Merec builds Mozambique's first northern pasta plant in Nacala

Merec Industries is building Mozambique's first pasta manufacturing plant in the north of the country, in Nacala — the deep-water port city that anchors the Nacala Logistics Corridor linking Mozambique to Malawi and Zambia.

Once complete, the facility will make Merec the only company in Mozambique with pasta plants in all three regions — north, central and south. Combined with an expansion of its Machava industrial facility in the south, total pasta capacity will exceed national demand, allowing Mozambique to cover consumption from local production and export the surplus.

That's a structural shift for a market where pasta, in the words of Merec executive board member Eng. Luís Aveleira, is now "part of the basic food basket of Mozambicans."

What does the plant change for supply chains?

The location is the story. Nacala gives the plant direct access to a deep-water port and the corridor that carries cargo into landlocked Malawi and Zambia. Production moves closer to northern consumers, cutting distribution legs from the south.

The plant will produce fortified pasta in line with Mozambique's national food fortification requirements. It will also create direct and indirect jobs, develop local skills and pull in businesses across the value chain — production, logistics, distribution and sales.

Merec's distribution reach already spans the whole country and abroad through more than 15 production units in Matola, Beira and Nacala.

Who is behind the investment?

Merec, founded in 1998 and now Mozambique's largest flour milling company, joined Invictus Investment Company PLC (ADX: INVICTUS) in January 2025. Operating performance has improved significantly since then, prompting a more ambitious growth strategy that extends beyond core operations into new food categories in Mozambique and the wider SADC region.

In October 2026, Invictus and Helios Investment Partners announced that Helios Fund V had agreed to acquire up to a 49% interest in Merec's holding company. Invictus remains majority shareholder. The deal is expected to close by the end of 2026, subject to customary conditions including regulatory approvals.

Invictus itself spans over 31 product categories — barley, corn, sesame, soya bean, sugar and wheat among them — across 66 countries, covering grain trading, commodity exports, logistics and value addition.

What did the executives say?

Amir Daoud Abdellatif, CEO of Invictus Investment, said: "Completing Merec's pasta manufacturing footprint across Mozambique brings production closer to consumers and provides the local capacity needed to build a more resilient food business. This investment is part of our wider approach to growth, which involves taking majority positions in strong businesses, investing in their expansion and bringing in partners who can help take them further. Our ambition is to develop Merec into a regional food platform for Southern Africa, and this plant is an important part of the foundation for that."

Aveleira added that the goal is to reduce dependence on imported products and build export capacity. "Beyond ensuring the supply of the domestic market, we also aim to build the capacity to generate production surpluses for export, contributing to foreign currency earnings and the growth of the national economy," he said.

What happens next?

Construction is under way. The Governor of Nampula Province, Eduardo Abdula, visited the Nacala site to review progress.

Separately, Merec and Invictus signed cooperation agreements with the International Finance Corporation, a World Bank Group member, at the Lusophone Africa Investment Forum in Cabo Verde last month, to advance agribusiness in Mozambique and across Africa.

The project also reflects Invictus's stated focus on midstream and downstream assets in key African markets as it works toward becoming a fully integrated agro-food enterprise. With Helios's minority stake closing by end-2026 and capacity set to outstrip domestic demand, Merec is positioned to shift from import substitute to regional exporter.