Seed Co expects growth despite El Niño threat
Larona Makhaiza | Monday September 14, 2026 06:00
Morgan Nzwere, CEO of the Botswana Stock Exchange-listed company, said Seed Co had started the financial year on a positive footing, with revenue for the first four months of the year about 30% ahead of the corresponding period last year. He attributed the growth largely to tenders secured in Mozambique, which boosted sales of legumes and small grains, as well as early maize seed sales.
“The volumes were 15% above prior year, and again, it was largely due to the tenders that we got in Mozambique, which had a lot to do with legumes and small grains, as well as some early maize sales,” he said.
The CEO said the company remained cautious about the outlook, particularly the threat posed by El Niño, whose probability has been placed between 80% and 90%.
“Our biggest worry when you look at the outlook is the much-touted El Niño, which is expected to affect our current market,” he said.
Despite the uncertainty, Seed Co has increased seed availability across its markets and has already started delivering stocks to retail outlets. The company is also advising farmers on suitable varieties to plant in anticipation of potentially difficult weather conditions.
“We remain strong in terms of the intellectual property that we have for this region and the varieties that we have are very much going to be useful in our competitive thrust as far as the El Niño conditions are concerned,” the CEO said.
He said Seed Co expected its open market distribution to grow, supported by newly opened shops and improved stock availability. The company is also targeting growth in Angola, the Democratic Republic of Congo, and the Great Lakes region.
On working capital, Nzwere said Seed Co International started the financial year with about P25.8 million owed by debtors, of which 80% had since been collected. More than 90% of trader and retail receivables had also been collected within agreed terms.
However, he said currency movements, inflation, climate change and El Niño remained key risks.
“It’s still very early to give a forecast in terms of the outturn for the coming year, but suffice to say so far the numbers are looking good,” he said.