US$12,5m Seed Co drying plant to boost capacity to 80%
ZIMBABWE’S largest seed producer, Seed Co says its recently installed US$12,5 million artificial seed drying facility will improve capacity to 80 percent out of a maximum plant capacity of 25 000 tonnes of maize seed.
In July, Seed Co announced that it had completed installing the drying plant in Mt Hampden, Harare that will enhance early seed availability for sale post-harvest.
The seed drying processing technology is also vital in bringing the seeds to a safe moisture content level by drying the seeds and also to reduce undesirable materials to the maximum possible.
In its 2021 annual report for the period ended March 31, 2021 released last week, Seed Co International Limited, the parent firm of Seed Co said:
“The artificial seed drying plant technology that Seed Co has installed in Zimbabwe is benefitting the process greatly minimising importation of seed as has been the case in the past.
“It is also expected that the current plant utilisation (seed cleaning, treating and packing) will increase from 60 percent to 80 percent, that is, from volumes of 15 000tonnes to 20 000 tonnes out of a maximum plant capacity of 25 000 tonnes of maize seed.”
It is hoped that the drying technology would put Seed Co at par with other leading global seed players who have deployed such facility.
During the period under review, the company’s revenue was up by 60 percent compared to prior year driven mainly by volume growth and some adjustments to prices to track inflation. Maize seed sales volumes were down by 61 percent due to a combination of relatively good rains, Government-related agricultural input support initiatives and
export opportunities.
During the period under review, local wheat seed sales were stable but overall wheat volumes were up 66 percent boosted by a 2 000-tonne export order.
The group’s profit after tax increased to $0,829 billion driven by the better performance of the local business as well as the exceptional performance of the regional associate business.
“The non-current assets increased to $0,6 billion anchored by the revaluation of investments,” said the group.
The firm posted a turnover of $5,8 billion, in inflation-adjusted terms, which was 60 percent above prior year ($3,7 billion) driven by 36 percent volumes growth.
Operating profit grew by 45 percent to $3,2 billion.
Meanwhile, Seed Co said during the period under review, it maintained an adequate three-year cover stock of parent seed.
The total maize seed available for the season of 17 000 tonnes was adequate to meet demand for the year to leave surplus for the next season.
“Other seeds production remained in strong position. Despite the Covid-19 disruptions, we expect strong production levels. Seed quality tests produced satisfactory results to anchor our brands,” it said. — chronicle.l.zw
