Mbanga plantations on red alert

The banana producing company is witnessing a deficit of more than 10 billion CFA francs. As a result, they have turned to Government and the African export-import bank to seek aid.

Facing this crisis, the former shareholders resign from their administrative positions, yet the survival of Mbanga Plantation Company depends on the ability and willingness of its shareholders to re-inject funds to bring it back on its feet.

In this situation, the general direction of the Spm turns to the national investment society (Sni), minority shareholder in the company. President, CEO and the MPS complained of the retention by "Special assistance" of 200 million Fcfa released by the Government to pay a portion of delays in salaries of employees.

In a letter addressed to the Director of Sni, Yaou Aissatou, the CEO of the Spm, Jean Yves Brêthes maintains that in the case of non-transfer of this envelope released by the Minister of finance, the situation in the town of Mbanga could degenerate. "The tension is increasingly felt in plantations; Theft, damage and attacks are getting worse each week on the ground as in the city, and the blocking of these emergency fund, known to all, is now considered a provocation."

The confrontation engaged in the direction of the Spm and the Sni takes place following an agreement of 200 million CFA francs by the Société de Mbanga plantations and the preservation of the social climate within the company."

Nevertheless the Minister of finance determines the involvement of the Government of Cameroon in the restructuring of the Spm for the approval of a plan of relief "to court term. A recovery plan which explains Minfi, Alamine Ousmane Mey, pointed out that, "the internal short-term measures to be implemented by the MPs for the re-launch of its activities; a plan of reducing burdens, as well as the use by the company of private financing to maintain its operation."

It is in this connection that major shareholders of Spm, Ufa and Castri holding 56.25% and 15% of the share capital of the company are reluctant to reinvest in the company. An attitude which slows down the enthusiasm of buyers reported, the Belgian Univeg, the Fruit Company and Canavese. Companies have marked their interest in principle but condition their commitment to a restructuring of the Spm.

In fact, the Government, through the Minister of finance and Afreximbak has presented their conditionalities. On the basis of the results of a joint mission carried out by the experts of the Minfi and Sni, Alamine Ousmane Mey conditioned once more, that the State's commitment in the restructuring of the Spm to the "convening of an extraordinary session for the bodies (Board of Directors and General Assembly), to decide on the continuation or its activities."

A position that the Government motivates the observation of the operational level and the lack of respect for the procedures to Spm, Alamine Ousmane Mey note to this effect that: "It has observed the deficiencies on the registration of contracts of service providers, and the non-reversement of social contributions to the CNPS".