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Zambia’s United Capital Fertiliser to Invest $1.4 Billion in Urea Production Expansion

Zambia’s United Capital Fertiliser to Invest $1.4 Billion in Urea Production Expansion
Friday, 17 October 2025 08:21
  • United Capital Fertiliser (UCF) signed a $1.4 billion financing deal to expand its urea plant in Chilanga, near Lusaka.
  • The expansion aims to double production capacity to 1.6 million tonnes per year, with support from Chinese partners.
  • Zambia imported 796,713 tonnes of fertiliser in 2024, making it Africa’s third-largest importer after Ethiopia and Kenya.

United Capital Fertiliser (UCF) has signed a $1.4 billion financing agreement to strengthen its industrial fertiliser production operations in Zambia, according to the Lusaka Times. The investment will fund the second phase of development at the company’s urea manufacturing plant located in the Chilanga district, near Lusaka.

The initiative, backed by Chinese partners, will double the plant’s annual capacity to 1.6 million tonnes once completed. Details about the project’s start date and construction timeline have not yet been disclosed.

UCF Chairman Chance Kabaghe said the new capacity will meet growing domestic demand and support exports to regional markets.

“We are proud to say that our company has become a regional benchmark in customised fertiliser manufacturing, exporting to Tanzania, Malawi, Zimbabwe, Botswana and the Democratic Republic of Congo,” Kabaghe stated.

By scaling up production, UCF aims to reduce Zambia’s dependency on imported fertiliser while positioning the country as a regional supply hub for southern Africa.

According to data from the International Fertilizer Development Center (IFDC), Zambia imported 796,713 tonnes of fertiliser in 2024, ranking third in Africa behind Ethiopia and Kenya. Urea accounted for about 36% of total imports, followed by NPK (15.29%), monoammonium phosphate (10.66%), ammonium sulfate (9.48%), and muriate of potash (8.33%).

As one of Africa’s largest fertiliser importers, Zambia is seeking to enhance local manufacturing to cut costs, improve agricultural productivity, and strengthen food security.

This article was initially published in French by Stéphanas Assocle

Adapted in English by Ange Jason Quenum

 

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