IMELDA AMBONDO
The Parliamentary Standing Committee on Natural Resources has recommended that the ministry of Agriculture, Water and Land Reform urgently implement a turn around to improve production and management of the country’s ailing green schemes.
Earlier this year, the committee went on an oversight visit to agricultural projects in the Zambezi, Kavango East, and Kavango West regions. They raised a plethora of problems ranging from poor management, poor financial resourcing and inadequate technical support as the reasons behind a continued failure of the green schemes.
President Netumbo Nandi -Ndaitwah also visited a number of the green schemes in the year and called for urgent remedies to improve production.
Parliamentary Standing Committee on Natural Resources chairperson Tobie Aupindi said a turnaround strategy for the green scheme must be instituted as a matter of priority.
“This should involve diagnosing performance issues, stabilising finances through debt reduction and improved cash flow, implementing operational efficiencies in management, and developing new market strategies to refocus on profitable products or newer markets,” he said in a report presented to parliament last week.
Aupindi said diagnostics steps should include a thorough root cause analysis, securing necessary funding or restructuring debt. Other steps include aligning the business with market opportunities, and possibly making strategic leadership changes to execute a clear, communicated plan for recovery and sustainable growth.
According to the committee, their recent visits to the green schemes assessed progress in agricultural production, reviewed the projects’ impact on food security and employment, and identified challenges to guide future policy interventions.
They also took a swipe at the monumental failure by the now defunct AgribusDev in managing some of the green schemes which are now in a sorry state.
”There is no question of a doubt that the creation of AgribusDev, as a State-owned company, to monitor and to create an ideal environment for achieving the objectives of the Green Scheme as circumscribed by the Green Scheme Policy of 2008, did not achieve the intended results, leading to significant challenges, including severe governance, financial issues, operational deficiencies, and institutional problems,” Aupindi said.
According to the committee, the green schemes turnaround strategy should involve diagnosing performance issues, stabilising finances through debt reduction and improved cash flow. It has also urged the implementation of operational efficiencies, as well as developing new market strategies focused on profitable products and new markets.
The committee recommended a detailed assessment process, including a root cause analysis to identify reasons for poor performance, a financial review to understand cash flow and debt challenges. Other assessments, the committee says, should include an operational review of supply chains, labour, and production.
“The Uhungu-Vhungu Green Scheme promotes food security, creating employment opportunities, and fostering rural development. These schemes play a critical role in supporting local communities, enhancing agricultural productivity, and contributing to the regional and national economy,” the committee said.
However, the committee said notwithstanding the dissolution, though a policy decision, some four years later, no full implementation has taken place, with the government decentralising the operations to the agricultural ministry in Windhoek, instead of finalising the entire integrations.
It further advised that the Ministry of Agriculture, Water and Land Reform focus on stabilising finances and improving cash flow to prevent operational collapse. “Financial restructuring, new funding options, and transparent communication with stakeholders are crucial to restore confidence,” the committee said.
The committee also suggested possible leadership changes “to steer the turnaround effort” and called for a clear roadmap to guide recovery.
“The strategy should include market realignment, local produce promotion, and product diversification. Innovative approaches such as those being implemented at Ndonga Linena could help improve competitiveness and ensure sustainable growth.”
The committee further recommended that the government find the root cause of the challenges faced by the green schemes through a comprehensive review to identify the precise reasons for poor performance.
“Analyse cash flow, debt, assets, and liabilities to understand the financial
distress and its effect on the daily activities of the green schemes.Evaluate supply chains, equipment, labour, and production processes for inefficiencies.Assess the market for opportunities, threats, and competitive pressures affecting the business,” they said.
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