businessincameroon.com

Despite excellent production in 2009, Cameroon's agricultural industry still faces many challenges.

 
The Deputy Prime Minister, Minister of Agriculture and Rural Development, Mr. Jean Kuété, is delighted by the Cameroon agricultural production figures from 2009, especially for export crops, whose results almost doubled; 230 000 tons of cocoa, 270 000 tons of dessert bananas, 2,504 878 tons of plantation bananas, 1,661 832 tons of maize, 245 000 tons of palm oil, 48 443 tons of natural rubber, 123 211 tons of rice, 43 560 tons of Robusta coffee and 12 000 tons of Arabica coffee.
Cotton, however, registered a decline by more than half with 306 000 tons in 2006 and 115 000 tons in 2009. This decrease reflects the economic attitude adopted by the 350 000 cotton farmers, who attempted to lower their production costs. This approach was in response to the continuous drop in prices caused by Western subsidies, particularly in the reduction of the use of fertilizer which results in lower yields. Between 2005 and 2006, the purchase price to producers fell from 195 to 175 FCFA.
The vagaries of world export crop prices also explain the preference of farmers for food crops, despite government efforts to restore agriculture to its original place in the Cameroonian economy. Prior to oil exploitation, in 1978, agriculture was the main source of growth. However, by 2004 it represented only 44% of the GDP, despite continuing to occupy the majority of the workforce (56%) and only cultivating 20% of the available arable land.

Oil Decline
As indicated by the IMF, the Cameroonian government must increase its capacity to mobilize non-oil tax revenues in order to be able to handle the continuous decline of the oil sector. This year, the oil sector should provide 407 billion FCFA (716 million Euros) in budget revenues as opposed to 768 million Euros in 2009.
Uncertainties surrounding export crops have led Cameroonian farmers to prefer food crops, which can be exported in the region and particularly to Nigeria and Gabon. Experts have noted that, "The example of Cameroon shows that even the food products are of interest when they bring benefit". Cameroon has become in recent years a major importer of food products, sensitive to the rate changes in world food prices. The riots in 2008 caused the deaths of at least 40 people.
The government responded to this and decided in 2008 to implement a 45 million Euro plan to boost agriculture, financed primarily by the return of the French debt. In addition to this the plan includes rehabilitation and construction of agro-pastoral schools to provide training for 15000 young farmers and to compensate the aging farming population. The first phase of the three year plan provides funding for agricultural projects, assistance to facilitate relations between banks and farmers, a scheme to support producers and the creation of a network that offers economic information on results and weather monitoring.
Cameroonian agriculture still suffers due to small areas (an average of 1.5 ha) and low productivity. During 2008-2011, the World Bank estimates that its annual growth rate will be around 4%.
"We will continue in 2010 to modernize small farms, while ensuring the promotion of agriculture to the second generation as a means of meeting challenges. It is then hoped that domestic, sub-regional and international demand will grow. Emphasis will be placed on the culture of food and the further development of the main export crops of Cameroon which are coffee, cocoa, tobacco and rubber", promised the Minister of Agriculture.

HG