Africa-Press – Zimbabwe. TEA producer, Tanganda Tea Company Limited (Tanganda) has experienced a 65% increase in revenue to US$5,6 million in its third quarter ended June 30, 2025, owing to exchange-rate reforms, stronger packed-tea sales and avocado oil.
The increase in revenue is from a prior year comparative of US$3,4 million.
In a statement accompanying its third-quarter trading update for the period ended June 30, 2025, Tanganda said the operating environment for the period under review was relatively stable, primarily due to the sustained stability of the local currency exchange rate.
“Revenue for the quarter under review of US$5,6 million was 65% higher than prior year of US$3,4 million, while revenue for the nine months ended June 30, 2025 of US$13,7 million registered a 6% decline against US$14,5 million achieved prior year,” Tanganda said.
The firm reported that despite packed tea and coffee sales volumes of 1 200 tonnes, which were 8% below the previous year, the firm improved its sales volumes.
“The sales volumes in the third quarter improved by 11% compared to the prior year, reflecting the easing of pricing distortions caused by exchange rate disparities,” Tanganda said.
“The adjustments in exchange control policies led to a corresponding increase in trade volumes.”
Tanganda’s harvesting of avocados commenced in earnest at the beginning of the third quarter and was completed in July 2025.
“Production volumes declined by 47% to 2 121 tonnes from 3 976 tonnes in the previous year due to the impact of a hailstorm, which affected fruit in November 2024, compounded with the biennial bearing phenomenon,” the tea producing firm said.
“The fruit affected by the hailstorm was channelled to the newly established avocado oil processing factory at Tingamira Estate, which is a joint venture with Trade Link Global BV of Netherlands.
“Exports of the avocado oil to established markets are currently underway.”
Hence, the revenues from the export of the avocado fruit will be recognised in the final quarter of the firm’s financial year.
“Macadamia nuts harvest and processing was completed in the fourth quarter,” Tanganda said.
“Volumes harvested to June 2025 declined by 43% to 849 tonnes from prior year volume of 1 487 tonnes due to extreme hot conditions that prevailed during the nut set period.
“Exports of 520 tonnes were 5% ahead of 494 tonnes in prior year.”
The firm noted, however, that bulk tea production of 6 826 tonnes was 6% below the prior year comparative.
“The shortfall relative to the previous year was attributable to the late onset of rainfall in the early part of the financial year,” Tanganda said.
“The deficit was reduced in the second quarter and has been maintained to date. Bulk tea export volumes declined by 19% to 3 646 tonnes from 4 504 tonnes achieved in the previous year.”
The company is continuing to actively pursue capital-raising initiatives through a rights offer to raise US$8 million for its operations.
“Shareholders and the investing public will receive ongoing updates on progress,” Tanganda said.
This comes as the company has benefitted from the liberalisation of the exchange rate for pricing purposes, which the firm wants to build from.
“While short-term inflationary dynamics are easing, the monetary authorities projection of achieving sub-30% inflation by the end of the year depends largely on the maintenance of exchange rate stability, increased policy co-ordination and a reduction in external costs.”
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