South African firm partners KADS Capital to revive moribund agro-businesses
Towards reviving moribund agricultural facilities lying fallow across the country, an agro-business firm, KADS Capital Group, is partnering a South Africa-based company, PBS Trading Ltd, to revive ailing government-owned agric investments.
The partnership is also aimed at creating significant yields in the agro-business value chain in Africa.
Group Head of KADS Capital, Mr. Ken Ogiamien, who disclosed this at the end of a Trade Mission of South African companies to Nigeria, told The Guardian that they are already in touch with Lagos State government regarding some of their facilities in Araga, Epe and a processing plant in Ikorodu, noting that their intention is to revive these facilities, bring them to full capacity and make them profitable for parties concerned.
He added that KADS Capital is also looking at taking over declining facilities of other states and the Federal Government agencies with a view to rejuvenating them.
Ogiamien said the decision to partner PBS Trading was to harness the potentials of both companies and combine advanced technology, international standards and quality control, assuring that the partnership will also facilitate access to funding, skilled manpower and strategic alliances to ensure the production of world-class, value-added agricultural and table-ready brands for consumers in both countries and beyond.
“The value chain is such that the Gross Domestic Product (GDP) of both countries would be significantly touched. Specifically, the relationship would increase employment opportunities for the youth, profoundly change their perception of agriculture and ensure scheduled off-take of agricultural produce from collaborating farmers.”
He said one of the expected outcomes of the venture is the elimination of smuggled poultry products through the Nigerian borders and meeting the needs of consumers through local production.
Ogiamien said two subsidiaries of the company-KADS Livestock and Feeds and KADS Meat Mart, would be the initial beneficiaries of the partnership, which is expected to take off in 2018.
Managing Director of PBS Trading, Mr. Donovan Franker, said Africa’s economic future accomplishments would depend very much on successful cross-trade ventures between African businesses and countries.
He said the next stage of the partnership would involve signing a Memorandum of Understanding (MoU) on areas in which they both can add value, through the value chain and the food chain, from feed stock to food on the plate, adding that his organisation has access to funds from Trade Invest Africa, the Development Banks and Agriculture Development Banks.
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