Seed Co is strengthening its regional production network through expanded irrigation and new processing facilities as the pan-African seed producer positions itself to withstand climate uncertainty and growing demand across the continent.
Presenting the company’s outlook, Seed Co Group Chief Executive Officer Morgan Nzwere said the business is increasing investment in production infrastructure while encouraging farmers to adopt climate-smart farming practices ahead of a forecast El Niño season.
The company said a larger share of its seed production is now under irrigation, reducing dependence on unpredictable rainfall and improving the reliability of seed supplies. The shift forms part of a broader strategy to build resilience against increasingly erratic weather patterns affecting agricultural production across Africa.
Seed Co is also expanding its processing capacity, with a new seed processing plant in Tanzania expected to be commissioned within the next two months. A further processing facility is under development in Zambia, where management expects the investment to help address persistent seed shortages that have constrained supply in the region.
Despite the expansion, the company warned that escalating geopolitical tensions are driving up operating costs. Management said the conflict in the Middle East has significantly increased input prices across its markets, with fertilizer costs rising by between 25% and 69%, fuel prices climbing between 14% and 43%, and logistics expenses increasing by 14% to 42%.
Even with these pressures, Seed Co noted that the political environment across most of its operating countries has improved following periods of post-election instability. The company said Zambia’s upcoming August elections are expected to be peaceful, while improving security conditions in Ethiopia are creating better opportunities for seed production in previously difficult-to-access growing areas.
Looking ahead to the next agricultural season, Nzwere said forecasts of a potentially strong El Niño event have prompted the company to intensify farmer advisory programmes. Agronomy teams are encouraging growers to plant early-maturing seed varieties that can complete their growth cycle using shorter periods of available rainfall, helping reduce the risk of crop failure in drought-prone conditions.
Nzwere said Seed Co’s long-term strategy remains focused on expanding production capacity, improving operational efficiency and diversifying its markets to reduce dependence on any single country as the company accelerates its growth across Africa.
