daniel chigunweOliver Kazunga
THE Goromonzi Agro-Industrial Company (Private) Limited is seeking US$16,9 million for the development of a high-tech farming and agro-processing hub on a 1 025-hectare piece of land in Mashonaland East Province.
In its latest real estate and housing prospectus, the Zimbabwe Investment and Development Agency (ZIDA), said the planned agro-industrial park to be established in Goromonzi, will be focused on horticulture, cannabis, industrial hemp and related products, aims to revolutionise the nation’s agricultural sector.
“This project will leverage cutting-edge farming methods and state-of-the-art processing facilities to enhance the quality, quantity and profitability of Zimbabwean agricultural products.
“By creating a comprehensive agro-industrial ecosystem, the project seeks to boost exports and generate significant economic opportunities for local communities,” said the agency whose mandate among others is to promote, plan and implement investment promotion strategies as well as facilitating investors’ entry into the country.
The US$16,9 million facility will be developed in phases with prospective investors encouraged to provide equity financing and contribute to the project’s success through long-term engagement and adherence to quality standards.
The financing structure for the proposed project will consider various options including internal resources, debt, and equity finance.
It is hoped that the project whose comprehensive feasibility study has been completed, confirming its viability and readiness for development, will generate revenue through leasing farming units within the park.
“Total investment value is US$16,9 million and the breakdown of funding utilisation. Phase 1 (12 months) civil works US$1,823 million — water reticulation (US$186,428) — offices (US$246,858)—power supply infrastructure (US$222,600) — and professional fees (US$508,758),” said ZIDA.
Under Phase 2, which will take 36 months to complete, requires a total of US$4,871 million to be spread as follows US$3,462 million for civil works, water reticulation (US$186,428) — smart farm system US$765,563—professional fees (US$457,450).
And under Phase 3, the project is expected to take 24 months to complete and it involves civil works that will gobble US$8,122 million — professional fees US$894,994.
In an interview, economic analyst Ms Mercy Shumba said the planned project is a strategic investment with potential to catalyse economic growth, job creation, and improve food security in Zimbabwe.
“If successfully developed this project will help improve agricultural productivity, lower post-harvest losses, and enhance Zimbabwe’s competitiveness in regional and international markets also taking into account the vast opportunities that exist within the Southern African Development Community and the broader African Continental Free Trade Area (AfCFTA).
“In addition, one would expect that implementation of the project should prioritise local content skills transfer and community engagement to maximise so as for the investment to add impetus in terms of its impact on the local economy,” she said.
The AfCFTA, which is the world’s biggest single market with about 1,3 billion people, became operational on January 1, 2021 marking historical milestones towards continental economic integration.
Zimbabwe, which is signatory to the AfCFTA agreement, has deposited its instrument of ratification, a development expected to pave the way for the country’s full participation in the estimated US$3,4 trillion trading bloc.
Online Reporter