Efeito do investimento na agro-indústria açucareira sobre a balança comercial e sobre o emprego rural em Moçambique

Abstract

This paper aims to provide a vision of the effect of investment in the sugar agro-industry on the country's balance of trade and rural employment, analyzing the extent to which the rehabilitation of the sugar agro-industry contributes to rural employment in the country, as well as the benefits of the participation of small national sugarcane producers (national entrepreneurs) in the process of rehabilitation and modernization of this sector from 1997 onwards. The production of sugar cane registered a reduction of 8.3% in 2006 compared to 2005. The main reasons for this reduction were the poor distribution of rainfall, a problem associated with the deficiency in irrigation to complement the rains and problems with access to electricity in some sugar bowls. These problems affected agricultural yields, reduced the sucrose content in cane and implied a reduction in sugar production. The rehabilitation of sugar companies in Mozambique, together with the institution of mechanisms to protect the domestic market and combat sugar smuggling, allowed for the growth of production of this product in the country. After the lowest production in 1992 of about 13 000 tons, it reached in 2005 about 250 000 tons and about 230 000 tons in 2006. From 1975 to the second half of the 1990s, sugar production began to decline, with an acceleration in the fall in the 1980s, which was reflected in the fall in the volume of exports and the employment created in this sector. Due to the potential of the sugar industry, the GoM implemented a policy aimed at restructuring the sugar sector. The policy was based on the privatization of sugar plants and the reform of the price policy. The rehabilitation of sugar companies in Mozambique, combined with the institution of mechanisms to protect the domestic market and combat sugar smuggling, are the determining factors for the positive evolution of this sub-sector. The development of the sugar agro-industry has contributed to rural development, savings and foreign exchange generation for the country. Sugar cane plantations and processing in the districts where the sugar mills are located have a direct impact on poverty reduction, growth and development of the rural economy, as they create opportunities for paid employment