Agriculture
Agriculture plays a predominant role in Cameroon and is one of the major sectors of the economy. On average, it contributes 20-30% of GDP per- year and employs 60% of the active population. Activity in the field of “industrial and export agriculture” recorded an increase by 4.6% of the added value, that is an improvement of 0.7 point compared to 2018. This change is linked to the increase in the production of cocoa and cotton.
Cocoa
As the fourth-largest producer in the world, Cameroon is strengthening and positioning itself year after year as a key player in the international market. The volume of production, as the volume exported, is increasing, and local processing is growing. Investments by international players (Neo Industry, Atlantic Cocoa) and the emergence of a network of local SMEs(Small and Medium Size Enterprises) allow for primary and secondary processing of Cameroonian cocoa. In 2019 Cocoa production increased by 4.3% to make 322,937 tons despite the disturbances recorded in the South-West Region thanks to the continual increase in production in the other basins.
Local processing absorbs 32.5% of production, and the remaining 67.5% is exported.
Actions taken to Improve Productivity and production
- Distribution of 2,189,439 certified cocoa plants
- Certification of 1,129,00 plants from private nurserymen
- Distribution of 12,180litres of special cocoa fertilizers
- Treatment of 20500 hectares of cocoa orchards
- Creation of 160 Hectares of plantations.
- The distribution of 10.000 pods of cocoa plants to nurserymen.
- The purchase and distribution of 480 shelling machines to farmers.
Besides, for greater efficiency of government support in the sector, the five projects that used to intervene were merged by decision NO 00023/MINADER/CAB of February 17, 2020, in a single “Cocoa development support project” (PAD-CAOA)
Coffee
Over the past decade, the sector has seen an 80% drop in production due to exacerbated international competition and a drop in the price per kilogram. According to a ranking established by the United Nations Food and Agriculture Organisation (UNFAO), between 1984 and 2018, Cameroon fell from 11th to 26th position in the world.
In 2019 Arabic coffee production dropped by 6.6% to reach 6.171 tons That of Robusta fell by 5.8% to stand at 33.586 tons
Major setbacks
- Aging plantations
- Reduced labour force due to the crises in the South-west and North-west.
- Drop of prices in kilogram in the international markets
- Increase in international competition
To increase production the government has decided to distribute 1,750;940 certified coffee plants, the distribution of 11,650 tons of special coffee fertilizers, the rehabilitation and maintenance of 500 hectares of old plantations
Banana
Due to security unrest in the northwest and south-west regions, Cameroon has only two agro-industries currently active in banana production (Union Bananière Africaine and BOH Plantations). In 2019, these two companies produced 224,537 tonnes of bananas. More than 80% of the production is exported to EU (European Union) member states.
Causes of the reduction in exports
- Unfavourable climatic conditions
- Poor condition of production pathways from the plantations to loading platforms
- Financial difficulties of PHP, the industry-leading operator.
Exports fell by 15.1% to support businesses in the sector a convention of 31.7million was signed between the government and the EU for an implementation period of 7 years starting 2012 and has to be extended for 2 years. The 2 years extension period of the agreement should allow companies in the sector to carry out their various investment plans.
Cotton
In 2019, seed cotton and cotton fiber producers grew by 8.5% and 22.4% for 320,077 tons and 131,761 tons respectively. These developments are because of post-harvest losses and the upgrading of production equipment.
SODECOTON continues to implement its investment plan. In this context, she benefited from a loan agreement from the company Islamic Trade Finance International, a subsidiary of the Islamic Development Bank (IBD), for an amount of 64.3billion.
Natural Rubber
In 2019 the production of rubber dropped by 21.7% after an improvement of 8.2% in 2018 and amounted to 35517 tons
The causes of this drop were a result of security disturbances in the production basins which have contributed to the restriction in the collection of latex for the CDC (Cameroon Development Cooperation) and HEVECAM companies.
To increase production a partnership agreement was established between the company “agroindustrielle” Sud Cameroun Hévéa (SUDCAM) and the government. This convention provides for the development of rubber tree cultivation of over 45,000 hectares in the South region, especially in the towns of the Meyomessala, Meyomessi, and Djoum. These 45,000 hectares should be planted by 2027.
Crude Palm Oil
The industrial production of crude palm oil remained almost stable in 2019. Unfavourable weather conditions and insecurity in the southwest region production basin were the causes of this stagnation.
To increase production, investments made by companies in the industry are oriented towards
- Extending the plantations
- Renewing old plantations
- Improving the factory’s extraction rate
- Upgrading of production equipment
- Purchasing of cycle plants material short and high yield
- Strengthening phytosanitary treatments and the use of fertilizers.
To support operators in the local processing of speculation, the government grants each year an import permit of crude oil at CEMAC’s rate of the common external tariff of 5% and VAT (value-added tax) free. In 2019 it covered 90,000 tons of crude palm oil. Regarding village production, mainly intended for the consumption of 233,090 tons, up 3.3% against a decrease of 13% in 2018. To increase village production, the government made available planters 43,500 pre-sprouted nuts and 34,643 plants