Agribusinesses under spotlight

carrying out a business perception survey for agribusiness players across the country.
The Zimbabwe Agricultural Competitiveness Programme Trust (ZimACP) is a five-year Usaid-funded programme.
Results of the survey will be used in the development of effective strategies to revitalise agricultural competitiveness across the value chain.
The survey project manager and Jimat Development Consultants country office manager Mr Tawanda Mutyambizi said the project “will be extremely helpful in supporting ZimACP and the Government deliver an effective support programme for promoting and revitalising agricultural competitiveness across the value chain”.
The assessment is targeting stakeholders in and around Harare, Bulawayo, Mutare, Gweru and Marondera, who are involved in various agribusiness sectors. The projects can be cereal production, horticulture, livestock, pulse production, input and equipment supply, agricultural processing and service support.
Both Government and the private sector have been playing a critical role in the revival of the country’s agricultural sector.
For instance, the Africa Enterprise Challenge Fund Zimbabwe Window, a programme aimed at stimulating private sector participation in rural Zimbabwe by funding viable agribusiness projects, has indicated that it could this year extend funds of up to US$6 million.
Last year AECF approved an investment of around US$1 million in a mobile phone banking platform (MobiKash) for Zimbabwe that will enable person-to-person money transfer and the receipt of the remittances from overseas by financial services provider CABS.
The support of private players is in addition to the fact that the agricultural sector was last year the major beneficiary of local banks’ credit to the private sector last year.
According to statistics from the Reserve Bank of Zimbabwe, credit to the private sector grew from
US$759,6 million in January to US$1 485,4 billion in November 2010.
Zimbabwe’s agricultural output last year is estimated to have grown by 34 percent largely driven by improved production of tobacco and some other major crops.
Official statistics show that tobacco output this year is expected to increase to between 170 and 200 million kilogrammes on the back of increased hectarage.
It is estimated that above 100 000 hectares of tobacco will be planted in the upcoming season.
Tobacco output increased from 58 million kg in 2009 to 123 million kg in 2010. A total of 65 000 hectares were put under tobacco, with 65 percent grown under contract, while the tobacco crop was sold at an average price of US$2,88 per kg.
Cotton output is expected to rise to 300 000 tonnes, against the background of favourable prices.
Sugar output for 2010 is estimated at 350 000 tonnes up from 259 000 tonnes in 2009, while production for this year is projected to increase to 450 000 tonnes, driven by expected higher production levels by Triangle and Hippo Valley. The sector is expected to continue on a recovery path this year.