Kelp Blue expects to invest over N$3 billion in the Namibian economy over the next three to four years.
According to Kelp Blue Co-Founder Daniel Hooft, this follows an investment of around N$350 million to date.
“So we have put in about N$350 million and continue to spend about N$80 million a year to keep operations going. Depending on how many hectares of forest we build, there is an additional N$100 million,” he said.
Hooft added that with sufficient sales, the company would move into a larger commercial phase, increasing capacity by over 50,000 tonnes per year from the current 3,000 tonnes.
“We expect those numbers to multiply tenfold, and we could potentially invest about another N$3 billion over the next three to four years,” he said.
He noted that revenue from sales of the company’s biostimulant product will drive the pace of growth.
“One challenge is that farmers are highly data-driven and cautious with crop cycles. They often want to try the product on a small part of their land to see if it really works before fully investing, which leads to slow sales,” he said.
He explained that once enough sales agreements are in place, the company will expand further.
Another issue he mentioned was regulatory hurdles.
“We already have registrations in 17 countries and recently received approval to sell our product for crops across Europe,” he said. “We also have several southern African countries on board.”
However, he added that delays in obtaining Namibian and South African registrations have cost the company around N$15 million in monthly sales.
Hooft suggested that a temporary registration from Namibia’s Ministry of Agriculture, Water and Land Reform would help alleviate this issue.
Despite the challenges, he noted progress, particularly with support from the Namibia Investment Promotion and Development Board and the Ministry of Trade and Industrialisation.
“That has been the biggest and only difficulty in terms of doing business in Namibia so far. The Ministry of Fisheries and Marine Resources and the Ministry of Environment, Forestry, and Tourism have been a pleasure to work with,” he said.
Meanwhile, Kelp Blue Deputy Operational Manager said they are farming with giant and only harvest about 10% of the top kelp canopy.
“This is what we take to the factory to create our biostimulant for agricultural crops, and harvesting is critical as it allows the Kelp to channel new energy, which boosts growth,” she said.
This remarks were shared during a media overdue visit to Kelp Blues Operations in Lüderitz as part of a nationwide initiative by the Namibia Investment Promotion and Development Board to showcase current projects underway that could boost the country’s economy.
