LIBERIA – Liberia’s House of Representatives has just approved the signing of an investment incentive agreement between the Liberian government and the agro-industrial group Modern Mills Liberia for the development, construction, establishment and operation of a US$40.5 million flour mill.
This 15-year agreement covers the installation and operation of a plant dedicated to processing wheat into flour and by-products, in the county of Montserrado located in the east of the country. The flour mill, will have a processing capacity of 150 tonnes of wheat per day.
Modern Mills will receive tax benefits from the state and in turn will be required, among other obligations, to employ at least 150 people within the first five years of the plant’s launch.
The President’s Communication is quoted as saying the private investor will also provide an annual grant of US$5,000 for scholarships to students from communities affected by the project.
Accordingly, the scholarships will be for High School graduates and University students to study in Liberia.
The president noted that the project will bring key benefits such as value addition and job creation, thereby contributing to the Country’s economic stability.
Liberia depends entirely on imports to meet its wheat consumption needs. With the growth in demand for cereal-derived products, there are many opportunities in the milling industry.
In 2019, the country procured more than 2,700 tons of wheat flour worth US$1.8 million from the international market to meet its consumption needs according to World Bank data. In 2020, Liberia imported US$7.48M in wheat.
According to the authorities, the implementation of the project will increase the country’s wheat crushing capacity to improve the level of local supply of wheat flour in order to reduce the import bill for the commodity.
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