Meikles to invest in tea harvesting machines
RYAN CHIGOCHE
Listed diversified group, Meikles Limited, Pvt Ltd is planning to invest in tea harvesting machines as part of efforts to deal with labour shortages.
Company secretary, Thabani Mpofu ,said poor tea harvest , which resulted in a 15% drop in export sales in the quarter to June 30,2021, was caused by labour shortages, which was bound to recur in future.
“Bulk tea production and export sales for the quarter were 15% below the same period of the previous year. Tea harvesting was affected by the limited availability of labour. Most of the available labour was assigned to harvest macadamia nuts and avocados during the period under review. The segment will invest in motorised tea harvesting machines as the shortage of labour is bound to recur during the same period going forward,” Mpofu said.
The group reported a positive performance in other agriculture operations.
Macadamia nuts harvested during the reviewed period increased 65% above prior year whilst avocados harvest was 27% ahead of the prior year.
Revenue for the group increased 21% .
Revenue for the agriculture segment was 41% ahead of the same period in 2020.
Sales volume at the supermarket’s segment increased by 21% for the quarter relative to the same period of the previous year. The rise in volumes was necessitated by moderate Covid 19 restrictions in the reported period as during the same period of last year, sales volume was adversely impacted by stricter lockdown measures implemented by the Government in response to the outbreak of the Covid-19 pandemic.
In the hotel segment, room occupancy levels were 11% up from no occupancy during the same period of the previous year with the occupancy split 66% and 34% between foreign and local guests respectively.
On the outlook, Meikles group said there is optimism that economic growth for this year will exceed the initial forecast on account of higher than expected agricultural output, although Covid-19 downside risks remain.
