ANGOLA – Pérola do Kikuxi farm, one of the largest integrated poultry producers in Angola is seeking US$80 million financing, supported by the Angolan central bank to expand its production capacity.
According to reports by Angola Press, the financial boost will enable the company to recover its egg production capacity to one million eggs per day by January 2021, which had dwindled to 600,000 eggs/day in March due to the constraints imposed by Covid-19.
The investment is further geared towards doubling the production capacity to two million eggs/day, starting in April 2021.
The Pérola do Kikuxi farm, created in 1997, currently has 545 employees and with the new investment it will create 3,000 additional jobs.
The farm also has a slaughterhouse with the capacity to slaughter 2,500 chickens/hour and 100 tonnes for one month, in addition to a feed factory with a processing capacity of 120 tonnes of feed per day.
The investment is further geared towards doubling Pérola do Kikuxi farm’s production capacity to two million eggs/day, starting in April 2021.
The company recently acquired Luanda Modular Slaughterhouse, valued at Akz 600.5 million (US$1m), as well as the Catete Silo Complex, valued at Akz 1.330 billion (US$2.2m) from the Angolan Institute of Assets Management and State Participation (IGAPE).
The companies are part of the state-owned agro-industrial firms the government is privatizing.
As the farm gears towards ramping up its production capacity, a recent report by USDA forecasts poultry production in the country to remain stable in 2021.
Angola will be unable to expand capacity due to lack of foreign exchange, the prohibition of Genetically Engineered products and lack of access to affordable animal feed as the country does not produce sufficient grains and oilseeds to support the poultry sector, so feed must be imported.
In 2019, poultry meat production in Angola was estimated at 28,185MT by Ministry of Agriculture and Fisheries, a 3.7 percent increase from the previous year.
With minimal production, the country relies on chicken meat imports which account for 88 percent of consumption.
It imported 266,000 MT of poultry meat in 2019 with the United States as the main supplier of meat valued at US$150 million.
However, due to limited access to foreign exchange and reduced consumer purchasing power, Angola chicken meat imports have decreased significantly in 2020 but are forecast to stabilize in 2021.
Liked this article? Subscribe to Food Business Africa News, our regular email newsletters with the latest news insights from Africa and the World’s food and agro industry. SUBSCRIBE HERE
