Mori estimates value of old plantations at K1.5bil

THE value of run-down commodity plantations around the country is estimated at K1.5 billion, according to Minister for Trade, Commerce and Industry Wera Mori.
He said there were about 300 plantations mainly of coffee and copra which needed to be revived.
Mori held a consultative meeting with government agencies under his ministry and the Department of Agriculture and Livestock.
He said the government planned to revive the plantations by engaging communities using the co-operative society model.
“You look at the coffee plantations. You go to Waghi Valley that is known for producing the best coffee not only in the country but in the world. The plantations are run down. And of course, places like Kainantu, Goroka Valley and Asaro Valley. We cannot just sit back and let them go,” he said.
“In the past, I know there have been attempts to revive those plantations. National plantation companies were brought in, a lot of money in the form of loans were given out by development banks.
“It was working for a while but after some years, they failed and the plantations reverted to bushes. We need to know the reason. Not only coffee but coconut plantations and others as well.”
Mori said one of the reasons was locals were not involved in the development of those plantations.
One of the reasons was of course the landowner issues.
“When those companies were managing the plantations, they involved the landowners to a certain extent.
“On average we anticipate that each plantation will form 10 co-operative societies, creating an expected 30 employment opportunities generating an average income of K1million per plantation over a year.”
Mori will make a submission to Cabinet to allocate US$250 million (K782.65m) to fund the programme over five years.