Value to primary sector

The Mozambique Confederation of Economic Associations (CTA) yesterday backed adding value to primary agricultural products as one potential response to the country’s slide to penultimate place in a global competitiveness index.“One of the factors contributing to the economy’s competitiveness which is being neglected is the fact that Mozambique has grown on the basis of raw material exports,” the country’s main employers’ association said in a statement distributed yesterday.“In this regard, we strongly support the policy announced by the government, reducing Mozambique’s economic dependence by adding value to primary products,” it added.According to the CTA, sectors linked to primary production are “very demanding in terms of concerted policies, both in terms of infrastructure, as well as access to financial products and services, and education and workforce training”.This being the case, the confederation suggests that business clusters be established close to the country’s development corridors, in areas with “a little of everything in terms of comparative advantages: water, fertile land and easy access to the sea”.Mozambique has fallen three places in the latest edition of the World Economic Forum’s global competitiveness ranking, released on Wednesday. From ranking 13th among 138 countries in the 2016-17 index, it has fallen to 136th in a universe of 137.