By NOEL IYOMBWA
THE Industrial Development Corporation (IDC) has injected K684 million into Nitrogen Chemicals of Zambia (NCZ).
IDC group chief executive officer, Mateo Kaluba said that K638.4m will be for working capital support for the production of fertiliser.
Mr Kaluba said that an additional K45.6m will be injected for the procurement of a fertiliser blending plant.
Mr Kaluba said the funds would help move NCZ to a self-sufficient status and enable the company to compete with the private sector in the supply of blended fertiliser.
“I also expect that NCZ will be able to benefit significantly from the synergies that will be created with companies within the group such as Kawambwa Tea Company and Zamplam Limited whose plantations require blended fertiliser.
“We also expect diligence in the way the resources will be deployed,” he said.
He noted that IDC as shareholders and government are committed to ensuring the successful transformation of NCZ.
Mr Kaluba said that measures that the company has taken to reduce operating costs and enhance efficiencies in operations resulted in NCZ recording a profit of K30.8m last year.
Mr Kaluba said that in April this year, the Ministry of Finance transferred K89m to NCZ to facilitate the settlement of pensions for 165 retirees.
He said that management successfully negotiated an additional grant facility on trade payables with the Ministry of Finance which has led to an 18 percent reduction in total liabilities.
And a Kafue resident, Mr Gibson Sinkala commended IDC and Government for supporting the company’s transformation agenda.
And board chairperson Dr Chitundu Kasase said that the gesture is a demonstration of the confidence IDC has in the company.
