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← Producers Direct

2024-12-31-accounts

Company number: 06959165 Charity number: 1133218

Producers Direct

Report and financial statements For the year ended 31 December 2024

Producers Direct

Contents

For theyear ended 31 December 2024
Reference and administrative information 1
Trustees’ annual report 3
Independent auditor’s report 20
Statement of financial activities (incorporating an income and expenditure account) 24
Balance sheet 25
Statement of cash flows 26
Notes to the financial statements 27

Producers Direct

Reference and administrative information

For the year ended 31 December 2024

Company number 06959165 Charity number 1133218

Registered office and operational address International House, 45-55 Commercial Street E1 6BD, UK

Country of registration England & Wales Country of incorporation United Kingdom

Previous Names Producers Direct legally changed its name from Cafédirect Producers’ Foundation in December 2017. Trustees Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows: Anthony Wainaina Co-Chair John Shaw Co-Chair, (Appointed:1st May 2024) Wendy Chamberlin Michael Montalvan Jamie Anderson Gregory Mugabe (Appointed:1st May 2024) Christele Delbe (Resigned: 27th May 2025) Key management Claire Rhodes Chief Executive Officer personnel (Resigned: 31 May 2025) Bankers Triodos Bank Deanery Road Bristol BS1 5AS Barclays Bank Leicester LE87 2BB

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Producers Direct Reference and administrative information

For the year ended 31 December 2024

Solicitors Bates Wells 2-6 Cannon Street London EC4M 6YH Weil Gotshal & Manges 110 Getter Lane London EC4M 6YH Auditor Sayer Vincent LLP Chartered Accountants and Statutory Auditor 110 Golden Lane LONDON EC1Y 0TG

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Producers Direct

Trustees’ annual report

For the year ended 31 December 2024

The Trustees present their report and the audited financial statements for the year ended 31 December 2024.

Reference and administrative information set out on pages 1 & 2 forms part of this report. The financial statements comply with current statutory requirements, the memorandum and articles of association and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

Objectives and activities

Purposes and aims

Producers Direct is a UK-registered charity, established in 2009, that works with smallholder farmer organisations in Africa and Latin America. Producers Direct’s objects, as outlined in its Articles of Association are to:

Throughout 2024, Producers Direct has operated in accordance with its vision, mission and strategic objectives. These are stated as follows:

Producers Direct’s vision is of thriving smallholder communities, where each smallholder can realise their own vision. We believe smallholders are inherently innovative and have the potential to wield a powerful voice when they operate collectively. We are committed to inspiring smallholders to join forces, share their knowledge and strengthen incomes and resilience, together. Our mission is to increase smallholder farmers’ resilience and power in food systems.

The trustees review the aims, objectives and activities of the charity each year. This report looks at what the charity has achieved and the outcomes of its work in the reporting period. The trustees report the success of each key activity and the benefits the charity has brought to those groups of people that it is set up to help. The review also helps the trustees ensure the charity's aims, objectives and activities remained focused on its stated purposes.

The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives that have been set.

Approach and Model

Producers Direct works directly with smallholder communities and farmer organisations to strengthen resilience, increase incomes, and build farmers’ leadership.

Smallholder farmers in the global south face significant power imbalances in food systems, exacerbated by climate change and its devastating impact on smallholder agriculture. Most

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smallholders live below the poverty line and struggle to feed their families. Smallholders typically capture less than 30% of the value generated by their crops, while powerful upstream actors and multinationals earn billions of dollars in profits. Furthermore, smallholders still need better access to actionable data and information. Most smallholders do not keep profit/loss records, and continue to manage significant socio-economic and climate risks daily without access to external data. The benefits of burgeoning investments in data-driven agriculture, including AI, remain largely inaccessible to smallholders.

Consequently, market inequity combined with limited access to relevant, affordable data, continues to drive low farm productivity and limited profitability for smallholder farmers. Ensuring fair market access and providing actionable data are crucial for improving smallholders’ incomes and resilience. When smallholders leverage their collective agency, they tackle persistent threats together.

Within this context, Producers Direct’s model addresses three interconnected challenges:

To address these challenges, Producers Direct’s work focuses on three main areas:

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For the year ended 31 December 2024

Direct’s model but to inform the decisions and work of other key partners and stakeholders across the food system.

Activities and services delivered during 2024

All Producers Direct’s charitable activities focus on improving the livelihoods and resilience of smallholder producers and are undertaken to further Producers Direct’s charitable purposes for the public benefit. Overall, Producers Direct’s activities directly reached 3,961 smallholders in 2024 and, cumulatively, 1,337,078 smallholders since its establishment in 2009.

East Africa programme activities were delivered by Producers Direct’s East Africa Programme team, based in Nairobi, in partnership with East Africa-based producer organisations in Kenya, Tanzania and Uganda. East Africa programme expenditure totalled £497,360, with donors including the German Development Agency (GIZ FairForwarwd), OCP Foundation, the Livelihood Impact Fund, and the Bill and Melinda Gates Foundation.

Latin America programme expenditure totalled £453,192 - funded by Pret a Manger, The German Development Agency (GIZ i4Ag) and the Inter-American Development Bank (IDB-Lab).

2024 activities and services delivered included:

Market Access

During 2024, market access programme activities continued across East Africa and Peru, through branded and unbranded product sales into local and national markets.

Data for Decision Making & Training

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were documented to inform the design of a more comprehensive and integrated digital advisory service in 2025.

Access to Finance:

Throughout 2024, Producers Direct continued managing the ROTA loans originally disbursed in late 2021. 2021 loans supported beekeepers to invest in their honey enterprises. Instead of the financing being provided in cash, Producers Direct pre-purchased 1,000 hives, which were then distributed as loans to 69 beekeepers across Uganda and Tanzania. Producer partner organisations support the administration and management of the loans to individual farmers. At the end of 2024, the total value of ROTA loans disbursed across East Africa was £53,393.

With support from IDB Lab during 2024, Producers Direct disbursed ROTA loans to the value of $10,000 USD (£8,010) in Peru to 30 female farmers. Producer Organisations Aprocassi and Bagua Grande each received $5,000 from Producers Direct to on-lend to their members for activities that support increasing income and resilience. These loans to the Producers Organisations are for a period of 18 months and will be repaid in 2025.

Achievements and performance during 2024

During 2024, Producers Direct’s activities directly reached 3,961 smallholder farmers, with 3,825 smallholders accessing markets and 481 smallholders benefiting from access for data, training and information services to strengthen decision-making.

In 2024, 3,480 smallholders benefited from accessing markets in East Africa (2,487 smallholders) and Latin America (993 Peruvian smallholders). 18.4% of smallholders who accessed markets increased their incomes by more than 20%. Since launching FarmDirect, over 8,400 smallholders across East Africa and Peru have sold products on FarmDirect (3,490 in Peru and 4,969 in Uganda). A key takeaway in 2024 is the power of on-farm diversification to further strengthen livelihoods. Farmers selling multiple products achieved more stable, resilient, and higher incomes.

A total of 481 smallholder farmers have benefitted from access to data, information and training services. This has included 34% female farmers and 9% youth. 83% of farmers have reported that access to this information supports them to better mitigate the key economic and climate related challenges that they face.

Producers Direct is committed to: 1) improving incomes and livelihoods for smallholder farmers across East Africa and Latin America, 2) strengthening resilience to climate change and market

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shocks and 3) increasing the collective voice and power of smallholder farmers. In 2024, smallholders who sold produce on our FarmDirect platform improved incomes by 17% (on average). For female farmers in Peru who sold 2+ products, they improved their incomes by 23% on average, and in Uganda for female farmers who sold 2+ products, they improved their incomes by 46%, again demonstrating the power of diversification.

Other non-programmatic achievements during 2024 included:

External factors affecting achievement

Producers Direct works principally with smallholder producer organisations located in East Africa and Latin America. Working with these vulnerable producer organisations can affect the capacity to deliver on partnership agreements according to defined timelines and targets.

Smallholder farmers represent one of the most vulnerable groups to climate change, with changing climatic conditions continuing to exacerbate the challenges faced by smallholder farmers. Climate-related challenges include vulnerability to natural disasters, prolonged droughts and associated detrimental impacts of these changing climatic conditions on crop production. Current market systems typically do not incentivise the management of climate resilient food systems and agricultural landscapes. With food shocks related to extreme weather events

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becoming increasingly frequent, smallholders are facing the double burden of increasing productivity and resilience without receiving the information and tools needed for it. Typically, smallholders face and confront climate risks with minimal access to external data.

Beneficiaries of our services

Primary beneficiaries of Producers Direct’s work are smallholder farmers located across East Africa and Latin America. To deliver our activities and impact, we work with a network of 38 smallholderowned producer organisations across Latin America and East Africa. Smallholder farmers across Producers Direct network are diverse in geography, crops and resources. On average, the smallholder farmers we work with earn less than $2 per day and sustain their families on 1.2 hectares (3 acres). Farmers are managing diverse farming systems, including cash, non-cash and subsistence crops. Principal crops include grains, fruits, vegetables, honey, tea, coffee, and cocoa. The average age of our farmers is 60, on average they have 5 dependents and 94% are affected by climate change. On average, 16% of the farmers we work with own a smartphone, and 17% have internet access. Only 48% have a bank account. From our recent survey data, 89% of farmers who responded reported access to finance being a key challenge, and 59% reported market access as an additional challenge - showcasing the importance of our investment in linking farmers to markets. Currently, 82% of the farmers in our network growing food security crops are not yet aggregating these crops for sale at local markets - demonstrating the opportunities our work to support market access via FarmDirect can bring to the smallholder farmers within our network.

We particularly focus our resources on reaching women and youth. For over a decade, we have made significant investments in promoting female farmer leadership across our network and empowering female smallholders to play central roles in the design and delivery of our programme activities, both in-person and digitally. Furthermore, we continue to invest in supporting youth to take up leadership roles within smallholder communities and in the delivery of Producers Direct’s services.

Organisations we work with

In addition to our work with smallholder-owned producer organisations, Producers Direct also continues to work with a number of other organisations at international, regional and national levels to support programme implementation. During 2024, strategic partners supporting programme delivery included: The Alliance of Bioversity International and CIAT , M-Omulimisa, Viamo, Tecnicafe, African Plant Nutrition Institute (APNI), Makerere University, and Busara Centre for Behavioural Economics .

Financial review

As shown in Producers Direct’s Financial Statements, 2024 income totalled £1,328,698 with funds brought forward from 2023 totalling £225,813. 2024 expenditure totalled £1,421,024. During 2024, Producers Direct’s principal funding sources included grants and donations from private foundations, inter-governmental organisations and public limited companies.

Producers Direct ended the year with a total fund balance of £133,489, of which £67,424 was restricted funds and £66,065 was unrestricted funds.

Policies for making social or programme-related investments

Producers Direct typically does not make social or programme related investments and therefore does not have a policy on this.

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Investment policy and performance

Beyond interest received on current accounts and fixed term deposit savings accounts, Producers Direct does not currently hold any long-term investments.

Grant making policies

Producers Direct does not openly invite applications for grants and therefore does not have a grant making policy.

Loans

In 2020, Producers Direct secured two 5-year loans to support cash flow management and to invest in testing branded honey sales in East Africa. These were:

Voluntary help and gifts in kind

In previous years, Producers Direct has benefited from pro bono support from legal firm, Weil, Gotshal & Manges. However, no legal advice was required by Producers Direct during 2024 and therefore the value of pro bono services included in Producers Direct’s 2024 Financial Statements is zero.

Throughout 2024, Producers Direct was grateful for the in-kind contributions of smallholder farmers and key staff at the smallholder producer organisations who work with Producers Direct, who invested significant time without financial compensation in order to support the delivery of Producers Direct programme activities.

Principal risks and uncertainties

Producers Direct manages a risk register, which identifies major risks and ranks them in terms of their potential impact and likelihood. Trustees review major risks and their rankings quarterly, in order to satisfy themselves that adequate systems and procedures are in place to manage the risks identified. Where appropriate, risks are covered by insurance. From Producers Direct’s perspective, major risks are those which may have a significant impact on its:

Key risk management procedures in place include:

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Reserves policy and going concern

Producers Direct’s Reserve Policy focuses on holding sufficient unrestricted reserves to cover at least six months of essential operational costs during a period of unforeseen difficulty. In this context, Trustees consider essential operational costs to include: Core team members across the UK and Latin America; IT costs to support effective remote working; and any outstanding contractual commitments to donors and/or service providers.

Under current cash flow projections, 6 months of essential operational costs are budgeted at £87,513 - with this budget covering core operational and programme staff across the UK and Peru, associated operational costs and loan repayments due. At end-2024, the balance of Producers Direct’s unrestricted cash and assets totalled £66,065. The level of free reserves (unrestricted funds, excluding fixed assets) was £50,185, which is almost £40,000 below the reserves policy target level.

In the light of results for 2024 and forecast income for 2025, Trustees took action in March 2025 to reduce costs through a restructuring programme. This has now been implemented and will help ensure that the level of unrestricted reserves is back in line with the reserves policy by the end of 2026, when the full year implications of the cost reductions will take effect.

In August 2025, Trustees assessed Producers Direct as a Going Concern on the following basis:

Fundraising

During 2024, Producer Direct’s fundraising activities principally consisted of applications to national and international donors for grants to support programme and organisational development. Fundraising activities are principally undertaken internally by grant writers who are employed by Producers Direct.

As part of our commitment to best practice, Producers Direct adheres to the standards set by the Fundraising Regulator (England, Wales and Northern Ireland), and the UK Chartered Institute of Fundraising. During 2024, there were no instances of non-compliance with the requirements of the fundraising code of practice and no complaints have been received by the charity regarding fundraising activities.

The aim of Producers Direct’s fundraising expenditure on grant writers is to enhance Producers Direct’s annual restricted and unrestricted income for 2024/2025 and future periods in order to sustain and grow programme activities in East Africa and Latin America and support organisational

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growth. As a result of this annual expenditure on fundraising, Producers Direct received and benefited from funding from the following key donors and social lenders during 2024:

Restricted Income: East Africa

Restricted Income: Latin America

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For the year ended 31 December 2024

Unrestricted Income

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Plans for the future

Future Programme Focus Areas

During 2023 and into 2024, Producers Direct reviewed and updated its Theory of Change. Through until 2030, Producers Direct will continue to focus on three key areas of impact:

Key 2025 activities to deliver Producers Direct’s Theory of Change and Impact include:

Future funding

Funds secured to support 2025 programme activities and operations to-date include:

Restricted Income: East Africa

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Restricted Income: Latin America

Unrestricted Income

Structure, governance and management

Constitution

Producers Direct is an international non-governmental, non-political, non-religious organisation. It was established as a UK private limited company limited by guarantee on 10th July 2009 (Company Number: 06959165) and was registered as a UK charity in December 2009 (Registered charity number: 1133218). The company was established under a Memorandum of Association (10th July 2009) that established its objectives and powers and is governed under its Articles of Association (10th July 2009). Producers Direct also holds local branch registrations in Kenya and Peru, and is the sole member of a non-stock company in the USA, Producers Direct Inc.

Trustees

Producer Direct’s Trustees are responsible for setting Producers Direct's strategy and are responsible in law for the running of Producers Direct. The Charity's sole Member, Cafédirect Producers Limited (CPL), is responsible for officially appointing Producers Direct Trustees. Prior to appointment by CPL, existing members of the Producers Direct Board of Trustees are responsible for confirming that new Trustees have the necessary skills and capacity to contribute to Producers Direct's governance, and organisational development.

Producers Direct's Articles of Association allows for a minimum of three Trustees to be appointed. As the charity's sole Member, CPL (as outlined in Producers Direct's Articles of Association) reviews the appointment of Producers Direct Trustees each year. A minimum of two Trustees will offer to retire by rotation each year. A retiring Trustee may be re- appointed by the Member. Trustees typically serve a maximum of two three-year terms.

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All Trustees give their time voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are set out in note 6 to the accounts. Producers Direct's Trustees are not paid and are not remunerated for their role. Typically, travel expenses associated with Producers Direct Trustees attending Board meetings are reimbursed. However, Producers Direct’s Board meetings continued to be convened virtually rather than in-person throughout 2023 and 2024. Subsequently, no travel expenses associated with Board meetings were incurred during 2023 or 2024.

The Producers Direct Board of Trustees is responsible for approving Producers Direct's annual work plan, budget and long-term strategy development. The day-to-day management of Producers Direct is delegated to Producers Direct's CEO – Claire Rhodes, based on a strategy, annual work plan and budget approved by the Trustees. Claire Rhodes served in this role from the establishment of Producers Direct (previously Cafédirect Producers’ Foundation) in 2009 until she stepped down at the end of May 2025. The Board of Trustees is extremely grateful to Claire for the immense contribution that she has made over this period.

Typically, Producers Direct’s Board of Trustees meet at least quarterly, with the CEO reporting to the Trustees on activities undertaken in managing Producers Direct and providing updated financial reports that explain Producers Direct's financial position. During 2024, a total of 5 Board teleconferences were convened and update reports provided. During 2024, Christele Delbe served as the Producers Direct Chair until December 2024, stepping down from the Board in May 2025. From March 2025, Anthony Wainaina and John Shaw have served as Co-Chairs.

Following the resignation of Claire Rhodes as Chief Executive, executive leadership of the charity is exercised jointly by three senior leadership team members, working closely with the Co-Chairs. The senior leadership team and the Board of Trustees are working together to refresh the strategy of the charity, which will include a proposed future leadership structure to deliver the strategy. It is expected that this work will be completed by the end of 2025 and any revised structure implemented in Q1 2026.

In previous years, Producers Direct has operated a Board Procurement Sub-committee. During 2023 and 2024, there were no operational Board sub-committees. Procurement decisions requiring Board attention were addressed during Board meetings.

Financial controls are determined by Producers Direct's financial procedures and procurement policies, which outline the level of authority of Producers Direct Trustees and the Producers Direct CEO over Producers Direct's financial procedures. Conflicts of Interest are managed in accordance with the Producers Direct's Articles of Association and Producers Direct's Conflict of Interest Policy. A Register of Trustees’ and Senior Team member’s Interests has been established and is updated annually.

Employees

During 2024, Producers Direct employed 18.0 TE staff across the UK, East Africa and Peru as follows:

UK: 4 full-time and 1 part-time UK-based staff members included:

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For the year ended 31 December 2024

Kenya: Producers Direct maintained its local branch status in Kenya for the majority of 2024, with 10 full-time and 1 part-time, Nairobi-based employees. Kenya-based senior team members included:

Peru: Producers Direct maintained its local branch status in Peru throughout 2023 with 5 full-time employees and part-time employees. Peru-based senior team members included:

During 2024, Producers Direct contracted a range of support services, including user-centred design and financial management services, and support for the coordination of programme activities with smallholder producer organisations in Latin America and East Africa.

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USA: Throughout 2024, Producers Direct’s COO was employed through Producers Direct Inc, a USregistered non-stock company established by Producers Direct to support the growth of Producers Direct’s operations and expansion of US-based fundraising opportunities for Producers Direct. The COO is responsible for strategic oversight and management of Producers Direct’s impact, programmes and organisational development. (Note - The COO was previously UK-based prior to transitioning to work for Producers Direct from the USA from 1st September 2021).

Employee Remuneration

Producers Direct staff salaries are reviewed annually for all employees, in accordance with Producers Direct’s Staff Salary Review policy. Staff salaries are structured within salary bands across different roles and levels of responsibility. Key considerations include: Employee’s annual performance; level of responsibility, skill and knowledge required to carry out the role; comparable salary ranges in the geography and market in which the team member is working. The salary bands used to determine both current and new staff have been developed, and are benchmarked using a combination of publicly available compensation data and/or purchased datasets for equivalent roles (skill set / level of seniority), and are adjusted for cost of living variances across the countries where Producers Direct operations and teams are located. Salaries for new team members are benchmarked during the recruitment process. For the CEO, the Chair of Producers Direct is responsible for proposing the salary adjustment to the Producers Direct Board for consideration and approval, based on their review of the CEO’s performance and salary benchmarking with non-profit organisations of similar size, scope and resources to Producers Direct. (This approach will also apply to the senior leadership team until such time as a new CEO is appointed.) For all other Producers Direct staff, annual salary adjustments are based on annual performance reviews undertaken by Line Managers, with proposed salary adjustments falling within established salary bands. The CEO is then responsible for proposing the overall salary adjustment budget to the Producers Direct Board for approval (which will be conducted by the senior leadership team pending the appointment of a new CEO).

Appointment of Trustees

To recruit and appoint new Trustees, the Producers Direct management team reviews and shortlists potential candidates based on the key skills sought from the new Trustees and each candidate’s potential suitability for the role. Existing Producers Direct Trustees are then responsible for reviewing the short-list of candidates and identifying top candidates to be interviewed by current Trustees. Trustees then recommend selected candidates to the sole member of Producers Direct, Cafédirect Producers Limited (CPL). As the sole member of Producers Direct, Cafédirect Producers Limited is responsible for the final appointment of new Trustees to the Producers Direct Board.

Trustee induction and training

When new Trustees are appointed to Producers Direct, they will be given an induction to Producers Direct and are given the information they need to fulfil their role, including information about their role as a Producers Direct Trustee and on charity law. Trustees are also encouraged and supported to attend external training available for new and existing Trustees on key responsibilities associated with serving as a Trustee of a UK Charity.

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Related parties and relationships with other organisations

Related parties include:

Producers Direct Inc: Producers Direct Inc is a US-registered non-stock company that was established by Producers Direct to support the growth of Producers Direct’s operations and expansion of US-based fundraising opportunities for Producers Direct. In 2022, Producers Direct Inc. secured US 501c3 non-profit status. From September 2021, Producers Direct’s COO has been US-based and is employed by Producers Direct Inc.

Cafédirect Producers Limited (CPL): CPL is the sole Member of Producers Direct. CPL is a limited company (Company Number 4804115) owned by the smallholder producer organisations who hold shares in Cafédirect plc. CPL activities focus on enhancing the role of producer organisations as shareholders in Cafédirect plc and advancing the role of producers in the governance of Cafédirect plc.

Cafédirect Producers Trust: The Cafédirect Producers Trust was established by a Trustee Deed dated 10th December 2003 to permit producer organisations who sell products to Cafédirect plc to hold shares in Cafédirect plc. CPL is one of the Trustees.

Cafédirect plc: Producers Direct is legally independent from Cafédirect plc. Cafédirect plc and Producers Direct have been linked through a Donation Agreement, dating from 28th September 2009, which outlines the terms under which Cafédirect plc makes an annual donation to Producers Direct to support producer programmes, and to strengthen Producers Direct's operational capacity. This donation agreement was extended for an additional 3-years from January 2020, and further extended through until end 2025. In 2024, the value of related party transactions between Cafédirect and Producers Direct was £115,571 (2023: £108,550) - the annual donation from Cafédirect to Producers Direct of £101,341 (2023: £100,000) and £14,230 (2023: £8,550) of reimbursed Peru travel expenditures for Cafedirect staff, originally paid by Producers Direct.

Statement of responsibilities of the Trustees

The Trustees (who are also directors of Producers Direct for the purposes of company law) are responsible for preparing the Trustees’ annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them

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to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the Trustees are aware:

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The total number of such guarantees at 31 December 2024 was 1, Cafédirect Producers Limited being the sole member of the charity (2023: 1). The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.

Auditor

Sayer Vincent LLP was appointed as the charitable company's auditor during the year and has expressed its willingness to continue in that capacity.

The Trustees’ annual report has been approved by the Trustees and signed on 17[th] September 2025 their behalf by

John Shaw

Co-Chair, Producers Direct

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Independent auditor’s report

To the members of

Producers Direct

Opinion

We have audited the financial statements of Producers Direct (the ‘charitable company’) for the year ended 31 December 2024 which comprise the statement of financial activities, balance sheet, statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on Producers Direct's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other Information

The other information comprises the information included in the trustees’ annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have

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Independent auditor’s report

To the members of

Producers Direct

performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the statement of trustees’ responsibilities set out in the trustees’ annual report, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

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Independent auditor’s report

To the members of

Producers Direct

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud are set out below.

Capability of the audit in detecting irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional

22

Independent auditor’s report

To the members of

Producers Direct

concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company's members as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Noelia Serrano (Senior statutory auditor) 24 September 2025 for and on behalf of Sayer Vincent LLP, Statutory Auditor 110 Golden Lane, LONDON, EC1Y 0TG

23

Producers Direct

Statement of financial activities (incorporating an income and expenditure account)

For the year ended 31 December 2024

Note
2
3
3
4a
4a
4a
Income from:
Donations and legacies
Charitable activities
Africa Programme
Latin America Programme
Investments
Total income
Expenditure on:
Raising funds
Charitable activities
Africa Programme
Latin America Programme
Total expenditure
Net expenditure and net movement in
funds
Total funds carried forward
Reconciliation of funds:
Total funds brought forward		 Unrestricted
£
199,464
83,229
5,515
621		 Restricted
£
-
375,121
664,748
-		 2024
Total
£
199,464
458,349
670,263
621		 Unrestricted
£
195,135
32,516
592
292		 Restricted
£
-
406,951
462,314
-		 2023
Total
£
195,135
439,467
462,906
292
288,829 1,039,869 1,328,698 228,535 869,265 1,097,799
3,186
330,826
65,799		 82,824
367,698
570,692		 86,010
698,524
636,491		 24,296
201,605
128,796		 41,732
455,716
700,083		 66,028
657,321
828,879
399,810 1,021,214 1,421,024 354,697 1,197,532 1,552,229
(110,981)
177,046		 18,655
48,769		 (92,326)
225,815		 (126,162)
303,208		 (328,268)
377,034		 (454,429)
680,242
66,065 67,424 133,489 177,046 48,769 225,813

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in Note 17a to the financial statements.

24

Producers Direct

Balance sheet

Balance sheet
As at 31 December 2024 Company no. 06959165
Note
Fixed assets:
10
Current assets:
12
11
Inventory
Liabilities:
13
Creditors: amounts falling due after one year
14
17a
Total unrestricted funds
Tangible assets
Programme related investments
Debtors
Cash at bank and in hand
Creditors: amounts falling due within one year
Net current assets
Total net assets
The funds of the charity:
Restricted income funds
Unrestricted income funds:
General funds
Total charity funds		 £
£
15,882
15,882
61,667
134,251
15,316
64,971
276,204
(151,859)
124,345
(6,736)
133,489
67,424
66,065
66,065
133,489
2024		 £
£
19,175
19,175
55,967
136,329
-
156,417
348,713
(120,074)
228,639
(22,001)
225,813
48,768
177,046
177,046
225,813
2023
15,882
124,345		 19,175
228,639
276,204
(151,859)
(6,736)
66,065		 348,713
(120,074)
(22,001)
177,046
133,489 225,813
67,424
66,065		 48,768
177,046
133,489 225,813

Approved by the trustees and signed on 17th September 2025 on their behalf by

John Shaw

Co-Chair, Producers Direct

25

Producers Direct

Statement of cash flows

For the year ended 31 December 2024

Note
Cash flows from operating activities
(Increase) in Inventory
Cash flows from financing activities:
Net expenditure for the reporting period
(as per the statement of financial activities)
Depreciation charges
(Increase) / decrease in debtors
Increase in creditors
Cash inflows from new borrowing
Net cash used in operating activities
Cash flows from investing activities:
Cash (paid) / received on (issue) / repayment of
programme related investments
Purchase of fixed assets
Net cash used in investing activities
Net cash used in financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 £
£
(92,326)
4,147
(15,316)
(108)
31,790
(71,813)
(3,513)
(854)
(4,367)
(15,265)
(15,265)
(91,446)
156,417
64,971
2024		 £
£
(92,326)
4,147
(15,316)
(108)
31,790
(71,813)
(3,513)
(854)
(4,367)
(15,265)
(15,265)
(91,446)
156,417
64,971
2024		 £
£
(454,429)
3,640
-
36,931
39,655
(374,203)
3,181
(4,715)
(1,533)
(3,678)
(3,678)
(379,416)
535,832
156,417
2023		 £
£
(454,429)
3,640
-
36,931
39,655
(374,203)
3,181
(4,715)
(1,533)
(3,678)
(3,678)
(379,416)
535,832
156,417
2023
(71,813)
(4,367)		 (374,203)
(1,533)
(15,265) (3,678)
(15,265)
(91,446)
156,417		 (3,678)
(379,416)
535,832
64,971 156,417

26

Producers Direct

Notes to the financial statements

For the year ended 31 December 2024

1 Accounting policies

a) Statutory information

Producers Direct is a charitable company limited by guarantee and is incorporated in England and Wales.

The registered office address and principal place of business is: International House, 45-55 Commercial Street, E1 6BD, UK

b) Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) - (Charities SORP FRS 102), The Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note.

c) Public benefit entity

The charity meets the definition of a public benefit entity under FRS 102.

d) Going concern

The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern. This is based on Trustees undertaking a review of the following Going Concern Assessment Criteria: In August 2025, Trustees assessed Producers Direct as a Going Concern on the following basis: 1.) A review of internal management information, including a budget and cash flow forecast through until at least December 2026 - with planned scenarios in the event that fundraising income is significantly lower than plan; 2.) An analysis of external factors and risks, as outlined and managed through Producers Direct’s Risk Register.

Key judgments that the charity has made which have a significant effect on the accounts include: Recognition of income in accordance with the terms of the grants made to the charity, where income is granted to the charity over the period greater than one year, and is linked to performance within the project, there is some degree of judgment is assessing the stage of completion and hence the income recognised.

The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

e) Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received and that the amount can be measured reliably.

Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material.

Income received in advance of the provision of a specified service is deferred until the criteria for income recognition are met.

f) Donations of gifts, services and facilities

Donated professional services and donated facilities are recognised as income when the charity has control over the item or received the service, any conditions associated with the donation have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), volunteer time is not recognised so refer to the trustees’ annual report for more information about their contribution.

27

Producers Direct

Notes to the financial statements

For the year ended 31 December 2024

Accounting policies (continued)

g) Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

h) Fund accounting

Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund.

Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes.

i) Expenditure and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

j) Allocation of support costs

Resources expended are allocated to the particular activity where the cost relates directly to that activity. However, the cost of overall direction and administration of each activity, comprising the salary and overhead costs of the central function, is apportioned on the following basis which are an estimate, based on staff time, of the amount attributable to each activity.

Where information about the aims, objectives and projects of the charity is provided to potential beneficiaries, the costs associated with this publicity are allocated to charitable expenditure.

Support and governance costs are re-allocated to each of the activities on the following basis which is an estimate, based on staff time, of the amount attributable to each activity

2024 2023
�● Africa Programme 52% 69%
�● Latin America Programme 48% 31%

Governance costs are the costs associated with the governance arrangements of the charity. These costs are associated with constitutional and statutory requirements and include any costs associated with the strategic management of the charity’s activities.

k) Operating leases

Rental charges are charged on a straight line basis over the term of the lease.

l) Tangible fixed assets

Items of equipment are capitalised where the purchase price exceeds £500. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use. Major components are treated as a separate asset where they have significantly different patterns of consumption of economic benefits and are depreciated separately over its useful life.

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:

m) Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

n) Cash at bank and in hand

28

Producers Direct

Notes to the financial statements

For the year ended 31 December 2024

Accounting policies (continued)

o) Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

p) Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

q) Pensions

The charity operates a defined contribution pension scheme for employees. The assets of the scheme are held separately from those of the charity. The annual contributions payable are charged to the statement of financial activities.

2 Income from donations and legacies

Bayer AG
OCP Foundation / African Plant Nutrition
GIZ FairForward
CAVEX
Uganda Programme Income
GIZ
Peru Programme Income
Honey Sales : Peru
Donations
Income from charitable activities
East Africa Programme:
Bill and Melinda Gates Foundation
MercyCorps AgriFin
Innovate UK
Honey Sales: East Africa
Sub-total for East Africa Programme
Latin America Programme:
Bayer AG
Incofin
IDB - SAGRI
Pret a Manger
VIAMO
Inter-American Development Bank - IDB
Lab
Sub-total forLatin America Programme
Total income from charitable activities		 Unrestricted
£
199,464		 Restricted
£
-		 Total
2024
£
199,464		 Unrestricted
£
195,135		 Restricted
Total
2023
£
£
-
195,135
199,464 - 199,464 195,135 -
195,135
Unrestricted
£
-
-

-
-
-
-
2,882
80,347
 £
-
208,032
86,884
-
47,427
-
32,777
-
Restricted		 Total
2024
£
-
208,032
86,884
-
47,427
-
32,777
2,882
80,347		 Unrestricted
£
-
-
-
-
-
-
32,516		 Total
2023
£
£
-
-
161,072
161,072
86,713
86,713
-
-
159,166
159,166
-
-
-
32,516
Restricted
83,229 375,121 458,349 32,516 406,951
439,467
-
-
-
-
-
-
1,973
3,542		 151,134
6,990
217,230
100,000
19,065
167,008
3,321		 151,134
6,990
217,230
100,000
19,065
167,008
3,321
1,973
3,542		 -
-
-
-
-
-
592		 -
-
-
-
-
-
100,000
100,000
-
-
362,314
362,314
-
592
5,515 664,748 670,263 592 462,314
462,906
88,744 1,039,869 1,128,613 33,108 869,265
902,372

3 Income from charitable activities

29

Producers Direct

Notes to the financial statements

For the year ended 31 December 2024

4a Analysis of expenditure (current year)

Staff costs (Note 6)
Direct programme expenditure
Office costs
Audit, legal and professional fees
Support and governance costs
Total expenditure 2024
Total expenditure 2023		 Raising
funds
£
31,145
-
54,865		 Charitable activities Charitable activities Governance
costs
£
-
-
-
12,805		 Support
costs
£
278,746
52,014
30,259
10,639		 2024
Total
£
636,616
645,186
60,913
78,309		 2023
Total
£
756,565
704,696
79,867
11,100
East Africa
Programme
£
162,576
315,663
19,121
-		 Latin America
Programme
£
164,150
277,509
11,533
-
86,010
-		 497,360
201,164		 453,192
183,299		 12,805
(12,805)		 371,658
(371,658)		 1,421,024
-		 1,552,229
-
86,010 698,524 636,491 - - 1,421,024 -
1,552,229
66,121 657,321 519,429 - - -

30

Producers Direct

Notes to the financial statements

For the year ended 31 December 2024

4b Analysis of expenditure (prior year)

Staff costs (Note 6)
Direct programme expenditure
Office costs
Audit, legal and professional fees
Support and governance costs
Total expenditure 2023		 Raising
funds
£
32,109
33,919
-
-		 Charitable activities Charitable activities Governance
costs
£
-
-
-
11,100		 Support
costs
£
136,464
105,386
50,544
-		 2023
Total
£
756,565
704,696
79,867
11,100
East Africa
Programme
£
264,807
241,186
17,097
-		 Latin America
Programme
£
323,185
324,205
12,226
-
66,028
-		 523,091
134,230		 659,616
169,264		 11,100
(11,100)		 292,394
(292,394)		 1,552,229
-
66,028 657,321 828,879 - - 1,552,229

31

Producers Direct

Notes to the financial statements

For the year ended 31 December 2024

5 Net (expenditure) for the year

This is stated after charging:

This is stated after charging:
2024 2023
£ £
Depreciation 4,147 3,640
Auditor's remuneration (excluding VAT):
Audit 11,905 10,895

6 Analysis of staff costs, trustee remuneration and expenses, and the cost of key management

Staff costs were as follows:

Staff costs were as follows:
Salaries and wages
Social security costs
Employer’s contribution to defined contribution pension schemes		 2024
£
563,298
29,054
44,264		 2023
£
672,044
33,488
51,033
636,616 756,565

Two employees earned more than £60,000 during the year (2023: two) - the Head of Business Development (2024 Annual Salary: £76,800, 2023: £74,828 and the CEO (2024 Annual Salary: £62,932, 2023: £68,000)

The total employee benefits (including pension contributions and employer's national insurance) of the key management personnel, the CEO and Head of Business Development were £155,987 (2023: £82,249).

The charity trustees were neither paid nor received any other benefits from employment with the charity in the year (2023: 0). No charity trustee received payment for professional or other services supplied to the charity (2023: 0).

Trustees' expenses represents the payment or reimbursement of travel and subsistence costs totaling £0 (2023: £0), as a result of Board meetings continuing to be held virtually.

32

Producers Direct

Notes to the financial statements

For the year ended 31 December 2024

7 Staff numbers

The average number of employees (head count based on number of staff employed) during the year was 18 FTE, with a total headcount of 20 (2023: headcount 24, 23.2 FTE ).

Staff are split across the activities of the charity as follows (headcount basis):

Raising funds
East Africa Programmes
Latin America Programmes
Support		 2024
No.
1.0
7.2
7.2
2.6		 2023
No.
1.0
12.4
7.6
3.0
18.0 24.0

8 Related party transactions

There were related party transactions with Cafédirect plc and Produers Direct Inc : Cafédirect plc and Producers Direct have been linked through a Donation Agreement, dating from 28th September 2009, which outlines the terms under which Cafédirect plc makes an annual donation to Producers Direct to support producer programmes, and to strengthen Producers Direct's operational capacity.

Producers Direct Inc is a US-registered non-stock company that was established by Producers Direct to support the growth of Producers Direct’s operations and expansion of US-based fundraising opportunities for Producers Direct. In 2022, Producers Direct Inc. secured US 501c3 non-profit status. From September 2021, Producers Direct’s COO has been US-based and is employed by Producers Direct Inc.

Aggregate donations from the related party Cafédirect plc were £101,341; (2023: £108,550). All were unrestricted in 2023 and 2024. There were no amounts due at year end.

The Value of related party transactions between Producers Direct and Producers Direct Inc. was £94,396. (2023 £94,016). £52,014 was paid to Producers Direct Inc as an unrestricted sub-grant, £42,382 was received from Producers Direct Inc. as an Unrestricted Donation.

9 Taxation

The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

10 Tangible fixed assets

Tangible fixed assets
Cost
At the start of the year
Additions in year
At the end of the year
At the start of the year
Charge for the year
At the end of the year
Net book value
At the end of the year
At the start of the year		 2024
£
35,936
854
Computer		 2023
£
31,221
4,715
Equipment
36,790 35,936
16,761
4,147		 13,121
3,640
20,908 16,761
15,882 19,175
19,175 18,099

All of the above assets are used for charitable purposes.

33

Producers Direct

Notes to the financial statements

For the year ended 31 December 2024

11 Debtors

12
Programme related investments
Fair value at the start of the year
Award of new loans
Repayment of loans
Fair value at the end of the year
Investments comprise:
Loans
Ankole Coffee Producers Co-operative Union (ACPCU)
Kayonza Growers Tea Factory
Rungwe and Busokelo Tea Co-operative Joint Enterprise (RBTC)
CAC Chirinos
CAC Aprocassi
CAC Bagua Grande
Trade debtors
Prepayments and accrued income		 2024
£
81,153
53,098		 2023
£
27,646
108,683
134,251 136,329
2024
£
58,153
8,010
(4,496)		 2023
£
59,148
-
(3,181)
61,667 55,967
2024
£
15,586
22,929
14,878
167
4,012
4,094		 2023
£
18,752
22,072
14,878
167
-
99
61,667 55,967

During 2023, Producers Direct partnered with five smallholder producer organisations in Uganda (Ankole and Kayonza), Tanzania (RBTC) and Peru (CAC La Prosperidad de Chirinos and CAC Bagua Grande), and micro-finance institutions associated with each organisation, to enhance farmers’ access micro-loans to support them take-up or strengthen on-farm beekeeping practices. Interest on loans is being charged below market rates in Uganda, Tanzania and Peru. Loans are being made to further the charity's objectives and not solely to generate a financial return.

34

Producers Direct

Notes to the financial statements

For the year ended 31 December 2024

13 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
Trade creditors
Taxation and social security
Loan payments due within a year
Accruals		 2024
£
104,898
18,455
17,001
11,504		 2023
£
46,522
1,261
21,349
50,941
151,859 120,074

14 Non-Current Creditors: amounts falling due beyond one year

UK Bounce Back Loan
CAF Venturesome Loan		 2024
£
6,736
-		 2023
£
15,000
7,001
6,736 22,001

During 2020, Producers Direct secured two loans to support cash flow management and to invest in testing branded honey sales in East Africa. These were a CAF Venturesome loan for £50,000 of unsecured debt finance, on a 5 year repayment terms at an interest rate of 6% per annum, and a UK Government Bounce Back unsecured loan of £50,000 at a 2.5% per annum interest rate after the first 12 months on 5 year repayment terms.

15 Pension scheme

The charity operates a defined contribution pension scheme for employees. The assets of the scheme are held separately from those of the charity. The annual contributions payable are charged to the statement of financial activities.

16a Analysis of net assets between funds (current year)

Tangible fixed assets
Net current assets
Long term liabilities
Net assets at 31 Dec 2024		 General
unrestricted
£
15,882
56,921
(6,736)		 Restricted
£
-
67,424
-		 Total
funds
£
15,882
124,345
(6,736)
66,065 67,424 133,489

16b Analysis of net assets between funds (prior year)

Tangible fixed assets
Net current assets
Long term liabilities
Net assets at 31 Dec 2023		 General
unrestricted
£
19,175
179,872
(22,001)		 Restricted
£
-
48,768
-		 Total
funds
£
19,175
228,640
(22,001)
177,046 48,768 225,813

35

Producers Direct

Notes to the financial statements

For the year ended 31 December 2024

17a Movements in funds (current year)

At 1
January
2024
Income &
gains
Expenditure
& losses
Transfers
£
£
£
£
Restricted funds:
25,502
47,427
(72,929)
1,195
208,032
(209,228)
-
86,884
(86,884)
-
32,777
(32,777)
-
19,065
(19,065)
-
151,134
(151,133)
18,393
3,321
(36,875)
3,369
167,008
(170,377)
-
6,990
(9,920)
308
100,000
(100,308)
-
217,230
(131,719)
Total restricted funds
48,768
1,039,869
(1,021,214)
-
General funds
177,046
288,829
(399,810)
177,046
288,829
(399,810)
-
225,813
1,328,698
(1,421,024)
-
At 1
January
2023
Income &
gains
Expenditure
& losses
Transfers
£
£
£
£
Restricted funds:
23,326
159,166
(156,990)
-
-
161,072
(159,877)
-
-
86,713
(86,713)
-
68,590
-
(68,590)
-
168,279
-
(149,886)
-
48,945
362,314
(407,890)
-
68,992
100,000
(168,684)
-
(1,097)
-
1,097
-
Total restricted funds
377,034
869,265
(1,197,532)
-
General funds
303,208
228,535
(354,697)
-
303,208
228,535
(354,697)
-
680,242
1,097,799
(1,552,229)
-
Latin America - IDB Lab
Latin America - Pret a Manger
Latin America - World Food
Programme
Unrestricted funds:
Total unrestricted funds
Total funds
Latin America - GIZ i4Ag
Latin America - Pret a Manger
Latin America - IDB Lab SAGRI
Africa - GIZ FairForward
Africa - Bill and Melinda Gates
Foundation
Africa - OCP Foundation / APNI
Africa - Cavex
Africa - Viamo
Africa and Latin America - Bayer
AG
Latin America - IDB Lab
Latin America - Incofin
The narrative to explain the purpose of each fund is given at the foot of the note below.
Movements in funds (prior year)
Africa and Latin America- Bayer
AG
Latin America- GIZ i4Ag
Unrestricted funds:
Total unrestricted funds
Total funds
Africa - GIZ FairForward
Africa - Bill and Melinda Gates
Foundation
Africa - OCP Foundation / APNI		 At 1
January
2024
£
25,502
1,195
-
-
-
-
18,393
3,369
-
308
-		 Income &
gains
£
47,427
208,032
86,884
32,777
19,065
151,134
3,321
167,008
6,990
100,000
217,230		 Expenditure
& losses
£
(72,929)
(209,228)
(86,884)
(32,777)
(19,065)
(151,133)
(36,875)
(170,377)
(9,920)
(100,308)
(131,719)		 Transfers
£		 At 31
December
2024
£
(1)
-
-
-
-
-
(15,161)
-
(2,930)
-
85,512
48,768 1,039,869 (1,021,214) - 67,424
177,046 288,829 (399,810) 66,065
177,046 288,829 (399,810) - 66,065
225,813 1,328,698 (1,421,024) - 133,489
At 31
December
2023
£
25,502
1,195
-
-
18,393
3,369
308
-
377,034 869,265 (1,197,532) - 48,768
303,208 228,535 (354,697) - 177,046
303,208 228,535 (354,697) - 177,046
680,242 1,097,799 (1,552,229) - 225,813

17b Movements in funds (prior year)

36

Producers Direct

Notes to the financial statements

For the year ended 31 December 2024

Purposes of restricted funds

Africa - GIZ FairForward: 353,808 Euros secured over 24 months from October 2022 to June 2024 to support the expansion of Croppie development and testing to smallholder coffee farmers in Uganda, in partnership with the International Centre for Tropical Agriculture Centre (CIAT) and M-Omulimisa.

Africa - Bill and Melinda Gates Foundation: 2022/2023 Funding from the Bill and Melinda Gates Foundation for a total of $US 463,317 over 12 months to support the testing of incentives for farmers and other stakeholders to share data, in order to collectively benefit from stronger data insights across agricultural value chains as a result of sharing the data, and the enhanced delivery of digital services to smallholder farmers.

Africa - OCP Foundation / African Plant Nutrition Institute (APNI): $US 110,990 received during 2023 of a total three-year grant of $US 321,050 from APNI (2023-2025), sub-granted from the OCP Foundation, to support smallholder farmers in Uganda diversify their farming, including through apiculture and horticultural crops, and enhance climate-smart approaches to coffee farming - in order to enhnace their long-term resilience to climate change.

Africa - Cavex

£32,777 funding secured in 2024 from Cavex to pilot carbon-financed interventions that empower smallholder coffee farmers through activities like reforestation, biochar, and clean energy, as well as tests farmer-led digital data collection tools to generate ISO-certified carbon credits and support compliance with EU deforestation regulations.

Africa - Viamo

$23,565 secured over 12 months to support the research and development of an omnichannel digital assistant for smallholder farmers in East Africa.

Africa and Latin America: - Bayer AG: 300,000 Euros was secured from Bayer AG in 2022 Q4 to support further 2022/2023 testing and scaling of Producers Direct’s ‘Digital Cooperative’ concept and its potential to support women smallholders in both Peru and Uganda to aggregate and collectively sell their surplus food crops to enhance their incomes.

Latin America - GIZ (German Development Agency) i4Ag: 700,445 Euros secured over 24 Months (2021 Q4 - 2023 Q3) to support the expansion of Croppie - our digital tool focused on data-driven yield predictions for smallholders in Peru and Colombia.

Latin America - IDB Lab (The innovation laboratory of the Inter-American Development Bank): 1,000,000 USD secured over 36 Months from January 2022 for work in Peru to support the development of climate-resilient landscapes, working with 10 smallholder cooperatives to develop the data, training, financial and market access services required to manage climate-resilient farms and landscapes.

Latin America - Incofin

£6,990 funding secured in 2024 of a $US 85,000 one-year grant from Incofin - a Belgian-based impact investment firm that focuses on promoting financial inclusion, sustainable agriculture, and rural development, particularly in emerging and developing countries, working in partnership with producer partners in Peru to improve the services being delivered.

Latin America - Pret a Manger Coffee Fund : Funding to support Peruvian Partners, particularly Cenfrocafe, to implement a youth leadership training programme.

Latin America - World Food Programme

funding to test Producers Direct’s ‘Digital Cooperative’ concept and its potential to support women smallholders in Las Lomas, Peru, to aggregate and collectively sell their surplus food crops to enhance their incomes.

Latin America - IDB Lab SAGRI

$800,000 USD grant awarded over 36 months to improve the productivity of Peruvian smallholders and promote the adoption of climate-smart practices through an innovative soil analysis solution, piloting asustainable and scalable business model £217,230 secured to support expenditure in 2024/2025.

18 Legal status of the charity

The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1. There was one member at 31 December 2023, Cafédirect Producers Limited.

19 Post balance sheet event

The charity has been made aware of a legal dispute relating to events which have taken place since the year end, which is ongoing. An estimate of the maximum financial impact this could have on the organisation is £10,000.

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