Prime Minister Elijah Ngurare has proposed the establishment of a fertiliser and chemical manufacturing plant in Namibia to reduce agricultural production costs and make locally produced food more competitive against imports.
The proposal follows concerns raised by farmers, producers and millers over the high cost of producing maize locally, which has made imported grain from South Africa a cheaper alternative.
Speaking during a community engagement with farmers at Ombandje Farm near Otavi in the Otjozondjupa Region on Saturday, Ngurare said local fertiliser and chemical production could help address some of the cost pressures facing Namibia’s agricultural sector.
Farmers and millers indicated that maize imported from South Africa costs approximately N$5,000 per tonne, compared with N$7,000 per tonne for locally produced grain.
The N$2,000 price difference means locally sourced maize is about 40% more expensive than imports, placing Namibian producers at a competitive disadvantage.
High fertiliser and agricultural chemical costs were identified as contributing factors to the price disparity, raising concerns about the competitiveness of domestic grain production and its implications for food prices.
Ngurare’s proposal seeks to reduce Namibia’s dependence on imported agricultural inputs by developing local manufacturing capacity, potentially lowering production costs for farmers and improving the competitiveness of locally grown crops.
The Prime Minister also proposed establishing a local food quality assurance and testing facility to reduce Namibia’s reliance on neighbouring countries for food testing and quality control services.
The proposed facility would allow more food testing and quality verification to be conducted domestically.
The proposals come as Namibia seeks to strengthen domestic agricultural production, reduce reliance on food imports and improve food affordability.
However, no investment figures, implementation timelines or potential locations for the proposed manufacturing and testing facilities were announced.
