Malonda and Treefarms create joint venture in Mozambique

16 July 2007

Maputo, Mozambique, 16 July – A new forestry venture that will operate in Mozambique’s Niassa province has been set up in an investment of US$ 60 million, company sources have said.

Leonor Carsoso of Treefarms Mozambique said Friday that the new undertaking is a partnership between Treefarms International of Norway, with a 20 percent stake, and the Malonda foundation of Mozambique, holding the remaining 20 percent of shares. The project will initially be developed over a 46,000-hectare area in the districts of Lichinga, Sanga and Muembe.

The new company will cultivate quick-growing types of trees such as eucalyptus and pine, as well some indigenous species, which are widely in demand for timber, pulp and paper production.

Cardoso said Treefarms Mozambique aims to expand its activities to Nampula and Cabo Delgado provinces.

Treefarms International operates in 20 countries in Asia and Africa south of the Sahara. (macauhub)