News / Local
Zimbabwe renews Tongaat Hullet's licence by 20 more years
02 Sep 2021 at 12:01hrs | Views
GOVERNMENT has renewed Tongaat Hullet operations by another 20 years amid a deal to finalise granting of a 99-year lease to the company.
The latest development will strengthen the project's stability.
Tongaat is one the country's investment success stories as the company employs over 20 000 employees.
The firm owns sugar cane fields in Hippo Valley and Triangle, Chiredzi which stretch for over 25 000 hectares.
It also owns a sugar cane plantation at Mwenezana in Mwenezi which stretches for over 4 000 hectares.
Presenting the 2021 annual report, Tongaat Hullet's chairperson, Canaan Dube said the government recently granted a renewed license among other prospects.
"The company has also had its sugar milling license renewed for another 20-year period ending December 2040. These positive actions from government provide further condense and stability to the operations.
"Provisionally, an institutional offer letter was issued by government, whilst the requisite physical planning and administrative processes are nearing completion, paving way for the issuance of the 99-year lease," he said.
Meanwhile, Dube said considerable work had also been implemented on a 4 000-hectare cane development project popularly known as Project Kilimanjaro being undertaken by Tongaat Hullett Zimbabwe in partnership with the government and local banks.
"To date total of 2 700 hectares of virgin land has been bush-cleared and ripped, out of which 562 hectares was planted to sugarcane.
"As previously reported, project works were slowed down on account of delays in obtaining the requisite funding from financial institutions pending further clarity on land tenure, both of which are being progressed," he said.
He said to ensure productive use of the cleared land in the interim, 76 hectares and 750 hectares were put to maize and sorghum respectively, and an additional 902 hectares of maize was planted on company fallow cane land as a break crop.
Dube added this had resulted in the benefit of maximising land use and further improving food security. The company is committed to continue partnering with the government in food security initiatives.
The latest development will strengthen the project's stability.
Tongaat is one the country's investment success stories as the company employs over 20 000 employees.
The firm owns sugar cane fields in Hippo Valley and Triangle, Chiredzi which stretch for over 25 000 hectares.
It also owns a sugar cane plantation at Mwenezana in Mwenezi which stretches for over 4 000 hectares.
Presenting the 2021 annual report, Tongaat Hullet's chairperson, Canaan Dube said the government recently granted a renewed license among other prospects.
"The company has also had its sugar milling license renewed for another 20-year period ending December 2040. These positive actions from government provide further condense and stability to the operations.
"Provisionally, an institutional offer letter was issued by government, whilst the requisite physical planning and administrative processes are nearing completion, paving way for the issuance of the 99-year lease," he said.
Meanwhile, Dube said considerable work had also been implemented on a 4 000-hectare cane development project popularly known as Project Kilimanjaro being undertaken by Tongaat Hullett Zimbabwe in partnership with the government and local banks.
"To date total of 2 700 hectares of virgin land has been bush-cleared and ripped, out of which 562 hectares was planted to sugarcane.
"As previously reported, project works were slowed down on account of delays in obtaining the requisite funding from financial institutions pending further clarity on land tenure, both of which are being progressed," he said.
He said to ensure productive use of the cleared land in the interim, 76 hectares and 750 hectares were put to maize and sorghum respectively, and an additional 902 hectares of maize was planted on company fallow cane land as a break crop.
Dube added this had resulted in the benefit of maximising land use and further improving food security. The company is committed to continue partnering with the government in food security initiatives.
Source - newzimbabwe.com
