Some Agri-economic facts and systems in Southern Africa

Agriculture and economic impacts in Namibia  

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In 1999, Namibia’s government made agriculture and in particular agronomy a priority for development after independence in 1990. With this focus on agronomy, more farmers eventually ventured into crop production and seed and fertilizer supply became a priority.

Farming in Namibia, as in many other countries presents great opportunities for economic growth, employment creation, food security and poverty eradication. To realize its full potential, however, the sector has to overcome a host of challenges. By this we mean, every economy in every country has within its constraints that either hinder or slow down the progression or profitability of certain sectors.

 

Agriculture is one of Namibia’s most important sectors. Meat processing (which the Namibian government accounts for under manufacturing) contributes to another 0.2-0.4 percent of GDP. The export of live animals (mostly cattle and sheep) has historically contributed to about two-thirds of agricultural exports by value. The majority of Namibia’s population is dependent directly or indirectly on the agricultural sector for their livelihoods.

In Namibia, the majority of the meat is exported to Europe and South Africa. However, China may become an important new market for the country. Namibia’s livestock farming is a major foreign exchange earner and in 2016, with the exception of Algeria, Namibia was the first and only African country to export beef to the United States. Agricultural products such as table grapes have contributed the most to the recent growth in export value, followed by vegetables, fruits, and forestry products. It is recorded that the agricultural sector remains one of Namibia’s biggest employer

 

Aside from meat production, below are some of the leading subsectors in Agriculture in Namibia:

  • Marketing and distribution of indigenous plants
  • Highly efficient irrigation systems including solar/wind powered systems
  • Farming equipment and machinery

 

Agriculture and economic impacts in South Africa

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A small percentage of the economy is devoted to agriculture, and this percentage is gradually declining as the economy expands and diversifies. Agriculture’s most important contribution is providing employment. Each sector is affected differently by changes in agriculture. However, despite declining numbers, the sector has proven its relevance in the South African Economy during the 2020 Covid 19 lockdown period as it maintained a higher GDP score compared to other sectors in the economy. According to studies conducted by the agricultural Business chamber, South Africa’s agricultural exports could increase further in 2021 after reaching record levels in the previous last year in spite of lockdown restrictions.

Production and farming remain one of the biggest employers in SA, and it is recorded that the North West, with around 20% of the country’s arable land, is the province with a high productive agricultural area. It accounts for 10.1% of South Africa’s agricultural production

Recently, South Africa’s agricultural exports increased by 3 percent in 2020, registering the second-largest level on record amounting to $10.2 billion (R). This was the second-largest level after the record exports of $10.7bn in 2018.

 

The agricultural Business chamber reports that the exports were primarily underpinned by large domestic agricultural output, which was supported by favorable weather conditions. It said the relatively weaker domestic currency also made South Africa’s agricultural products more competitive in the global market.

South Africa has a market-oriented agricultural economy that is highly diversified and includes the production of all the major grains (except rice), oilseeds, deciduous and subtropical fruits, sugar, citrus, wine and most vegetables. Livestock production includes cattle, dairy, hogs, sheep, and a well-developed poultry and egg industry. Value-added activities in the sector include slaughtering, processing and preserving of meat; processing and preserving of fruit and vegetables; dairy products; grain mill products; crushing of oilseeds; prepared animal feeds; sugar refining and cocoa, chocolate, and sugar confectionery amongst other food products.

 

Aside from increased production value as well as maintained positive records throughout a global pandemic, below are some of the leading subsectors in Agriculture in South Africa:

  • Grains (contributing more than 30% to the total gross value of agricultural production)
  • Macadamia nuts are hard to beat when it comes to the most lucrative crop per land area used in South Africa.
  • Citrus
  • Wine
  • Wool

 

Agriculture and Economic contribution in Botswana

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The agriculture sector contributes about three percent to Botswana’s GDP, with diamonds and tourism being the main contributors. Agriculture is limited because of the Kalahari Desert, which occupies a large part of the country. The livestock industry is estimated to contribute 80 percent to the agricultural sector

As a result of the Kalahari Desert occupying a large area of the country, Botswana’s agriculture accounts for just three percent of its GDP while tourism and diamonds dominate its economy. For this reason, only about 85 percent of Botswana’s agricultural output is derived from livestock production, mainly cattle. T was recorded inn 2014 post estimates that Botswana imported US$632 million worth of food and agricultural products. The cereal crop sub-sector accounts for 75% of the country’s gross domestic product, but is constrained by low productivity, insufficient water supply, and soil conditions that lack fertility.

Below are some of the best sub-sector prospects in Agriculture in Botswana:

  • Grains,
  • dairy farming,
  • food processing, (innovative farming machinery),
  • leather,
  • and fish farming are the