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Zambeef’s Palm Project Needs $24M Investment in 5 Years
Zambeef’s Palm Project Needs $24M Investment in 5 Years
15/03/2016 (postzambia.com) - Zambeef joint chief executive officer Francis Grogan says the palm plantation will require a further US$24 million investment over the next five years.
And President Edgar Lungu says Zambeef’s Zampalm plantation in Muchinga Province will be a success only if it improves the lives of Zambians.
Speaking on Sunday when President Lungu toured the 20,000 hectare plantation, Grogan said the project would also include planting palm trees on 1,400 hectares and the upgrading of the mill to a 20-tonne-per-hour mill.
“The total investment cost of the whole project will be approximately US$40 million, of which Zambeef has spent US$21 million so far. At current prices and at an average production of 3-3.5 tonnes per hectare, Zampalm could generate more than US$170 million in revenue over the next decade,” Grogan explained.
He added that the production of palm oil would assist the nation with food security.
“The rural area of chief Kopa has seen real development and poverty alleviation. We are well on our way towards the import substitution of edible oil that our economy needs; 180 permanent jobs have been created in the area - with more to come; and we have developed a new primary industry in Muchinga Province in a pioneering sector that has never before been established in this part of Zambia,” said Grogan, adding that the demand for edible oils in Zambia is huge and would continue to grow as the country develops.
And President Lungu said his government would support the project up to its fruition.
“Let me underscore that this project has our total support, but it is only going to be a success by how much it improves the lives of our people here in this community,” President Lungu said.
He added that the plantation’s plans for an out-grower scheme was a welcome move as Zambia already had successes in out-grower schemes in the sugar plantation sector.
“Your prospect on developing an out-grower scheme is most welcome...and you have told me the success story of out-growers in Uganda. So we will help you in ensuring that this out-grower scheme kicks off in the shortest possible time, because we want these people to be their own business managers,” said President Lungu.
And President Edgar Lungu says Zambeef’s Zampalm plantation in Muchinga Province will be a success only if it improves the lives of Zambians.
Speaking on Sunday when President Lungu toured the 20,000 hectare plantation, Grogan said the project would also include planting palm trees on 1,400 hectares and the upgrading of the mill to a 20-tonne-per-hour mill.
“The total investment cost of the whole project will be approximately US$40 million, of which Zambeef has spent US$21 million so far. At current prices and at an average production of 3-3.5 tonnes per hectare, Zampalm could generate more than US$170 million in revenue over the next decade,” Grogan explained.
He added that the production of palm oil would assist the nation with food security.
“The rural area of chief Kopa has seen real development and poverty alleviation. We are well on our way towards the import substitution of edible oil that our economy needs; 180 permanent jobs have been created in the area - with more to come; and we have developed a new primary industry in Muchinga Province in a pioneering sector that has never before been established in this part of Zambia,” said Grogan, adding that the demand for edible oils in Zambia is huge and would continue to grow as the country develops.
And President Lungu said his government would support the project up to its fruition.
“Let me underscore that this project has our total support, but it is only going to be a success by how much it improves the lives of our people here in this community,” President Lungu said.
He added that the plantation’s plans for an out-grower scheme was a welcome move as Zambia already had successes in out-grower schemes in the sugar plantation sector.
“Your prospect on developing an out-grower scheme is most welcome...and you have told me the success story of out-growers in Uganda. So we will help you in ensuring that this out-grower scheme kicks off in the shortest possible time, because we want these people to be their own business managers,” said President Lungu.