Mozambique is often viewed as an alternative production base to South Africa due to lower labour costs and proximity to export markets. However, farmers operating in both countries report that input dependency, logistics, and compliance costs reduce this advantage.
Farmers indicate that production between the two countries is complementary rather than competitive. "In practice, certain crops are easier and more efficient to produce in South Africa and supply into Mozambique," says Joachim Prinsloo of Sunreaped. "Other subtropical crops are better suited to Mozambique and are supplied into South Africa."
Prinsloo produces avocados, ginger, macadamias, and bananas in Mpumalanga, and ginger, turmeric, bananas, mangoes, and macadamias in Mozambique. Expansion into Mozambique was driven by land availability for banana production and access to suitable climate conditions.
Charlie van Dyk of Novasun also expanded into Mozambique to maintain banana production following land restitution developments in South Africa. He states that production costs are higher in Mozambique due to imported inputs and export-oriented operations. "Farming in Mozambique is more complex and often more costly. Most farming inputs must be imported, and all produce must be exported, which adds logistics, administration, banking, forex, and compliance costs."
Labour costs are lower, but additional expenses offset savings. "Our audited schedule shows cross-border costs add R17,82 (US$0.95) per carton. Taken together, this yields a net additional cost of roughly R4,87 (US$0.26) per carton for Mozambican bananas into South Africa."
Infrastructure differences also affect operations. Farmers report the need to provide transport for workers, import spare parts, and manage limited access to technical support. Skills development among labour remains ongoing, requiring additional training and supervision.
Cross-border operations require compliance with phytosanitary regulations, including orchard registration, pest monitoring, and certification. Both Mozambican and South African authorities may inspect consignments, adding administrative requirements.
Farmers also highlight operational risks, including political unrest, logistical delays, and regulatory differences. "Moving both development inputs and fresh produce involves complex cross-border logistics. Documentation, customs procedures, and delays add risk and cost," Prinsloo explains.
Despite these constraints, Mozambique's climate supports subtropical production, and long-term investment can mitigate risks. Farmers emphasise the need for planning, local knowledge, and adaptation to regulatory and cultural conditions.
Cross-border trade flows continue between the two countries, with tomatoes, potatoes, and onions moving from South Africa into Mozambique, and bananas, litchis, and other subtropical products supplied into South Africa. Farmers indicate that regional diversification supports supply stability and reduces exposure to climate and market risks.
Source: Farmer's Weekly
