Saturday, April 20, 2024

President Lungu anounces Government takeover of Kawambwa Tea Estate

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President Edgar Lungu addressing Kawambwa Tea plantation Workers at the Factory - PICTURE BY EDDIE MWANALEZA/STATEHOUSE.
President Edgar Lungu addressing Kawambwa Tea plantation Workers at the Factory – PICTURE BY EDDIE MWANALEZA/STATEHOUSE.

PRESIDENT Edgar Lungu has announced plans by the Government to revive the moribund Kawambwa tea estate in Luapula province and transform it into a fully fledged producer of the commodity.

Mr Lungu said that the Government would revisit the financial requirements of the estate which was placed under receivership and repossessed by the State after a Zimbabwean owner abandoned it. “By next year, we want to start pumping money into this factory so that we can earn foreign exchange through tea exports.

“I have heard your cry and will work flat out to ensure that the Ministry of Finance finds money to make this company viable again,” Mr Lungu said.

The Head of State said this when he addressed the 350 workers of the estate which Government will run through the Zambia Forestry and Forests Industry Corporation (ZAFFICO), which is an agent of the economic diversification programme.

Mr Lungu said Government would soon conclude matters surrounding the compulsory agreement so that the Zimbabwean investor, Khumul Holdings, settled their contractual share.

He said Government would also bear all salary arrears and statutory debts so that the company’s financial books were clean.

“ZAFFICO is a very competent institution and let me state that you are in very safe hands,” the President said much to the joy of the cheering employees.

Mr Lungu directed the Treasury to avail money so that the workers, whom he described as patriotic, were paid this months’ salaries.

“I appreciate your patriotism and hard work in preserving the tea plantation. “We are duty bound to revive this company and permanent secretary for Luapula (Boniface Chimbwali) and Kawambwa Member of Parliament (Nixon Chilangwa), I want all to be well here (Kawambwa tea) by next year,” said Mr Lungu who was in the company of senior Government and Patriotic Front officials.

The President added that as Government was promoting the buy Zambian agenda, State House would be the prime customer of Kawambwa tea leaves.

Earlier, company general manager John Bunda said the more than 200 hectare estate had the capacity to employ 1,000 people when operating at full capacity.

“Your Excellency, we expect to produce 965,000 kilogrammes of tea next year if only we are assisted with capital.

” The future of Kawambwa tea company is still bright for us to compete on both local and international markets, reduce tea imports and save the country’s meagre foreign exchange reserves, ” Mr Bunda said.

President Edgar Lungu addressing happy Kawambwa Tea plantation Workers at the Factory - PICTURE BY EDDIE MWANALEZA/STATEHOUSE.
President Edgar Lungu addressing happy Kawambwa Tea plantation Workers at the Factory – PICTURE BY EDDIE MWANALEZA/STATEHOUSE.

12 COMMENTS

  1. To me that is someone who is a real father, putting the lives of others before his. You are a great leader, please, revive it. 2016 is YOURS! HH should start preparing his exit message from UPND!

    • I get surprised at how some Zambians like @Lazi! above get satisfied with so little. No wander we are so power. Govt taking over Kawambwa tea is a populist move designed to dupe people like Lazi! by Mr. No Vision Edgar. PF Government has no capacity to run company profitably. I challenge anyone to name just but one successful comment being operated by PF cadres. What Edgar should have done for Kawambwa is PPP

    • Actually this man is just replaying the tape, This thing was done i think during president Sata time. Meanwhile people spend so much time online but are ill informed

  2. But why do these politicians like repeating what has been done before, ZAFFICO took over the operation sometime back, and this man called lungu replays the tape and *****s are clapping…………..anyway the problems is Zambia is a country of very Dull people who easily forget. and are screwed by politicians again and again . No wonder *****s were clapping the time he replayed the tape about some 2 billion kafue nonsense

  3. This thing of caring outstanding wages and debt of a run away investor is annoying!! Why must profits be private but losses public?

  4. Waste of tax payers money. How long will the tax payers money continue sustaining the state corporations?
    A quick reflection on ZESCO, Zambia Railways, ZAMTEL, ZAFFICO, ZCCM Holdings and NCZ speaks volumes – failure of companies to run as business units, but as continuous Parasite Corporations (charity ), dependent on Tax Payers Money, Government, because of interference of the government in running of corporations. This kind of approach is taking Zambia no where, but into more poverty. Decision based on pleasing people denying the power of Zambia to develop by helping Zambians to form small companies that will create jobs and pay taxes. This is mismanagement of tax payers money which is suppose to give birth to other industry in order to grow economy and depopulate poverty.

  5. 1st November, 2013 news;

    “The Kawambwa Tea Estate, which has always been a scene of sombre faces when one visits the place, was yesterday transformed into a scene of joy and celebrations.

    This follows government’s announcement that it has chosen the Zambia Forestry and Forestry Industries Corporation (ZAFFICO) to help the receiver, Felix Chisambo, to run the tea company.

    Luapula Province Permanent Secretary (PS), Chanda Kasolo revealed that ZAFFICO will before the end of this month take over operations at the defunct Kawamabwa Tea Company as a Management Consultant”

  6. FIRST BEFORE EXPORTING THE COMMODITY (TEA) ABROAD/OVERSEAS, MAKE THE COMMODITY DRINKABLE IN ZAMBIA BY THE POOR AND MARGINALISED BY MAKING, NOT ONLY TEA, HIGHLY AFFORDABLE BUT ALSO SUGER AND MILK.
    BESIDES, MODERNISE THE FACTORY. I WAS SHOCKED WHEN I TOOK INTEREST TO LOOK AT THE IMAGES ON THE INTERNET SEE THAT THE FACTORY LOOKED MORE LIKE A RUBBISH RE-CYCLE PLANT RATHER THAN A TEA FACTORY. YOU CAN’T HAVE ONLY ONE FACTORY IN KAWAMBWA. COMPLIMENT IT WITH PLANTATIONS SUCH AS RUBBER TREE/TREE, BANANA, SUGAR, APPLES, ORANGES, ETC. THESE INDUSTRIES WILL SEE LOCALS EMPOWERED WITH BUYING POWER.

  7. We do not connect the dots, as a people. If all retail outlets were asked to stock 60% tea from Kawambwa; 60% coffee from Kasama; 60% peanut butter from Petauke; and 60% fruit juice from Mwinilu’nga, our money will start circulating within our pockets before it goes to South Africa through shoprite or spar or what ever you call them. This concept is very simple to implement if the ministry of commerce and other ministries can co-ordinate and implement a mechanism of monitoring the quotas. Alas everyone is busy doing official duties that bring no value to me – the common chap on the street. Its why people are saying maybe a business minded person can lead us into economic prosperity.

  8. Hahahahaha wanders shall never end. If you can’t run a company that is fully operational to greater success then how would you run a dead goat? Why not take up a mining company and bring back those profits being taken by bamwisa.

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