• Market Watch

Agriculture Vote 37 cut by 26%

• 13 Hours Ago

Namibia's agriculture budget has been cut by 26% for the 2026/27 financial year, dropping to N$1,826,910,000 in an allocation, Minister Inge Zaamwani warned, which would "significantly affect the ministry's ability to deliver on its priority areas of food security and land redistribution."

Zaamwani tabled Vote 37 before the National Assembly's Committee of the Whole House on Thursday, 9 April, advocating for its approval. The budget comprises N$1,474,000,000 for operations and N$352,910,000 for development, aligned with the Sixth National Development Plan (NDP6), which she said "anchors Government's commitment to transforming the agriculture sector and contributing towards economic development and improved livelihoods for farmers."

Climate and food import pressures

The minister framed the vote against a difficult sectoral backdrop, describing Namibia as "one of the most climate-vulnerable countries in sub-Saharan Africa, characterised by recurrent droughts, floods and pest outbreaks, compounded by generally poor soil fertility and high production input costs."

Agriculture contributes approximately 4% to the GDP, rising to 6% when related manufacturing and value-added activities are included. The sector directly or indirectly supports approximately 70% of the population, yet Namibia still relies heavily on imports for staple foods such as white maize, pearl millet and wheat, according to Zaamwani. She said the budget "seeks to address this reality through the creation of an enabling environment for public-private partnerships for food production."

Crop production results

Despite the budgetary squeeze, Zaamwani highlighted a string of achievements from the 2025/26 financial year. Under the Dry Land Crop Production Programme, 79,582 staple grain producers, of whom 47,016 are women, and 32,566 are men, received subsidised inputs, including seeds, fertilisers, mechanisation and weeding services, across all ten crop-growing regions.

This figure represents 66% of the targeted 120,000 producers, a shortfall Zaamwani attributed to budgetary constraints. The Mechanisation Programme created employment for 252 Farm Machinery Operators and 773 seasonal workers.

The Horticulture Support Programme benefited 1,904 producers with subsidised irrigation equipment and inputs, of whom 1,015 are now producing for the market. Poultry and Dairy Value Chain Programmes each received N$5 million, benefiting 529 and 101 farmers, respectively. The Small Stock Distribution Programme distributed 840 goats to 40 farmers in the Otjozondjupa and Omaheke regions, while, through a public-private partnership, a further 1,008 goats were distributed in the Erongo Region.

Green schemes up 45%

Green Schemes recorded a 45% increase in total output since the ministry assumed direct operational oversight, rising from 10,560 metric tonnes to 16,740 metric tonnes.

"Maize production rose by 82%, while wheat production declined by 37% due to high input costs, a challenge the 2026/27 budget seeks to address," Zaamwani said. "These results demonstrate both the potential and the fragility of our production base, and reinforce the urgency of sustained public investment."

Livestock and export earnings

The livestock sector drew significant attention in the motivation. Zaamwani described it as Namibia's largest agricultural employer, supporting over 45,000 direct jobs in primary production and 12,000 high-value technical roles in export and processing facilities. During the financial year just ended, the livestock sub-sector alone contributed 3.5% to GDP.

Namibia remains the only African country with concurrent beef export access to the United States, China, Norway and the European Union, generating over N$2.1 billion in foreign exchange in 2025. Over 319,000 cattle were vaccinated against Foot-and-Mouth Disease and nearly 800,000 against Contagious Bovine Pleuropneumonia north of the Veterinary Cordon Fence, "safeguarding both animal health and export market access."

Cattle on the hoof a concern

Zaamwani raised concern over the continued export of cattle on the hoof, saying the Ministry is working to redress "the exportation of jobs and skills". In 2025 alone, Namibia exported 59,224 cattle on the hoof.

A feedlot is under construction at the Etunda Irrigation Project at a total cost of N$78.9 million and stands at 18% completion, with full completion expected by year-end. The Eenhana abattoir has been operationalised through Meatco, with 1,836 cattle slaughtered during the period under review, while the Ongwediva Meat Processing Plant has commenced production of bone-in cuts, beef, offal, chilli bites, biltong, sausages and mince.

Land reform milestones

On land reform, the ministry acquired 24 farms during the preceding financial year. Zaamwani said that "for the first time in history", 11 farms totalling 46,443 hectares were acquired at a cost of N$111,983,502 for the resettlement of generational farm workers and landless Namibians grazing livestock in road corridors.

Of the 176 resolutions from the Second National Land Conference, 25 have been fully implemented, while 134 remain ongoing. The minister called on Members of Parliament to back the pending Land Bill, imploring them "to support the Bill when it comes to this August House for the second reading".

Budget breakdown

The largest single programme allocation goes to Policy Coordination and Support Services at N$537,090,000, followed by Veterinary Services and Livestock Development at N$355,805,000, Land Reform at N$273,659,000, Agriculture Extension Services at N$253,152,000, Agricultural Engineering and Green Schemes at N$153,979,000, Agricultural Research, Development and Vocational Training at N$127,151,000, and Land Management at N$126,074,000.

Closing her motivation, Zaamwani said the government remains resolute despite the cuts. "Government remains fully committed to agricultural development, as promised in NDP6 and the SWAPO Party Manifesto Implementation Plan, notwithstanding the more than 26% budget cut. Every dollar invested will speak to the heart of NDP6, namely inclusive growth, reduced inequality, and a productive and resilient economy."