Amatheon Agri Zambia and Partners Sign MoU in 5-year US$21m USAID-Funded Project to Increase Chillies and Paprika Production with Communities in Zambia
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Amatheon Agri Zambia and Partners Sign MoU in 5-year US$21m USAID-Funded Project to Increase Chillies and Paprika Production with Communities in Zambia

Tuesday, April 26, 2022 6:40 AM
Amatheon Agri Holding N.V.
  • Amatheon's subsidiary in Zambia together with other international and local stakeholders signs MoU for US$21m USAID flagship project
  • Over a 5-year period, the Alliance will address threats to the Greater Kafue Ecosystem, in which Amatheon Agri Zambia is key partner for sustainable agricultural development
  • Growing demand for chillies and paprika offers unlimited opportunities to integrate small-scale farmer into the value chain of the company and to boost its trading volume
  • First major deals of ca. EUR 2 million worth of contracts with European and African clients for chili and paprika off-take signed

BERLIN, GERMANY / ACCESSWIRE / April 26, 2022 / Amatheon Agri Holding N.V. (the "Company"), the Euronext listed agribusiness and farming group (ISIN NL0010273694, Symbol MLAAH), announces the signing of a Memorandum of Understanding for a 5-year Global Development Alliance project with a total volume of US$21m.

A double reason to celebrate: On International Earth Day 2022, Amatheon Agri Zambia Ltd. joined U.S. Agency for International Development (USAID), The Nature Conservancy (TNC), Kashikoto Conservancy Ltd., Alliance partners, government officials and local leaders to officially launch the Eastern Kafue Nature Alliance. The Alliance, which operates under USAID's Global Development Alliance (GDA) brings together public, private and civil society actors, along with local communities, to address threats to the rich biodiversity in and around the Greater Kafue Ecosystem (GKE) of Zambia.

5-year flagship project with USAID and TNC
A Cooperative Agreement signed by USAID and TNC initiates implementation of a five-year programme of US$21.3m out of which $10m will be funded by USAID and $11.3m in leverage from the private sector. Amatheon Agri Zambia Ltd. (AAZ) plays the key role in this programme for further increasing the sustainable agricultural production of high-value crops within the communities in Mumbwa District, in which the company has its operations.

The Minister of Tourism, Honourable Rhodine Sikumba, officially launched the Alliance and highlighted the importance of bringing together like-minded people to conserve the rich landscape of the GKE and improve the well-being and prosperity of its communities. "Sustainable development requires cross-sectoral commitments from local and global stakeholders," said Honourable Mr. Sikumba.

Also the Minister of Green Economy and Environment, Honourable Collins Nzovu, touched on the great opportunities that inclusive agriculture can bring for communities and nature simultaneously, and appreciated Amatheon's approach to introduce cash crop cultivation as a sustainable, alternative source of income for the communities in the GKE.

Uplifting communities in Mumbwa District with increasing demand for Capsicum products
With the signing of the Memorandum of Understanding (MoU), Amatheon Agri Zambia's Managing Director, Troy Minne, said the company commits to ramp up its herbs and spices production with small-scale farmers, starting with different varieties of capsicum products (hot chillies and paprika). Over a period of 5 years, Amatheon Agri Zambia will support crop diversification into high-value herbs and spices, produced under climate-smart techniques through the provision of market services, including input finance, extension and demonstration of sustainable farming practices to address economic constraints communities face in Mumbwa District.

With its newly established state-of-the-art processing, cleaning and storage facilities, AAZ is able to process the dried chillies and paprika into flakes in various sizes, with or without seeds, in accordance with international food and processing standards. The global demand for chilli products continues to grow, which offers great opportunity for Amatheon to connect smallholder farmers to high-level value chains and increase its trading volumes as new supply contracts come into fruition.

Successful conclusion of major orders in the first quarter of 2022
"The first major deals from European and African clients for high-margin chilli and paprika products have been closed, resulting in ca. EUR 2 million worth of contracts being signed in Q1 2022 for delivery later in the year," says Amatheon's Director of International Sales and Marketing, Victoria Cavanagh.

"The high quality of the products, combined with year-round availability and on-site processing, makes Amatheon Agri a strategic supplier for many new clients," says Cavanagh. "Traditional origins for chilli and paprika are experiencing quality and supply challenges, and the market is eager to develop new origins especially with large-scale farming companies where traceability is stronger," she says.

Second AAZ-USAID partnership for community development
For AAZ, the launch marked a special moment in the company's history with USAID, which played a crucial role in the development of Amatheon Agri's Outgrower Programme in 2016. During the first USAID partnership, AAZ established a trading network with more than 10,000 farmers in Mumbwa District and embedded the Outgrower Programme as a core part of the company's operations in Zambia.
"We are excited to partner again in such an ambitious and fundamentally important project, which will uplift our Outgrower Programme and the communities surrounding Amatheon's farm," said Sustainability Manager Laura Schenck.

The Alliance project activities will be implemented over a course of five years until September 2026.

The Management Board

Berlin, Germany, 26 April 2022
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For further information please see the Group's website:

Laura Schenck
Amatheon Agri Holding N.V.
Friedrichstrasse 95, 10117 Berlin, Germany
Tel: +49 30 53 000 90 121
Fax: +49 30 53 000 90 20
email: [email protected]

About Amatheon Agri Holding N.V.:
Amatheon Agri is a European agri-food company with headquarters in Berlin and production sites in Sub-Saharan Africa and cooperation with small-scale local farmers (outgrowers). Since its foundation by Mr. Carl Heinrich Bruhn in 2011, Amatheon Agri has established sustainable agricultural value chains from cultivation to product-specific processing and trading processes in Zambia, Uganda and Zimbabwe. With a combination of international distribution network, incorporated local know-how as well as a sustainable vision for the future, Amatheon Agri has been able to establish itself as a strategically aligned global player in the African agricultural sector.

In 2020, Amatheon Agri also launched its new brand for 100% natural, fair and sustainably grown food from Zambia, Uganda and Zimbabwe: ZUVA Foods (

The Shares of Amatheon Agri are listed on the Euronext Paris stock exchange (ISIN NL0010273694, Symbol MLAAH) and on the Lang & Schwarz Exchange in Germany (Symbol/WKN A1J4XD).

The Convertible Bonds of Amatheon Agri are listed on the Frankfurt Stock Exchange with ISIN DE000A286BY3 and Symbol/WKN A286BY.

Amatheon Agri Holding N.V., Tuesday, April 26, 2022, Press release picture

SOURCE: Amatheon Agri Holding N.V.

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