Although the pandemic made it difficult As a result, the grade of the fish is good.
for us to optimize our pricing incentives, I
• Ensure that tuna grading is clear for • Implementing a catch documentation am still very proud to say that after one
both fishers and traders to prevent scheme; year, this project greatly improved the
way fish catch is handled, not only by the
traders from exploiting fishers.
captains and fishers of the participating
• Establishing consistent data gathering to fishing vessels but by all fishers that we
develop resource access rights and have conducted meaningful workshops
support informed fishery management with.”
decisions.

14 | Annual Impact Report Jan-Dec 2021

 Goal of the investment Technical Assistance
Facility highlights
Prior to the Meloy Fund’s investment in 2018, Agrita Alongside the Fund’s loan, the TA Facility supported
sourced octopus from approximately 1,000 Agrita’s sustainability journey in many ways:
small-scale fishers and processed the catch in a
rented facility.
2019
The Fund financed a loan for Agrita to build a new, o Achieved HACCP certification
professionally-managed, processing facility and
increase working capital, allowing the company to
source from more smallholder fishers. With its own
2020
processing facility, Agrita can comply with o Distributed relief kits comprising of food staples
international standards, meet buyers’ requirements, to 300 fishers when the company could not
and diversify its market. source from those fishers.
o With HACCP certification, Agrita was able to
WILD CAUGHT obtain U.S. FDA approval to export to the U.S.
The Meloy Fund introduced Agrita to a U.S.-
based seafood importer and the company has
been exporting octopus to the U.S. regularly.

About the company 2021

PT Agrita Best Seafood, an octopus processing
company based in Indonesia, was founded in 2010 o The U.S. importer requested sustainably sourced
by a husband-and-wife team, Anita Njoo and Nikos octopus and the TA Facility is supporting Agrita
to initiate a FIP with key local stakeholders in
Vlachos.
East Nusa Tenggara (ENT) province, Agrita’s
primary sourcing location. The FIP aims to
Why The Meloy Fund address the most pressing management needs

invested for this regional octopus fishery, which currently

lacks data, is unregulated and does not provide
As one of the few processing companies that specializes regular reporting.
in octopus, Agrita is well known for its quality. From the o In November 2021, the first multi-stakeholder
beginning, Agrita has known that having a close gathering was held in ENT with Agrita,
relationship with its fishers was critical to its success. It the provincial and district local government,
offers pricing differentiated by size (including not local NGOs, academia, fishers, and buyers to
accepting octopus below a minimum size) and quality to discuss the vision, workplan, and joint activities
properly incentivize fishers. for the FIP.

15 | Annual Impact Report Jan-Dec 2021

 FROM
IMPACT OUR PARTNERS

Agrita sources from:

1,500 fishers, benefiting 252,000 hectares of seascape are

6,000 household members now under improved management

Agrita offers a comprehensive fisher The octopus FIP in ENT will focus on:
engagement program including: Anita Njoo, Wandi,
• Collecting data to inform the impact of CEO of Agrita Best Seafood Fish buyer
• Incentive pricing based on quality and the catch on primary, secondary and ETP
“The Meloy Fund’s investment helped us “What I think about when selling octopus is
size, which goes into a savings fund species, as well as on the habitat, to realize our dream of having our own not just the price. The times when it’s difficult
for fishers; support regional octopus fisheries processing facility. and when it’s easy - that’s what I think about.
management;
During COVID-19, with the Fund’s support,
• Training fishers on how best to pack Last night, someone offered to buy my
we were able to provide food supplies to our octopus. It’s simple for me. I just asked him,
and handle octopus; • Helping fishers to adopt best practices to fishers, and the fishers are starting to feel it - “When I was having trouble yesterday and in
increase octopus quality and fishers’ we’re the only company that did not abandon previous years, where were you?” He couldn’t
• Supporting fishers with vessel licensing income; them during the pandemic. Now that the answer.
and applications for subsidized market is reopening, many traders are
coming to Flores. Even though others may pay So that’s what I think about. Price is a second-
diesel; • Collaborating with other NGOs active in more, the fishers still come to Agrita because,
Indonesian octopus fisheries to move ary issue. We need to remember who was
as they say, ‘I remember eating the rice that there for us. That’s why I only sell to Agrita.
• A lower price for ice. towards a national FIP, where data you gave me.’ I’ve never sold to other places.”
collected can contribute to a national
assessment to inform harvest strategy We also reinforce the message that sustain-
ability is very important. The bigger the
and control rules. octopus, the more money we can all get.”

16 | Annual Impact Report Jan-Dec 2021

 Why The Meloy Fund Technical Assistance
invested Facility highlights
Koltiva recognizes that there is no sustainability for Koltiva’s marine-based product SeaweedTrace is
smallholder farmers without product traceability to the relatively new, and the TA Facility has significant
field. Koltiva’s competitive advantage is a combination opportunities to support the company in strengthening
of proprietary technologies (Software as a Service, the environmental and social impacts of using
fintech) and “boots on the ground” services where SeaweedTrace. From Koltiva’s experience, traceability
Koltiva’s field agents provide supplier training and alone may not offer enough incentive for ongoing use
farmer coaching, digital advisory services, and knowl- by seaweed traders, processors and their suppliers
edge sharing. Koltiva uniquely services both farmers unless buyers require sustainability and traceability
and multinationals to create more sustainable and data.
transparent supply chains to address the triple
challenge of increasing smallholder farmers’ income, The proposed TA project focuses on providing
enhancing environmental protections, and improving additional benefits to various players along the supply
trade transparency. chain when they continue to use Koltiva’s
SeaweedTrace’s End-to-End Platform. This project will
While Koltiva initially focused on the agriculture sector, target 880 seaweed farmers in Indonesia and the
MARICULTURE it recently completed trials in the seaweed market for
both Cargill and Mars and is keen to expand into the
Philippines with the following objectives:

aquaculture sector. The Fund views this as a unique a) Increase farmer’s income by at least 10%,
opportunity to use proven technologies for land-based verified through traceable sales volumes, farm
commodities to improve coastal communities’ livelihoods gate prices, and downstream profit analyses;
and promote environmental sustainability in Indonesia
and the Philippines. b) Promote environmental sustainability by training
farmers on improved siting of seaweed farms and
About the company reduced plastic pollution. Another goal is to show

Goal of the investment that seaweed farming can be a viable alternative

livelihood for fishers by increasing income and
reducing risks associated with seaweed farming.
PT Koltiva is an integrated agriculture/aquaculture
The Meloy Fund’s investment will allow Koltiva to: This will reduce fishing pressure if managed within
technology company that uses proprietary a Marine Protected Area.
technologies and services to enhance global supply • Grow its seaweed product lines and expand into other
chain traceability, inclusiveness, and sustainability. coastal aquaculture segments to improve farmers’
livelihoods; These efforts are closely tied to the quality
Established in 2013, Koltiva’s solutions are now used requirements of seaweed traders and processors and
by multinational companies and suppliers, including • Increase the company’s ability to expand its solutions are designed to create ongoing relationships and
330,000 farmers in 26 countries, for agriculture to include digital finance features that help farmers provide reciprocal benefits across different parts of the
commodities such as cocoa, coffee, rubber, palm, etc. and fishers access capital through eLoans, eMoney, supply chain from the adoption of sustainable seaweed
and ePayment, greatly improving their liquidity. farming practices.

17 | Annual Impact Report Jan-Dec 2021

 FROM
OUR PARTNERS
IMPACT

5,810 seaweed farmers are using 16,139 hectares of seascape are

Koltiva’s solutions, benefiting 23,240 under improved management
household members Manfred Borer,
The process of cultivating seaweed does
CEO of Koltiva
FarmCloud, Koltiva’s mobile application, provides not require freshwater or arable land,
farmers with access to farm inputs and connects and generally does not use chemicals.
them with traders and collectors in real-time to Furthermore, seaweed aquaculture has “The Meloy Fund shares our vision of making
access price and quality information or arrange the potential to remove excessive nutrient supply chains more inclusive, to go beyond
pick-ups of products. Koltiva is releasing new inputs in coastal waters and harbors
more fish and invertebrates.
traceability and certification and ultimately to
features that will further help farmers to:
improve fisher and farmers’ livelihoods and
• Better plan their seaweed production and provide customers with enhanced transparency on
improve agriculture practices; the sustainability of the products they purchase.”

• Receive and make cashless payments, including

payments for key inputs like seedlings.

18 | Annual Impact Report Jan-Dec 2021

 Why The Meloy Fund Technical Assistance
invested Facility highlights
Agromar sources high-quality seaweed from over The pandemic affected seaweed farmers in several
1,200 small-scale farmers, and has been working with ways. Enforcement of community quarantines posed
most of them for more than seven years. Agromar has challenges for logistics, public transport, and
strong relationship with its suppliers and has helped to production, among others. However, farmers continue to
establish several cooperatives that provide technical grow seaweed, as it is their main source of earning
and financial assistance to seaweed farmers. a living.

To improve the resilience of the seaweed farmers and

Goal of the investment support business continuity for Agromar, the Fund, in
partnership with the University of Philippines Los Banos
(UPLB), provided TA support to Kasayangan Nursery
Agromar received financing from the Meloy Fund Seaweed Enterprise (KNSE), the farmer association that
through RRLP, the Fund’s direct response to the pandemic supplies Agromar, in the form of a solar-powered
that provided short-term loans to SMEs so that they seaweed dryer that ensures better quality and thus
could resume business operations, continue to employ higher prices for seaweed farmers. KNSE provided the
their staff, and make key purchases from local fishers
MARICULTURE and aquaculture farmers.
labor to construct the dryer based on a design by UPLB.
This was followed by training by UPLB on how to
operate the dryer, maintenance tips and safety
To serve its existing purchase orders and increase its measures.
output, Agromar needed working capital to fund the
gap between the time seaweed was purchased from The Philippines’ Department of Science and Technology
farmers to the time it collected from its customers. The analyzed data from initial tests of the dryer, showing
RRLP allowed Agromar to continuously source raw positive results in terms of yield and decreased drying
About the company materials and provide income to seaweed farmers
during the pandemic.
time. The dryer’s benefits are expected to increase
further during the rainy season when proper drying of
seaweed is more difficult.
Agromar Enterprises is a seaweed trading company
based in Zamboanga, Philippines. Since the 1980s,
Agromar has worked with seaweed farmers to
cultivate high-quality seaweed that meets
international standards.

19 | Annual Impact Report Jan-Dec 2021

 FROM
OUR PARTNERS

Soraida Omar,
IMPACT CEO of Agromar Enterprise
“During the COVID-19 pandemic, the Meloy Fund
helped us to bridge our receivables gap, so our
network of suppliers is growing. The Fund also
provided us with training to enhance safety protocols
in our work area. Our supplier benefited from a
seaweed solar drying facility financed by the Meloy
Fund to reduce drying time and improve quality and
Agromar sources from 1,455 fishers, 6,693 hectares of seascape are price for farmers. Despite the pandemic, Meloy Fund
benefitting 7,275 household members. under improved management. allowed us to grow and employ more fisherfolks in
our community.”

20 | Annual Impact Report Jan-Dec 2021

 Why The Meloy Fund Goal of the investment
invested The Meloy Fund’s investment, along with other investors
such as Mirova and Real Tech Fund, will bolster Jala’s
trading business by allowing the development of a
While Indonesia’s government aims to increase the
separate marketplace platform and traceability
value of its shrimp exports by 250% by 2024, 800,000
technologies which will facilitate entry into the premium
hectares of mangroves in Indonesia have already been
shrimp market segment. The additional capital will also
lost to shrimp aquaculture over the last 30 years.
allow Jala to enhance its farm management technology
by integrating other hardware devices into its farm
To reach the government’s 2024 target without
management platform and to develop automated
increasing the land burden requires a sustainable
predictive analytics and insights.
intensification of shrimp farming. That means
(a) increasing productivity per hectare of existing

AQUACULTURE shrimp ponds, (b) minimizing the percentage of feed

comprised of wild-caught fish, (c) ensuring zero Potential Technical
deforestation of mangrove ecosystems, and (d)
properly treating effluent to reduce ocean pollution. Assistance projects
The Fund sees Jala as key to achieving these goals by The Fund is in early discussions to provide TA support to
helping aquaculture producers to monitor pond Jala in the following areas:
conditions and make optimal farm management
decisions using Jala’s hardware and software that offer: • Supporting farms co-managed by Jala to obtain
About the company • Accurately measured water quality for shrimp ponds;
Aquaculture Stewardship Council (ASC) certification;

• Improving effluent management, from site selection

• A platform with up-to-date shrimp growth information, based on existing effluent management infrastructure
Jalatech Pte. Ltd. (Jala) is a shrimp farming and harvest predictions, financial management and and environmental carrying capacity assessments, to
trading technology company that provides disease alerts; regular monitoring through Jala’s Shrimp Lab;
data-driven management solutions to help transform
the shrimp aquaculture business in Indonesia into a • A marketplace that directly connects shrimp farmers • Minimizing any potential impact on existing mangrove
more sustainable industry. with processing companies, allowing the farmers to ecosystems and/or maximize any potential for
become more competitive in the supply chain. restoration of those ecosystems.

21 | Annual Impact Report Jan-Dec 2021

 FROM
OUR PARTNERS

IMPACT
Liris Maduningtyas,
Co-founder and CEO Jala
“We are delighted to receive this new
306 shrimp farmers actively use Jala’s 70 hectares of shrimp pond are under funding, which will be instrumental in
solutions, benefitting 1,224 household improved management. helping us achieve our goals of
members. developing new ways to improve the
A survey of Jala users versus non-users industry and its impact on our society.”
A survey of users and non-users of Jala showed a 5% higher survival rate for
showed 27% higher productivity by Jala’s shrimp and 7% lower feed conversion
users. ratio for Jala users.

22 | Annual Impact Report Jan-Dec 2021

 KEY LEARNINGS
& TAKEAWAYS In just a few years, the Meloy Fund is leading the way in demonstrating how invest-
ment funding and technical assistance can be creatively and catalytically
deployed to generate a unique combination of financial benefits and social and
environmental impact. Key features of our interventions include:

• Structuring investment capital to encourage companies to grow responsibly;

• Supporting investees to build strong environmental and social management and

monitoring systems;
The combination of growing demand for seafood, harmful fishing practices, and a lack of
management has led to a crisis for coastal ecosystems and communities, threatening food security, • Connecting companies with buyers that can support long-term sustainability and as
local livelihoods, and coral reef health. a result are willing to engage in a long-term relationship;

Seafood supply chains are long and complex; many businesses within them are unaware of their • Collecting fishery data that can inform and promote sustainable harvest and
role in ensuring sustainable ecosystems, upon which the long-term success of their enterprise co-management strategies in conjunction with governments and local NGOs;
depends.
• Establishing clear guidelines and incentives that extend to the first mile fishers,
The good news is that behaving responsibly is not just the right thing to do – it’s a business specifying catch regulations, demonstrating benefits, and reducing or eliminating
imperative for those involved in the wild-caught seafood or aquaculture sectors. More and more, predatory lending between traders and fishers.
governments, multi-national corporations, and consumers are demanding sustainable seafood.

For those willing to make the transition, the Meloy Fund is there. We identify the right businesses Results of the above provide the enabling conditions that best support our portfolio
in which to invest along the supply chain, include sustainability criteria as an integral part of the companies, as well as the fishers and farmers from which they source materials, to
investment terms, and bring relevant technical assistance and partners to ensure that change in the generate a competitive financial return while accelerating the transition towards
oceans happens where it matters most -- in coastal communities and ecosystems. sustainability on behalf of coastal communities and ecosystems.

23 | Annual Impact Report Jan-Dec 2021