The Mozambican Government is preparing a new initiative to transform the agricultural sector, with the creation of a programme designed to incubate at least 1,000 agribusiness entrepreneurs annually. The initiative, which is expected to be launched later this year, aims to move away from subsistence farming and pave the way for more competitive production capable of generating income, employment and business opportunities.

The ambition was announced by the Minister of Agriculture, Environment and Fisheries, Roberto Mito Albino, during the opening of the Seminar on Agribusiness Development in Mozambique, held in Maputo.

“Our target is to incubate at least 1,000 entrepreneurs a year. That is the minimum. But we have the capacity to do more,” the minister said, as quoted by the Mozambique News Agency.

The programme is expected to involve not only public institutions but also private companies and producers’ associations, as part of a strategy to bring farmers closer to market requirements and provide them with the tools needed to develop economically sustainable activities.

Rather than simply establishing financial support mechanisms, the Government intends to invest in technical training, business mentoring and the development of management skills. According to the minister, the aim is to prepare entrepreneurs who can identify opportunities, organise production and participate more actively in the various agricultural value chains.

For Roberto Albino, the transformation of Mozambican agriculture cannot depend solely on the provision of financial resources. It also requires specialised knowledge and management capabilities that enable producers to turn their activities into sustainable businesses.

On financing, the minister revealed that joint efforts are under way with GAPI, a development finance institution, to expand producers’ access to agricultural credit. The strategy also envisages the involvement of commercial banks, which are considered important in strengthening the sector’s financing mechanisms.

According to the minister, this cooperation has already enabled more than 400 financing operations during its first year, providing support to producers seeking to expand and consolidate their activities.

Specialised cooperatives gain prominence in agricultural strategy

Another key element of the transformation advocated by the Government involves restructuring the cooperative and association movement, with particular emphasis on establishing cooperatives specialising in different segments of agricultural production.

Roberto Albino believes that overly broad association models do not always meet producers’ specific needs, arguing instead for structures organised around the characteristics and requirements of each activity.

“We need to talk about specialised associations,” the minister said, referring to sectors such as seed production, horticulture, rice cultivation, agricultural mechanisation and the supply of agricultural inputs.

Government policy therefore favours the establishment of cooperatives with a primarily economic purpose, bringing together producers with similar interests to pool resources, share equipment, exchange knowledge and pursue commercial opportunities.

Specialisation is presented as a means of improving the organisation of production and strengthening farmers’ ability to meet market requirements.

Producers highlight obstacles to accessing finance

Despite the prospects outlined by the Government, producers’ representatives drew attention to difficulties that continue to restrict the growth of agricultural businesses in the country.

The president of the National Federation of Peasant Associations and Agricultural Producers (FENAGRI), Ângelo Cumaio, identified bureaucracy and restricted access to credit as two of the main constraints facing farmers.

In his address, he called for deeper dialogue between the Government and stakeholders in the agricultural sector, stressing the importance of finding solutions that facilitate financing and create a more favourable environment for investment and the development of productive activities.

The need to strengthen producers’ organisations was also highlighted by Portugal’s Ambassador to Mozambique, Jorge Monteiro, who emphasised the importance of improving access to credit, technology, information and markets.

“We need modern, professional and results-oriented associations,” the diplomat said.

In Jorge Monteiro’s view, organising smallholder farmers is an important step towards shifting agricultural production away from subsistence farming and towards activities with greater potential to generate added value, create jobs and exploit export opportunities.

The Seminar on Agribusiness Development in Mozambique brought together government representatives, private-sector operators and development partners for discussions focused on financing challenges, the organisation of producers and the conditions needed to stimulate business development in the country’s agricultural sector.

The target of incubating at least 1,000 entrepreneurs annually now highlights the challenge of translating the Government’s stated intentions into concrete training, financing and support mechanisms capable of enabling more Mozambican producers to move from subsistence farming to sustainable agricultural businesses.