Seed Co International Limited (SCIL) says it anticipates growth in Ethiopia, Tanzania, and Kenya in the current financial year ending March 31, 2025.
SCIL is a sister company to Seed Co Limited (SCL) and the two firms are under the Seed Co Group.
In Ethiopia, SCIL reported that business development efforts are being intensified with immense potential after securing an elusive business license in 2023.
In its annual report for the period ended March 31, 2024, SCIL said commercial production in Ethiopia began this year and yielded 1 000 metric tons, which was all sold just after the financial year end.
“The group’s outlook across the region remains positive, buoyed by several constructive factors. Favorable precipitation forecasts bode well for demand, while our diversified geographical footprint mitigates exposure to any single market’s volatility,” SCIL chief executive officer Morgan Nzwere said in a statement in the annual report.
“We anticipate increased volumes as customers seek to replenish granaries and offset the impacts of El Niño across southern Africa. Continued growth is anticipated in East Africa led by Tanzania as well as Kenya and new opportunities coming out of Ethiopia.”
The focus on Tanzania, Kenya and Ethiopia comes after SCIL southern African operations suffered from the El Niño-induced drought that reduced crop output across the region.
A revenue growth of 14% helped SCIL post a profit after tax of USD4.93 million for the period under review, up from a 2023 comparative of USD2.91 million.
“We trust that governments and development partners will continue prioritising primary food production to alleviate economic hardships. Achieving food self-sufficiency is central to our strategic and sustainable objectives and we are committed to playing a key role in this mission, improving livelihoods and driving economic progress,” SCIL chairperson Pearson Gowero said.