Maputo, Mozambique – Lucia Matimele stands amidst vibrant displays of fresh produce at a lively conference in Maputo. “We have land, we have water, we have farmers! What we need is investment,” she says passionately. Matimele directs industry and commerce in Gaza province, known for its agricultural output. She’s here with her team, showcasing crops and seeking partnerships amid a push for economic growth in Mozambique.
This week, over 3,000 exhibitors from nearly 30 countries gather for the 60th Maputo International Trade Fair (FACIM), the largest event of its kind in Mozambique. Thousands are expected to attend, exploring opportunities to connect with local businesses and international investors.
During the opening ceremony, President Daniel Chapo emphasized the importance of creating a favorable environment for foreign investors while fostering a strong local economy. He highlighted Mozambique’s strategic location, vast resources, and, most importantly, its hardworking and welcoming people.
Chapo announced a new $40 million Mutual Guarantee Fund, funded by the World Bank, aimed at boosting small and medium enterprises. “High interest rates make it hard for small businesses to thrive,” he noted, underlining that these enterprises constitute 90% of the economy’s driving force.
Even with abundant resources, Mozambique’s projected GDP growth for 2025 is just 3%. Experts cite several reasons for this slow growth, including a $2 billion corruption scandal and ongoing violence in Cabo Delgado, a region rich in natural gas. Borges Nhamirre, a security researcher, warns that the insurgency has derailed significant economic projects, like TotalEnergies’ $20 billion LNG development.
“The economy was set to thrive on natural resources, but instability has changed the landscape,” Nhamirre explained. He stressed the need for Mozambique to invest in agriculture, emphasizing that the country should be self-sufficient in food production given its fertile land and water resources.
At FACIM, Matimele stands among her booths filled with rice, bananas, and cashews from Gaza province. “We can feed our people best,” she asserts. Local farmers produce an array of goods, but processing and distribution remain hurdles. “We need bigger industries to step in,” she said, believing that guaranteed markets could minimize waste and ensure profits for small farmers.
This year’s FACIM highlights investment as a pathway to progress. Rafael Shikhani, a historian, sees agriculture as crucial to Mozambique’s economy. He recalls how past conflicts disrupted agricultural cycles but believes the current focus on funding could reshape the landscape. “Without money, businesses struggle to grow. Easier routes are often chosen, like importing food from South Africa, which can’t sustain our economy,” he noted.
Shikhani hopes the Mutual Guarantee Fund will allow agriculture to evolve from small, isolated farms to organized small and medium enterprises. “If we nourish our economy, we pave the way for peace,” he concluded, referencing how economic distress often leads to social unrest.
As the week unfolds at FACIM, Matimele and her team are ready to embrace new opportunities. “Investment is the key,” she states. “With it, we can tackle our challenges, create jobs, and ultimately feed our nation.”
In uncertain times, the hope echoed at the trade fair is clear: when businesses thrive, communities prosper.
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Features, News, Agriculture, Business and Economy, International Trade, Africa, Mozambique
