Pyxus Agriculture Limite, a non-tobacco crops dealer, has announced that it will invest $50 million (about K37 billion) in the country’s agriculture sector in the next five years.
The firm, which started its operations in April this year, is a subsidiary of United Kingdom-based company Pyxus Agriculture Holding Limited, and it focuses on groundnuts and sunflower value addition ventures.
Speaking during a press conference in Lilongwe on Tuesday, Pyxus managing director Ronald Ngwira said the initial asset base investment was $11 million (K8 billion).
However, he projected the massive investment growth owing to their plans to setup processing facilities.
“We look forward to investing over $50 million in the next five years. We intend to set up production facilities to enhance our value adding initiative,” he said.
Ngwira further said they are targeting to work with 10 000 groundnuts farmers starting this year with a further 1000 more growing sunflower.
“Our business segment provides registered smallholder and third party farmers with access to credit, inputs delivery and extension services. In turn, we will be buying their crops and process them into value added products,” said Ngwira.
Pyxus investment comes after Legumes Development Trust (LDT) recently appealed for more investments in the legume sector for it to bring significant contributions to the economy and improve livelihoods of smallholder farmers in the country. LDT chairperson responsible for value chain and markets Vincent Mpaluko, while commending government for allocating K1.8 billion for improved legume production, said more investments are desired for meaningful results.