Opportunities in the Agro-Processing Industry

Every week ZBIN covers investment inquiries from our members. One common trend is that of members with capital but clueless of what to invest in. A lot of people with capital but not sure of sectors to invest in. This has resulted in many people flooding a few investment sectors. ‘Munhu wese arikubva ati ndezvipi zvirikuita mari obva amhanyira ikoko, kunzwa kuti zvihuta zvaita mari nyika yese yomhanya kuzvihuta’ So ZBIN likes to expand the investment options for our members and followers and today we take a look at the Agro Processing Industry, a very relevant industry because the year 2017 promises to be a very good agricultural season. Why not a good rain season given the above normal  high rains that we have been receiving for the past one and a half months?

So the rains should guide some in terms of investment. The hope being that the trend of good rains will continue for the coming years. Let us start by defining Agro Processing:

It involves the transformation of agricultural produce into a different physical or chemical state. It encompasses technical and mechanical processes that range from packaging to the transformation of raw material into final products.

So some will concentrate on farming and others will concentrate on adding value to agricultural produce. Some will invest in producing maputi, snacks, biscuits etc.

Easy to set up Agro-Processing industries

Simple Packaging

Have you ever been in a local supermarket and observed packaged sugar beans, butternut,matemba,mufushwa,honey and amacimbi. Do you think the companies who packaged these products used sophisticated expertise or machinery? We do not think so-all they would have done is to get a reliable source of supplies from farmers and then make good connections with retailers.

Simple Manufacturing

There is an abundance of simple manufacturing machinery available that produces products such as Maputi, Butternut,’Freezits, Cooking Oil and Soap. This machinery can be sourced from $500 and above.

So there you are good folks, we have just given you introductory stuff we hope to bring you detailed information about Agro-processing. There are a lot of opportunities in this sector that need investors some with little capital like production of Maputi, some may require high vaue capital like the production of ciggarretes from tobbacco.

Our next report will give you detailed information on the current status of the sector, level of competition,opportunities and risks and guidance on how to enter the sector.

Wishing you a Blessed Sunday