Page 1 of 13 the DIYUNDO/MUKWE AGRICULTURE and TOURISM
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THE DIYUNDO/MUKWE AGRICULTURE AND TOURISM PROJECT Kavango East Region Republic of Namibia IMPLEMENTED BY: YINEYA INVESTMENTS CC Page 1 of 13 1. WHO ARE WE We are a group of Namibians who have registered a company (Close Corporation) with the Ministry of Industrialisation, Trade & SME Development with the purpose of setting up viable economic enterprises to supply goods and services within and outside the borders of Namibia. The company is called Yineya Investments CC with the following as shareholders: 1) Mr. Steven Muheto (50%) 2) Mr. Munu Kuyonisa (50%) 2. WHAT DO WE WANT TO DO? To participate in all sectors of the Namibian economy by setting up various commercial enterprises as sole owners or in joint partnerships with individuals, companies, State–Owned Enterprises or any other legal persona. 3. THE DIYUNDO PROJECT 3.1 Introduction The principle underlying this project is to take advantage of the comparative advantage offered by the Kavango River system to establish projects. Land in the Kavango East Region is predominantly communal; and is used for a number of purposes such as small scale crop and livestock farming; large scale irrigated green scheme farming, tourism and conservation, forestry, etc. Diyundo is situated north of the Kavango River at Mukwe in the Kavango East Region. Its strategic position along the Trans- Caprivi Highway, Divundu-Mucusso Road to Southern Angola, on the road to and through Botswana up to South Africa by joining the Trans Kalahari Highway and the newly proclaimed settlement of Divundu presents opportunities for agriculture production and small scale agro- processing, tourism and trade within and outside Namibia. There is plenty of idle land north of the river up to the border with Angola at Mucusso. The trade route covers countries such as Botswana, Zambia, Zimbabwe, Angola and DRC (Lubumbashi). The following business opportunities will be pursued: Page 2 of 13 Agriculture food production and agro- processing Aquaculture (Fresh water fish farming) Tourism and recreation. 3.2. PROJECT VISION Achieving food security in Namibia and make Diyundo a tourist centre of choice by utilising the waters and scenery of the Kavango River and land at Diyundo/Mukwe while pursuing all opportunities available in the broadest agricultural and tourism sectors. 3.3 PROJECT OBJECTIVES: I. To improve food security in the Kavango East Region and Namibia in general. II. To create wealth by building an integrated dynamic local economy moving from subsistence farming to commercial farming and eco- tourism. III. To promote local level ownership of resources. IV. To create vibrant agro- industries in the area V. To create sustainable job opportunities VI. To reduce food imports and serve on forex. 4. SPECIFIC PROJECTS 4.1 TOURISM The area is centrally situated between tourism areas of Etosha National Park, the western coastal areas, and Kunene Region; to the east is the Victoria Falls; while the Okavango Delta and Mahangu Game Reserve are in the south east. Diyundo has potential to be developed as the springboard for tourism ventures into Southern Angola. The Mahangu Game Reserve has the highest concentration of mammals in Namibia, boasting the greatest diversity of birds in the country. The Buffalo core area having almost all animal species in Namibia is only 20 kilometres away. The tourism establishment will comprise a lodge, camp sites, tourist information centre, bush camps, tour operators and guides, traditional Hambukushu homestead and crafts Page 3 of 13 outlets. It is envisioned to provide high-quality African safari expeditions to view Namibian flora and fauna including the BIG FIVE. Figure 1 Position of Diyundo just below the name Caprivi Game Reserve. Wildlife farming (ranching) will also be part of the enterprise since not only does it provide good income at auctions but also contributes to conservation. 4.2 Aquaculture The project intends to establish fish farms by acquiring fingerlings from the Kamuchona Fisheries Research Institute which is only fifteen kilometres downstream. There is an increasing demand for tilapia fillets in the Jo’burg and Cape Town restaurants. 4.3 AGRICULTURE Agriculture in Namibia is a sector that sustains up to 70 % of Namibians either directly or indirectly. In spite of its potential, it is worrisome that the sector has been declining for years in its share to GDP and employment. Yineya Investments CC has identified this as an opportunity to venture into by cultivating crops and embark on agro-processing where economically viable. Page 4 of 13 CROP FARMING The following table indicates food imports by Namibia (mostly from South Africa) according to the Namibia Statistics Agency (September 2015). Item 2004 2010 2014 Potatoes, fresh and N$36.4 million N$85.5 million N$125 million chilled Apples N$24 million N$45 million N$71 million Maize(not seeds) N$49 million N$110 million N$360 million Malt N$50 million N$148 million N$175 million Margarine N/A N/A N$90 million Sweet biscuits N/A N/A N$87 million Juices N/A N/A N$283 million TOTAL FOOD N$1.8 BILLION N$4 BILLION N$7.3 BILLION IMPORTS In 2014, local wheat consumption was between 100 000- 120 000 tonnes while own production was a mere 11 600 tonnes. Consumption for white maize was 135 000 tonnes while local production was only 73 000 tonnes. The imports as indicated above are opportunities that Yineya Investments CC wants to exploit by establishing an irrigated farm north of the river at Diyundo/Mukwe to supply locally and where possible export. In this regard, the following crops will be possibilities for cultivation: sunflower, cotton, ground nuts, dates, lucerne, cabbages, carrots, pumpkins, tomatoes, watermelons, sweet melons, onions, butternuts, potatoes, avocados, bananas, beans, beetroots, broccoli, chilli, cucumbers, grapes, lemons, lettuce, mangoes, naartjies, oranges, pears, and pine apples. There is huge potential for value chain processing on most of these food items such as juices, margarines, jam, flour, cooking oil, canning, etc. Page 5 of 13 On the next pages follows a number of photos of the identified area along the Kavango River. The gentleman is pointing at an island: the water is a tributary which doesn’t dry up. Page 6 of 13 Page 7 of 13 Page 8 of 13 Page 9 of 13 Page 10 of 13 Page 11 of 13 AGRO- PROCESSING Almost all products identified can be processed and preserved for future use and export. Namibia has not invested much in the preservation (cooling and chilling) of its agricultural produce. All efforts will be made to add value to all the products. Current constraints on export of meat due to the red line can be overcome by canning it. POULTRY This is another potential product envisaged for production at this farm. In addition to producing eggs, a broiler will be set up to reduce imports of chicken meat and where possible export to neighbouring countries. Yellow maize will be cultivated as part of chicken/cattle feed; which Namibia imports in big volumes from Zambia and South Africa. FEEDLOT FOR BEEF PRODUCTION Yineya Investments CC will also participate in the production of meat for local and export to other Africa countries by setting up a feedlot with a holding capacity of 1 500 cattle at any given time. 5. INFRASTRUCTURE AND UTILITY SERVICES The provision of services such as water, electricity, transport networks, telecommunications, education, health, etc. should not pose a major challenges as these are obtainable just across (south of) the river. 6. WAY FORWARD 1) Application for land rights ownership for security of tenure. 2) To commission a study to look at the Cost-Benefit Analysis and viability of specific projects through Feasibility Study and Environment Impact Assessment. 3) Study to look at the requirements and availability of water, energy, markets, storage, and processing facilities. 4) Study to look at the Funding mechanisms to be used to finance the initiatives. Page 12 of 13 6. LAND REQUIRED In order to implement this ambitious but potentially lucrative project, it will have to be implemented in phases requiring an area of 10 000 hectares which Yineya CC has negotiated from the traditional authority for multiple projects. 7. BUSINESS JOINT VENTURE PARTNERS NEEDED Given the afore-said, Yineya CC is seeking to partner with a credible investor(s) possessing the requisite skills, experience, drive and capital to jointly exploit the business opportunities as identified in this project summary on a win-win philosophy. For further information kindly contact the promoters as below: 1. Mr. Steven Muheto at 264 812989777 Email at [email protected] 2. Mr. Munu Kuyonisa at 264 811278873 Email at [email protected] Page 13 of 13 .