Export opportunities for inputs, implements in Zambia

Trade Focus

Allan Majuru

ZIMBABWEAN products are growing in popularity across the Southern African region.

Over the past few years, Zimbabwe has been actively spreading its wings across markets on the African continent, with neighbouring states showing increased interest in a range of locally produced products, and services offered by companies based in the country.

Under President Mnangagwa’s leadership, the country has pursued a robust economic diplomacy agenda, forging strong ties with the African continent and beyond.

This approach has paved the way for expanded cooperation, creating a favourable environment for the private sector to thrive.

Recent statistics released by the Zimbabwe National Statistics Agency (ZimStat) show that exports recorded impressive growth in Mozambique and Zambia between January and February, compared to the same period last year. In fact, the figures show a 123,7 percent growth in exports to Mozambique, from US$44,1 million to US$98,5 million, as well as a 60,4 percent growth in exports to Zambia, from US$14,1 million to US$22,6 million during the period under review.

As interest in local products continues to grow, Zimbabwe is poised to further expand its influence across the African continent.

Results from several programmes undertaken by the national trade development and promotion agency — ZimTrade — show that leading buyers in regional markets are eager to connect with local suppliers and experience the quality and craftsmanship synonymous with Zimbabwean products.

Going forward, what is crucial is to boost the visibility and presence of Zimbabwean products in these markets.

For example, local companies have a significant opportunity to export farming inputs and implements to Zambia, a country whose agriculture sector has been thriving for the past years. To tap into opportunities presented by this market, ZimTrade organised the participation of nine local companies at this year’s edition of AgriTech Expo Zambia, a specialised trade fair focusing on agricultural inputs and implements that ran from April 18 to 20.

Ahead of the participation of local companies at the expo, leading buyers of agricultural inputs and implements in Zambia had already indicated willingness to source the products from Zimbabwe. They said the focus in the market is now on high-quality inputs and implements.

Key opportunities

According to Trade Map, Zimbabwe’s exports of agricultural inputs and implements to Zambia grew from US$1,77 million in 2018 to US$2,56 million in 2022, mainly being driven by fertiliser, seed and agrochemicals.  Seed and fertiliser innovation is an area where local companies can make an impact in the Zambian market.

By offering high-quality seed that is tailored to the local climate and soil conditions, as well as innovative fertilisers that improve nutrient uptake and crop health, local companies can help Zambian farmers achieve better results in their fields.

With advancements in technology and growing focus on sustainability, one key area where Zimbabwean companies can excel in is the production of precision agriculture technology. This includes GPS-guided tractors and drones for crop monitoring, and software for data analysis.  These tools can help Zambian farmers make informed decisions about planting and irrigation, which ultimately improve their yields and profitability.

In addition, Zimbabwean companies can also export irrigation systems to Zambia, where access to water is crucial for successful farming.

Drip irrigation, pivot systems and solar-powered pumps are all in demand as farmers look for ways to conserve water and reduce labour costs. To tap into these export opportunities, local companies must invest their time in understanding the market, trends and buyer requirements.

It is critical for local companies to familiarise themselves with Zambia’s import regulations, customs procedures, tariffs and documentation requirements.

It is mandatory to comply with all the import regulations and standards to avoid delays or issues at the border as this may be costly to the business. Suppliers must ensure their products meet Zambian quality standards and certification requirements. Obtaining the necessary certifications and complying with relevant standards will be essential for market access and consumer trust. The choice of a distributor can make or break the success of your products.

In this regard, local companies must choose a reliable distributor that can help them reach their target customers effectively.

Consider working with local distributors, agents or partners that have knowledge of the market and well-established networks.

The local companies must also provide marketing support to assist the chosen distributors in promoting the products in the market. Collaborating with local partners can provide valuable insights, support market entry and help navigate the business landscape more effectively.

Market trends in Zambia

The agricultural market continues to evolve, driven by changes in consumer demand, business sustainability and the impact of climate change, among other factors. There is a growing demand for modern agricultural inputs in Zambia, which include fertiliser, improved seed, pesticides and other agrochemicals, driven by the need to increase productivity to meet the food security needs of the country.

To improve farmers’ profitability and access to essential inputs, and enhance agricultural productivity, there have been various programmes implemented in Zambia to support smallholder farmers. They include the provision of subsidised agricultural inputs.

There is also a gradual shift towards mechanisation, with an increasing demand for farm implements and machinery such as tractors, ploughs, planters and harvesters. This trend is driven by the need to improve efficiency, reduce labour costs and increase farm productivity.

The agricultural inputs and implements market in Zambia has seen increased investments from the private sector, including agribusinesses, input suppliers and machinery manufacturers.

This trend is contributing to the availability of a wider range of quality inputs and implements for farmers.

Given the impact of climate change on agriculture, there is also growing emphasis on climate-smart agricultural practices.

This includes the promotion of drought-resistant seed, sustainable soil management practices and efficient water use, which, in turn, influence the demand for specific agricultural inputs and implements.

The adoption of digital technologies in agriculture, such as mobile-based information services, e-commerce platforms for input purchases and precision agriculture tools, is gradually gaining traction in Zambia.

These innovations are helping farmers make informed decisions about input use and improving productivity.

Allan Majuru is the chief executive officer of ZimTrade.