Ver Angola

Industry

Kaheel aims to increase annual production to 5000 tractors

After last year Kaheel provided farmers with a total of 1000 'made in Angola' tractors and set up maintenance workshops and spare parts sales areas in Huambo, Huíla, Malanje and Luanda, the company now aims to expand its business and increase annual production to 5000 tractors.

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Forogh Ahmad, director of sales and operations of the company, made it known that "if the country registers great demand this year the production can be increased to five thousand tractors.

Along with the ambition to increase production, the company also intends to open more sales outlets for tractors, spare parts and workshops. However, for this to be possible, Kaheel needs to arrange partnerships with national companies that are interested in investing in this branch.

"In addition to assembling and selling tractors, we have plans to partner with companies capable of setting up workshops in places where there are already Kaheel tractors," he indicated, quoted in a statement published on the government portal.

Forogh Ahmad explained that the opening of workshops in places where Kaheel tractors already exist will make the lives of farmers easier, since they will not have to travel long distances to have the vehicle serviced.

The tractor factory, installed in the Special Economic Zone, was inaugurated in October last year by the President, João Lourenço. The company from the United Arab Emirates resulted from an investment evaluated in 60 million dollars, however, the factory wants to enlarge this investment to 200 million dollars, "in order to increase the production".

The official admitted that the tractors 'made in Angola' have "good quality" to develop the country's agricultural sector.

He also said that the company has 50 employees, 90 percent of whom are Angolans, who have received specialized training: "Most of them already had technical training, but when we employed them we gave them specific training so that they could strengthen their knowledge and understand the work methodology.

Estimating that in the near future demand will increase, the company foresees, in the time frame of one year, doubling its workforce.

"The assembly capacity is higher than the one we use, but everything depends on the market, because if there is a lot of demand, we will clearly increase our production," indicated Forogh Ahmad.

Although covid-19 may cause some drop in sales, the responsible "believes that sales will increase substantially in the near future".

"There was a need to invest in the tractor business, because the country offers good conditions to foster agriculture," he indicated, adding that poor agricultural production is linked to the shortage of tractors.

"Even small farmers need this means to work the land. Its lack causes food to still be imported from the countryside. Our goal is to increase the country's agricultural production, which will ultimately finance the economy," he said.

Kaheel tractors cost between 12 and 25 million kwanzas. The company has been strengthening its relations with commercial banks so that they can help with financing for small farmers to purchase the vehicles.

"With the banks coming in, the situation will become easier for our farmers. This way, they will be able to have more harvest at the end of each season," he said, indicating that the Development Bank of Angola is supporting farmers in this matter.

He said that Kaheel tractors are of low fuel consumption and that the life time of the machines "depends a lot on its maintenance and the operator, because if used within the standards it can last 15 years.

He also indicated that in a year's time, "the business group will install a fertilizer factory, in order to diversify investments in Angola." However, he did not indicate how much will be invested in the fertilizer factory.

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