Here’s the latest in ESM’s regular series, Notes From Africa, which brings you the latest retail, consumer goods, and food and beverage stories from across the African continent. Past editions can be found here.
Nigeria: Arla Foods Plans Dairy Expansion
In Nigeria, Danish dairy giant Arla Foods plans to purchase 400 dairy cows by the end of August. The herd will be housed on the company's commercial farm being built on 200 hectares in Kaduna State, following an investment of around $10 million. The project will help the company to boost domestic production of raw milk – Nigeria produces 500,000 tonnes of milk per year against a need of 2.2 million tonnes, according to authorities.
Kenya: Government Unveils Fish Processing Unit
The Kenyan government has inaugurated a fish processing plant based in Migori County. With a total cost of 141 million shillings ($1.2 million), the unit has a processing capacity of more than 100 tonnes of fish per day. According to the authorities, this facility has already created 100 jobs in the region. It should also help boost fish production, which has long been affected by production losses, notably due to a lack of equipment for cold storage. Kenya produces more than 146,000 tonnes of fish per year, according to 2018 data from the World Bank.
Tanzania: SSBG Group Commissions $300 Million Sugar Plant
In Tanzania, the Said Salim Bakhresa Group of Companies (SSBG) has unveiled a new sugar manufacturing plant in the town of Bagayamo. The investment cost is estimated at 690 billion shillings ($300 million), and has an installed production capacity of between 30,000 and 40,000 tonnes per year in its initial phase. It will rely on a 1,200 hectare cane sugar plantation for its raw material supply and is expected to contribute to the creation of 800 jobs. According to media reports, the company aims to produce 100,000 tonnes of sugar and generate more than 10,000 direct jobs in the long term.
Zimbabwe: AFZ Gets Financial Boost To Expand Capacity
Agri-food company Associated Food Zimbabwe (AFZ) has received financial support from private investment firm Spear Capital, based in South Africa, to increase its production. According to local media reports, the funding, the value of which has not been disclosed, will enable the company to increase its production capacity utilisation rate to 75%, from the current 35%. Moreover, it will also reinforce the Zimbabwean company's farmer support program, which aims to expand its network of peanut and tomato farmers to 2,200 suppliers from the current total of 1,100.
Côte d'Ivoire: Cashew Nut Processing Plant Starts In Toumodi
In Côte d'Ivoire, a cashew nut processing unit has commenced production in Toumodi. Called Dorado Ivory, the plant follows an investment of $23 million. It belongs to Singaporean trading group Royal Nuts, covers 12 hectares and has a processing capacity of 60,000 tons of cashew nuts per year. It will help the country to improving the rate of local processing of the raw material to 50% by 2025, against less than 20% currently. The country ranks third in the cashew processing industry internationally, behind Vietnam and India.
Kenya: New Tomato Processing Plant Launched
In Kenya, a tomato processing plant has been inaugurated in Nyando, Kisumu County. Equipped with cleaners, boilers and tomato paste-making machines, the facility will help farmers to prolong the shelf life of the tomatoes by adding value, as well as helping to curb post-harvest losses in fresh produce.