Chinese multinational groups, Hasan Group, and Forever Green are investing a combined US$650 million in Angola’s agriculture and agribusiness sectors.

 

Both companies will be responsible for the implementation of the investments, according to jornal de Angola.

 

Hasan Group has had a presence in Angola for the past decade in the construction sector, but is looking to expand its investments.

 

"Our firm will invest $500m in the agriculture sector and in food processing," said Hasan Group Deputy Manager Shao Quiang. "The money will be used to buy equipment and build personnel training centers."

 

Forever Green will invest the remaining US$150 million in Angola’s agriculture and food processing industries, with a focus on cassava, tomato, maize, and wheat production, according to Wam Xan, Manager at Forever Green.

 

Angola is the second largest oil producer in Africa, but the noted decline in global oil prices has had a major negative impact on Angola’s economy, and the country’s government is looking toward diversification as a way to combat its dependence on a single industry. Oil accounts for approximately 50% of Angola’s gross domestic product (GDP), 80% of government revenue, and 95% of the country’s exports. The country’s non-oil industries include agriculture, fisheries, banking, communications, diamond production and state-owned retail outlets, with agriculture accounting for 8% of national GDP.

 

Before independence in 1975, Angola was the world’s fourth largest coffee producer and one of the world’s top cotton producers, but 27 years of civil war decimated these industries.

 

Mr. José Amaro Taty, Angola’s Agriculture State Secretary, expressed that the country is in the position where It must focus on agricultural development, as it is intrinsically connected to human development stating, "Human development in Angola depends on agricultural development. Agricultural investment is a priority for the Angolan government.”