Investing on veggies for better economic, health advantages

BY HIZKEL HAILU

Ethiopia is on the right track on regenerating agriculture through implementing different policies, strategies and guidelines. Among those recently, the country has adopted a new guide line that encourages investors to invest in horticulture development.

Accordingly different international business companies are visiting the country. Among those, Veggies 4 Planet and People (V4P&P); a project to engage women and youth in vegetable production and distribution networks to close the ‘vegetable gap’ and improve livelihoods and nutrition, got off to a good start in Ethiopia.

The World Vegetable Center in collaboration with SNV Netherlands Development Organization, IKEA Foundation and the Ministry of Agriculture has officially launched an inception project, Veggies for Planet & People (V4P&P).

Briefing to journalists Ralph Roothaert (PhD), Principal Investigator of V4P&P project and Flagship Program Leader said that the initiative aims at creating employment opportunities for the youth and women within the vegetable value chain in Ethiopia and Kenya.

As to him, the project is targeted for enabling Vegetable Business Development in East Africa for more jobs and better human and environmental health. And this five years project is financed by IKEA Foundation. Accordingly the foundation has budgeted 6 Million EURO.

Mentioning that close to 80 vegetable business networks will be established in Ethiopia, he further elucidated that the project will also engage four thousand women and youth in market activities designed to improve their livelihoods and diets.

Among the four thousand jobs 1,600 will address Ethiopian youths or women while the rest 2,400 will address Kenyan youths. The initiative will also work with policy makers and implementers to facilitate an enabling environment for vegetable business networks, he added.

Adding to the point, he underscored that the project aims to establish 200 vegetable business networks (VBN) coupled with emphasizing traditional African vegetables through value chain development. Besides, total value of vegetables sold by producers participating in the VBNs will be 9,240,000 USD/ year.

The economies of Kenya and Ethiopia have been growing with more than 5 percent per year on average over the past seven years, with Ethiopia’s economy being one of the fastest growing in the world. As a result, this project is of paramount importance in reducing poverty and booming the country economy.

According to the document obtained from the World Vegetable Center, this planet will have 10 billion people to feed by 2050.

Therefore the document recommended adopting regenerative technologies like; abandoning tillage, eliminating bare soil, fostering plant diversity, water management efficiency as well as integrating livestock and crops.

On the launching ceremony held at Radisson Blue, Addis Ababa, Agricultural Inputs and Marketing Sector Advisor at the Ministry of Agriculture Dereje Asaminew said that investing on horticulture, particularly in vegetables, has substantial advantages. As to him, it will create job opportunities in rural areas parallel with increasing productivity and nutrition systems.

He further emphasized that the project will help the country to attract foreign exchange in exporting the products for the international market. Mentioning that the Ministry has also included horticulture development on its ten years roadmap coupled with establishing a new state ministry to administer the sector, he expressed the government’s commitment to work with every volunteer development partner.

SNV Ethiopia’s Country Director Worku Behonegn for his part stated that the purpose is to work in filling the gap from the production to the consumption stages. As to him, horticulture development is among their three thematic areas: naming agriculture, energy and water sanitation and hygiene.

According to him, training and other forms of capacity development, mentoring and coaching and support in marketing coupled with improving vegetable production by introducing new technologies and promoting the consumption of vegetables among consumers are some of the activities which are to be done in order to bring a big change in the sector.

Moreover, he said that promoting climate resilient technology, sustainability and realizing aspiration of youths are some of the major advantages of the project. All in all the officials agreed that developing vegetables has both economic, health and social advantages.

Meanwhile, the Ministry of Agriculture (MoA) is working intensively in horticulture development. The ministry has secured over 287 million USD over the last six months of the current fiscal year from horticulture export through implementing a meticulous approach to withstand challenges posed by the COVID-19 pandemic.

In a recent interview with The Ethiopian Herald, Agriculture State Minister Wondale Habtamu said that significant success has been registered in attracting sizable Foreign Direct Investment (FDI) and generating foreign currency in the horticulture sector during the first half of the current budget year.

Ethiopia has also generated over eight million USD within two days capitalizing on the enormous demand to cut flowers during this year’s Valentine’s Day. The state minister noted that the swift measure the government of Ethiopia has taken following COVID-19 induced restriction of movement is ascribable to the achievement.

He further indicated that whilst eight new international companies invested in the area, horticulture commodities remain the second largest hard currency earnings in the agriculture sector next only to coffee.

The horticulture sector is becoming among the major catalysts of Ethiopian economy and the government has given due emphasis to easing doing business in the area.

Also, the two-decade Agriculture and Rural Development Policy is under revision with a view to enhancing Ethiopia’s status of being the second largest flower exporter in Africa and fourth in the world.

The new policy envisions is of paramount importance to attract quality investment in the agriculture sector, including the horticulture business.

Wondale also pointed out that consolidated efforts are underway to access new destinations to flower exports and several discussions are being held with investors coming from Russia, Italy, United Kingdom, Netherlands and UAE.

The government has been paying due attention to attract private investments in the horticulture sector and to improve competitiveness by providing export incentives, customs duty exemption, income tax holidays, and offering land at a competitive lease price.

Close partnership has been formed with Ethiopian Airlines and the Horticulture Producers and Exporters Association to facilitate the export of horticultural commodities to the global market, he noted.

While mentioning the veggies 4 planet and people project aims to establish 200 vegetable business networks (VBN) to engage an estimated 4000 women and youth in market activities, Ralph Roothaert stated that producers will make the transition to regenerative agriculture; at least five regenerative practices to be applied on 0.15 ha per producer, in total 600 ha.

The project will promote the consumption of vegetables among consumers and promote the program to policy makers and other stakeholders to increase visibility and widen support and allow replication of the model.

“In Ethiopia, dietary diversity is very low, and the diversity of vegetables commonly consumed in the capital city Addis Ababa is restricted to tomato, onion and pepper. Leafy vegetables are known, but availability is low and prices are very high.

There is an increasing demand for Ethiopian mustard and spinach (Swiss chard). TAVs are consumed in rural areas but commercialization of those TAVs is very low. Therefore, it is recommendable for both local and foreign investors to invest in vegetable production in Ethiopia.

The Ethiopian Herald March 7/2021

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