Zega grows clearing arm

With the cost of aviation fuel having made much of Zambia’s fruit and vegetable exports uncompetitive, Zega is growing its clearing arm and branching out from its original focus on perishable exports. “We have always been a clearing agent,” says managing director Don MacDonald, who is applying fresh thinking to the company that was established in 1984 as the Zambia Export Growers’ Association. It has since evolved to become a ground handler and warehouse operator based next to the runway at the Lusaka International Airport. Zega is the official ground handler for South African Airways and British Airways, with its staff manning the check-in desks, as well as managing the loading and unloading of air cargo. According to MacDonald, Zega has equipment “to handle any type of cargo”. With a drop in perishable exports, the warehouse is being used for secure storage of highvalue and delicate electronic goods, amongst other cargo. The warehouse includes a bonded facility. “We estimate that we handle up to 85% of the air cargo imported into Zambia, and are diversifying by providing our clearing and forwarding services for those cargo owners as well.” The company will also arrange for pick-ups and deliveries to and from the airport, which is some way out of the city centre. “Our idea is to offer a one stop shop,” he says. Zega also wants to grow the export of non-perishables. “We are moving away from our traditional focus on perishables and looking at other exports, such as precious metals and machine components being sent out by the mines for refurbishment and repair,” he says. But, he adds, Zega has not outgrown its original client base and will continue to export perishables – a market that shows fresh signs of revitalisation, he says. Higher costs due to rising aviation fuel prices have meant that Zambian growers of flowers and vegetables lost market share to those in Kenya and Uganda, who are closer to the European market. However, in recent months exports have started increasing, but with a shift in the market to South Africa and other countries in the region.