Philafrica Foods, which forms part of the South African company Afgri Group Holdings, has formed a 50/50-partnership with Novos Horizontes, a Mozambican chicken producer, to develop the poultry industry in this country.
According to mr. Roland Decorvet, Philafrica Food’s CEO, between 60% and 70% of the chicken consumed in Mozambique is imported. Novos Horizontes, an integrated chicken producer, is located in the north of the country and came into being in 2005. The company’s core vision is to unlock potential around both land and labour by supporting small-scale farmers.
This joint venture will enable Novos Horizontes, which means “new horisons” in English, to continue its expansion. “We see Novos Horizontes as a reliable partner and profitable enterprise and, most importantly, we share the same principles regarding the transformation of small-scale farmers’ lives,” says Decorvet.
Leading the industry
According to mr. Andrew Cunningham, Novos Horizontes’ executive chairman, his company wants to be the leading poultry producer in Mozambique. The aim is to expand into other value chains where small-scale farmers can promote food processing and the building of branded production.
The company uses chickens raised by local farmers on their own farms and holds shares in Mozambique Fresh Eggs, an egg producer in Nampula, and Frango King, another chicken producer.
Philafrica Foods is one of the largest food processing concerns in South Afria and owns and manages 12 plants. The joint venture with Novos Horizontes forms part of its planned investment of between R1 billion and R1.5 billion in Africa over the next 18 to 24 months.
No outbreaks of avian influenza have been reported in Mozambique to date, but Decorvet says the company is developing contingency and risk management strategies for the sake of preparedness.
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