Presentation by Christof Brock International Investors’ Conference “The challenge of growing local production and finding markets for local produce”

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Presentation transcript:

Presentation by Christof Brock International Investors’ Conference “The challenge of growing local production and finding markets for local produce”

While Namibia, to the outside world, does not appear to be an ideal country for investment in the agronomic sector, this presentation seeks to demonstrate that, on careful consideration, there are ample opportunities to expand the agronomy in Namibia and to invest in this expansion. Presentation by Christof Brock

Structure of Presentation:  For Domestic Consumption:  Staple foods  Horticulture Fresh Produce  Oil-Crops for Energy  Intruder Bush to Energy  For Export Niche Markets  Horticulture Fresh Produce  Indigenous Cosmetic and Medicinal Plants  Indigenous Cosmetic and Medicinal Plants Presentation by Christof Brock

For domestic consumption Currently approx. 50% self-sufficient Approx. 50% dry-land and 50% irrigation. Therefore, lots of room for further production. Namibia’s ‘Green Scheme’ up to 36,000 ha under irrigation. Modern ‘ Conservation Agriculture’ methods Bird damage constraint for pearl millet production. Presentation by Christof Brock  Staple foods  Mainly maize, wheat, pearl millet (mahangu) Production

Marketing Presentation by Christof Brock Measures ensure Namibian crops are bought before imports are allowed; guideline commodity. Institutional caterers to include a 50% proportion of pearl millet Integrated feed production/feedlots Farmers’ Organisations in the ‘communal’ areas marketing support. Construction of silos, Strategic Reserves.

Horticulture fresh produce Current officially marketed domestic consumption approx. N$220 million. Estimated that 50% - 70% of that can feasibly be grown in Namibia Future Green Scheme to play a major role. Lots of room for further production. Presentation by Christof Brock Production

“Namibian Market Share Promotion” has boosted import substitution from 7% to 30% over past 5 years. Marketing Infrastructure is to be created. Need of more specialised holistic extension services. Presentation by Christof Brock Marketing

At this stage only experimental plantings in Namibia. Excellent risk (drought) diversification for dry-land maize (annual plant) farmers to also plant perennial trees (Jatropha). But there is widespread interest amongst Namibian and foreign investors to get involved big-time. Presentation by Christof Brock Oil - crops for energy Oil - crops for energy  e.g. Jatropha, sunflower for Bio-diesel Production

Production (contd.) Plans to contract small-scale farmers in Kavango and Caprivi Regions to plant over 63,000 ha in the coming 5 yrs raising GDP by over 0,5%. Processing to be done in Namibia. Importance of sensitively balancing food production with bio-fuel production Bottlenecks currently: Appropriate Leases in communal areas Other potential dangers: frost (Jatropha) and bird damage (sunflowers) Presentation by Christof Brock

Marketing Enough internal market for blending into Diesel and/or for electricity Carbon credits Bottlenecks to marketing: a lot of internal (Namibian) issues Presentation by Christof Brock

Intruder Bush to E nergy Intruder Bush to E nergy Huge tracts of communal and commercial area are bush encroached, carrying-capacity of livestock per ha. Combining it with the utilisation for energy is seen as the future. Production

Marketing In the form of In the form of Charcoal Quality firewood Electricity, by combustion or gasification Bio-oil by pyrolysis Extruded wood products Presentation by Christof Brock

Marketing (contd.) Various pilot plants for electricity from intruder bush are currently being built in Namibia. C urrently a lot of charcoal is exported, needs better branding and quality control. Other small-scale products and markets exist. Presentation by Christof Brock

For high value niche markets for export Currently mainly table grapes to EU (N$560 mil in 2006 !!) Also some dates, melons and butternuts Potential for many others Presentation by Christof Brock  Horticulture Fresh Produce Production

Marketing Micro-climate catching a lucrative niche market. More markets such as US and China are being opened. Danger: fluctuating exchange rate Need a “High Value Crop Export Marketing Information Service”. Effective Namibian branding and a GMO-free and/or organic certification service would enhance niche marketing opportunities. Presentation by Christof Brock

Indigenous cosmetic and medicinal plants Potential for immense expansion. Ground work in cultivating and in the past 5 years Indigenous, obviously well suited to growing in Namibia, but it remains to be seen how they react to being cultivated in higher concentrations. Welcome diversification for livestock farmers. Presentation by Christof Brock  e.g. devil’s claw, Hoodia, marula oil, etc. Production

Marketing: Marked considerable success Development partners poised to assist Namibians. Effective Namibian branding and a GMO-free, organic and fair-trade certification service would enhance niche marketing opportunities. Presentation by Christof Brock

With this brief analysis, ladies and gentlemen, I trust that I have convinced you that there are lots of opportunities for investment in the Namibian agronomy and you are welcome to get more details from the Namibian Agronomic Board and the Ministry of Agriculture. Conclusion: