Business Opportunities - Rice, sesame and Soybean
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1 Business Opportunities - Rice, sesame and Soybean 1
2 Sugar cane 2
3 National Production Year National Production (Tons) Evolution of Exports Quantidade Cane Sugar Molasses (ton) Income ( FOB) ,623 67,269 28,749 22,000 8,295, ,586, ,107 55,377 78,000 18,000, ,940, ,194 69,507 62,755 18,770, ,873, ,114 66,079 90,907 25,795, ,246, ,478 81,452 87,851 37,700, ,060, ,525 69, ,311 64,633, ,028, ,860 74,128 93,754 45,856, ,104, ,191 77, ,796 65,034, ,296, ,459 95, ,000 58,310, ,728, , , ,989 50,776,842 Source: CEPAGRI 3
4 Investment opportunity: Sugar cane National biofuel policy approved March Ethanol: Sugar-cane and Sweet sorghum Seed production and supply; Production; Fertilizer distribution; Farm machineries and, Agroindustry Prospects: Mozambique, as LDC, has the opportunity to produce and export ethanol to EU, free of duties. The country has already received a wide range of projects for ethanol. Targeted markets: domestic (very small) international market, principally EU and Southern Africa 4
5 Rice 5
6 Rice 6
7 Produção de Arroz Rice Yield in Mozambique from (t/ha) Area and Size of Rice Production in Mozambique Area (Há) Production (t) Source : MINAG
8 Constraints in the Chain Infrastructure: poor, almost all over the country storage, processing, roads, ports, irrigation schemes,... increase the marketing costs Production: not stable; almost with low quality standards and yields Harvesting and post-harvesting: problems in handling and packaging to meet requirements in foreign markets Credit: limited access for farmers due to high interest rates and scarce interest in agriculture by commercial banks Competition: from imported rice but essential to stabilize prices to consumers; may be a barrier to induce increase in production Milling industry needs to developed to sustain any production increase; quality and marketing of final product have to be improved 8
9 Distribution of major areas with potential for rice cultivation by provinces Province Area (ha) Ecosystem Cabo Delgado Rainfed, irrigated Zambézia Rainfed, irrigated Nampula Rainfed, irrigated Sofala Rainfed, irrigated Inhambane Irrigated Gaza Irrigated Maputo Irrigated Total Source : MINAG 9
10 Rice has cultivated in a potential area of ha Potential Province: Cabo Delgado; Zambézia, Nampula, Sofala, Inhambane, Gaza e Maputo Average agricultural yield: 1 ton/ha at national level, with peaks of 5 tons/ha in irrigated areas (ex. Chókwè) Domestic consumption: 540,000 tons/year. About 70% are imported only 3 companies accounts for 80 % of imports high concentration on imports slightly less than 50% are consumed in South SADC countries import almost tons per year, Two countries in the region (Mozambique and Tanzania) are more suited to rice production but do not yet meet domestic needs. 10
11 Investiment opportunity Investments along the entire rice value chain: Seed supply Fertilizer distribution Irrigation structures Farm machineries Post harvest handling Milling Credit 11
12 Vegetable Oils Soybean Sesame 12
13 Soybean 13
14 Soybean suitability map and potential region for production Region Province District Norte Niassa Cumba e Mandimba Nampula Malema, Mecuburi, mutuali, Ribaué Centro Manica Bárué, Chimoio, Gondola, Macossa, Manica e sussundega Sofala Tete Zambézia Source : MINAG Gorongos, Maríngue E Nhamatanda Angónia, Macanga e Tsangano Gurue, Milange E alto Mulócue 14
15 Soybean production Soy Production (ton.ha) 2003/4 2004/5 2005/6 2006/ Source : MINAG- Trabalho de Inquérito Agrícola 15
16 Map of Technoserve soybean program production areas SAN/JFS SANAM SOGIZA Rei do Agro CLUSA Lioma CLUSA Angónia CNA ABP FO Meta de produtores até ADPP SIWAMA Prio Foods ,000 total 16
17 SOYBEAN OF TECHNOSERVE PROGRAM IN MOZAMBIQUE Soy production and planted area in Mozambique Results from 2009/10 crop season Harvest Producers Area (ha) 2009/1 0 Production (ton) 11,200 8,700 7, / / / /13 0 Familias Hectares Tons Source : TechnoServe 17
18 Sesame 18
19 Sesame production Main provinces producing sesame in Mozambique : Nampula, Cabo Delgado, Manica and Sofala. Potential Region : Center and North of Mozambique Export Marketing, IKURU and OLAN are the main purchasers and exporters of sesame seeds in MExport Marketing, IKURU, Gani and OLAN are the main purchasers and exporters of sesame seeds in Mozambique Income of Small producers: U$S 7 million Export : EU, Turquia, Japan and India. Current Production (ton) 2003/4 2004/5 2005/7 2007/8 2008/9 2010/11 (prevision) ,882 Source : MINAG and Trabalho de Inquérito Agrícola 19
20 Sesame The demand for processed sesame seeds on the world market is increasing. Purchasing and processing sesame seeds in Mozambique offers excellent opportunity to sell high quality sesame seeds for a premium price on the world market. 20
21 Investiment opportunity: Soyabean and Sesame High agro-climatic potential for growing soyabean and Sesame Agricultural Inputs: seeds, the industry of fertilizers, pesticides, machinery; opportunity for the introduction of new varieties, development of logistics and and storage infrastructure Industry crushing, refining and producers of derivatives of oil: oil and fats for the food industry in general, chemical and pharmaceutical industry; soy lecithin to the food industry, such as chocolates, margarine, biscuits, dietary supplements; feed for livestock and poultry Biodiesel Industry; 21
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