Lecture 5 Agriculture in Zimbabwe National statistics: GDP growth 15 Percentage per annum 10 5 0 -5 -10 -15 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 National statistics GDP $7.366 billion (2013 est.) GDP growth 4.4% (2012 est.) GDP per capita $600 (2012 est.) GDP by sector Agriculture: 20.3%, Industry: 25.1%, Services: 54.6% (2012 est.) GDP by sector GDP by Sector, 1998-2010 (Million 2009 USD) 10000 8000 6000 4000 2000 0 Avg.1998-01 2008 Other Manufacturing 2009 Mining Agriculture 2010 Sectoral exports Sectoral Exports (as %GDP) 25 20 15 10 5 0 2005 2006 Agricultural exports 2007 2008 Manufacturing exports 2009 Mining exports 2010 Importance of Agriculture to Zim Agriculture occupies a central place in the Zimbabwean economy, It is the major source of food security for the nation. It is a major contributor to national income, contributing 16-20% of GDP. It contributes over 40% of national export earnings Importance of Agriculture to Zim About 60% of raw materials for agroindustries come from agriculture Over 70% of the population derives its livelihood from the agriculture sector directly and indirectly. Agriculture -related formal employment supports a third of the formal labour force (GoZ, 2011). Agricultural statistics Indicator Agricultural land (% of land area) Arable land (hectares) Arable land (% of land area) Agriculture, value added (% of GDP) Food exports (% of merchandise exports) Food imports (% of merchandise imports) Population, total Agricultural population (% of total population) Value 42.39 4,180,000 10.8 15.66 20.09 18.78 12,754,378 55.5 Year 2009 2009 2009 2011 2010 2010 2011 2011 Natural resource base Production patterns in NR NR1- Plantations, fruits like bananas, coffee, and tea, potatoes, peas and vegetables, flowers- communal farmers occupy only 20%, majority are plantations NR11 – cover 75% of crop area, crops are tobacco, maize soya beans, wheat and horticultural crops. Irrigation is prevalent in this area. Production patterns in NR NR11- Beef production for exports concentrated in this region and so is (was) dairy, pig, poultry, crocodile and ostrich production Prior to land reform, communal farmers occupied only 21%. NR111- communal farmers occupied about 85% of land, with intensive production Production patterns in NR NR111-major crops are maize, cotton groundnuts, sunflower, tobacco (now major), beef ranching NR1V- Not naturally good for crop production. However, smallholder farmers grow small grains (sorghum, millet and finger mille) Commercial farmers do livestock production Production patterns in NR NR1V- smallholder farmers keep small livestock like goats NRV- cattle ranching mainly Sugar cane production under irrigation, especially in Chiredzi and Mwenezi Massive citrus production Game parks mostly found in these areas. Farming systems prior 2000 Farming systems after 2000 Land category Communal areas Old resettlement New resettlement:A1 New resettlement:A2 small scale commercial large scale commercial state farms urban land national parks & forests Unallocated land Area (million ha) 1980 2000 16.4 16.4 0 3.5 0 0 0 0 1.4 1.4 15.5 11.7 0.5 0.7 0.2 0.3 5.1 5.1 0 0 2010 16.4 3.5 4.1 3.5 1.4 3.4 0.7 0.3 5.1 0.7 Farming systems commercial sector, land was privately owned (now all land is state land), production is for the market and farms are run as commercial profitseeking enterprises. Communal farmers, households do not have title to the land they farm, much of the production activity is family-based and subsistence production remains an important part of livelihood strategies. Farming systems The model A1 is a villigised, self contained or a three tier land use plan. Model A2 is mainly small , medium and large scale Commercial Settlement scheme or Peri -Urban scheme Agricultural production Major agricultural commodities Maize (food security) Flue-cured tobacco (cash crop and forex) Cotton (cash crop for Shh but no longer) Sugar cane (local consump & forex) Livestock (local cons and exports) Horticulture (exports) Area planted in 2010 and 2011 Areas Planted to Crops 2500 2000 1500 1000 500 0 Maize Sorghum Pearl Millet 2010 ('000 ha) Tobacco 2011 ('000 ha) Cotton Groundnuts Agricultural production (000 tonnes) 2 500 2 000 1 500 Maize Small grains Wheat Tobacco 1 000 Horticulture 500 0 1994 2000 2005 2008 2009 2010 2011 2012 Agricultural production Agricultural Output Z$ (1990) 19 85 19 90 19 95 19 96 19 97 19 98 19 99 20 00 20 01 20 02 20 03 20 04 20 05 20 06 20 07 20 08 f 5500 • . 5000 4500 4000 3500 3000 2500 2000 1500 Maize production in the region Maize produced (tons; 2010) South Africa 13,700,000 Malawi 2,943,000 Zambia 2,795,483 Mozambique* 1,932,000 Angola* 1,200,000 DRC* 1,200,000 Zimbabwe 1,175,000 Swaziland* 71,000 Namibia 53,000 Botswana 18,000 0 2,000,000 4,000,000 6,000,000 8,000,000 10,000,000 12,000,000 14,000,000 16,000,000 Maize production Maize production (metric tons) 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010* Maize productivity Area of maize planted (ha) Maize productivity (Kg per ha) 1,800 2,000,000 1,600 1,800,000 1,400 1,600,000 1,200 1,000 1,400,000 1,200,000 1,000,000 800 800,000 600 400 600,000 400,000 200 200,000 0 0 Tobacco Volume of Tobacco Exports (Price on the left axis) 250 6 5 200 4 150 3 100 2 50 1 0 0 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Volume (m kgs) Price (US$/kg) Tobacco The improved profitability has attracted more than 85,000 small-farmers in the tobacco sector. It is a crop whose production is on a increasing trajectory However production remains well below (40% of) the previous peak achieved in 1999. Cotton production Zimbabwe and Tanzania compete to be the largest cotton sector in southern and eastern Africa The market for cotton is a pricing or market system Major markets are Asia, EU, local for seed Cotton production Production (000 bales) 700 600 500 400 300 200 100 0 Sugarcane production Sugarcane takes place under irrigation in the lowveld. The privately-owned estates, namely, Triangle and Hippo Valley Estates comprise 28,494 hectares of cane under production and produce about 80 percent of Zimbabwe’s sugar crop. Private growers and newly resettled farmers occupy about 15,880 hectares and produce about 20 percent of the sugarcane crop. Sugarcane production The large estates have a potential to produce over three million tons of sugarcane while private farmers and newly resettled farmers have the potential to produce 1.4 million tons of sugarcane, bringing the total sugarcane production potential for Zimbabwe to about 4.4 million tons. Markets are the SADC, EU and USA 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Sugarcane production Cane Sugar Production (000mt) 700 600 500 400 300 Cane Sugar Production (000mt) 200 100 0 Livestock production We use the Livestock production index (2004-2006 = 100) The latest value for Livestock production index (2004-2006 = 100) in Zimbabwe was 104.07 as of 2011. Over the past 50 years, the value for this indicator has fluctuated between 105.03 in 2009 and 41.57 in 1964. Livestock production Definition: Livestock production index includes meat and milk from all sources, dairy products such as cheese, and eggs, honey, raw silk, wool, and hides and skins. Livestock index Livestock index 106 104 102 100 98 Livestock index 96 94 92 90 88 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Horticulture Year Mass in Tonnes Estimated Value in US$ (thousands) Flowers Produce Citrus Flowers Produce Citrus Total 2000 17,857 10,217 44,289 81,323 30,346 13,561 125,230 2001 21,749 9,955 45,840 78,297 26,341 14,510 119,148 2002 22,801 10,950 48,132 86,189 23,983 14,330 124,502 2003 20,171 10,236 47,767 72,616 25,179 14,221 112,016 2004 16,271 7,277 34,228 58,578 18,193 11,637 88,408 2005 14,327 4,553 26,311 51,576 11,383 8,946 71,905 2006 12,327 3,631 25,850 45,106 9,078 7,985 62,169 2007 10,420 3,445 24,730 36,470 8,640 7,591 52,701 2008 9,535 3,240 23,500 32,895 8,100 7,010 48,055 2009 7,670 2,800 23,670 26,078 6,810 7,260 40,148 2010 7,500 2,753 2,400 24,375 6,600 8,200 39,175 Horticulture exports trend Total exports (000US$) 140 000 120 000 100 000 80 000 Total exports (000US$) 60 000 40 000 20 000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Horticulture Major markets are EU and Middle East