Zambia Inc Magazine July

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About Zambia Inc. Magazine proudly brought to you by Ammy Heinstain Investments Limited Zambia Inc. Is a monthly publication that targets the private sector C-level executives, investors, managers; Government & NGO executives; and other stakeholders from various industries. The magazine covers areas that are critical to its readers, who mainly have an interest in Zambia’s emerging industries, the magazine covers topics on new technology, new investments, current and future trends and future prospects in the industries – while providing a run-down of news from all provinces in the country and the continent also world’s business and technology. The magazine will bring into focus this emerging issues, in the country and from around Africa, where food insecurity, environmental issues and impact of technology are bound to have the greatest impacts on people in the next decades. The readers of Zambia Inc. are key decision makers, Executive Directors, Investors with direct responsibility to shape the growth of the industry in the country. The magazine targets and is distributed to the following industry sectors into several African countries: ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾

Manufacturing & Retail; Transport, Logistics & Aviation Energy, Mining, Oil & Gas; Power, Water & Public Services; Technology, ICT & Media; Pharmaceutical, Health Care & Personal Care; Engineering & Infrastructure; Education & Capacity Building; Real Estate & Construction; Government, NGOs & Development Organizations; Finance & Insurance; Agribusiness & Biotechnology, hospitality and other Service sectors.

The magazine is distributed to the key decision makers in the country and is also available online on the website The magazine provides an excellent platform to highlight some of the leading companies in Zambia through well-written, high quality special features. Interviews with some of the leaders from across Zambia and Africa’s industry, Government and NGO spheres enable Africa Inc. magazine to provide a 360 view of the latest trends, technologies and investments in ZAMBIA ADVERTISE YOU BUSINESS OR FEATURE YOUR STORY IN OUR MAGAZINE. Agatha Nayame DIRECTOR Zambia Inc. Magazine

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INFRASTRUCTURE DEVELOPMENT

Infrastructure Development in Africa

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he need for infrastructure improvements in Africa is critical. Untold numbers of businesses suffer for lack of reliable power for industrial processes or because of it costs far too much to get their goods to the market. At the most basic level, millions of lives are threatened every day for lack of clean water or safe sanitation. To help address these challenges, IFC is investing $100 million in the Africa Infrastructure Investment Fund 2, an equity fund that will promote the development of basic infrastructure in the region. The fund plans to raise $600 million to $1 billion to invest in unlisted equity and equity-like infrastructure investments in Sub-Saharan Africa. It will take significant stakes in a range of infrastructure projects including

toll roads, wind power farms, and number of infrastructure projects, other renewable energy projects, which are critical to accelerating ports, water and sewerage Africa’s development.” utilities, and social infrastructure. Key Priority Joint Venture Supporting improvements in The fund, known as AIIF2, infrastructure is a key priority was established by African for IFC in Africa. IFC’s strategy Infrastructure Investment focuses on is helping develop Managers Proprietary, a joint assets such as a reliable power venture between Macquarie supply and transport networks Africa, part of the Macquarie such as roads, which are essential Group, and the Old Mutual for economic growth and Investment Group, which will sustainability and for improving advise the fund on investment the quality of life of the people living within and across the matters. communities they serve. “AIIF 2 is a vital addition to the pool of specialized African In addition to investing in infrastructure equity capital,” said funds as AIIF2, IFC supports the Andrew Johnstone, Managing development of infrastructure Director of African Infrastructure in Africa by investing directly Investment Managers. “It will in infrastructure projects and facilitate the development pursuing advisory mandates create commercially and sustainable operation of a to Zambia Inc. Magazine

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viable structures to further develop infrastructure. For example, in March IFC committed $750,000 to Comasel de St Louis, Senegal, a wholly-owned subsidiary of Morocco’s electricity utility, the Office National de l’Electricité, for a project that will use a mix of grid connections and individual solar kits to bring power to 20,000 rural households in 300 villages. And earlier this fiscal year, IFC completed an advisory mandate for the government of Benin that led to a a 25-year concession agreement with France’s Groupement Bolloré to build and operate the South Wharf Container Terminal at the Prot of Cotonou

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AQUACULTURE

Ministry of Fisheries and Livestock approves 736 aquaculture business loan applications Ministry of Fisheries and Livestock Permanent Secretary, Dr. Benson Mwenya said through the Aquaculture Seed Fund, local people in all provinces of the country are being empowered to undertake investment projects along the aquaculture value chain. Dr Mwenya said this is being done with a goal to eliminate the national deficit in fish production, contribute to economic growth as well as increase food and nutrition security in Zambia by 2022. Dr. Mwenya revealed that the Citizens Economic Empowerment Commission (CEEC) will disburse the business loans to the 736 projects valued at over K118.3 million on behalf of the Ministry to some of the successful applicants in all the ten provinces of Zambia. He said more projects will be funded in due course but explained that the projects exclude the 12 fish hatcheries and nurseries valued at K20.7 million that are already receiving funds. Dr Mwenya said this initiative is within the framework of the 50.89 US dollars million Zambia Aquaculture Enterprise Development Project co-financed by the African Development Bank and the Zambian Government. And CEEC Director General Likando Mukumbuta who confirmed receipt of the funds from the Ministry of Fisheries and Livestock stated that the Commission will soon begin the process of disbursement. He said the CEEC will begin with facilitating pre-finance training for the beneficiaries this week and start disbursements by next week. Mr Mukumbuta said the first phase of investments will be fully disbursed by the end of May 2020, and will create 4,366 sustainable jobs impacting further 21,830 individuals and increase national fish supply by 1,148 metric tons by December 2020, thereby, contributing to poverty reduction and food security by developing the aquaculture industry. Zambia Inc. Magazine

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lans to construct a cotton ginnery in Lundazi, are in the pipeline, the Citizens Economic Empowerment Commission (CEEC) has announced. Likando Mukumbuta, CEEC Director General said the project will spur Lundazi’s potential for cotton development. Mukumbuta said the ginnery will provide employment to the local community. Digani Nyirenda, District Farmers Association (DFA) Vice-Chairperson commended CEEC for the development and for involving the association to spearhead the process as the main stakeholders. Over the past few years, cotton farmers in Lundazi have experienced a lot of challenges, such as poor commodity prices for the seed cotton and poor extension services led to the commodity growing in the district being at the verge of collapsing.

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AGRICULTURE

Cotton Ginnery to spur Lundazi’s Production


Dupont Pioneer challenge Africa to improve farming

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nternational seed company Dupont Pioneer says there is need to enhance global interaction on agricultural challenges for farmers and consumers to enjoy the rewards.

agribusiness to thrive. Other factors which are also important in promoting agricultural development in Africa include access to information and communication technologies.

Tracy Willits the company’s Global Communications Director said the continent’s agribusiness value chains should align to changing market conditions, to improve efficiency and strive to meet consumer requirements in a competitive global trade system.

Willits said there is need to boost agricultural productivity to achieve sustainable industrial and agribusiness development as a means of wealth and job creation.

Willits said value added agriculture as a percentage of gross domestic products for Africa remains very low, and there room for significant growth.

“The transformation of agricultural raw materials into industrial products depends increasingly on the capacity of African entrepreneurs to participate and compete in global, regional and local value chains,” she said.

“Africa needs global interactions, new learning and innovation systems involving regional cooperation, by sharing new types of partnerships between farmers, investors and researchers, and the right incentives and public actions that crowd in rather than crowd out private investment,” she said. Willits cited investment in transport, infrastructure and access to energy and water management efficiency, are vital for Zambia Inc. Magazine

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CONSERVATION FORESTRY

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FOOD BUSINESS

Agro and food-processing plant set to boost 3, 000 farmers

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n agro and food-processing plant is expected to open in Livingstone, the tourist capital of Zambia, at the end of this month. It is anticipated that the plant will create over 1, 000 jobs and support 3, 000 smallscale farmers. Fallsway Food Processing plant proprietor, Shigbhai Volla, said that most of the installations have already been completed and that the company is expected to be operational this year. “The project’s initial investment was USD1.5 million but this figure is expected to increase due to the addition of production machinery. The project will support about 3, 000 small-scale farmers through ordering their produce to reduce the market challenges faced by most of the farmers,” Mr Volla said in an interview on Sunday.

types of products ranging from various juices and mineral water to dairy products, tomato products and jam.

According to Mr Volla, the majority of employees will be Zambians while the experts who will handle the machinery will be sourced abroad. The collection centres for the agro products will be set up in Kazungula, Kalomo and Sinazongwe during the initial stages and later, roll out to the entire southern province.

The processing plant will benefit the community by creating jobs and a market for small-scale farmers in the southern province. The company plans to supply its products to Kazungula, Sesheke, Mwandi, Zimba, Livingstone, Kalomo, Choma, Batoka, Mumbwa, Sinazeze, and Sinazongwe.

Mr Volla assured that the processing plant has been fitted with modern machinery that has production lines from the selection of fruits and vegetables to the packaging of finished products. Once fully operational, the plant is expected to produce about 15

“Half of the products will be sold locally and the other 50 percent will be exported to Botswana, Zimbabwe, Namibia, Angola and Congo,” concluded Mr Volla.

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Kenneth Kaunda International Airport (KKIA) in Lusaka

Sarovar Hotels and Resorts in Lusaka

Electrical energy worker fixing power lines

Above: Copper Production. Below: New infrustructure in Lusaka .

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State of art buildings in Lusaka CBC area

Quality Archtectural Designs in Lusaka Zambia Inc. Magazine

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Mulungushi Conference centre.

Society House in Lusaka, housing Hilton Gardens in picture below

One of the seven (7) wonders of the world. The Victoria Falls in Livingstone.

Massive construction going on in the country

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GRAIN MILLING AND STORAGE SOLUTIONS

Milling Machine Maestros

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ounded in 1954 in the Turkish province of Çorum, Alapala Makina is one of the world’s leading companies in the field of milling machines and is the oldest and most wellknown company of the Alapala Group. With over 65 years of experience, it has completed more than 650 turn-key factory projects worldwide and currently exports machinery to more than 120 countries. Alapala CEO Görkem Alapala told the story of Alapala including its central role in the Turkish and world-wide milling technologies industry Alapala has set up turn-key factories in more than 100 countries across four continents. The factories are all-inclusive – from construction to technology – and the machines used inside, with the factories of global pasta and flour brands established in many industrially developed nations. Meanwhile, in its homeland of Turkey, Alapala is one of the country’s top 1,000 exporters and the number one exporter in the milling machinery sector.

The company has made Turkey one of the top five manufacturing countries of miller machines in the world as a result. “As Alapala Group, we provide services in the field of milling machines all over the world, with ten companies and ten brands in four main sectors,” said Alapala CEO Görkem Alapala. “We provide wheat flour mills that process soft and hard wheat, corn flour mills, rice flour mills, and feed mills.” On top of this, the company provides silo and storage systems for all products, flour blending systems, industrial steel construction structures, systems for weighing, transport, and packaging, as well as a spare parts service.

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Focus on exports

a square meter basis, but a new factory investment

Alapala made its first export in 1981 to Yugoslavia,

in which the production capacity of our factory was

and by 2003, its products started to be exported to

doubled R&D work could be done, and new products

more than 30 countries. However, Alapala’s aim has

could be produced,” he added. The latest project

never been just to sell products only.

exported by Alapala was a turn-key flour mill for Viresol Flour Milling in Visonta, Hungary, which has

“As Alapala, we support all aspects of a product or a

a total annual wheat processing capacity of 250,000

facility that we sell, such as repair and spare parts, when

tonnes. The milling part of the facility was completed

it is necessary to do maintenance,” said Mr. Alapala.

by Alapala Machinery on a turn-key basis using

“Our suppliers and business partners know that this

environmentally friendly technologies. “Along with

service understanding of Alapala is always with them,

all the engineering works, all electricity and assembly

in process management and inspection processes, for

works were conducted by Alapala on this project,”

many years.” The company now has 5,000 machines

said Mr. Alapala. “After a long period of work, we are

around the world, and with exports being Alapala’s

proud to have delivered Viresol’s flour mill which runs

biggest source of income, it is continuing to focus on

at a capacity of 750 tonnes a day.”

maximizing this. “With our ten companies, we export 95% of our production to over 100 countries such as

Regional and industrial needs

the USA, Canada, Belgium, France, and Italy,” he said.

Alapala’s 65 years of experience enables it to respond

“Countries such as these have high standards, so they

to both regional and sectoral needs, and as one of

are very important markets for us and we believe that

the leading players in the mill industry sector, the

these

company is setting trends rather than following them.

markets will grow.”

“Our goal is not to just be an ordinary player in the milling sector,” Mr. Alapala said. “We want to be a

Alapala is aiming to increase its turnover by over

brand that sets the limits of industry standards with

25% in 2019 compared to 2018, revealed Mr. Alapala.

its innovation in the market, its customer and solution

This growth is reflected in the expansion of Alapala’s

orientation, and determining the competition rules.”

advanced technology manufacturing facility by over double to 50,000 sqm. “This was not just growth on

Innovation has always been the highest priority

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of Alapala, as it strives to bring innovative ideas

models against the changing needs of the industry.”

together with its customers. The company has a

Alapala allocates 2% of its annual turnover to R&D

turnkey working style that can respond to several

activities, placing great importance on the field of

requests, is equipped with technological innovations

CNC technologies.

away from the standard models, and contains all the needs of the milling sector. “We can turn a facility

The company manufactures high-quality, high-

into a turn-key processing facility from software to

importance machines with the help of its advanced

construction, and from silos to all equipment in a

CNC

short space of time,” said Mr. Alapala. “Currently in

investment are key to not falling behind in the rapidly

our industry, energy-saving and the environment are

progressing world of robotic technologies. To meet

at the forefront, so energy-efficient, environmentally

the needs and demands of customers in terms of

friendly, and nature-friendly factories have become a

equipment design, Alapala also has a model that can

model of choice for both the manufacturer and the

manage all processes, from the geographical location

consumer. “As manufacturers have to respond to the

of the countries to production conditions. It can meet

demands of the consumers, investments have begun

expectations and needs in all models as a result.

to evolve to the green model of production. We work

“We do this by localizing the regions,” explained Mr.

with our R&D center to offer integrated solution

Alapala. “With our facilities located in three countries,

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manufacturing

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facility,

so

research

and


“Our goal is not to just be an ordinary player in the milling sector�

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we have close points of contact with them so we can

It is within our targets to open ourselves to new

succeed in becoming a business partner that can solve

markets with our experience and technology, and to

their problems and respond to customer needs.”

promote the Turkish milling industry to wider areas,” Mr. Alapala concluded.

Tailor-style milling The feature of Alapala that is creating a difference in the sector, affirmed Mr. Alapala, is its flexibility. “We can put forward any desired additions to the model that our customers want,” he said. “While our competitors manufacture in standard mold processes, our customers can make any additions or subtractions they like with Alapala. We call it tailorstyle milling.” Alapala’s biggest difference, however, is that it offers the best pre-sale and after-sale service tailored to its customers, with the help of its expert staff, agencies abroad, strong service networks, and its stock of spare parts. “Our target is to create the best partnership model with our customers to add value to their business and to ensure that they are competitive,” affirmed the CEO. “Our collaborations that have been going for many years show that we have achieved this goal.” The challenge facing Alapala now is to change the perception of potential customers who have worked with other companies. “Customers have experienced problems with other companies because they were only suitable for the price, without considering the principle of quality performance,” said Mr. Alapala. “This unhappiness starts to turn into trust and satisfaction as customers experience Alapala’s quality of work and service.” As a result, Alapala’s future goal is to become an internationally known engineering and machinery manufacturing brand with turn-key projects. “We aim to be recognized as an information center with expertise in flour milling technologies that is constantly growing with international partnerships. Magazine Zambia Inc. Ma

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Alapala; where tradition meets innovation In 1954, we started our journey with the mission to accomplish the best partnership models through innovation to add value and a competitive edge to our customer’s business. Since its foundation, we have built more than 600 turn-key projects and our equipment operates in 5.000 factories in over 100 countries on 4 continents across the globe.

- TURN-KEY FLOUR MILLS

We are proud to be among the top companies in the world’s grain milling technology and still taking big steps to fulfill our vision.

- TURN-KEY GRAIN HANDLING AND STORAGE SYSTEMS

- TURN-KEY FEED MILLS - TURN-KEY SEMOLINA MILLS - TURN-KEY MAIZE MILLS



Technologies for African Agricultural Transformation is Doubling Farmers’ Yields HE African Development Bank (AfDB) says its Technologies for African Agricultural Transformation programme would benefit 40 million farmers in the next five years, adding 120 million tonnes into the continent’s food basket.

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intervention areas that include self-sufficiency in rice production, cassava intensification food and nutrition security in the Sahel, this, transforming African savannahs into breadbaskets, expanding horticulture, increasing Africa’s wheat output and achieving self-sufficiency in inland fish farming.

Since the launch of the Technologies for African Agricultural Transformation programme in 2018, the project has been implemented by 28 countries while four more are in the process of joining the programme.

“Within two years, TAAT has recorded successes in bringing the latest technologies to African farmers at scale — enabling them to increase yields and improve their livelihoods,” said the regional financier.

“The Technologies for African Agricultural Transformation (TAAT) programme has set the ambitious target of reaching 40 million farmers in the next five years and adding 120 million tonnes of additional foodstuffs in the African food basket, valued between US$1,5 billion to $2,8 billion,” said the regional bank.

It said success stories of the TAAT project have been recorded in countries such as Ethiopia, Zambia, Zimbabwe and Sudan.

AfDB said the overall goal of TAAT was to radically transform African agriculture into a competitive sector by deploying highimpact, proven agricultural technologies to raise agricultural productivity in Africa. The programme is also aimed at mitigating risks and promote diversification and processing in 18 agricultural value chains within eight priority

In Zambia, for instance, where the fall armyworm is threatening food supplies and farmers’ incomes, the bank is working with the Zambian government, seed companies and community leaders to distribute pesticide-treated and drought-tolerant wheat, maize and sorghum to farmers. “All crop varieties have the potential to triple crop yields —compared to ordinary varieties— if managed well and by using fertilizers. “The anti-fall armyworm efforts have become so

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successful that Zambian authorities are making TAAT-funding a line item in the budget for Zambia’s Food Input Subsidy Programme,” it said. “Since 2018, TAAT has provided Zambia with more than 28 000 liters of chemical used to treat close to 5 000 tonnes of seed that resists fall armyworm infestation. Almost half-a-million Zambian farmers have benefited from the treated seed.”

agricultural growth potential. “Despite huge agricultural potential, African countries are yet to reap multiple benefits from it, experiencing one of the highest prevalence of undernourishment in the world. “Out of about 795 million people suffering from chronic undernourishment globally, 220 million live in Africa,” it said

AfDB said in Zimbabwe, where some 70 percent of Zimbabweans rely on agriculture —a sector that contracted last year due to drought, a cyclone and pest infestation — TAAT has paid for the fall armyworm pesticides used to treat 1 655 tonnes of drought-tolerant maize seeds. Since 2018, more than 165 500 smallholder farmers benefited from the treated seed. “Zimbabwe intends to leverage TAAT to reach more farmers, as well as drive public private partnerships and attract anchor investment,” it said. In Sudan, TAAT has trained more than 1 400 farmers and stakeholders —almost half of them women and youth, whose wheat yield increased from 2,5 tonnes to five tonnes per hectare. The initiative has also increased Sudan’s wheat growing area. TAAT is partnering with the private sector to produce 45 000 tonnes of seed — enough to cover all of Sudan’s targeted wheat production areas with high yielding, heat-tolerant wheat. The bank noted that agriculture is a key source of livelihood for millions of Africans. “However, the sector is yet to prove its mettle in a region that is blessed with the highest area of arable uncultivated land in the world and huge Zambia Inc. Magazine

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OIL, MINING, GAS

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Without flexibility, the Energy revolution in Africa will not take place BY: VILLE RIMALI

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t is no longer arguable that the energy transition integrating renewable energies into the grid is a reality that is unfolding globally. This can be observed at different rates and scales according to the countries, but the constant increase in demand and the continuous drop in the prices of these technologies will imply that renewable energies will constitute the basis of the power supply to the electrical networks in the future. It is, in fact, more of a revolution than a transition, given the rapidity with which the share of renewable energy is growing today, and the fall already noted in the prices of the renewable kWh produced. The same goes for the African continent, and in particular in North and West Africa, where Egypt, Morocco and Senegal have already embarked (on admittedly different scales), in the introduction of energies solar and wind turbines. If for example the projects in Egypt are large, they remain marginal compared to the installed capacity, while Senegal already includes 18% of renewable in its energy mix and has the ambition to reach 30% in 10 years. ENERGY MIX However,

since

renewable

energies

are

intermittent by nature, they generate instability on electricity networks, posing enormous difficulties for operators, and potentially for consumers as a result. Non-flexible production capacities, typically coal-fired, will therefore have to be replaced by much more flexible means of production. We will have to rely on a mix of energy storage solutions and engine-based technologies, which provide the best response times, to effectively adapt to sudden excess or shortfall in renewable production. Interestingly, the Covid-19 crisis and its confinement phases give us a taste of what awaits us in 2030 in Africa. We observe in real time a full-scale simulation of the effects of a majority of renewables in the energy production mix. As demand for electricity in Europe has fallen due to lockdown measures, the generation of renewable energy continues to be produced at full speed. As a result, energy sources such as coal have become the adjustment variable and are stopped whenever possible, which very significantly increases the relative importance of renewable energies in the mix. For example, in the United Kingdom, from 23 March to 24 May, the share of renewables reached 41% of production, while during the same period in 2019, the figure was 30%. At the same time, the share of electricity produced by coal-fired

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power plants fell by 46%. Since April 10, all the coal plants have been shut down. In Germany, over the same period, the share of renewable energy reached 60%, up 12%, while the share of electricity produced by coal-fired power plants fell by 52%. At the end of April, the share of renewables reached almost 80% several days in a row, when at the same time the weather was nice and windy. For 3 days, Germany even had to pay to massively export its excess electricity, unable to adjust its “inflexible” production tool.

GEMFIELDS INCORPORATES ALL ITS GEMSTONE LICENCES INTO KAGEM MINING LTD

THE MAIN LESSON TO BE LEARNED The speed of the energy nsition imposes additional criteria in the investment choices to ensure the sustainability and the best economic profitability of a country’s energy mix. The equilibrium between the types of technologies in the energy mix, the production costs and consumption has changed radically with the massive introduction of renewable energies. Even more today than before, the production price of a kWh is, in fine, only optimised by cleverly combining the different technologies for the best performance, the least risk of interruption, whatever the development consumption.

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emfields Executive Director Sean Gilbertson has revealed that Gem fields has incorporated all its Zambian gemstone licences into Kagem Mining Limited, expanding the footprint of its emerald mining operations in Lufwanyama following approval by the Ministry of Mines. And Kagem / Gemfields mining Limited will construct a skills training facility in Zambia to enhance vocational skills in the area around the Kagem emerald mine. Mr. Gilbertson made the remarks when he paid a courtesy call on Zambia’s High Commissioner to the United Kingdom his Excellency Lieutenant General Paul Mihova at Zambia House.

Forecasts show that by 2050, solar PV would represent over 50% of total electricity production in Africa. Renewable energies are - and will remain affordable and reliable; they will be combined with flexible quick-start energy generation resources such as engines, which allow them to operate to meet peaks in demand, and to compensate for intermittence. These engines also provide additional security, because they can work just as well on gas as on fuel in the event of a gas supply shortage, but also ultimately on bio-and synthetic fuels when these become economically competitive and widely available.

“We have confidence in the Zambian Government and this is why Gemfields has transferred the 11 previously wholly-owned gemstone licences to Kagem, which include the Mbuva-Chibolele emerald and the wellregarded Kamakanga emerald deposit. The transfer enhances Kagem’s resource base and production levels, mitigating the risks associated with the volatile nature of emerald mining and achieving economies of scale. Combining these factors with increased employment, revenues and associated royalties, taxes and dividends will boost Kagem’s position as the flag-bearer for Zambian emeralds and the number one producer of emeralds internationally,” he said.

Introducing a large part of flexibility in our electricity production is not an option: without flexibility, the energy revolution will not take place.

Mr. Gilbertson said the move is to safeguard Kagem’s position as the leading Zambian emerald producer and one that is able to

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lead the emerald sector internationally especially in light of increased competition, particularly from Colombia. He said the transfer follows Kagem’s emerald mining license renewal to a further 25 years starting from December 2019 to April 2045 and would further Kagem’s position as the prominent global producer of emeralds, setting the stage for Zambia to remain the world’s number one emerald exporter. And Mr. Gilbertson said the emeralds mine will construct a Vocational Training Centre which will function under the auspices of Zambia’s Technical Education, Vocational and Entrepreneurship Training Authority (TEVETA) and once operational, it will be accredited to TEVETA. Mr. Gilbertson said the facility will include a four- classroom block, administrative buildings, teacher accommodation, and workshops at an estimated USD 1.5 million investment. The Vocational Training Centre (VTC) will provide short-course skills training in the following areas: bricklaying and masonry, carpentry, plumbing, boiler making, electrical wiring and installation and basic information technology. Meanwhile High Commissioner Mihova has said Zambian emeralds were becoming popular and that it was encouraging to see that Zambia was a major competitor in the industry and called on investors to consider investing in emerald mining. Kagem/Gemfields have been instrumental in promoting Zambian Emeralds to the world enlisting the help of celebrities such as American actress Mila Kunis to wear Zambian Emeralds on the red carpet. Issued by Abigail Chaponda (Mrs.), First Secretary | Press and Public Relations, Zambia High Commission in the United Kingdom.

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REAL ESTATE

The Kafue Creek Golf Estate is a fully serviced mixed use golf estate situated approximately 45 km south of the central business district of Lusaka the capital city. The project is a development program for a city within the greater town of Kafue, Situated along the banks of the Kafue river on the west and the T2 (Kafue) highway on the east, Kafue Creek golf estate is set to become a modern, world-class golf estates and mixed development fully integrated with a green village, Golf course, health facilities, shopping malls, office parks, recreational facilities, residential and wildlife


Kingsland City is the housing complex which is located in Twin Palm road


RETAIL/ MANUFACTURING

THE FOOD QUALITY AND SAFETY STANDARDS by Agatha Nayame – Founder Zambia Emerging Food Manufacturers & Processors - Ceo Ammy Heinstain Investments

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ood safety and quality refers to the safety measures taken by producers, the farmers and other suppliers the regulating agencies.

This is to ensure all the safety, nutritional quality, packaging and acceptability of the delivered foods. Zambia continues to record an increasing population of businesses venturing in food processing, this is due to the growth in population and the rising food demand in other parts of country, most people in agriculture are keen to take up farm-2-table methods therefore, adding value to their produce in order to maximize on revenue from the produce. This is evidenced by the number of products we see in our local chain stores and at the markets ranging from beef products to condiments and beverages. Despite the massive growth in locally produced food, one in five clients remain to question the safety standards of such locally produced foods; this is because some of these products are poorly packaged and labeled. There is a great need for emerging food processors to consider the safety and quality of

food they are producing. This has not been very easy as many complain about the charges, bureaucracy, strict measures before one is given a permit and other taxes. At Zambia Emerging Manufacturers and Food Processors our objective is to ensure that we continue to narrow the gap between the regulating authorities and the industry players regardless of their capacity. Our focus is to share Information and knowledge from market traders to suppliers of vegetables and fruits to the would be food processors especially those targeting the hospitality industry, households, schools and the general public Our focus is mainly on the emerging sector because they are the ones who need the information and tools in order to make their businesses sustainable. Most established and commercial companies have departments with trained personal in food safety and quality matters. The development of our food industry sector will demand for us to embrace all aspects of food that lead to positive or negative impacts

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on its quality and safety. Food characterization, processing, preservation and analysis involving chemical, physical, sensorial, microbiological and toxicological approaches, from field studies to market surveys, from local to novel foods and new processing technologies, from basic quality features to enhanced preservation methodologies, and from infant to elderly nutrition. Innovative work showing a considerable influence on quality maintenance or enhancement on hazard prevention in food or feed this includes. ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾ ◾

quality control food safety processing technologies contact materials environmental factors contaminants authenticity traceability additives good manufacturing practices postharvest technologies regulatory affairs minimal processing technologies shelf-life fast measurement tools feed quality food allergens

In conclusion I wish to encourage food scientists and nutritionists to really go out of their way and help educate emerging businesses on the importance of issues bordering food safety. A collective responsibility for organizations like our and the regulating agencies like Zambia Bureau of Standards ,Zambia Compulsory Standards Authority ,the Ministry of health, and Food and Drug Authority. With the much needed effort we will soon have products that meet international export standards made by the locals. Zambia Inc. Magazine

Republic of Zambia

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COVID-19

Executive summary

billion previously announced by the Republican President.

The President of the Republic of Zambia issued an update to the outline of Government’s response to the COVID-19 pandemic on 9 March 2020. In his address, the President announced various measures to be implemented in response to COVID-19. Further to this, the President indicated that the Ministry of Finance would oversee the implementation of the Cabinet-approved COVID-19 contingency plan. On 27 of March 2020, the Zambian Minister of Finance issued a ministerial statement introducing various fiscal measures aimed at mitigating the impact of the pandemic on the Zambian economy.1 On 20 April 2020, the Minister of Finance issued another statement introducing additional fiscal measures to mitigate the impact of COVID-19 on the country’s economy.

These measures include: Easing liquidity Tax relief Building new and sustainable value chains Engaging multilateral organizations Detailed discussion

Easing liquidity The Government has released K500 million for payment of Public Service retiree benefits. The Government also released K170 million to banks so as to clear third-party arrears and K140 million for the payment of various road contractors. These funds form part of the K2.5

Furthermore, the Government has directed the Treasury to focus on the completion of the verification exercise aimed at permitting payments of K1 billion to Government suppliers of goods and services. The Minister also indicated that the financial sector’s liquidity challenges will be eased by accessing the K10 billion medium-term refinancing facility. This will provide funding to commercial banks and non-bank financial institutions for them to restructure, refinance or extend credit to businesses and households on more favorable terms. The terms and conditions for the access to this facility have already been issued by the Bank of Zambia.

Tax relief The Minister has announced a waiver of tax penalties and interest on outstanding tax liabilities resulting from the impact of COVID-19. The Zambia Revenue Authority (ZRA) will issue guidelines on the period of relief, waiver qualification criteria and other related modalities. The Government has also extended the list of medical-related devices that are not subject to Customs Duty and Value-Added Tax (VAT). The complete list is comprised of 38 individual items with the suspension of VAT and duty set to run for an additional period of six months. These medical devices include thermometers,

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FINANCE

Zambia issues additional Fiscal measures to mitigate the impact of


ventilators, testing equipment and disinfectants. The full list of items will be published by the ZRA.

Building new and sustainable value chains The Government has established a task force mandated to bring more Zambian products on the floor of major chain stores in shopping malls. This is in a bid to capitalize on the current situation which has presented a new opportunity for domestic agricultural and locally manufactured products to be sold in increased numbers. The task force is comprised of representatives of South African owners of chain stores, the Zambia Association of Manufacturers (ZAM), Zambia Farmers Union (ZNFU) and the Zambia Chamber of Commerce and Industry (ZACCI).

Engagement with multilateral organizations

Engagement with multilateral organizations Various multinational institutions have announced avenues of support and facilities to mitigate the impact of the pandemic. In light of this, the Government of Zambia has engaged the International Monetary Fund in a bid to explore facilities which the country would be eligible for. The Zambian Government has also submitted applications to the World Bank, African Development Bank and Afreximbank so as to be considered for support under the various COVID-19 emergency funds. Furthermore, The Government of Zambia has held bilateral discussions with some G20 countries on the postponement or rescheduling of debt service payments over a period yet to be agreed upon.

Various multinational institutions have announced avenues of support and facilities to mitigate the impact of the pandemic. In light of this, the Government of Zambia has engaged the International Monetary Fund in a bid to explore facilities which the country would be eligible for. The Zambian Government has also submitted applications to the World Bank, African Development Bank and Afreximbank so as to be considered for support under the various COVID-19 emergency funds. Furthermore, The Government of Zambia has held bilateral discussions with some G20 countries on the postponement or rescheduling of debt service payments over a period yet to be agreed upon. The Government has established a task force mandated to bring more Zambian products on the floor of major chain stores in shopping malls. This is in a bid to capitalize on the current situation which has presented a new opportunity for domestic agricultural and locally manufactured products to be sold in increased numbers. The task force is comprised of representatives of South African owners of chain stores, the Zambia Association of Manufacturers (ZAM), Zambia Farmers Union (ZNFU) and the Zambia Chamber of Commerce and Industry (ZACCI).

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COVID IMPACT IN AFRICA

IFC INSIGHTS

How to Counter COVID-19’s Impact in Africa By Jason Hopps

NAIROBI, Kenya—Mo Ibrahim has long been a man on a mission. Several missions, in fact. The Sudanese-born telecoms tycoon, who trained as an electrical engineer, founded Celtel International in 1998, building it into one of Africa’s leading mobile telephone companies. In 2006, a year after he sold Celtel and guided by a belief that governance is the basis for growth and prosperity, he established the Mo Ibrahim Foundation to promote African leadership and good governance on the continent. Deeply passionate about Africa, Ibrahim is a fierce critic of those who fail it, while loudly— and financially—championing its heroes. In 2007, he launched the Ibrahim Prize for Achievement in African Leadership, which pays out $5 million to individual winners over 10 years. Recipients honored for uplifting their countries and smoothly transitioning power to successors are South Africa’s Nelson Mandela (honorary recipient),

Liberia’s Ellen Johnson Sirleaf, Namibia’s Hifikepunye Pohamba, Cabo Verde’s Pedro Pires, Botswana’s Festus Mogae, and Mozambique’s Joaquim Chissano. The sudden rise and sweep of COVID-19 has left Ibrahim impressed with Africa’s immediate response, but cautious about the continent’s future, especially concerning the potential longterm economic fallout. In this edited interview, Ibrahim talked about what he sees as Africa’s prospects during and after COVID-19—and why strong partnerships must support countries’ future growth. Q. First, how are you coping personally through these difficult times?

A: It hasn’t been easy, but I am fine. What COVID-19 has done is highlight the issue of inequality. There are people with limited access

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to support or the medical services they need, living in cramped accommodations. I really feel for those who are struggling. Q. How do you feel African leaders have handled the initial stages of coronavirus?

A: I have been impressed by how they have so far dealt with this crisis. Fortunately, Africa had a window while the virus raced through Asia and Europe and elsewhere, and most African countries made good use of it. There have been numerous calls between African and European leaders trying to instigate coordinated actions. It was impressive. Africa’s experience with Ebola and other health crises also likely helped. Of course, African countries couldn’t do what Western countries did when they confined people for long periods of time to slow the spread of the disease. If you do this in Africa, people will die of hunger. Africa could also not match the generous financial support of Western countries. But really, almost without exception, African governments took the threat seriously. I am really impressed by the way African leaders stepped up, but they need to keep on their guard during the days ahead. Q. How important will partnerships be to helping Africa weather the crisis in the long term?

A: Partnerships will be essential, and we really need coordinated, long-term global action to deal with something as serious as coronavirus. In April, there was a Call for Action issued by 18 African and European leaders who said that we cannot declare victory over the pandemic until we are victorious in Africa. This was a wonderful statement that called for four priorities: strengthening Africa’s emergency health response capacity; sharing scientific knowledge and expertise; providing urgent humanitarian supplies for the most affected communities; and deploying a very large economic stimulus package. Of course, we need this goodwill to be translated into action.

Q. Are you optimistic that it will?

A: It is a strange time because the international order is frayed. Unfortunately, at a time when the world should come together, we’ve seen major powers sniping at each other. International organizations have been marginalized. When you are in mid-flight, it’s not the time to tinker with the engines. Let’s land safely first and then deal with how to improve governance at some of these organizations. I’m worried about the global fracture, but I hope that countries and organizations will come together, and partnerships will be formed to help in Africa and elsewhere. There is the health crisis, of course, but we need more emphasis on the economic crisis that is already here, with Africa predicted to fall into its first recession in 25 years. Q. What would help make partnerships succeed given the fractured state of world politics?

A: That’s not an easy question. People need to be generous in spirit and must come together as a community to fight this invisible enemy. Unfortunately, there is a blame game and point scoring going on. If the virus is left undefeated anywhere in the world, it will most likely return and cause havoc again. We must work together during this crisis and first put out the fires everywhere. Q. What should international organizations and high-income countries be doing to support lower-income countries in Africa?

A: Debt relief is one way to help. The G20 has offered some support freezing debt payments. It’s a good start, but it’s not enough. We need a much stronger response. To illustrate this, total African debt is about $365 billion, with $44 billion in payments due this year. It’s not enough to suspend payments, some should be restructured or forgiven. The IMF is best placed to offer the most decisive intervention. The tools are there, such as IMF’s special drawing rights, and they have been used before successfully. This is the time to use them again. The World Bank and IFC have shown good intentions, but we need these and

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other organizations to act decisively. In many ways, I’m more worried about the economic impact of coronavirus on Africa than the health impacts. The economic fallout can cause much more long-term damage. This is on top of the locust swarms in East Africa, so millions could die of hunger because of a perfect storm of crises. Q. Africa’s private sector also has a large role to play through the crisis, by providing essential goods and services. How can it best be supported?

A: The private sector is very important during this crisis. Unfortunately, it is fragile in many parts of Africa because of a lack of investment. Even if debt is cancelled, we are talking about public debt. There is also a debt problem for Africa’s private sector that we should be looking at. In Western countries, companies are being offered support or even being bailed out, but who is doing this in Africa? We need a way to protect and support our companies in Africa. Organizations like IFC need to step up with specific support for portfolio companies and they need to move quickly.

Q. It’s too early to talk about victory over the pandemic, but could Africa one day emerge stronger because of it?

A: Yes, I can see a lot of potential. Now people in Africa understand that at times like these, unless they come together and act in unity—unless they can develop strong continental and even international partnerships—they will be completely overlooked. You talk about personal protective equipment and other vital health items and no African country has enough purchasing power to secure them alone… But by coming together, they are really able to do something. We must really understand how important it is to act together and I think that will be an important lesson we take from this crisis. I also strongly believe in my continent’s specific mix of resilience and dynamism and its innovative spirit, mostly driven by our young majority.

Q. Which sectors in Africa need the most help?

A: All need help, but we really need to strengthen health systems in Africa. Even in the West, this virus has been humbling. There are only 10 countries out of 54 in Africa that offer universal free access to health care. We need to treat health as an important public good and we need greatly increased investment. There is definitely scope for greater private involvement, but whatever models you have, whatever mix of public and private, everybody must have access to health care in Africa. Then we must also pay attention to the most impacted sectors, like tourism and transport. As key local employers in Africa, businesses in these sectors are paying a heavy toll because of the crisis.

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CRAFTS / ARTS

Turkey’s Dogtas Executive describes Zambia as an appealing investment destination

FLASHBACK: Zambia’s Ambassador to Turkey, H.E Dr Joseph Chilengi with Turkey’s Independent Industrialists’ and Businessmen’s Association (MUSIAD) Konya President Omer Faruk Okka at the Zambian Chancery in Ankara

D

ogtas Exclusive, one of Turkey’s leading furniture manufacturers and retailers has described Zambia as a very appealing destination to expand its brand’s international influence. Dogtas Kelebek Mobilya A.S. Chief Executive Officer Davut Dogan told the Weekly Dispatch that his com- pany opened doors in Zambia in April 2018 and currently has a showroom located at East Park Mall in Lusaka. “The presence of Dogtas Exclusive in Zambia, among other high potential African markets is a stepping stone for the company’s international development which aims to support its local expansion with the objective to open several stores in the next few years in Zambia’s and around countries’ key cities and met- ropolitan areas,” Mr Dogan said.He said Dogtas Exclusive began ex- porting furniture in 1994 and is being well received in many countries. “Taking crucial steps to identify potential markets, understand customer needs, and offering a product portfolio that will meet these needs, Zambia has been a very appealing destination to

expand our brand’s international influence“We have an 800-square meter store with a wide product range. We have employed 12 employees in Zambia,” Mr Dogan said.On the impact of the coronavirus (COVID-19) pandemic on business, Mr Dogan said just like most businesses worldwide, Dogtas Exclusive was unprepared for such a cataclysmic disruption.He said in just a few weeks, the coronavirus outbreak had changed the company’s way of operation in an unprecedented manner. Mr Dogan, however, expressed optimism that the pandemic could bring some positive outcomes.“We are learning new ways to connect and we are finding faster ways to operate in a way. We are proactive and growth oriented. So, we will surely take the most adapted actions to expand our business during this new period.“We knew that we needed wellthought solutions in order to stand within this environment, so at first, we stayed calm. Because our priority was the health and well-being of ourselves, our collaborators, our staff, and our customers,” Mr Zambia Inc. Magazine

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Dogan said.He stated that social distancing and limited trips outside of homes had altered consumer behavior, which had an impact on showroom owners like Dogtas Exclusive. “However, we have kept communicating regularly with all the staff, our partners, collaborators, suppli- ers, and customers. On the other hand, we have realized at the very beginning that the online sales are evolving during this period. We have focused on technologies and new communication strategies that we can use to expand our services for our cus- tomers,” he said. Founded in 1972, Dogtas has 180 showrooms in Turkey, 42 stores worldwide in 33 countries on four continents. Zambia has remained an investment destination of choice due to peace, political stability, investment laws that enable businesses to thrive. Zambia’s central location also enables investors to have access to the Southern African Development Community (SADC) and Common Market for Eastern and Southern Africa (COMESA) markets with a combined population of over 600 million people.



LEISURE/ TRAVEL

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Marketing and Advertising for Small to Medium Enterprises in Zambia


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