The largest cold chain and agribusiness in Africa’s second largest copper hotspot Zambia, Zambeef Plc has named Faith Mukutu (41) as the first female and second indigenous resource after Carl Irwin, as Chief Executive Officer. Mukutu has a gigantic transformation task to head one of the largest expansions in the history of the Southern African nation. This comes at a time the business operating landscape amidst global turbulence, has positioned itself to tap the global grain market dislocation posture providing opportunity for the Lusaka Securities Exchange listed entity to plug grain deficits in the export market. The Russo – Ukrainian war effects are so evident in the soaring food prices to records close to the highest seen since 1990 as revealed by the Food Agriculture Organization (FAO) index.
A faithful journey of cost rationalization
Faith Mukutu ascends to Chief Executive Officer role
Mukutu’ s pedigree of excellence is vivid in the period she has served as Chief Finance and Value Management Officer of the agribusiness with revenue earnings capacity widening 69% as profitability scaled 719% higher on her clock. This reveals an astute and robust cost leadership in remarkable rationalization that has translated in 5.7% growth in margins from lows of 1.1% in 2019. Zambeefs market capitalization over the last 27 years has been north of 106% to K619 million (circa.$36 mln) of which Mukutu has played a significant part. In the period of economic turbulence marred by Zambia’s fiscal fragilities and drought that shook the foundations of the money and exchange rate market, Mukutu led the balance sheet hedging transformation of Zambeef successfully through transitioning it to local currency from a highly dollarized posture. Other successes include hiving off of Sinazongwe unprofitable units while deciding to focus on the cold chain business.
“I am humbled to have been accorded an opportunity by the board to lead and take Zambeef to the next level. Zambeef is an indegenous yet world class business that has set the standard in retailing and agribusiness through supporting farming and creating employment. I am humbled and owe it to God for according me this opportunity. Walter Roodt remains a key player in the business and l am grateful for that,” Chief Executive Officer Designate Faith Mukutu.
Faith, stagflation, frail fiscals and market dislocation
Faith faces strategic risks amidst a constantly evolving landscape characterized by global stagflation and recessionary pressures. Other hurdles on her clock will include record petroleum costs as crude prices remain pressured by the Eastern Europe war autopsy constricting supply while excessive inflation continues to trigger global monetary policy tightening. For Zambia delayed debt restructure will likely cause market jitteriness in asset sell off pressure weighing the currency while the interest demand curve has started to climb.
The Boards appointment is on the premise that Mukutu will drive the agribusiness ‘faithfully’ through turbulent waters with vast silver linings.
The Kwacha Arbitrageur
