In Zambia, Amatheon manages a strong portfolio of farming, trading and food processing activities. To date, the Amatheon Group has invested more than US$84 MIllion in Zambia and is integrating its activities along the agricultural value chain.
Amatheon Agri Zambia Ltd. (“AAZ”) is a subsidiary of Amatheon Agri Holding N.V. and began farming operations in Mumbwa District in 2012. Since inception, the company has successfully developed over 3,000 hectares of land for rain-fed and irrigated cropping activities and has engaged over 200 employees on a permanent basis. In Zambia, Amatheon Agri has proven its large-scale farming abilities with strong yields in maize, soya, wheat, and onions, and is constantly trialing new crops and varieties. Amatheon Agri is permanently exploring for additional water sources to expand its irrigation capacities.
Amatheon Agri has gained an extensive Outgrower experience – from knowledge transfer to small scale farmers to permission of access to high-value inputs, credit, and a market to expand their businesses and risk mitigation strategies.
Programs in Zambia have, for example, provided for free trainings in cultivation, handling and harvesting of high-value crops. As a response to the rising global demand for organic products, an incremental number of Amatheon Agri’s Outgrowers had been trained and officially certified as Organic Growers. Following a contract-farming approach, Amatheon Agri had guaranteed the off-take of the harvested crops to ensure the sustainability of this Programme. Amatheon Agri`s certified processing and storage facilities have been used to provide high-quality products ready for export.
Amatheon Agri chose Zambia as its first investment destination in 2012. Zambia is strategically located in Southern Africa – sharing borders with eight countries – and the farm site is well located in close proximity to Zambia’s capital, Lusaka, as well as the Copperbelt area. Zambia encompasses more than 750,000km² of land yet has a population of only 14 million, thus relatively low population density. Only 3% of Zambia’s arable land is irrigated while 40% of the water resources in southern Africa pass through the country – pointing to untapped irrigation potential. A steadily growing population – as well as steadily improving living standards – favorably enhances Zambia’s macro-economy. The country is politically stable and Amatheon Agri has maintained good relationship with the Zambian Government. Being a member of the Southern African Development Community Free Trade Area (SADC-FTA), as well as the Common Market for Eastern and Southern Africa (COMESA), Zambia enjoys access to the largest regional economic grouping in Africa, comprising approximately 400 million people. Regional infrastructural projects strategically position the country as a land-linked transit hub to neighboring countries.
Growing Value.
