Report Coverage
This report on the Agri-business Sector in Mozambique describes the state and size of the sector and influencing factors and trade information with details on sub-sectors such as maize, cassava, rice, nuts, cotton, coffee sugar, dairy, tobacco and livestock, among others. There are profiles of 13 companies in the sector including major tobacco companies British American Tobacco, Emperor Tobacco and Mozambique Leaf Tobacco. Profiles of agri companies include Olam Mozambique, diversified group Mozambique Holdings Companhia Agricola JFS and Guernsey-domiciled Agriterra.
Introduction
Mozambique’s Ministry of Agriculture and Food Security statistics from 2015 (the last year of available statistics) indicate that the sector contributed 24% of gross domestic product (GDP). About 72% of the country’s active working population is involved in the sector, according to the International Labour Organisation (ILO). The majority of the sector is made up of subsistence farming, mostly on small family farms, and commercial agriculture is limited. While poor infrastructure and telecommunications have long constrained growth in the sector, some crop yields have begun to improve.
Strengths
• Diverse soil types and climatic conditions are suitable for a large variety of crops.
• Other than in the cotton sector, where the government sets the minimum prices, there is a low degree of government interference in the sector.
Weaknesses
• High dependence on foreign aid.
• Limited access to credit by smallholder farmers.
• Low technical use and mechanisation.
• Management and technical skills shortages
• Most small-scale farmers cannot afford production inputs such as fertiliser, pesticides and improved seed.
• Weak infrastructure.
Opportunities
• About 84% to 88% of the country’s arable land is unused.
• Large number of finished and unfinished farm goods still imported.
Threats
• Despite the signing of a peace treaty in August 2019, the threat of violence lingers.
• Droughts and irregular weather are set to increase with climate change.
• Pests destroy a large percentage of crops.
Outlook
Mozambique’s agriculture sector has been improving in recent years with increased yields and the revival of key cash crops such as sugar and cashew nuts. There is plenty of room to grow, given the large percentage of unused arable land. The country has about 36 million hectares of arable land, of which only about 12% to 16% is in use. By one estimate just over 1 million hectares of land has been acquired in recent years by investors for farming activities. However the country’s short term outlook is concerning. Mozambique is experiencing its worst food insecurity emergency since the 2015/16 drought with an atypically high number of households in need of emergency assistance, according to the United States Agency for International Development. It estimates that cereal crop production in 2019 will decline by about 16%, to 2.8 million tons, compared to 2018. However, the figure is still above the previous five-year average. The agency in September 2019 said given the extensive losses from the two cyclones and drought in the south (estimated in June 2019 at over 800,000 tons of crops destroyed), a significant proportion of households will continue to depend on relief help, until the next harvest season in 2020.
The Agri-Business Sector in Mozambique
2020
Full Report
R 1 900.00(ZAR) estimated $103.78 (USD)*
Industry Landscape
R 1 330.00(ZAR) estimated $ 72.65 (USD)*
Table of Contents
[ Close ]| PAGE | ||
|---|---|---|
| 1. | INTRODUCTION | 1 |
| 2. | COUNTRY INFORMATION | 1 |
| 2.1. | Geographic Position | 2 |
| 3. | DESCRIPTION OF THE INDUSTRY | 5 |
| 3.1. | Industry Value Chain | 9 |
| 4. | SIZE OF THE INDUSTRY | 15 |
| 5. | STATE OF THE INDUSTRY | 18 |
| 5.1. | Local | 18 |
| 5.1.1. | Corporate Actions | 27 |
| 5.1.2. | Regulations | 27 |
| 5.1.3. | Enterprise Development and Social Economic Development | 28 |
| 5.2. | Continental | 29 |
| 5.3. | International | 29 |
| 6. | INFLUENCING FACTORS | 29 |
| 6.1. | Government Support | 29 |
| 6.2. | Economic Environment | 31 |
| 6.3. | Technology, Research and Development (R&D) and Innovation | 32 |
| 6.4. | Foreign Aid | 33 |
| 6.5. | Environmental Concerns | 33 |
| 6.6. | Labour | 34 |
| 6.7. | Marketing | 35 |
| 7. | COMPETITION | 35 |
| 7.1. | Barriers to Entry | 36 |
| 8. | SWOT ANALYSIS | 36 |
| 9. | OUTLOOK | 36 |
| 10. | INDUSTRY ASSOCIATIONS | 37 |
| 11. | REFERENCES | 38 |
| 11.1. | Publications | 38 |
| 11.2. | Websites | 38 |
| APPENDIX 1 | 40 | |
| Summary of Notable Players | 40 | |
| COMPANY PROFILES | 44 | |
| AGRITERRA LTD | 44 | |
| CITRUM - CITRINOS DO UMBELUZI S.A. | 47 | |
| COMPANHIA AGRICOLA JFS SARL | 49 | |
| COMPANHIA DE SENA S.A.R.L. | 51 | |
| CONDOR NUTS LTDA | 53 | |
| FRUTAS LIBOMBOS LTDA | 54 | |
| MARAGRA ACUCAR S.A. | 56 | |
| MEADOW MOZAMBIQUE LTDA | 58 | |
| MOZAMBIQUE HOLDINGS LTDA | 60 | |
| MOZFOODS S.A. | 63 | |
| OLAM MOZAMBIQUE LTDA | 65 | |
| PLEXUS MOZAMBIQUE LTDA | 67 | |
| RIFT VALLEY CORPORATION LTD | 69 |
