PRESIDENT Rupiah Banda has urged financial institutions in Zambia to avail capital to the agro-processing sector for them to effect value addition.
He said yesterday one of the challenges to the growth of agriculture in Zambia was inadequate agro-processing and value addition.
The president said much of Zambia’s agricultural produce such as vegetables and fruits were going to waste because of inadequate value addition and agricultural processing.
Commissioning the Freshpikt factory in Lusaka, Mr Banda said the wasted produce could be processed and stored for local use and export.
He urged Freshpikt to invest in cold rooms and refrigerated trucks for transportation of fresh fruits and vegetables to the processing plant.
“As a landlocked country, the only way Zambia can compete in the regional and international markets is to add value to the commodities wherever possible.
“Moreover, value addition is critical to stimulating economic growth, employment creation and poverty reduction,” he said.
It was encouraging that the plant would be employing more than 500 people.
The Government had worked hard to cushion the effects of the global financial crisis, which had left some Zambians jobless.
He was happy with the spirit of Freshpikt chairperson, Chance Kabaghe and four other investors who bought the plant because they were a good example to many Zambians.
He said it was also encouraging that the United States of America and Zambia State Insurance Corporation (ZSIC) had decided to invest in the company, formerly called Zambia Horticultural Products Limited, in which the investors had pumped US$5 million after acquiring the plant through privatisation.
Commending ZSIC managing director Ireen Muyenga for considering the financing of the Zambian company, he said he would encourage investments in women by appointing those with potential to run institutions of influence.
United States embassy charge d’affaires, Michael Koplovsky said his government was investing in the development of the private sector to help them add value to the agriculture sector as a sure way of helping to reduce poverty and create employment.
Mr Koplovsky said the investment in Freshpikt was an example of how the private sector could be turned round with simple financial and technical assistance, as the company had now become an exporter of processed products to the regional market and Europe.
Freshpikt has already engaged 2,000 smallholder farmers and will increase the number to 5,000 by the end of the year.
“Broad-based economic growth is the key to reducing poverty in Zambia. It is one of the US government’s top priorities here,” Mr Koplovsky said.
Zambia National Farmers Union president Jervis Zimba, in a speech read for him by executive director Ndambo Ndambo, said President Banda had changed the course of the agriculture sector because of his leadership and vision.
Mr Zimba said Zambia had now become an exporting country from a perpetual food deficit country, and that the debate now had changed from how much to produce to where to export to, which was testimony of Mr Banda’s vision.
And Mr Kabaghe said the company was exporting to Zimbabwe, Democratic Republic of Congo and Europe, while also packaging for some South African companies from the Mungwi Road plant.
Times
