[Zambia] Mobe Sugar set to open $166 million sugar refinery plant
Mobe Sugar Company, a wholly owned Zambian private manufacturing company has initiated talks with Luanshya Municipal Council, North-Central Zambia on opening a sugar refinery and auxiliary factories in the district worth over $166 million.
Company Board Chairperson Tarcisio Chanda said his company is in the process of sourcing $554 million to finance the sugar manufacturing project, which also includes a 17,000 hectares sugar estate to be established on the banks of the Kafue River in Ngabwe.
Once operational, the Luanshya based sugar refinery plant will house a cane spirits manufacturing, marketing and distribution centres which are expected to be operational in the next two to three years.
Tarcisio said Mobe Sugar Company is also seeking to acquire at least five hectares of land on which to set up the sugar refinery and 5,000 hectares of land to be used for an out-grower scheme in Ngabwe.
Tarcisio adds that the sugar manufacturing project is set to create over 2,100 jobs for residents of both Luanshya and Ngabwe District once it becomes operational.
Luanshya Mayor Nathan Chanda has assured Mobe Sugar Company that the local authority is ready to partner with them.
Chanda said the Luanshya Municipal Council is ready to assist with any well-meaning investors in line with the PF Government policy according to the Seventh National Development Plan.
He has however warned investors to desist from acquiring huge chunks of land for manifesting projects and there after resort to change of use from the intended purpose or holding it for speculative reasons.
For the 2018/2019 farming season, Sugar production in Zambia increased to to 400,000 tonnes from 353,000 tonnes in the previous season due to improved cane supply and farming practices.
During the period under review, cane supply and quality were trading above those of the past three years mainly due to improved bulk water supply and infield irrigation.