Swazi Observer

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ESWATINI OIL MILLS PROJECTS 100 000 INDIRECT JOBS FOR FARMERS

By NOMFANELO MAZIYA | 2024-07-01

SOMI MD Muhammad Daud sees a golden opportunity for Eswatini farmers and the nation's economy in boosting domestic soybean production.

During the Royal tour by His Majesty King Mswati III of the oil manufacturer’s expansion into Eswatini Oil Mills (Pty) Ltd on Wednesday , Daud highlighted the potential for creating over 100 000 indirect jobs for farmers if Eswatini achieved self-sufficiency in soybean production.

Daud's vision pivots on maximizing SOMI's production capacity of 1 000 tonnes of soybeans per day.

He estimates that within 36 months, 100 000 farmers could be employed if Eswatini eliminates soybean imports entirely. “Currently, SOMI relies on importing 4 700 tonnes of soybeans monthly from South Africa, Brazil and Argentina,” Daud told His Majesty.

He added that the plan would go beyond eliminating imports.

Daud envisions Eswatini transforming into a soybean exporter, with a projected output of 12,000 metric tons per month once domestic production is ramped up.

To achieve this ambitious target, SOMI requires a staggering 180 000 tonnes of soybeans annually to meet its operational needs, according to Daud. To bridge the gap between current production and their goal, Daud recognises the need for collaboration.

He said meetings were planned with the Ministry of Agriculture and the National Agriculture Marketing Board (NAMBoard) to discuss how these entities can facilitate the large-scale production of soybeans required.

Daud further mentioned that this proposal holds the potential to be a game-changer for Eswatini's economy. He said by empowering local farmers and reducing dependence on imports, the initiative could create significant job opportunities, boost exports, and strengthen Eswatini's agricultural sector.

According to OEC World, Eswatini's soybean trade in 2022 reflects a small but potentially growing niche.

It notes that while the total value of soybean exports was only $6.88 thousand, Eswatini ranked as the 97th largest exporter globally.

It also indicates that this is despite it being the 480th most exported product domestically. South Africa was the sole recipient of Eswatini's soybean exports in 2022, according to the statistics. It mentions that on the import side, Eswatini purchased US$2350 worth of soybeans, primarily from South Africa again. Eswatini's import ranking for soybeans was much lower at 177th, according to the statistics.

It further indicates that in 2021, Eswatini imported soybeans valued at US$30 890 with a quantity of 13 415kg.

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