Business
Trading Update and 2020 Annual Accounts Timetable
Trading Update and 2020 Annual Accounts Timetable.
About this update from Pacsco Limited
[{"type":"text","content":"\n \n \n \n RNS Number : 4784A\n Agriterra Ltd\n 29 September 2020\n \n \n \n \n \n \n \n 29 September 2020\n \n \n Agriterra Limited ('Agriterra' or the 'Company')\n \n \n Agriterra Limited / Ticker: AGTA / Index: AIM / Sector: Agriculture\n \n \n \n \n Trading Update and 2020 Annual Accounts Timetable\n \n \n \n Agriterra Limited, the AIM-quoted African agricultural company, is pleased to provide the following\n H1 2021 trading update and an update on its 2020 Annual Accounts Timetable:\n \n H1 2021 Trading Update\n Like other businesses in Mozambique, the Company's operations experienced significant and unanticipated events during H1 2021.\n On 1 April 2020, the Mozambican government implemented policies to minimise the spread of the COVID-19 pandemic, which have remained in place to date and are anticipated to continue into 2021. All of these policies, including the closure of national borders and the general downturn in industry and the logistics sector have inevitably had a negative impact on the overall economy in Mozambique.\n The Company's Grain and Beef sales have however been encouraging during H1 2021 despite growth being restricted by the reduction of the informal retail sector as a result of COVID-19, this accounting for a significant proportion of the Company's sales.\n \n Grain Division Update:\n The absence of reliable interprovincial transportation and cash due to the COVID-19 restrictions has resulted in a delay in the maize harvesting and buying season by over 3 months. As a result, DECA has had to adjust its initial forecast purchases of maize from local smallholder farmers from 42,000 tonnes to 35,000 tonnes. To date the Company has purchased 20,000 tonnes and is confident that a further 15,000 tonnes will be acquired in the next 3 months.\n On a positive note, the COVID-19 shutdown has limited entry into the market of imported maize meal, allowing DECA to access new markets, and increase supply into existing markets, resulting in a sales performance to date slightly ahead of internal expectations pre COVID-19.\n \n Beef Division Update:\n The Beef operation has been more adversely affected by the COVID-19 lockdown as Mozbife has both struggled to access the cattle production areas, and the market for its products has shrunk significantly due to the downturn in the ...