United Refineries in $2m project

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Agro-processing concern, United Refineries Limited, says it has set aside $2 million for soya bean contract farming to improve the supply of the raw material to boost capacity utilisation levels.

BULAWAYO – Agro-processing concern, United Refineries Limited, says it has set aside $2 million for soya bean contract farming to improve the supply of the raw material to boost capacity utilisation levels.

United Refineries, the second largest cooking oil refinery in Zimbabwe, requires 96 000 tonnes of oil seed per annum but can only access about 50% of that locally.

“In the (soya contract farming project), we have partnered with SNV where the community in semi-rural areas will put between five and 10 hectares under soya and the farmers will be guaranteed a ready market by United Refineries.

“We have also engaged Arda with a view to leasing one of their farms so that we grow soya,” the chief executive Busisa Moyo told The Source.

Commercial farmers in the two districts will also be involved in the project, he added.

“We also have crop finance for contract farming and we are partnering with local banks (for areas) close to Bulawayo.

“Currently we are getting the soya beans from Chinhoyi, which is very far away,” he said.

United Refineries has a refining capacity of 8 000 metric tonnes of oil seeds per month.

At the moment, the company is operating at 70% for its cooking oil division and 40% for the soap division.

“Our capacity utilisation is lower on soaps that is at around 40% because we had shortage of the raw material but we recently managed to secure it.

“We are looking to bring it up to 70% in the last quarter,” Moyo said. – The Source