Zambeef - Dec 2019

ZAMBEEF

ZAMBEEF

Silver Jubilee for One of

Zambia’s Meatiest PRODUCTION: Karl Pietersen

As one of the true success stories of southern African business, Zambeef is celebrating the quarter century, growing from a single butcher shop in Kabwata, south Lusaka, to a listed, integrated cold chain food products and agribusiness company which impacts the lives of almost everyone in the country. Right now, there is much to celebrate for Zambeef.

2 / www.enterprise-africa.net

INDUSTRY FOCUS: AGRICULTURE

//

As the largest integrated cold chain food products and agribusiness company in Zambia, Zambeef holds significant responsibility on its shoulders. The country is faced with acute food insecurity, a shortage of clean and safe drinking water, chronic high malnutrition, and an energy deficit and livestock diseases according to the International Federation of Red Cross and Red Crescent Societies (IFRC) and other Red Cross Red Crescent partners working in Zambia.

“The devastating effects of prolonged dry spells coupled with the late onset of the rainy season have resulted in poor agricultural production and reduced access to food, contributing to acute food insecurity conditions across the country,” the IFRC said in September.

// IT HAS BEEN A LONG AND HARD AND ROCKY ROAD BUT A VERY SATISFYING AND REWARDING JOURNEY AND FROM THOSE VERY HUMBLE BEGINNINGS WE HAVE TOGETHER MANAGED TO CREATE THE LARGEST VERTICALLY INTEGRATED FOOD RETAILING BRAND IN ZAMBIA THAT NOW TOUCHES THE LIFE OF EVERY SINGLE PERSON IN THE COUNTRY // 4 / www.enterprise-africa.net

// AS FOOD PRODUCTION BECOMES A PROBLEM ACROSS THE WORLD DUE TO CLIMATE CHANGE IN ZAMBIA, WE ARE FORTUNATE THAT WE ARE ABLE TO PRODUCE OUR OWN FOOD // Even in metro areas, where populations and wealth are larger, the situation can be desperate. The country is facing economic woes with maximum GDP growth predictions coming in at just 2% - the lowest in a decade.

Inconsistent power supply, lacking national infrastructure, over reliance on imports, and crippling public debts are all taking their toll on a country which was an investor safe haven – thanks to its rich copper mining potential – just a few years ago.

The government urgently needs the private sector to chip in, and that is exactly what Zambeef is doing. A homegrown company, starting from nothing back in 1994; what was a small butchery business is now a national keystone employing more than 7500 people and delivering a range of different food products, through an integrated group of companies, to customers all over Zambia and the wider region.

Enterprise Africa highlighted the major growth story of Zambeef in 2016, and since then there has been ongoing success for the Lusakaheadquartered agriculture, processing and retail organisation.

Now a complex group with reach across several industry sectors, Zambeef’s operations are split into different businesses. Zambeef is involved in the primary production, processing, distribution and retailing of beef, chicken, pork, milk, eggs, dairy products, fish, flour and stock feed. The company also operates more than 200 retail outlets around Zambia and West Africa. At its core is meat, and the company now produces 18.1 million kgs of beef, 9.9 million kgs of pork, 16.9 million day-old and

processing 12.8 million kgs of chickens each year. On top of this, Zambeef also produces 19.3 million litres of milk each year and, in Zambia alone, has approximately 7787 hectares of row crops under irrigation which are planted twice a year, and a further 8694 hectares of rainfed/dry-land crops available for planting each year.

This is a private company that is making an impact, and acting as an example for others to follow when it comes to upliftment in Zambia. And the result of an ambitious and sustainable approach is a 25th anniversary celebration, where President Lungu congratulated the entire Zambeef team for an ongoing job well done.

SILVER JUBILEE In November, at the Taj Pamodzi Hotel in Lusaka, Lungu praised the company for empowering farmers by giving them a market for their products.

“I am delighted to be part of this very, very important occasion marking 25 years of the existence of Zambeef in Zambia. It has indeed been 25 years of feeding the nation. My government attaches great importance to the development of a productive, resilient, diversified, competitive and sustainable agricultural sector which spurs economic growth. Government is aware of the vital role the private sector plays in boosting productivity in the agricultural sector as well as driving economic growth. This is precisely what Zambeef is doing. It is indeed commendable,” said the President.

“There is no doubt that Zambeef plays a significant role in promoting value addition in the agricultural sector.

This is in line with my government’s policy of promoting value addition.

ZAMBEEF

The food sector in Zambia uses large quantities of locally produced raw cuts from major poultry producers such as Zamchick, a Zambeef subsidiary which grows day-old chicks from its own state-of-the art hatcheries and this is also commendable. Zambeef has demonstrated unwavering passion in ensuring value addition at every stage of production. Further, Zambeef has been supporting the implementation of the local procurement policy by buying livestock from farmers cross the country.

In beef processing, even hides are used by Zamleather to produce leather products. This is also in line with our government’s industrialisation agenda.

“It is gratifying to note that the company is one of the largest employers outside the mining sector and GRZ, providing decent jobs and a stable income to many of our people. For

the last 25 years, Zambeef has been a major player in strengthening the local agriculture sector, providing market linkages to our farmers and contributing to the country’s economic growth.

The company has been instrumental in supporting different categories of farmer through the provision of a dependable market.

“I extend special gratitude to the founders of Zambeef, Dr Carl Irwin and Mr Francis Grogan, for building a proudly Zambian company,” Lungu added.

At the event, which capped off a week of celebrations, senior management affirmed its commitment to Zambia and the country’s farmers.

“Zambeef is testimony to what entrepreneurship can achieve,” said CEO Francis Grogan. “This company began 25 years ago in 1994 from very, very humble beginnings. What we did have

was vision and energy and youth, and huge opportunity, and together with the incredible team of people we have assembled over the last 25 years, we have managed to create the Zambeef you see today.

“It has been a long and hard and rocky road but a very satisfying and rewarding journey and from those very humble beginnings we have together managed to create the largest vertically integrated food retailing brand in Zambia that now touches the life of every single person in the country.

“It is thanks to the enormous goodwill and support of all our stakeholders that we are the Flagship Company we are today. Today Zambeef accounts for over 1% of Zambia’s GDP and is the leading agribusiness in Zambia and the region.

“We are the champions of food

www.enterprise-africa.net / 5

INDUSTRY FOCUS: AGRICULTURE

// THE COMPANY HAS BEEN INSTRUMENTAL IN SUPPORTING DIFFERENT CATEGORIES OF FARMER THROUGH THE PROVISION OF A DEPENDABLE MARKET // security in Zambia. We are the largest business partner of farmers and employer in rural areas of Zambia

6 / www.enterprise-africa.net

promoting the procurement of locally produced raw materials and leading the way in poverty alleviation, food security, job creation and sustainable development of rural economies. Let me mention our loyal customers, our loyal and passionate staff, our long-term suppliers, the Meat & Grain Workers Union and also government, who have created the conducive business environment we needed to thrive,” Grogan added.

FUTURE PROOFING Co-Founder, Dr Carl Irwin said that the company should continue making the most of the resources on its doorstep.

“Zambeef has had a great impact on many lives in our country. Not only have we created over 7500 jobs, we

also contribute to poverty alleviation through all the small and emerging farmers we deal with in every part of the country. We have also played a big role in food security of Zambia. As food production becomes a problem across the world due to climate change in Zambia, we are fortunate that we are able to produce our own food,” he said.

Deputy Managing Director and CEO-Designate Walter Roodt – who will replace Grogan at the end of 2019 said: “Most businesses don’t survive 25 years. If you see the energy and passion channelled correctly, as it has been for all employees, that really is something that galvanises and that is why this is a strong family, not just employees and people working together. That passion is something we have to preserve, never

ZAMBEEF

mind the integrity, the dignity and the way we work together.”

In October, Zambeef announced that Mathews Ngosa would take over as GM at Zamhatch. This appointment is the perfect example of channelling passion correctly as Ngosa is one of the foremost animal science minds in the country. Active in the industry for more than 25 years, Ngosa holds double Master’s Degrees and has been CEO of the Poultry Association of Zambia.

// ZAMBEEF IS TESTIMONY TO WHAT ENTREPRENEURSHIP CAN ACHIEVE //

“I wanted to join Zambeef because my skills as an animal scientist would be put to good use.

I had worked with them before, so I knew the company’s culture and what they were out to achieve.

“My attitude towards work is to be a hard worker and a team player.

I’m not afraid to take on challenges that achieve results. I also have a great team; their dedication and expertise help us achieve the goals we set up for ourselves,” said Ngosa.

For Ngosa, Roodt, and all of the other seniors at Zambeef, the opportunities and challenges of the future are well-received. The climate will continue to change, the population will continue to grow, the demand for

accessible and affordable products will continue to rise, and the desire from farmers to join in the largest vertically integrated food business in the country will continue to grow.

Zambeef, which cites ‘being one of the most accessible and affordable quality protein providers in the Southern Africa region’ as its vision, is doing its part. As it expands, and as more farmers are added as partners, food security in Zambia will undoubtedly improve.

WWW.ZAMBEEFPLC.COM

Mathews Ngosa - the new general manager poultry at Zambeef’s Zamhatch division

www.enterprise-africa.net / 7

CMB Media Group does not accept responsibility for omissions or errors. The points of view expressed in articles by attributing writers and/ or in advertisements included in this magazine do not necessarily represent those of the publisher.

Any resemblance to real persons, living or dead is purely coincidental. Whilst every effort is made to ensure the accuracy of the information contained within this magazine, no legal responsibility will be accepted by the publishers for loss arising from use of information published. All rights reserved.

No part of this publication may be reproduced or stored in a retrievable system or transmitted in any form or by any means without the prior written consent of the publisher. © CMB Media Group Ltd 2019

THE BUSINESS MAGAZINE FOR AFRICA’S INDUSTRY LEADERS

AFRICA

Published by CMB Media Group Chris Bolderstone – General Manager E. chris@cmb-media.co.uk Rouen House, Rouen Rd, Norwich NR1 1RB T. +44 (0) 1603 855 161 E. info@cmb-media.co.uk www.cmb-media.co.uk

December 2019

www.enterprise-africa.net

Nomad Continues Movement Into Africa Exclusive interview with Owner Alex Rutherford

ALSO IN THIS ISSUE:

Heunis Steel / Broll / Travelstart / Sasol

AS FEAT UR ED IN

ENTERPRISE AFRICA

DECEMBER 2019