Hippo Valley, Govt in talks over 99-year-leases
The country’s biggest sugar producer, Hippo Valley Estates, is still in negotiations with Government over finalisation of the 99-year lease relating to Hippo Valley North (23 979 hectares).
Freehold title on Hippo Valley South (16 433 hectares) is being maintained.
According to the group, a total of five leases have been issued for far and the remaining balance of three lease blocks totaling 20 175 hectares are still to be issued.
The slow progress on finalising the issue has also contributed to slow implementation of the Project Kilimanjaro, which is being undertaken by Tongaat Hulett Zimbabwe in partnership with Government and local banks.
“Engagements with Government regarding the issuance of the balance of the 99-year leases, as well as amendments to the wording of current leases for bankability, transferability and other necessary changes are ongoing.
“A total of 5 leases (amounting to 3 804 hectares) with respect to Hippo Valley North have been issued to date, with the balance of 3 lease blocks (amounting 20 175 hectares) still to be issued,” said CEO Aiden Mhere.
Mhere added the company, in partnership with Triangle Limited (jointly known as Tongaat Hulett Zimbabwe or THZ) continues to work with Government and various financial institutions to progress the implementation of Project Kilimanjaro, a 4 000-hectare new sugarcane development.
“As previously reported, the first 700 hectares (called the Project Kilimanjaro Empowerment Block and benefiting 41 new farmers) has been planted with cane, of which approximately 594 hectares is earmarked for harvesting this milling season.
“Government has already identified 116 new beneficiary farmers who have been allocated sugarcane plots on the balance of the 3300 hectares of the greater Project Kilimanjaro. Modalities for funding the completion of the project are being determined through the auspices of a joint steering committee comprising Government and THZ,” said Mhere.
On completion, Project Kilimanjaro is expected to contribute significantly to industry’s ability to fully utilise its installed capacity of 600 000 tonnes of sugar by 2024/25 while positioning Zimbabwe as one of the most competitive sugar producers in the region.-businessweekly
