Tobacco firm lines up $8m ethanol plant

ROLAND Imperial Tobacco Company (RITCO), has set aside US$8.0 million for an ethanol plant which will produce over 40, 000 litres of ethanol a day.

RITCO general manager, Aliport Ngoma said the project will be implemented this year and will see the company produce between 30, 000 and 40, 000 liters of portable and industrial alcohol.

In an interview with the Daily Nation, Mr. Ngoma said the ethanol plant was part of the projects the tobacco company has lined up this year.

Meanwhile, Mr Ngoma appealed to the government to provide incentives for local processing of tobacco and discourage export of Zambian tobacco without value addition once these facilities become available locally.

He said similarly, it is expected of Government to discourage importation of semi-processed tobacco when the facilities of processing tobacco become available.

“RITCO plans to undertake contract manufacture of cigarettes on behalf of willing prospective clients, due to its excessively high installed production capacity that far exceeds Zambia’s cigarette consumption.

“RITCO is also investigating possible exports to the neighbouring countries, within the SADCC and COMESA markets,” he said.

He explained that the tobacco processing infrastructure being established in the Lusaka South Multi –Facility Economic ZonesMFEZ, under Zambian Cut Rag Processors Limited, is designed to meet modern needs and requirements.

He said the factory will spur the tobacco farmers, with an assured sense of confidence to produce more tobacco, as the market for their crop is guaranteed.

“Since the Company will largely use Zambian grown tobacco, the tobacco farmers are now assured of a ready local market and even more important, a processing plant that shall add value to the green leaf that is otherwise exported with no value addition.