ZIMBABWE with. 1/19/2017 H E Consulting Services

Transcription

1 ZIMBABWE with

2 ZIMBABWE a unique opportunity A unique opportunity to explore business opportunities in Zimbabwe. Meet local business partners to further your knowledge about the market and how to do business in Zimbabwe.

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4 ZIMBABWE TODAY By Al Jazeera English - Mugabe, CC BY-SA 2.0, H E Consulting Services

5 ZIMBABWE 15.7m HARARE 2.1m

6 ZIMBABWE TODAY - CASH CRISIS Very low foreign reserves forcing the Reserve Bank to ration limited US dollar supplies to the higher-priority importers causing delays affecting import supplies. Several Zimbabwean companies have benefited from the imposition of the bans imposed on a range of goods, mainly foods and building materials.

7 ZIMBABWE ISSUES $200 MIO BOND NOTES in December 2016.

8 ZIMBABWE debt - $6.9 bn The Zimbabwe authorities generally agree that external debt is at unsustainable levels. Currently beyond Zimbabwe s debt servicing capacity, and as a result Zimbabwe continues to accumulate external debt arrears. Little will happen until.

9 WHAT HAS HAPPENED TO THE CASH? Zimbabwe funds deficit by issuing TBs currently $1.4 bn + Zimbabwe has natural resources, infrastructure and comparatively skilled human resources. Realizing this potential will require new fiscal policies, monetary system, and resolve arrears to international lenders which would allow for a resumption of development financing. When?

10 TOMORROW? Zimbabwe is headed for change. Constitution says first Vice President succeeds. Remains in office for 90 days. Ruling party elects a successor until the next Presidential election. Emerson Mnangagwa who is a Shona and veteran ZANU insider is first vice-president - has sent strong pragmatic signals and tipped by many as most likely success but who knows?. Elections will be contested by ZANU groups and the MDC-ZANU Joyce Mujuru alliance.

11 ZIMBABWE S AGRICULTURAL POTENTIAL

12 ZIMBABWE POTENTIAL LAND USE REGIONS I, IIA & B, III high alt. rainfall IV & V low alt. rainfall

13 ZIMBABWE LAND DISTRIBUTION BEFORE 1980

14 AGRICULTURAL PRODUCTION in 000 tonnes MAIZE, WHEAT, SORGHUM, BARLEY 2.500,0 CEREALS- ZIMBABWE 2.000, , ,0 500,0 0, Maize Wheat Sorghum Barley

15 TOBACCO & COTTON in 000 tonnes TRADITIONAL EXPORT CROPS Tobacco Flue Cured Cotton 400,0 350,0 300,0 250,0 200,0 150,0 100,0 50,0 0,

16 EXPORT CROPS in 000 tonnes 60,0 INDUSTRIAL & EXPORT CROPS 50,0 40,0 30,0 20,0 10,0 0, Tea Coffee Paprika Flowers Citrus Fresh veg

17 MILK PRODUCTION in 000 tonnes 20m kgs per month before now 5m kgs month 200,0 180,0 160,0 140,0 120,0 100,0 80,0 60,0 40,0 20,0 0,0 Dairy in '000 tonnes

18 SLAUGHTER BEEF in 000s Head 800,0 700,0 600,0 500,0 400,0 300,0 200,0 100,0 0,

19 ZIMBABWE PROSPECTS FOR JVs WITH LOCAL PARTNERS TO BE CONFIRMED

20 PROECTS PROPOSED BY AJS KIRK PIGGERY SEMEN BANK DAIRY DEMAND FOR 1MIO LTRS DAY POTATOES FROZEN AND CHIPS FORAGE HAY & SILAGE MASKINESTATION CONCEPT AG LAB ANIMAL FEED & PRODUCT TESTING LAB

21 PROJECTS PROPOSED BY WAYNE PARNHAM Expand existing horticulture at HILBRE FARMS mange tout, sugar snap peas Potato production and processing frozen and chips Create EXPORT PROCESSING ZONE EPZ Meet Parnham and partner Kim Birketoft

22 PROJECTS PROPOSED BY SEAN BEAN AT SHAMVA EXPAND EXISTING PIGGERY ABATTOIR

23 SEAN BENNET - GLENDALE MAIZE WINTER IRRIGATED WHEAT OTHER

24 PROJECTS PROPOSED BY CRAIG DAVENPORT MOUNT HAMDEN PIGGERY PORK EXISTING SUPPLIER TO COLCOM GARFUNKELS

25 PROJECTS PROPOSED BY PHIL DE CHASARDT SURREY FARMS CATTLE POULTRY OTHER

26 PROJECTS PROPOSED BY EUAN MCMILLAN DEAN LE ROUX ROW CROPPING CATTLE RANCHING BEEF CATTLE PRODUCTION

27 PROJECTS PROPOSED BY JASON WILCOX HORTICULTURE EXISTING WHOLESALE RETAIL FRUIT VEG

28 Dr. Mario Beffa, Chairman Livestock & Meat Advisory Council - tips Pigs: The Pig Industry Board is wanting to establish a multiplying unit and is looking for a JV partner. Rob Davenport - meat processing plant near Westgate. Beef: Partners in a project to set up beef slaughterhouses closer to source and feedlots in Foot and Mouth free zones. Horticulture. Adam Selby at Komani farm.

29 ZIMBABWE VISIT SUGGESTED WORK ITINERARY UNDER PREPARATION POSSIBLE FROM 27/5 TO 3/6. PROGRAMME WILL BE ARRANGED ACORDING TO SPECIFIC INTERESTS AND NUMBER OF PARTICIPANTS FINAL PLAN TO SUIT INVESTOR WISHES

30 ZIMBABWE ISSUES & RISKS

31 WE ADVISE INVESTORS HOW TO MEET CHALLENGES Working capital and capital expenditure Ability to remit profits exchange control regulations Local cash shortage cost of capital Security of tenure risks Corruption and bureacracy risks Public Private Partnerships PPPs a good option JVs with existing business people ALWAYS Do your Due Diligence

32 ZIMBABWE RISKS LAND SEIZURES Zimbabwe has ratified bilateral investment treaties with China, Denmark, Germany, the Netherlands, Serbia and Montenegro, and Switzerland but invasions continue The 22 April 2009 award in Bernardus Henricus Funnekotter and others v. Republic of Zimbabwe (ICSID Case No. ARB/05/06) is available at: MIGA guarantees

33 Indigenization & Economic Empowerment Act, Who is indigenous? Exceptions are made! Reserve investment list Ag, ag processing, milling, tobacco processing, retailing & wholesale. Exceptions are made case by case.

34 HENRIK ELLERT Through his continuous presence in southern African maintains close contact with a wide spectrum of businesses in Mozambique & Zimbabwe. He has a comprehensive network and special understanding of the business community and market dynamics in these two countries. Serves as regional advisor to IFU (The Danish Investment Fund for Developing countries for Zimbabwe and Zambia and also advising on Mozambique. 1/19/2017