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New agri-food strategy targets 6% annual growth, aims to double sector’s GDP contribution by 2030

New agri-food strategy targets 6% annual growth, aims to double sector’s GDP contribution by 2030

Staff Reporter

THE Government’s new Strategy for the Transformation of the Agri-food Sector (STAS) aims to double agriculture’s contribution to Namibia’s economy by 2030 by driving annual sector growth of at least 6%, expanding local food production, boosting value addition and attracting greater private sector investment.

The Strategy for the Transformation of the Agri-food Sector (STAS) 2025/26–2030/31 serves as Government’s economic roadmap to revitalise an industry whose contribution to gross domestic product (GDP) has declined from around 8% in 2006 to approximately 3.5% in 2020.

Central to the strategy is the commercialisation of agriculture through increased productivity, agribusiness development and value addition.

One of the key priorities is unlocking the economic potential of the Northern Communal Areas (NCAs), which are home to an estimated 1.6 million cattle but contribute relatively little to the national agricultural economy.

Government plans to improve animal health services, strengthen veterinary controls, fence sections of the Angolan border and develop formal meat markets north of the Veterinary Cordon Fence, commonly known as the Red Line, to improve market access for communal farmers.

The strategy also seeks to reduce Namibia’s dependence on imported food. According to the document, the country currently imports about 60% of its food requirements, including nearly all of its fruit and significant quantities of staple grains.

Government aims to increase domestic production so that locally produced food will meet 60% of national consumption by 2030.

As part of this effort, Namibia has identified pearl millet (mahangu) as its priority agricultural commodity under the Food and Agriculture Organization’s “One Country, One Priority Commodity” initiative.

The strategy proposes developing the entire mahangu value chain, from production and processing to domestic and international marketing.

Recognising that only about 8% of Namibia receives sufficient rainfall for crop production, Government also plans to develop a National Irrigation Master Plan to expand irrigation infrastructure and improve the production of staple crops such as maize and wheat.

The strategy places strong emphasis on value addition, noting that less than 1% of Namibia’s agricultural production is currently processed locally.

Government intends to repurpose existing Fresh Produce Business Hubs and meat processing facilities into value-addition centres to increase local manufacturing and retain more value within the economy.

Another major economic opportunity identified in the strategy is the utilisation of bush encroachment.

With an estimated 46 million hectares affected by invasive bush, Government believes expanding industries such as charcoal production, bioenergy and animal feed manufacturing could generate an estimated net economic benefit of N$48 billion over the next 25 years.

The strategy also calls for increased public investment in agriculture, urging Government to align with the African Union’s Malabo Declaration by allocating at least 10% of the national budget to the sector.

Rather than acting as a direct participant in agricultural markets, Government intends to position itself as a market enabler by creating conditions that attract greater private sector investment.

Public-private partnerships are expected to play a key role in managing Green Scheme projects and expanding irrigation infrastructure, including the possible development of seawater desalination for agricultural use.

The strategy further promotes digital transformation within the agricultural sector through the adoption of artificial intelligence, drone technology, automated irrigation systems and precision farming techniques aimed at improving productivity while reducing production costs.

Government said the strategy provides a long-term framework for transforming Namibia’s agri-food sector into a more competitive, productive and sustainable contributor to economic growth, employment creation and national food security.

Photos: Ministry of Agriculture, Fisheries, Water & Land Reform

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