Farmers deny price exploitation

SHERWOOD: An official at AR5 Farm says farmers should not be entirely held accountable for the skyrocketing prices of vegetables across the country.

There have been concerns that farmers have taken advantage of the vegetable import ban to increase prices especially for potatoes. The ban has somehow led to an erratic supply of vegetables to the market. Despite concerns about farmers capitalising on the vegetable import ban to hike prices, she expressed a contrary perspective.

However, AR5 Farm’s Operations Manager, Anne Schoeman, emphasised that the price hikes are not a result of market manipulation but rather a response to the escalating costs of production.

“The current price increases for vegetables are primarily driven by rising input costs rather than deliberate exploitation by farmers. Input costs have been sky rocketing for some time. “Fertiliser prices have gone up by 300% since the COVID-19 outbreak. Fuel prices have also been going up. It is not because we now see that there is shortage in the market and we are now hiking prices. We are not making enough profit. We are only surviving,” she said during a tour of the farm organised by the Botswana Investment and Trade Centre (BITC) recently.

AR5, a farming company established in 1997 and based here, has witnessed substantial growth in its horticulture division over the years. With 240 hectares of potatoes under overhead irrigation, 16 hectares of onions under drip irrigation, and 25, 000 citrus trees, AR5 stands as a significant contributor to Botswana’s agricultural landscape. So far P100 million has been invested into the farm.

Schoeman further noted that the growing competition amongst vegetable producers, particularly potatoes, has prompted them to reduce their production.

“We started off with 240 hectares. We have dropped to 94 hectares this year, and I think next year we will go down to 60 hectares because of the overproduction of potatoes in Botswana,” she stated. Additionally, Schoeman praised the government’s decision to ban vegetable imports. “When the borders were open, we did not sell. Our produce used to rot. This time around things are better, you can see it in our sales records. Our sales have significantly improved,” she said.

Regarding the shortage of vegetables in the market, Schoeman attributed it to the timing of crop planting and harvesting by different farmers, which she stated sometimes creates gaps in the market. “Farmers are also still trying to understand new market dynamics and I am optimistic that the demands of the market will be fully fulfilled soon,” she said. Criticism has been directed towards the Ministry of Agriculture regarding the blanket vegetable ban, with critics suggesting that a more gradual approach should have been taken. They argue that the decision was implemented without thorough evaluation or consideration of Botswana’s vegetable production capacity. Prior to the ban, most of the country’s vegetable supply was sourced from South Africa, leading to discontent amongst local farmers.

Despite mounting pressure, the government has stood firm on maintaining the ban, citing its commitment to achieving food security. This stance has stirred frustration amongst South African farmers who relied heavily on exporting vegetables to Botswana.

However, the government remains steadfast in its belief that lifting the ban would jeopardise its efforts towards local self-sufficiency in food production.