SPEECH BY MR. E. A. MULOKOZI, CHAIRMAN OF NATIONAL MILLING CORPORATION, AT DINNER PARTY GIVEN ON THE EVE OF MR. CHANDE’S RETIREMENT FORM THE CORPORATION ON THURSDAY, 28TH DECEMBER, 1972

Your Excellency, Fellow Directors and Friends,

On behalf of the Board of Directors of the National Milling Corporation, and on my own behalf I would like to thank you for accepting the invitation to this occasion.

The Board of Directors has invited you here to join them in expressing their appreciation and satisfaction for the services rendered by Mr Jayantilal K. Chande to the corporation during the first five years of experience. Mr Chande on a five year contract with the Government has been responsible for its formation and structure. Much of the success the Corporation has had in its commercial, financial and in its services to the nation has been due to the diligent efforts and hard work by the management under the leadership of Mr Chande.

With a short period of five years, the Corporation has grown into a commercial organisation with both domestic and international reputation for its efficiency and progressiveness. When the Government nationalized the milling business in 1967, 8 units were acquired and placed under the National Agricultural Products Board for Management purposes. These concerns which were to form the nucleus of the present Corporation, a year later were of tremendous diversity in their size, management, profitability, service and the range of products produced. It became the responsibility of Mr. Chande in March, 1968 to integrate and develop these units into modern business enterprises.

Gentlemen, I would be wrong to call the creation of the Corporation in 1968 as a still birth; but it was a “problem child”. This child has over the period been natured and guided into what I can now confidently call a young adult. By way of example, I would like to briefly sketch the type of development and growth that has been made by the Corporation since its inception.

From 8 grain milling units, the Corporation inherited in 1968 with a total turnover of 117 million, the Corporation now owns 14 operating units with a total turnover of 161.7 million in 1971/72. This is an increase of 44 million or 37.6% in a three year period. Profitability has also shot up from Shs. 8.8 million before tax in 1968/69 to Shs. 14.3 million before tax in 1970/71. This represents an annual increase of over 20%. This must be viewed as a tremendous achievement in view of the fact that dividends by the subsidiary companies from the date of nationalization up to 31st July, 1968 totalled a more 3.6 m. In the field of expansion, the Corporation has also made commendable achievements. In its five years history a total of 18 million has been invested in 5 projects including an ultramodern Feeds plant. Projected investments in the next 2 to 3 years total 42 million.

Gentlemen, these are but a few examples of what the Corporation has accomplished within its short history of existence.

These examples tell the story of the Corporation’s success in commerce and finance. Other successes have been made in the field of service to the people and in pioneering. Over the last four years the price of Sembe, the main feed of the people has been reduced from Shs. 55/= per bag to 50/= per bag in Dar es Salaam. These prices set in 1970 have remained constant up to now in spits of increases in the cost of raw materials, wages and equipment. In pioneering, I can only mention the Corporation’s involvement in wine-making and in fish meal processing.

In a corporation like this, success very much depends on enlightened and efficient management. Such has been provided by Mr. Chande and his colleagues. In three days time Mr. Chande will be relinquishing, by mutual consent, his duties as General Manager of N.M.C. The Board has authorized as to inform Mr. Chande that his services to the Corporation have been exemplary not only as attested to by the success of the Corporation, but also confidence and hope this success has generated in the possibility of operating socialist institutions line N.M.C. at a profit and providing good services to the people.

Gentlemen, you have noticed that I have not so far used the word farewell in relation to Mr. Chande. Perhaps your invitation cards say so. If they do, the mistakes must be typographical. This is indeed not a farewell party for Mr. Chande. Mr. Chande is not leaving the N.M.C. but merely changing roles. As from as the New Year, Mr. Chande will join me and the capacity, he will also be available for consultations whenever N.M.C. requests his services and experience. As the Chairman of the Board, I am, therefore, taking this opportunity to welcome him to the Board of the N.M.C.

At this juncture, I also wish on behalf of the Board to welcome Mr. W. R. Kapinga to the N.M.C. Mr. Kapinga whom I believe you all know, will be taking over as General Manager of the Corporation. The Corporation if fortunate to have his services, because as a founder member of the N.M.C. Board, is quite familiar with its operations and at the same time aware of the tremendous responsibilities the Corporation bears.

It is new……………………………………………………………………………..

N.M.C. will continue to grow both in size and efficiency in order to serve the people of main country.

Finally, I wish both Mr. Chande and Mr. Kapinga success in their new assignments.

Thank you very much.