Roland Tobacco plans $80m Lusaka plant

Mon, 22 May 2017 13:25:35 +0000

By BUUMBA CHIMBULU

A US$80 million green leaf threshing and primary processing plant is expected to empower tobacco farmers through an out-grower scheme once the construction is completed.

The plant is being undertaken by Roland Imperial Tobacco Company Limited (RITCO).

RITCO is investing US$80 million to establish an industrial park in the Lusaka South Multi-Facility Economic Zone (LS-MFEZ) which will accommodate the processing plant.

The plant is expected to create over 2,000 jobs across the tobacco supply chain from tobacco farming, through to tobacco processing, cigarette manufacture, distribution and retail.

The company has since inception invested US$20 million at its Makeni factory in Lusaka and is currently operating two cigarette production lines with a third one awaiting delivery to the factory.

RITCO general manager (manufacturing division), Aliport Ngoma, said the company, which was set to commence construction of the plant before the end of this year, was planning to start empowering farmers through an out-grower scheme once the construction was complete to help uplift their lives.

Mr Ngoma said in an interview in Lusaka that the two plants were expected to commence production within two years, adding that the company was also planning to engage into reforestation as part of its corporate social responsibility initiative.

“We have five hectares of land on which we intend to build an industrial park; the building materials are already on site and we expect the structures to be up by the end of the year.

“Once everything is up and running and we also move our machines from our Makeni factory to LS-MFEZ, we plan to start empowering farmers through a tobacco out-grower scheme to help uplift the lives of the local people,” Mr Ngoma said.

He also said the company was planning to undertake contract manufacture of cigarettes on behalf of willing prospective clients, due to excessively high installed production capacity that exceed Zambia’s cigarette consumption.

Mr Ngoma said RITCO was also investigating possible exports to the neighbouring countries within the Common Market for Eastern and Southern Africa (COMESA) and the Southern African Development Community (SADC) markets.

“Currently, we are producing and processing Life full flavour, Life menthol, Guards full flavour, Guards menthol, Zambezi and Roll Your Own brands, and we will be introducing more brands soon,” he said.