Nutsland company for agriculture and land reclamation plans to pump an initial investment of EGP 40m during the next three years.
After implementing its new expansion plan, the company aims to increase annual sales to EGP 250m, compared to EGP 75m in the current period, said Chairman of Nutsland Amr Beneh.
The company’s expansion plan in agriculture and industry is arranged in accordance with liquidity, added Beneh. Nutsland aims to purchase 15,000 acres, as well as participate in the 1.5m-acre reclamation project.
The company also allocated EGP 10m to increase production capacity next year and cultivate 1,000 acres to plant peanuts. It aims to increase its production capacity in April 2016 by expanding the cultivated land for peanut plants.
Nutsland had cultivated 4,500 acres for peanut plants, divided between East Port, New Salehya, and Nubaria.
The area cultivated by the company in East Port is owned by the General Authority of the Armed Forces and the company is leasing it, said Beneh.
The company’s production reached 7,500 tonnes annually and it pays EGP 21m in rent annually, EGP 4,700 per acre.
Nutsland’s annual exports amount to 4,500 tonnes of peanuts, and 60% of total production is exported to European and Arab countries, while the rest is directed to the local market.
Nutsland seeks to purchase a piece of land with an area of 4,000 sqm in 10th of Ramadan City to establish a new factory for the production of beans and peanuts, to add new machines and lines with new tasks in the factory. This is to direct production to exports, whereas production in the current factory will be devoted to the local market, said Beneh.
European countries account for 83.3% of the company’s export volume, whereas Arab countries account for the remainder, he explained.
The Nutsland plant was established on 2.5 acres of land. The plant contains 10 machines, in addition to packaging production lines. The company’s authorised capital is EGP 15m, with total long-term assets of EGP 7.5m, and short-term assets of EGP 28m.
About 250 farmers work in the company, in addition to 180 workers in the factory, comprised of fixed and seasonal labour. Meanwhile, the company aims to employ 540 workers for the new expansions.
The company is seeking to implement its expansion plan to increase its annual output and its export share of peanuts in global markets. Egypt produces about 220,000 tonnes of peanuts per year, and exports 20%-30% abroad.
Failure to provide reclaimed lands that were allocated for the development of the agriculture sector contributes to the problems facing the sector, in addition to the fertiliser problem, Beneh said.
He noted that peanuts are quick-production crops and generate rapid revenue for farmers. Therefore, it is preferable that they grow new lands through a bilateral or trilateral agricultural cycle in order to get the best economic return.