Another plantation closing: Agriterra to buy from local farmers instead of raising its own cattle

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Another plantation closing: Agriterra to buy from local farmers instead of raising its own cattle

8:24 CAT | 27 Jun 2016

Yet another foreign owned plantation is closing, and the company plans to buy from Mozambican farmers instead of doing it own production. Agriterra on 23 June announced it is running down its three Mozbife Manica cattle ranches at Mavonde, Dombe, and Inhazonia. The 20,000 ha ranches currently hold 4000 cattle. Over the next ten months, the company will transfer them to its facility in Vanduzi for fattening and slaughter. After that, the Vanduzi operation will only process animals purchased on the local market. The company “is confident that suitable quality animals are available in the local market for these purposes, having seen a growth in local commercial cattle farming in recent times.” Agriterra hopes to lease out the ranches.

Agriterra says it took the decision to “ease pressure on the Company’s operating finances.” It also blamed the war, noting that “the political and economic environment in Mozambique has deteriorated during the course of 2016 and local Renamo militias are now entrenched in some rural areas in the Manica province, where the Company’s three farms are located. “

Agriterra is a Guernsey-based trading company which was chaired by Phil Edmonds, who had been responsible for the failed Procana project. He was subject of an investigation by Global Witness and resigned as chair of Agriterra on 22 April. (See this newsletter 320, 14 May).

http://www.agriterra-ltd.com/News.aspx?ArticleId=24581277
https://www.globalwitness.org/thedeceivers/

By: Joseph Hanlon

Source: News reports & clippings