Increased Market Access for Namibia Products and Services within the Horticulture Sector. Michael Iyambo NHTT Chairman

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1 Increased Market Access for Namibia Products and Services within the Horticulture Sector Michael Iyambo NHTT Chairman

2 Outline 1. National Horticulture Development Initiative (NHDI) 2. Horticulture Market Share Promotion (MSP) 3. Implementation of the Potato & Onion Scheme 4. Eye-Catching Display by retailers in shops 5. Agreements between producers and Traders

3 NAB s Mandate To promote the agronomic industry; and to facilitate the production, processing, storage and marketing of controlled products in Namibia. 3

4 NATIONAL HORTICULTURE DEVELOPMENT INITIATIVE National Horticulture Development Initiative ( NHDI ) was established 14 years ago in consideration of the promotion of local consumption of fresh produce, import substitution, agroprocessing and export marketing of fresh produce. AIM: to support and enhance the horticultural production potential of the country through various programmes, promoting the local purchasing of horticultural produce by domestic retailers and consumers. Realized after fruit & vegetables were gazetted under section 2 of the Agronomic Industry Act of Initiative by MAWF Stimulate the Namibian Horticulture sector by providing an enabling marketing environment for quality of fresh produce to consumers 4

5 NHDI - Objectives 1. Increased national food self-sufficiency 2. Increased national food-security 3. Import substitution 4. Employment creation 5. Stimulation of the economy in general Stimulate the Namibian Horticulture sector by providing an enabling marketing environment for quality of fresh produce to consumers 5

6 Cont NHDI The NHDI was implemented through a Horticulture MSP scheme Importers are obliged to ensure that a minimum % (currently is 39 %) of their horticultural produce sales consist of Namibian grown products, prior to qualifying for an import permit, allowing for imports of the remaining portion of fresh produce not currently available in the local market. However, the initial MSP was 5 % in 2005, but over the years this has been increasing by mutual consensus and is currently at 39 % (2012 quarter 4 to date). Stimulate the Namibian Horticulture sector by providing an enabling marketing environment for quality of fresh produce to consumers 6

7 Purpose of the Namibian Horticulture Market Share Promotion (MSP) To promote the local sales of locally produced fresh fruit and vegetables by potentially restricting the direct importation of these products by importers such as: wholesalers, catering companies and Retailers/traders. Stimulate the Namibian Horticulture sector by providing an enabling marketing environment for quality of fresh produce to consumers 7

8 National Horticulture Task Team (NHTT) 1. Hence the NHTT was organized by the Namibian Agronomic Board to be the steering committee for the NHDI. Stimulate the Namibian Horticulture sector by providing an enabling marketing environment for quality of fresh produce to consumers 8

9 National Horticulture Task Team (NHTT) PRODUCERS REP NHTT AHC NCA AHC KARST AHC KAVANGO AHC ZAMBEZI AHC CENTRAL AHC SOUTH AHC ORANGE RIVER POPA NAHOP NOA TRADERS REP NHTT AHC NCA AHC KARST AHC KAVANGO/ ZAMBEZI AHC CENTRAL AHC COASTAL AHC SOUTH/ ORANGE NATFP NAB BOARD REPRESENTATIVE ON NHTT

10 2. HORTICULTURE DIVISION Horticulture s Vision: to stimulate the Namibian Horticulture Sector by providing an enabling marketing environment for quality fresh produce to consumers

11 HORTICULTURE DIVISION Hort strategic voice:

12 3. MSP %

13 Quarterly performance of local vs Import in Value (2006 Q Q4)

14 Top 20 of local produce versus import (2012/2013 financial) Stimulate the Namibian Horticulture sector by providing an enabling marketing environment for quality of fresh produce to consumers 15

15 4. IMPLEMENTATION OF POTATO AND ONION SCHEME (NAB BOARD RESOLUTION NO: 2011/62/70)

16 The Potato and Onion agreement Signed on 26 November 2013 by both parties (POPA & NATFP) The NHTT members agreed at its meeting which took place on Friday, 7 th February 2014 that the implementation will be 1 st April 2014.

17 The Potato and Onion agreement Objective: Provide marketing assurance to the local potatoes and onions industry; and Provide a consistent and continued availability of potatoes and onions in the Namibian market and specifically in the retail market on the basis of short and long term sustainability; and Stimulate potato and onion production in Namibia and to promote domestic sales of Namibian produced potatoes and onions; and Source locally produced potatoes and onions provided that the correct quality, grade and quantity are available.

18 Yearly performance of Potato in Value Local vs Import ( )

19 Yearly performance of Potato in tonnage Local vs Import ( )

20 Monthly performance of Potatoes in Value Local vs Import (April 2011 March 2013)

21 Yearly performance of Onions in Value Local vs Import ( )

22 Yearly performance of Onions in tonnage Local vs Import ( )

23 Monthly performance of Onions in Value Local vs Import (April 2011 March 2013)

24 6. EYE-CATCHING DISPLAY

25 EYE-CATCHING DISPLAY Local Fresh Produce

26 EYE-CATCHING DISPLAY

27 HORTICULTURE MSP Message to stakeholders 1. Producers MSP creates an environment for substituting the import of horticulture commodities that can be produced locally. MSP creates value for your farming business by facilitating the increased production and income.

28 Cont MSP Message to 2. Traders stakeholders MSP adds value to your business by providing easy access and availability of local horticulture fresh produce; MSP facilitates a link between producers and traders, through predetermined planting programmes that guarantees availability of horticulture stock., The advice and support given by the Horticulture Division provides an enabling marketing environment for business growth.

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30 7. HORTICULTURE PLANS Whom Much? When? Which? Production Action Plan Where? Crop? Grown?

31 35