- Amatheon Agri Zambia has begun procuring soya beans in Zambia to increase its marketable volumes and simultaneously strengthen its trading relationships with small producers in the area.
- The company has already purchased 300 metric tonnes (MT) from neighbouring smallholder farmers in rural Mumbwa District and aims to increase purchases to 1,500 MT over the coming weeks.
- The regional market for raw materials, protein-rich products and oils - including soya beans - continues to increase and Amatheon Agri Zambia is bringing its neighbouring farmers into the wider supply chain, enabling them to benefit from the higher prices.
- Simultaneously, Amatheon Agri Zambia is midway through its commercial soya harvest and expects a yield of around 6,000 MT this season.
BERLIN, GERMANY / ACCESSWIRE / June 1, 2022 / Amatheon Agri Holding N.V., the Euronext listed agribusiness and farming group (ISIN NL0010273694, Symbol MLAAH), shares an operational update from its 100% subsidiary company in Zambia, Amatheon Agri Zambia Limited (AAZ).
Soya purchases from small-scale farmers underway
Amatheon Agri Zambia has begun buying soya from smallholder farmers with the aim of selling an additional amount of quality-controlled soya with an attractive contribution margin. The company has already purchased 300 MT of soya beans and plans to procure up to 1,500 MT in June. Up to 3,000 farmers could benefit from the procurement activity. Soya prices are currently high in Zambia as the region - and world at large - struggles to manage the combination of global freight delays, ongoing war in the Ukraine and the COVID19 pandemic.
Commercial harvest upside
The company is almost halfway through its commercial soya harvest and has offtake agreements in place. In addition, Amatheon Agri Zambia has recently been certified as a soya seed multiplyer, and as a result has been able to enter the lucrative soya seed business. This additional upside is on top of the currently high prices.
Widening crop portfolio
Amatheon Agri Zambia's Outgrower Programme is primarily focused on the cultivation of high-value products such as chillies and organically-certified grains. It is managed through a contract-farming arrangement, whereby the farmer is provided with inputs, agricultural support and fixed offtake prices for better planning and production. The company has decided to capitalise on the current soya market and widen its buying basket to include it. This step not only increases the overall trading volume for Amatheon in the region but also allows smallholder farmers to benefit from the favourable market conditions.
"These opportunities are truly win-win scenarios for local farmers and Amatheon, as both can increase their margins and benefit from our infrastructure, which enables this kind of relationship," says Amatheon Agri Holding N.V.'s CEO and Founder, Carl Heinrich Bruhn.
The sourcing is arranged through two buying points on Amatheon Agri Zambia's farm with officially calibrated weighbridges - so sellers can observe correct weighing of the soya. Flyers are printed and distributed in nearby villages. For farmers who are unable to deliver to the company's farm, in-village aggregation and collection is also possible, with scales being calibrated so both buyer and seller can confirm the weight.
New development project for smallholder farmers
Earlier this year, Amatheon Agri Zambia joined the U.S. Agency for International Development (USAID), private partners, Zambian government officials and local leaders to officially launch the Eastern Kafue Nature Alliance, a new development assistance project. The project is designed to empower local communities for conservation and sustainable management and strengthen relationships among communities and the private sector. Amatheon Agri Zambia was selected to play the key role in this five-year project for further increasing sustainable agricultural production of high-value crops within the local communities of Mumbwa District.
The Management Board
Berlin, Germany, 1 June 2022
For further information please see the Group's website: https://amatheon-agri.com
Contact:
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 (zuva.de)
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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.
SOURCE: Amatheon Agri Holding N.V.