Online Reporter
George Maponga
Masvingo Bureau
ZIMBABWE is moving closer to achieving self-sufficiency in fertiliser production, with plans underway to construct a US$400 million coal-to-fertiliser plant in Gudo communal lands, Chiredzi District.
The landmark investment, spearheaded by the Government through Verify Engineering in partnership with Rusununguko Nkululeko Trust, promises to transform the socio-economic face of rural Chiredzi while dovetailing with the Second Republic’s rural industrialisation agenda and Vision 2030 targets of attaining upper middle-income status.
The project, set to be developed in partnership with a Chinese investor, will ride on Verify Engineering’s coal mining operations in the area, which have been ongoing for more than two decades.
Rich coal deposits in Gudo and the area’s proximity to the perennial Mkwasine River — a key water source for industrial processing — make it a strategic location for such a massive undertaking.
A coal-to-fertiliser facility converts coal into synthetic gas, which is then processed into urea fertiliser — one of the most widely used forms of nitrogen-based fertiliser.
Urea improves soil fertility and boosts crop yields across cereals, sugar cane, horticulture and other crops.
For Zimbabwe, where agriculture is the backbone of the economy and fertiliser demand outstrips supply, this plant has the potential to be a game-changer.
Permanent Secretary for Masvingo Provincial Affairs and Devolution, Dr Addmore Pazvakavambwa, said the plant would significantly boost fertiliser availability while reducing the country’s import bill.
“We are looking forward to the coal-to-fertiliser project in rural Chiredzi as it will not only improve fertiliser supplies for our farmers but will also create employment and save foreign currency currently spent on imports,” he said.
“The project is being spearheaded by Verify Engineering, which has partnered Rusununguko Nkululeko Trust, an investment vehicle of the Zimbabwe Defence Forces.
“They are in talks with a Chinese investor for a US400 million coal-to-fertiliser investment project in Mkwasine, where Verify Engineering already operates a coal mine since 2007.”
The project has already attracted widespread support in Masvingo, particularly in Chiredzi, home to vast sugar cane plantations in Triangle, Hippo Valley, Mpapa and Mkwasine.
Fertiliser shortages have long hampered productivity in the region.
Dr Pazvakavambwa said while the project was still at the planning stage, the province was excited by its huge potential to transform Masvingo’s economy.
He said improved supplies of fertiliser will boost the province’s thrust to increase agricultural productivity.
“Verify Engineering and their partners have applied for a special mining grant at the Ministry of Mines (and Mining Development). Everything is still at conception stage.”
Chiredzi Rural District Council chief executive, Mr Ailess Baloyi, welcomed the investment, noting its potential to reshape the district’s economy.
“This is a welcome investment for us,” he said. “Verify Engineering has been mining coal in the Gudo area close to Mkwasine River for many years, so we are very excited that there are now plans to build a coal-to-fertiliser plant.
“The plant will be good news for the Chiredzi economy that is anchored by sugar cane farming, where fertiliser is a key raw material.”
Mr Baloyi said the local authority was prepared to offer tax holidays and exemptions to the investors.
“We are ready for an investment of this magnitude in our district, which will create jobs and benefit many downstream industries.
“We will be sitting down with the investors to hear from them, especially on the issue of payment of certain taxes that we are prepared to revise in the first few years of their investment.”
Masvingo Provincial Affairs and Devolution Minister Ezra Chadzamira described the project as a direct result of business-friendly policies being championed under President Mnangagwa’s administration.
The investment, he added, gives impetus to plans to transform Masvingo into a US$8 billion economy by 2030.
Verify Engineering has already demonstrated its ability to deliver transformative projects, including setting up the country’s first medical oxygen plant in Mutare, which proved critical during the Covid-19 pandemic.
The coal-to-fertiliser project is expected to follow the same trajectory of using local resources for import substitution and value addition.
With abundant coal deposits guaranteeing raw material supply, the plant is expected to secure Zimbabwe’s position as a net fertiliser producer in the near future, saving foreign currency, creating jobs and cementing agriculture’s role as the mainstay of the economy.
