The concept of driving Agribusiness in Zambia via the concept of establishing farming blocks may seem rosy on paper and viable academically, but the practical aspect of attracting a credible private sector anchor investor to drive the Agro processing and connection to global Agro value chain has its own special challenges.
Agriculture Minister Michael Katambo has disclosed that the 110,000 hectare Nansanga farm block located in Serenje District of Central province has to date not been able to secure any viable anchor farm investor as the Zambia development Agency – ZDA is still scouting around for a core investor to drive the core activities in the farming block.
The Agro minister told the Zambian Business Times – ZBT in an exclusive interview on May 8, 2020, that the Zambia National Correctional Service under the Home Affairs Ministry is currently doing farming activities with 9 Centre pivots but that an anchor investor for major activities has not yet been found.
He said government notes the delay in finding an investor for the land but that no potential or viable applicant or investor has shown interest yet, hence the government is still looking around to find one to manage and become the core venture and drive the farming processes.
When asked about which farming and processing activities are targeted to take place at the Nansanga farm block, Katambo said details of the processing activities will be availed once an anchor investor is found. It’s the anchor investor who will lay down the type of Agro investment to venture into at the core or the main farm.
Katambo further confirmed that roads or other support infrastructure has not been set up yet because these are activities to be planned by the anchor investor. Our plan is to develop the area and the anchor operators should ensure all the facilities at the farm block are put in place and these include infrastructure as well as the decision on what types of farming activities to take place such as perishable vegetables or other Agro activities,” He told ZBT.
The Agro minister has since called for experienced citizens with the capacity to manage the farm block to make their submissions to the Ministry of Agriculture, stating that farm blocks are key in enhancing national food security and enables the country to grow more, become self-reliant and export to earn the country the much needed foreign exchange.
He said farm blocks could also enable the country become the next big exporter of multiple agricultural products, hence he urged Zambian farmers to venture into all categories of farming at both small, medium and commercial scale in order to increase production.
Zambia has had plans to set up at least one productive farm block in each of the ten provinces. Nansanga farm block is part of governments programme to open up viable farm land in various parts of the country to be involved in not only primary production, but connect the local farmers who would become out-growers to the lucrative global Agro commodities value chain.
One of Zambia’s most successful farm blocks with an active out-grower program for local farmers is Illovos Zambia Sugar, located at Mazabuka in Southern Province. It’s has resulted in Zambia being self sufficient in Sugar and sugar related products, and is able to bring in notable export dollars into the copper dominated economy.