The Vanduzi feedlot has a 20 pen line with capacity to provide 600 animals per month to the abattoir, to cater for the increasing demand from the Company's four butcheries in Chimoio, Beira, Tete and Manica as well as additional volume contracts.
In addition to Mozbife-reared animals from the ranches, the Company currently purchases cattle from the surrounding areas for fattening in the feedlot. The increase in the animals' weight through the fattening process, and the related variable and fixed costs of the feedlot, enables the operation to contribute to the net cash generation of the beef operations.
In conjunction with the feeding pens, Vanduzi also has 1,050 hectares of land for pasture and production of feed. This helps to keep feed costs down and maintains an integrated operation. Furthermore, the feedlot works strategically with other companies in the Group, for example by using bran, the by-product from the grain processing facilities, as a feed supplement for the cattle.
Beef consumption in Mozambique has been steadily rising and is forecast to continue to grow in the future as living standards across the country improve.