1. The Rice Value Chain in Zambia 1 Jesuit Centre for Theological Reflection JCTR Premises Plot No. 3813 Martin Mwamba Road, Lusaka. January, 2015

2. Who we are – Organizational Structure JCTR Faith & Justice Social & Economic Development Outreach Livings tone MonzeMonguKabweNdolaKasama 2

3. Introduction This presentation introduces the debate around the Rice value chain in Zambia. This Report presents the findings of the study that was tasked to carry out a scoping on agricultural-led wealth creation and employment generation with a specific focus on the production and marketing of rice in Zambia. 3

4. Introduction It explores the possibility of staple food diversification away from dependence on maize. It also proposes advocacy for changes in domestic consumption patterns in tandem with increase in rice production in Zambia. The scoping study was motivated by an awareness that Zambia is a maize centric society hence the need to have a diversified food crop. 4

5. Objectives of the Study Explore the agriculture sector’s potential in wealth creation and employment creation in Zambia; Investigate agriculture crops and sectors with the most potential for employment and wealth creation; Review the existing literature including general statistics-for example to confirm existing production volumes and productivity, the divisions between commercial and small- scale farming contributions to production. 5

6. Objectives of the Study Review of the current policy context answering questions for example about current import and export tariffs, the details of the National Rice Development Strategy and to what extent it is being implemented and policies in neighbouring countries towards rice production, import and export; Engage various parties including the Ministry of Agriculture, active donors and NGOs such as SNV, rice growers and producers associations, research 6

7. Methodology of the Study The Study was conducted in five phases, namely; Engagement of the consultant to undertake the Rice scoping, which included field visits in Western and Luapula Provinces. Consideration of successful rice production models in Tanzania. Private sector engagement regarding the scope, and level of intervention in rice value chain in Zambia. Exploration of the co-operative model in rice value chain production in Zambia. ZEAP also engaged Peter Peter Langmead who did an analysis of the rice value chain focusing on Luapula Province. 7

8. Map of Zambia 8

9. Opportunities Henry Ngimba who introduced the System of Rice Intensification (SRI), contends that Zambia has comparative advantage to spearhead growth of the rice sector on account of; existing local varieties that give good yields. Less seed is used – lower plant population per area No need for chemical fertiliser – use compost 9

10. Opportunities Availability of abundant human, water and land resources. An improved trunk road network. Geographical location of the country which gives it leverage to export to neighboring countries like the Congo and Angola and in general the SADC Market. Rice offers opportunities for sustainable agriculture systems (No need for chemical fertiliser – use compost Local rice enjoys preference regarding aromatic taste. 10

11. Challenges The high cost of transportation of rice from production areas to markets i.e. distance to markets. Lack of rice water-saving and controlling technologies which could optimise water usage. Labour intensive Poor milling plants in areas where rice is grown. According to Peter Langmead “..milling rice gives 50 per cent whole grain rice, 16 per cent broken rice, 20 per cent husks and 14 per cent bran and meal…” Lack of market linkages for small-holder farmers. Bulk of the commodity is traded on informal markets. 11

12. Insights Gained from the Rice Scoping The scoping study shows that there is limited political will to improve the viability of rice. That the focus on maize is politically expedient. Rice is perceived as a middle class commodity. Demand for Rice in Zambia is on the increase as incomes increase. Commercial companies unwilling to invest in rice processing, packaging and marketing with exception of National Milling. That government has a greater role to play in advocating for changes in consumption patterns in Zambia. 12

13. Conclusion We hypothesize that the greatest factor accounting for limited rice production in Zambia are two fold namely consumption patterns and the lack of a coordinated structural framework integrating all actors in the rice value chain from production to marketing. 13

14. Stakeholder Meeting This meeting has been called to discuss the findings of the Scoping Study. The overall objective of this meeting is to incorporate the various insights from players in the rice value chain and discern whether we can sustain advocacy around staple food diversification in Zambia by way of championing causes for agriculture policy review as government is clearly struggling with the practicalities of crop diversification as clearly manifest in agro-policy priorities around FISP which favor maize. 14

15. Which is the best recommended advocacy strategy to escalate the Rice diversification debate? 15