1st May 2014 12:55
LONDON (Alliance News) - Agriterra Ltd Thursday said its beef business in Mozambique, Mozbife Ltd, continues to expand, with an increase in demand, stocking ratios and carrying capacity.
The AIM-listed pan-African agricultural group said stocking ratios are being significantly increased at the Mavonde and Inhazonia farms through the implementation of the second phase of the company's multi-stage irrigation programme.
Upon completion of the current phase of the plan, in the fourth quarter of this year, the company said that a total of 490 hectares of land will be irrigated, allowing space for additional animals on the land. It said the three ranches - Mavonde breeding ranch, Dombe breeding ranch and Inhazonia grass fattening ranch - will have a carrying capacity of 13,800 animals.
Agriterra said that it is assessing further land acquisitions of 7,000 hectares next to the Inhazonia grass fattening ranch.
"With strong demand for beef and an increasing herd carrying capacity, the group is looking at expansion opportunities in northern and central Mozambique, to take advantage of the resource and extractive industries growth, as well as increasing demand from the local population," the company said in a statement.
The company said its breading herd currently stands at 4,800, with a further 1,300 cattle being fattened at the ranches which will later pass through the feedlot.
Agriterra said its new retail outlet in the city of Beira in Mozambique is performing extremely well and is generating revenues in excess of USD70,000 a month since its opening.
Shares in Agriterra were trading 1.4% higher at 1.45 pence Thursday afternoon.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
Copyright 2014 Alliance News Limited. All Rights Reserved.
Related Shares:
Agriterra Ld