Lusaka Times | 4 December 2009
A British based company, Chayton Capital says it has invested $ 50 Million (US Dollars) in Zambia’s agriculture infrastructure development and transport.
Company representative, Neil Crowder revealed this in London today during the UK-Zambia Investment Forum attended by Vice-President George Kunda.
He said another $200 Million will be pumped in the Zambian economy in the near future depending on the performance of the company in the country.
Mr Crowder said his company has chosen Zambia for investment because of its high agriculture potential, such as favourable climate, abundant water resources and also its geographical comparative advantage for export into the Democratic Republic of Congo (DRC).
He also said the Zambian government has made agriculture development a priority as evidenced by the reserving of 1 million hectares of land for cultivation and investment.
Mr Crowder further said his company has also been attracted by the country’s good governance record, political stability and property rights, among others.He observed that among the incentives further attracting investment is the reduced duty by the Zambian government on imports relating to agricultural machinery and the farming dividends and profits tax-exempt for the first 5 years of operation.
Others are the 100 per cent tax allowance for outlay on land development, conservation and wear and tear allowance of 50 per cent for the first two years on machinery employed for agriculture.
Mr Crowder further said the 50 per cent depreciation rate, allowing machinery to be written off also contributed to the company’s financial investment in the Zambian economy.
The one-day Forum, whose theme was “Enhancing Economic Growth through Competitiveness, Diversification and Infrastructure Development” was being attended by a high-level Zambian delegation that included Commerce, Trade and Industry Minister, Felix Mutati, His Works and Supply counterpart, Mike Mulongoti, Bank of Zambia Governor, Caleb Fundanga, Finance Bank Chairman Rajan Mahtani, among others.
On the British side were over 100 carefully selected delegates representing UK and European businesses.