Source: Pacific, Chinese firm sign pact | The Herald 15 DEC, 2018
Pacific Cigarette Company (PCC), formally known as Savanna Tobacco, last week signed a landmark cooperation agreement with China Tobacco Shaanxi Industrial Cooperation (CTSIC) at a function held at the Zimbabwean company’s headquarters in Harare.
The agreement will see the launch of Acacia Range of cigarettes which are made with 100 percent Zimbabwean tobacco and enhanced with Chinese flavour.
The deal, a result of trade agreements between the two nations, is the first of its kind to be signed by a state-owned Chinese cooperation company and an African cigarette manufacturing company.
The agreement between the two cooperates will initially see the production of new brands for the Zimbabwean and regional markets.
They also aim to invest in technology and skills sharing, distribution cooperation and capital investments in the medium-to-long term .
Acting Chinese Ambassador to Zimbabwe Mr Zhao Baogang, who officiated at the event, made mention of Chinese’s commitment to make life-transforming investments in Africa and Zimbabwe in particular.
“As Chinese Government, we are committed to make our presence felt in Zimbabwe by making life-changing engagements with the Government and companies here.
“We, therefore, express our willingness to enter into deals with anyone who is ready to work with us.
“This signing ceremony between these two companies as a pilot project will see more partnerships of this nature taking place.
“These investments should be of mutual benefit as they benefit both countries,” said Ambassador Zhao.
PCC chairman Mr Adam Molai said the agreement is a statement of the mutual vision and entrepreneurial culture shared by the two countries.
“Our countries have the same visions and the trade agreements signed by our presidents, they have started yielding results.
“We hope this is the first of better things to come,” said Mr Molai.
He also spoke of the opportunities in Zimbabwe and Africa that have been seized by the Chinese and encouraged African nationals to do the same in seeking to solve problems in the pursuit of economic and national development.
Mr Nhamo Mudada from the Ministry of Lands, Agriculture, Water and Climate and Rural Resettlement also spoke of the historic importance of tobacco to the Zimbabwean economy.
He also applauded PCC’s initiative of contact farming which started in 2003 and has benefited tobacco growers and improved the country’s yields and help to meet its historical targets