Comparative analysis of tomato value chain competitiveness in selected areas of Malawi and Mozambique

Abstract

This paper discusses tomato value chain performance in Malawi and Mozambique using data collected from a market study commissioned by the International Centre for Tropical Agriculture as part of a regional research on conservation agriculture in maize-based farming systems in Sub-Saharan Africa. The results show that Malawi has a slightly higher competitive advantage in the production of tomato compared to Mozambique. Malawi’s relative competitiveness in tomato is mainly due to slightly higher productivity and the cost advantage in labor (low wages) and irrigation costs. The paper proposes policy implications aimed at raising the productivity and trade competitiveness of tomato, as this will ensure the overall productivity of the maize-based smallholder farming systems in the two countries.

Keywords:

• tomato
• value chain
• competitiveness
• Malawi
• Mozambique

Public Interest Statement

This paper outlines the comparative advantage of producing and marketing tomatoes in Malawi as compared to Mozambique. Tomatoes are high-value crops that are more input and labor demanding as compared to maize. However, when well targeted, the returns to labor is very high. However, production and marketing of agricultural produce is key to both countries, thus the need of comparison in commodity choices as part of trade-offs analysis. Malawi, faces land scarcity and economies of scale is compromised as compared to Mozambique. Thus, high-value crops like tomatoes that need very small land parcels but with high returns to income are a necessity in Malawi. In this study, results show that Malawi has a slightly higher competitive advantage in the production of tomato compared to Mozambique. Malawi’s relative competitiveness in tomato is mainly due to slightly higher productivity and the cost advantage in labor (low wages) and irrigation costs.

Acknowledgments

We gratefully acknowledge research funding from the Forum of Agricultural Research in Africa (FARA). We also thank all reviewers for their comments and suggestions on earlier drafts of this article. In particular, we are grateful to Dr. Katherine Snyder of CIAT for her detailed review of all sections of the paper. The authors would like to thank Janine Smit editorial services for editing the English language in this paper.

Additional information

Funding

This work was supported by Forum For Agricultural Research in Africa.

Notes on contributors

Nelson Mango

Nelson Mango is a rural development sociologist specialized in agrarian transformation processes, with an emphasis on small-scale farming, technology development and social change, endogenous development, and rural livelihoods. Over the years, he has done substantive fieldwork on socio-technical dimensions of maize, zero-grazing dairy farming, and soil fertility (re)production in East Africa. He has also worked on livestock, livelihoods, and poverty in Southern Asia and Sub-Saharan African countries using a wide range of methodologies drawn from both quantitative and qualitative research approaches. Currently, his research work has shifted to Conservation Agriculture and how to improve farmers’ livelihoods through multi-stakeholder innovation platforms for linking smallholder farmers to research, extension, and business development services in Southern African countries. Theoretically, he combines actor perspective with broader questions related to political economy.