Maputo, July 14, 2026 (Lusa) - Mozambique’s minister of agriculture, Roberto Albino, said on Tuesday that the government would reduce the tax burden on energy, water and fuel tariffs in the coming days for agricultural producers, with a view to attracting entrepreneurs to the sector.
Speaking in Maputo at the high-level panel during the 21st Annual Private Sector Conference (CASP), Mozambique’s largest forum for dialogue between the private and public sectors, the minister said that a proposal to reduce Corporate Income Tax (IRPC) rates for agriculture and agribusiness by 10% is currently under discussion, with discussions expected to be concluded next week.
“To enable producers to have easy access to reduced rates for electricity, water and fuel, later this week, the president gave us a deadline to resolve this by next week,” said Roberto Albino, acknowledging that the reforms currently underway in the country aim to create a favourable business environment so that entrepreneurs see the agricultural sector as a viable area for investment.
“This matter of facilitating access to reduced rates for energy and fuel, especially diesel, not only for those engaged in primary production but also for those involved in processing, forms part of our package of measures to attract more private-sector investment and address the fiscal injustice of the taxation of smallholders,” the minister added.
In the same speech, he highlighted the need for greater investment given the scale of the opportunities affecting the country’s agricultural sector, arguing for sufficient investment to tackle the challenges and reduce imports.
“If we import a billion dollars’ worth of food, we need to invest more than $50 million a year to replace those imports. We will continue to address the problem and resolve it. Therefore, our focus is on investment on a scale commensurate with the problem we wish to resolve,” argued Albino.
The minister also called for the involvement of the private sector to support small-scale producers whilst helping introduce modern irrigation methods to tackle climate-related challenges.
Meanwhile, the chairman of the JFS Group – one of Mozambique’s largest business conglomerates, founded in 1897 – called for diversifying investments with a focus on the agricultural sector and small-scale farmers, emphasising the need to balance mega-projects with other opportunities.
Francisco Ferreira dos Santos advocated market incentives to capitalise on existing investment opportunities in the country, thereby enabling the private sector to invest in agriculture.
“We should recognise that smallholders and businesses alike can benefit from support. Companies also need capital and finance. We talk a lot about access to finance; we discuss how access to capital remains limited; our sector still has significant capital needs,” said Francisco Ferreira.
According to the head of the JFS group, the scale of the investment required must be commensurate with the scale of the problem, and he called for greater coordination between the public and private sectors.
“We need a great deal of coordination within our public-private framework, particularly within the public sector, because this can only be achieved through full coordination between agriculture and the Bank of Mozambique, encompassing trade, industry, and, naturally, the finance sector and the Tax Authority,” added Francisco Ferreira.
From today, CASP will examine projects valued at $1.2 billion (€1.05 billion), according to the CTA, an organisation representing the Mozambican private sector, and organisers expect more than 2,000 people to attend, including members of Mozambique’s government, business leaders, national and international investors, cooperation partners, academics and representatives of civil society.
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