Largest silos in subcontinent under construction in Moz

They will supply landlocked Malawi and possibly Zambia M aputo – The largest complex of grain silos in southern Africa is under construction at the northern Mozambican port of Nacala, and should be operational by March 2009, according to Fernando Couto, the CEO of the Northern Development Corridor (CDN), the privately led consortium that holds the lease on the Nacala port and rail system.

Interviewed in Tuesday’s issue of the independent daily, O Pais, Couto said the silos will be able to hold 60 000 tonnes. Their main purpose will be to supply landlocked Malawi, and possibly Zambia, with grain.The first shipment for the silos, containing 30 000 tonnes of wheat, is expected to arrive at Nacala in the first week of March.The investor is Tanzania’s Bakhresa Group.Bakhresa’s local subsidiary, Bakhresa Grain Milling (Mozambique), signed the contract for the construction of the silos in May 2007.In addition to the silos, the project, according to Bakhresa, includes the purchase of equipment for the bagging of cleaned grain, installation of a weigh bridge and the construction of a 1 000-square-metre warehouse for the storage of bagged wheat.Bakhresa expects to transport 120 000 tons of wheat per year to its flour mills in Malawi.Couto said that the foundations have been laid by a South African company, while the actual construction of the silos is in the hands of Mozambican building companies.The total investment is about US$15 million.Since this money is coming from Bakhresa, the Tanzanian company has every interest in ensuring that the silos are fully used, said Couto.These would be “modern and effective” silos, he added, which could not only supply the entire Malawian market, but also eventually Zambia and even the Democratic Republic of Congo.Since the silos are in Mozambique, they could also be used to supply part of Mozambique’s wheat requirements.Couto said that CDN will earn about US$4 million a year from the silos.They would lead to a dramatic increase in Malawian use of the Nacala railway.”We will have to run about five trains a day to supply Malawi,” he said.”There will be more trains running, more crew members, more drivers, more jobs due to this demand.”Already the silos are providing over 300 temporary construction jobs.Once they are in operation, CDN would have to recruit more railway staff to meet the demand.Nampa-AIMTheir main purpose will be to supply landlocked Malawi, and possibly Zambia, with grain.The first shipment for the silos, containing 30 000 tonnes of wheat, is expected to arrive at Nacala in the first week of March.The investor is Tanzania’s Bakhresa Group.Bakhresa’s local subsidiary, Bakhresa Grain Milling (Mozambique), signed the contract for the construction of the silos in May 2007.In addition to the silos, the project, according to Bakhresa, includes the purchase of equipment for the bagging of cleaned grain, installation of a weigh bridge and the construction of a 1 000-square-metre warehouse for the storage of bagged wheat.Bakhresa expects to transport 120 000 tons of wheat per year to its flour mills in Malawi.Couto said that the foundations have been laid by a South African company, while the actual construction of the silos is in the hands of Mozambican building companies.The total investment is about US$15 million.Since this money is coming from Bakhresa, the Tanzanian company has every interest in ensuring that the silos are fully used, said Couto.These would be “modern and effective” silos, he added, which could not only supply the entire Malawian market, but also eventually Zambia and even the Democratic Republic of Congo.Since the silos are in Mozambique, they could also be used to supply part of Mozambique’s wheat requirements.Couto said that CDN will earn about US$4 million a year from the silos.They would lead to a dramatic increase in Malawian use of the Nacala railway.”We will have to run about five trains a day to supply Malawi,” he said.”There will be more trains running, more crew members, more drivers, more jobs due to this demand.”Already the silos are providing over 300 temporary construction jobs.Once they are in operation, CDN would have to recruit more railway staff to meet the demand.Nampa-AIM