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The Success Story of Trade Kings The Odyssey of a Homegrown FMCG Collosus His Excellency, the President, in his electoral agenda declared that 1 million sustainable, meaningful jobs would be created by 2021. The achievability of this ambitious statement was a manifestation of the following beacons: • • •
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Industrialisation and mechanisation of the agro sector, Movers and shakers of the global industry to establish value-add products and services in Zambia, Establish educational institutions to up-skill re-skill and re-engineer the Zambian workforce and technical institutes to promote professional vocational training, Seamless flow of foreign exchange in and out of the country with no restrictions thereby wooing FDIs into the country, Sovereign protection of foreign investments under the auspices of the Zambian Development Agency Act, Multi-ethnicity of over 70 local tribes, thriving in peaceful coexistence, to be found nowhere else in Africa.
Given this scenario, there are a few salient takeaways that could lure potential investors. Zambia enjoys political stability supported by a long-term ambitious political-economic vision. The Government has established economic zones that provide ample tax incentives and “one stop shops” for nurturing green field industrial projects thereby curbing the bureaucratic processes. Vast investment opportunities exist in renewable energy projects, technical knowledge transfer and there is an abundant scope for expansion in the railway sector. One of the Government’s priority sectors – agriculture offers untapped greener pastures in the agro-processing sector with a tendency inclined towards value addition. The investor will also appreciate free flow of foreign exchange and numerous incentives in various other sectors. Zambia is at its pinnacle of welcoming the international community to establish industrial ventures which add value, provide employment, packaged with the least bureaucracy, to the FDIs. Trade Kings Group has been a strong advocate to these
cardinal apostles, thereby living up to its signature line, “Improving Lives”. Trade Kings Group’s product range has been embraced by the Zambian populace, in view of its impeccable quality, which matches or surpasses international standards, consistent supplies, to cater to the ever-growing appetite, for its product range and predominantly, affordability to the masses. This hallmark has contributed to the domestic economy in many ways. Today, the Trade Kings Group directly and indirectly employs over 5,000 people and actively promotes its Corporate Social Responsibility initiatives through various health, education, women empowerment, and upskill/re-skill of youth programmes. The Group plays an important role in the manufacturing and agricultural sectors by value addition to the Zambian agricultural commodities like potato, sugar, maize, and corn, converting the raw produce into chips, confectionery, beverages, biscuits and maheu. It also collaborates, through a “collective out-grower scheme”, thereby uplifting the local farmers. Trade Kings has effectively developed cross border trade with its neighbouring countries that benefit from Zambia’s unique geographical position, contributing to the country’s export earnings, and substituting imports that save Zambia’s valuable foreign exchange. Apart from being the biggest home–grown FMCG company in Zambia, Trade Kings Group has successfully executed a backward integration venture by its Group Company, Universal Mining and Chemical Industries Limited (UMCIL) which converts mineral iron ore to steel products using the cuttingedge technology DRI (Direct Reduction Iron) this demonstrates it’s value addition to the country’s iron ore mineral reserves. The Group is poised for a quantum leap in the next 2-5 years. The overall vision that backed this, was based on some cardinal tenets, any expansion will primarily be organic, expansion will be lateral, or backward-integration driven enterprise and there will be no paradigm shift in basic finished product ranges.