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July 05, 2010

Maize processor reopens Mozambique plant

AIM-listed agricultural company Agriterra Ltd has reopened the Compagri maize facility in Tete, Mozambique after resolving a labour dispute, its executive director said.

The 15 000 tonne capacity plant, which processes surplus local maize into mealie meal, had shut from March due to a dispute over a manager, but staffing problems had been resolved and the facility reopened on June 1.

“It is not fully operational (yet), but it is reopened for business. We’re buying maize there,” said Euan Kay, executive director of Agriterra.

“It has been restructured,” Kay said in an interview. “We’re now rebuilding the workforce with new management.”

He added: “We’ve put a new manager in place. We’re just waiting for his paperwork to come through.”

Kay said he expected the facility to be fully operational by the end of the year.

Agriterra, which operates mainly in Mozambique, has another, larger, five year old maize processing facility at Chimoio, Mozambique, with a capacity of around 34 000 tonnes.

—Reuters

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