Ariston Holdings banks on projected good rains
LIVINGSTONE MARUFU
Listed agro-industrial concern, Ariston Holdings, is hoping that the projected good rains in the 2022/2023 summer cropping season will help to improve the company’s performance.
A significant portion of its estates relies on rain-fed agriculture.
“The group believes normal rainfall in the 2022/23 cropping season will help both irrigated and dry land area. The dry land needs consistent rains to grow commercial crops while at the same time high water levels at various sources will help to irrigate the estates all year round,” Ariston’s group human resources manager, Brian Kagondo, said.
He added: “The group has been making considerable effort to rehabilitate existing irrigation structures that had been destroyed by Cyclone Idai and establish new schemes.
“This means that at present more than 70% of the group’s key crops are under irrigation with potential to install irrigation on an additional 300 hectares of arable land when resources allow.”
Ariston now has five strategic business units across Zimbabwe, which include the Blended Tea Factory, Clearwater, Kent, Roscommon and Southdowns Estates.
In a trading update for the quarter to June 30 2022, company secretary, Acquiline Chinamo said the operating environment for the quarter remained challenging with power cuts increasing substantially during the period.
“Macadamia nuts suffered a 14% production volume decline. Nut count was in line with prior year but there was a larger proportion of smaller nuts which resulted in a reduction in tonnage,” she said.
The decline in production volume, she said, is arising from the effects of commercial maize, sugar beans and sunflower that are currently being harvested.
These products will be included in the fourth quarter production statistics.
Tea exports volumes also decreased by 15% during the reviewed period.
Local tea volumes also declined by 9% in the quarter under review.
Macadamia export volumes declined by 2% compared to the prior comparative period.
Inflation adjusted revenue declined by 19% when compared with the prior year comparative period.
Input costs, primarily fertiliser, Chinamo said.
