IFC to invest $35m in Zambia's Zambeef
The IFC will invest up to $35 million in Zambian agribusiness company Zambeef to support its three-year plan to expand its food production and processing capacities, and enable it to source more key inputs, such as wheat, dairy, and animal feed ingredients, from local suppliers. Zambeef will use the funds to upgrade its feed mill, develop more animal housing, purchase new farm equipment and develop 1,000 hectares of irrigation land, among others.
”Throughout its history Zambeef has grown with the Zambian people, providing jobs, livelihoods and world-class shopping for our customers by adding value to local produce. This latest support from IFC is part of our $100 million investment strategy to expand that even further,” said Faith Mukutu, chief executive officer, Zambeef Products PLC.
The agricultural sector plays an important role in Zambia’s economy, contributing almost half of all employment. However, agriculture, forestry and fishing contribute only 3% of GDP. This presents an opportunity to significantly expand the sector’s contribution to economic growth in Zambia.
”Agribusiness is a key driver of economic growth and essential to ensure food security,” said Carlos Katsuya, IFC’s senior country manager for Zambia. ”IFC’s investment in Zambeef will continue to help develop and diversify this key sector, create thousands of jobs and provide quality, affordable food to Zambian consumers, while also expanding access to best practices and finance for the sector in the region.”
Get the most from the Africa Private Equity News app by registering a free account. Go to the app home screen and tap the round orange icon in the top-right of your screen.