• Home
  • Advertisement
  • Contact Us
  • English
Thursday, February 2, 2023
  • Login
Mozambique Agri
  • News
    • All
    • Crops
    • Diary
    • Fresh Produce
    • Game & Wildlife
    • Livestock
    At least 3 kg of food grown in Mozambique’s fields is lost due to inefficient processing, transportation, and storage-World Bank

    A change to hotter conditions is a looming challenge in the agricultural sector in the Southern African region

    AfDB commits $10 billion to fight food insecurity

    AfDB commits $10 billion to fight food insecurity

    Natafim SA expands drip-line manufacturing plant

    Natafim SA expands drip-line manufacturing plant

    Africa’s Vast Arable Land Underutilised for Cash and Food Crops

    Africa’s Vast Arable Land Underutilised for Cash and Food Crops

    Farming in South Africa; Six Things That Need Urgent Attention in 2023

    Farming in South Africa; Six Things That Need Urgent Attention in 2023

    Macfrut 2023,Turkey to participate in International Blueberry Days

    Macfrut 2023,Turkey to participate in International Blueberry Days

  • Africa
    AfDB commits $10 billion to fight food insecurity

    AfDB commits $10 billion to fight food insecurity

    Africa’s Vast Arable Land Underutilised for Cash and Food Crops

    Africa’s Vast Arable Land Underutilised for Cash and Food Crops

    Africa’s new agriculture pledge on the cards

    Africa’s new agriculture pledge on the cards

    Agricultural machinery: High demand on the world market

    Agricultural machinery: High demand on the world market

    EIMA International 2022, a Global Event Returns

    EIMA International 2022, a Global Event Returns

    2026 declared World Year of Pastoralism

    2026 declared World Year of Pastoralism

  • Company
    Norway pledges to build resilience of small aquaculture farmers in East and Southern Africa

    Norway pledges to build resilience of small aquaculture farmers in East and Southern Africa

    Tropical Cyclone Ana: WFP ready to provide food and logistics support for rescue and relief operations

    Tropical Cyclone Ana: WFP ready to provide food and logistics support for rescue and relief operations

    Mozambique authorities seek to combat biodiversity devastation by clamping on illicit fishing

    Mozambique authorities seek to combat biodiversity devastation by clamping on illicit fishing

    World Bank, UN launch programme to help Mozambique improve forestry management

    World Bank, UN launch programme to help Mozambique improve forestry management

    Basis of the Nampula economy calls for a re-orientation of efforts towards the most profitable cash crops, Says Nyusi

    Basis of the Nampula economy calls for a re-orientation of efforts towards the most profitable cash crops, Says Nyusi

    Sporadic rains worry Zambezi farmers

    UN announces US$1.2mln animal health programme for Mozambique

  • International
    Macfrut 2023,Turkey to participate in International Blueberry Days

    Macfrut 2023,Turkey to participate in International Blueberry Days

    First Special Agriculture Industrial Zone launched in Mozambique

    EIMA 2022: Unlocking the growth potential of Africa’s Agribusiness

    Agricultural machinery: High demand on the world market

    Agricultural machinery: High demand on the world market

    Italian industry Growing Turnover despite the Economic Situation

    Italian industry Growing Turnover despite the Economic Situation

    EIMA International 2022, a Global Event Returns

    EIMA International 2022, a Global Event Returns

    African women playing a critical role in local economic development

    Lusophone countries benefit from Africa Investment Forum

  • Markets
    It is through collective efforts and pursuit of mutual agreements and regional approaches and strategies that SADC can fully address national and intercountry investments on agriculture

    It is through collective efforts and pursuit of mutual agreements and regional approaches and strategies that SADC can fully address national and intercountry investments on agriculture

    Africa’s local ownership drive must balance foreign investment

    President Nyusi reminds investors of the agricultural opportunities available in Mocuba District

    Russia-Ukraine war poses upsides risks on African agriculture: Economist

    Russia-Ukraine war poses upsides risks on African agriculture: Economist

    Mozambique Fisheries on high vigilance following outbreak of fish disease in Malawi

    Mozambique Fisheries on high vigilance following outbreak of fish disease in Malawi

    Govt’s initiative to boost cotton and cashew income

    Govt’s initiative to boost cotton and cashew income

    Maize planter calibration to improve your profitability

    Maize planter calibration to improve your profitability

  • Equipment
    IMPROVING WATER QUALITY TO ENSURE SUCCESS OF BROILER BUSINESS

    IMPROVING WATER QUALITY TO ENSURE SUCCESS OF BROILER BUSINESS

    AWARD targets to improve African smallholders’ livelihoods

    AWARD targets to improve African smallholders’ livelihoods

    Agricultural machinery: High demand on the world market

    Agricultural machinery: High demand on the world market

    African women playing a critical role in local economic development

    Lusophone countries benefit from Africa Investment Forum

    President Nyusi excited about the prospects the new vegetable oil factory brings

    President Nyusi excited about the prospects the new vegetable oil factory brings

    Russian company to make a humanitarian fertilisers shipment to Africa

    Russian company to make a humanitarian fertilisers shipment to Africa

No Result
View All Result
  • News
    • All
    • Crops
    • Diary
    • Fresh Produce
    • Game & Wildlife
    • Livestock
    At least 3 kg of food grown in Mozambique’s fields is lost due to inefficient processing, transportation, and storage-World Bank

    A change to hotter conditions is a looming challenge in the agricultural sector in the Southern African region

    AfDB commits $10 billion to fight food insecurity

    AfDB commits $10 billion to fight food insecurity

    Natafim SA expands drip-line manufacturing plant

    Natafim SA expands drip-line manufacturing plant

    Africa’s Vast Arable Land Underutilised for Cash and Food Crops

    Africa’s Vast Arable Land Underutilised for Cash and Food Crops

    Farming in South Africa; Six Things That Need Urgent Attention in 2023

    Farming in South Africa; Six Things That Need Urgent Attention in 2023

    Macfrut 2023,Turkey to participate in International Blueberry Days

    Macfrut 2023,Turkey to participate in International Blueberry Days

  • Africa
    AfDB commits $10 billion to fight food insecurity

    AfDB commits $10 billion to fight food insecurity

    Africa’s Vast Arable Land Underutilised for Cash and Food Crops

    Africa’s Vast Arable Land Underutilised for Cash and Food Crops

    Africa’s new agriculture pledge on the cards

    Africa’s new agriculture pledge on the cards

    Agricultural machinery: High demand on the world market

    Agricultural machinery: High demand on the world market

    EIMA International 2022, a Global Event Returns

    EIMA International 2022, a Global Event Returns

    2026 declared World Year of Pastoralism

    2026 declared World Year of Pastoralism

  • Company
    Norway pledges to build resilience of small aquaculture farmers in East and Southern Africa

    Norway pledges to build resilience of small aquaculture farmers in East and Southern Africa

    Tropical Cyclone Ana: WFP ready to provide food and logistics support for rescue and relief operations

    Tropical Cyclone Ana: WFP ready to provide food and logistics support for rescue and relief operations

    Mozambique authorities seek to combat biodiversity devastation by clamping on illicit fishing

    Mozambique authorities seek to combat biodiversity devastation by clamping on illicit fishing

    World Bank, UN launch programme to help Mozambique improve forestry management

    World Bank, UN launch programme to help Mozambique improve forestry management

    Basis of the Nampula economy calls for a re-orientation of efforts towards the most profitable cash crops, Says Nyusi

    Basis of the Nampula economy calls for a re-orientation of efforts towards the most profitable cash crops, Says Nyusi

    Sporadic rains worry Zambezi farmers

    UN announces US$1.2mln animal health programme for Mozambique

  • International
    Macfrut 2023,Turkey to participate in International Blueberry Days

    Macfrut 2023,Turkey to participate in International Blueberry Days

    First Special Agriculture Industrial Zone launched in Mozambique

    EIMA 2022: Unlocking the growth potential of Africa’s Agribusiness

    Agricultural machinery: High demand on the world market

    Agricultural machinery: High demand on the world market

    Italian industry Growing Turnover despite the Economic Situation

    Italian industry Growing Turnover despite the Economic Situation

    EIMA International 2022, a Global Event Returns

    EIMA International 2022, a Global Event Returns

    African women playing a critical role in local economic development

    Lusophone countries benefit from Africa Investment Forum

  • Markets
    It is through collective efforts and pursuit of mutual agreements and regional approaches and strategies that SADC can fully address national and intercountry investments on agriculture

    It is through collective efforts and pursuit of mutual agreements and regional approaches and strategies that SADC can fully address national and intercountry investments on agriculture

    Africa’s local ownership drive must balance foreign investment

    President Nyusi reminds investors of the agricultural opportunities available in Mocuba District

    Russia-Ukraine war poses upsides risks on African agriculture: Economist

    Russia-Ukraine war poses upsides risks on African agriculture: Economist

    Mozambique Fisheries on high vigilance following outbreak of fish disease in Malawi

    Mozambique Fisheries on high vigilance following outbreak of fish disease in Malawi

    Govt’s initiative to boost cotton and cashew income

    Govt’s initiative to boost cotton and cashew income

    Maize planter calibration to improve your profitability

    Maize planter calibration to improve your profitability

  • Equipment
    IMPROVING WATER QUALITY TO ENSURE SUCCESS OF BROILER BUSINESS

    IMPROVING WATER QUALITY TO ENSURE SUCCESS OF BROILER BUSINESS

    AWARD targets to improve African smallholders’ livelihoods

    AWARD targets to improve African smallholders’ livelihoods

    Agricultural machinery: High demand on the world market

    Agricultural machinery: High demand on the world market

    African women playing a critical role in local economic development

    Lusophone countries benefit from Africa Investment Forum

    President Nyusi excited about the prospects the new vegetable oil factory brings

    President Nyusi excited about the prospects the new vegetable oil factory brings

    Russian company to make a humanitarian fertilisers shipment to Africa

    Russian company to make a humanitarian fertilisers shipment to Africa

No Result
View All Result
Mozambique Agri
No Result
View All Result
Home Business

Mozambique’s Agriculture has potential for growth

Ian by Ian
March 26, 2020
in Business, Editor picks, News
0
Mozambique’s Agriculture has potential for growth
0
SHARES
63
VIEWS
Share on FacebookShare on Twitter

Mozambique’s reforms have to be properly implemented if its agricultural and industrial sectors are to realise their great potential for growth.

If trade is the lifeblood of an economy then the streets and informal markets are the arteries that flow through Mozambique. Makeshift stalls on roadsides, heavy loads on the backs of street sellers, haggled prices and a lack of documentation are the hallmarks of African trade, and Mozambique is no exception. A significant proportion of its 28m inhabitants are undocumented, which goes some way to explaining the prevalence of the informal economy.

A study by the International Labour Organisation (ILO) shows that just 6% of Mozambique’s economically active population pays contributions to the National Institute of Social Security (INSS). Progress towards an inclusive and efficient economy has been slow. However, plans are in place for the situation to change.

On 15 January, during his inaugural speech for his second term of office, Mozambique’s President Filipe Nyusi made a commitment to rise to the greatest commercial challenge facing the African continent: “We promise to facilitate the African Continental Free Trade Agreement in order to drive the development of trade relations.”

The process already has the support of the majority of the member states of the African Union and it is hoped will to lead to the creation of the world’s largest market by 2028. The African Export-Import Bank (Afreximbank) believes that the agreement will increase regional trade by $35bn per annum.

Focus on industry

However, it was the industry that earned 16 references during Nyusi’s inaugural speech. Nyusi highlighted the potential of agro-industry and agro-chemistry and Mozambique’s huge agricultural potential, which is widely underexploited largely due to a sclerotic business environment and lack of infrastructure. This focus on agriculture and industry is targeted to achieve “zero hunger” in the country, combating food insecurity and encouraging self-sufficiency, says the president.

The potential of textiles and clothing, metalworking and building materials were also highlighted as areas of significant potential. “This will help us to create more jobs and reduce the inequalities and disparities of the trade balance”, by producing domestically instead of importing.

What are the challenges standing in the way of industrial growth? The first, according to Nyusi, is the lack of electricity supply. As such, he promises to “bolster Mozambique’s position as an energy hub within the region of the Southern African Development Community (SADC)” in order to ensure that energy is a “driving force for social and economic development, securing agriculture and industrialisation”.

Help will be provided by the natural gas megaprojects in the Rovuma Basin. The state is expected to use a portion of the resources to fund production facilities for fertilisers and liquid fuels.

Nyusi also announced other structural undertakings for this current term of office: an integrated project for the production of iron and steel in Tete, as well as a coal briquette factory in the same region (where the largest coal reserves are located), a new graphite mine in Montepuez, bolstering existing production, and increased marble extraction in the same district.

Business environment

Trade and industry in Mozambique are confronted with a challenging business environment, to say the least. In the latest assessment carried out for the World Bank’s Doing Business rankings, the country fell three places to 138 out of a total of 190 countries.

“The main point, which is also of great concern, is the fact that Mozambique fell across almost all indicators, something which is unprecedented,” states the analysis conducted by the Confederation of Business Associations of Mozambique (CTA), the main employers’ association.

It says that if Mozambique were to correctly and consistently implement the legal instruments that it has been adopting “this alone would represent a jump of 22 places” in the rankings.

Failures to reimburse value-added tax (VAT), the lack of flexibility with regard to international trade and the delays in simplifying the Commercial Code and insolvency legal framework are some of the examples put forward by employers. “Improving the business environment is a process which won’t end with the adoption of laws, but will be a continual process, given the need for effective and correct implementation”, the CTA concludes.

The terms for financing businesses represent another challenge in Mozambique, with the prime lending rate of the banking system at 18%, to which each bank also adds its spread linked to the risk conditions. In two and a half years, the rate has fallen by 9.75%, but entrepreneurs complain that it is still too high.

The CTA already suggests creating an alternative line of credit aimed at small and medium-sized enterprises (SMEs) in order to deal with the unfavourable market conditions. The employers suggest creating a financial development institution with concessional funding lines, 18-month grace periods, the maturity of longer than five years and interest rates of below two digits.

Mozambique’s potential has been documented for decades, but the fact that exports in the external balance are dominated by natural resources reflects the fact that trade and industry still have a long road ahead.

India continues to be the main destination for Mozambican products (27.32% share) primarily thanks to coal, followed by the Netherlands (17.38%), which buys aluminium, and South Africa, which purchases natural gas and electricity.

Previous Post

Cyclone Idai’s gone, but Mozambique’s problems demand action

Next Post

High-speed Zambia-Mozambique rail on the cards

Next Post
High-speed Zambia-Mozambique rail on the cards

High-speed Zambia-Mozambique rail on the cards

April – June 2022

Recent News

At least 3 kg of food grown in Mozambique’s fields is lost due to inefficient processing, transportation, and storage-World Bank

A change to hotter conditions is a looming challenge in the agricultural sector in the Southern African region

January 30, 2023
AfDB commits $10 billion to fight food insecurity

AfDB commits $10 billion to fight food insecurity

January 30, 2023
Natafim SA expands drip-line manufacturing plant

Natafim SA expands drip-line manufacturing plant

January 23, 2023

A change to hotter conditions is a looming challenge in the agricultural sector in the Southern African region

Africa’s Vast Arable Land Underutilised for Cash and Food Crops

2022-2023 cashew marketing campaign expected to earn cashew producers US$ 87 million

New Amarex

New Amarex
Mozambique Agri

Moz-Agri Magazine is a source of news worthy information in the Mozambican agricultural sector with a nationwide distribution boasting of a decent print run of 9,350 copies per edition.

  • Advertisement
  • Contact Us

© 2022 Moz-Agri Magazine | Website by NES Africa Group.

No Result
View All Result
  • Home
  • News
  • Advertisement
  • Contact Us

© 2022 Moz-Agri Magazine | Website by NES Africa Group.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In