The Bank of Namibia’s Director of Research and Financial Sector Development, Emma Haiyambo, says the country needs a national fertiliser production strategy to reduce production costs and compete globally.
She said by producing fertilisers domestically, Namibia could not only reduce its reliance on costly imports but also strengthen its agricultural value chain.
Haiyambo said this would enable farmers to access affordable, high-quality inputs, thereby improving productivity across various agricultural industries.
According to Haiyambo, the global market for agricultural products has become more competitive and Namibia’s dependence on foreign fertilisers continues to hinder its progress towards agricultural self-reliance.
“And there are significant input costs, such as seeds and fertilisers. It may be time for Namibia to seriously consider producing its own fertilisers. These challenges must be addressed if the agricultural sector is to meet its full potential and deliver the results expected,” she said.
She further explained that Namibia’s agricultural sector is burdened by high manufacturing and transportation costs, as well as import tariffs on electricity and water. These factors further weaken the competitiveness of Namibian agriculture on the global stage.
“There is also the issue of high manufacturing costs compared to neighbouring countries, compounded by the rising import costs of electricity and water. Additionally, high transportation expenses to markets and inadequate storage facilities, particularly along the agro-processing supply chain, further burden the sector,” she said.
However, addressing these challenges requires comprehensive reform. She said that delays in implementing crucial bills, such as the Investment Promotion and Facilitation Bill and the Special Economic Zone Bill, have deterred potential investors.
Without swift action, she said the sector risks falling further behind, especially as other countries advance their agricultural technologies and policies.
“There are other challenges affecting the agricultural sector, such as delays in the implementation of key regulations and bills. These delays make it difficult to attract investors to the country and the sector. For example, the Investment Promotion and Facilitation Bill and the Special Economic Zone Bill are crucial pieces of legislation that have yet to be fully implemented. We hope to see efforts to expedite the adoption of these and other important measures,” she said.
