the monitor

Monopolies stifle small farmers

Racious Moatshe. PIC PHATSIMO KAPENG
Racious Moatshe. PIC PHATSIMO KAPENG

The business community is worried large retailers are turning into producers something that is leading to the creation of misappropriated monopolies in which in worst-case scenarios are causing the demise of budding entrepreneurs.

As a result Local Enterprise Authority (LEA), which is responsible for entrepreneurship and enterprise development in Botswana, has implored retailers to work with producers and farmers.

LEA chief executive officer, Racious Moatshe highlighted an urgency on the part of the retailers to work with producers and farmers to set up pricing structures on products to harmonise working relationships and uplift the sector for continuous quality food production within the country and export.

He equally called on retailers to invest in agricultural schemes that enhance quality products and output.

“There is a need to work towards a continuous quality supply of horticulture produce in the market and therefore there is a need for farmers to rise to the occasion through reinvesting their proceeds not only to support their businesses, but rather to grow and improve the quality of their products,” he said.

According to Moatshe, who was speaking at the Glen Valley Horticultural Incubation Graduation on Friday, the local agricultural sector plays a pivotal role in ensuring food sufficiency, income generation, job creation and investment opportunities for other sub-sectors. He further called for collaborations between farmers and LEA to facilitate the upgrading of their farming produce and products as well as the importance of funding facilities and structures to have flexible funding options and services that are sector-appropriate to encourage and facilitate growth.

“The insurance sector must raise its flag through visible and increased participation in the agriculture sector and provide products and services that address the needs of the agricultural sector if we are to progress with ease in the development and growth of the sector,” Moatshe said.

Turning to the graduands, he advised them to apply what they learnt in the past nine months.

“As part of our incubation transformation strategy, LEA is setting up productive land banks and primary infrastructure across the country,” he said.

“Examples of these are Glen Valley Production and Training Facility, Dikabeya Horticulture Expansion Project, and the Ghanzi Small stock Commercialisation Incubator.”

Latest statistics show that the most recent imports for the 16 horticulture restricted crops stood at P201 million against local production of P173 million between January to October 2021.

The consumption of the 16 restricted crops, therefore, stands at P374 million. To meet the import bill of the restricted crops, Moatshe said local production needs to be improved by 116%.

Editor's Comment
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