Mozambique's citrus industry, which had traditionally produced some of the highest quality fruit in southern Africa and was one of the mainstays of the economy, was virtually destroyed by years of civil war and central control.
European and North American markets have high unmet demand for quality counter-seasonal tropical fruit, and Mozambique, due to its climate and location, is ideally suited to meet this demand, especially since Mozambican producers have easy access to good sea transport.
Beginning in 2002, the BLCF and partners undertook a major step in the revival of Mozambique's citrus exports, with a project to rehabilitate two citrus estates. These were privatised and transferred to the MOCIT/Citrum consortium with links to internationally recognised industry experts and historic links to pre-nationalised citrus interests.
With 247 full-time employees, together with trained seasonal workers, more than half of the estates were replanted. A total of 12,000 neglected grapefruit and orange trees were rehabilitated in the first 10 months with 255,000kg of high quality ruby grapefruit exported in 2003 without any rejections.
In the course of the project, with good management and skills training, all the planned agricultural activities of pruning, fertilizing, irrigating, sanitation, pest control, harvesting and packing were accomplished, and old, dysfunctional tractors, trucks and power-generating equipment fixed. The packaging facilities and company-provided housing were repaired and a programme to build new, low cost housing for workers developed. The company has also helped develop a water scheme for the workers and nearby communities.
Meanwhile important business linkages between the estate workers, local communities, NGOs, Mozambique business associations and the major fruit exporter were established or strengthened to such an extent that South Africa’s biggest fruit exporter, Capespan, reopened its port facilities at Maputo. The re-vitalised Agricultural business association negotiated lower diesel cost for agricultural producers with the government and is now negotiating reduction and streamlining of export licenses.
The two estates’ activities have attracted the attention of neighbours interested in re-establishing exports. Training for new producers is being established, while other business development opportunities include replacing equipment imports with locally produced items, and downstream industries such as juicing and jam-making.
For more information contact BLCF fund manager, the Emerging Markets Group at this address