Maputo — Hidroelectrica de Cahora Bassa (HCB), the company that operates the Cahora Bassa dam on the Zambezi River, in the western Mozambican province of Tete, and the Zambezi Valley Agency have launched a project aimed at boosting the development of agriculture and livestock.

The project, named PROMESA, was launched, on Thursday, in Cahora Bassa district, as part of the social responsibility of both companies. However, the project budget has not yet been made public.

Speaking at the project launch ceremony in the Cahora Bassa district capital, Chitima, Mozambican President Filipe Nyusi welcomed the efforts made by HCB and the Zambezi Valley Agency to promote initiatives that stimulate the development of Tete province.

"Agriculture contributes around 25 percent of national GDP and has had a positive evaluation as a result of investments made in its mechanization, purchase of inputs, extension of areas, betting on cash crops, as well as support in financing agro-processing,' said Nyusi.

The President said that, thanks to these initiatives, the country has been gaining a foothold in the agribusiness chain, pointing to the marketing of agricultural surpluses as an example.

"Tete province has a high production potential, hence the importance of boosting the production of cash crops such as rice, sunflower and soya', he said.

The promotion of agri-business initiatives, he said, is associated with an economic dynamic that includes the supply of raw materials, the food industry and the creation of jobs for our young people.

"So the product will come out of here, let's say corn, which will then be transported, sold, processed and sold back to the consumer. A different group will get jobs because of this project', he said.

At the launch of PROMESA, production tools were handed over to the beneficiaries who will develop projects in the agribusiness chain in Cahora Bassa district.