Economic growth and rural poverty context

Namibia is classified as an upper-middle-income country, with an average per capita income of approximately USD 5,800. The structure of Namibia's economy has evolved over the years. In 2024, primary industries accounted for about 16.2% of the Gross Domestic Product (GDP), with agriculture and forestry contributing 3.7%, fishing and fish processing on board 2.8%, and mining and quarrying 9.7%. The secondary industries, which include manufacturing and processing, accounted for 19.1% of GDP, with meat processing contributing 0.5% and fish processing onshore 0.15%. Tertiary industries, encompassing wholesale and retail trade, hotels and restaurants, transport and communication, financial services, real estate, business services, and government services, made up 58.4% of GDP. (NSA, 2024)

Food and Nutrition Security and the Agriculture sector

Namibia is an arid country in southwestern Africa, covering a total land area of 824,268 km². The landscape features poorly vegetated steppe-like areas predominantly in the southern and western regions, the vast Namib Desert along the Atlantic coast, the Kalahari Desert in the southeast, expansive savannahs and woodlands in the central and northeastern regions, and subtropical forests in the far northeastern areas. The country has five perennial rivers located along its borders with neighboring countries, while other rivers are peripheral and mostly dry. Average annual rainfall ranges from less than 20 mm on the Atlantic coast to 600 mm in the northeast, with only about eight percent of the country receiving more than 500 mm annually. (Atlas of Namibia, n.d.) Most of the rainfall occurs during the summer, but drought remains a common challenge across the country. Low and highly variable rainfall, along with inherently poor soils, continue to be significant obstacles to optimal agricultural production.

Despite its relatively small contribution to the Gross Domestic Product (GDP), the agriculture sector remains vital to the livelihoods of the majority of the population, supporting over 70 percent of Namibians either directly or indirectly. The sector is divided into two distinct sub-sectors: the capital-intensive, relatively well-developed, and export-oriented commercial sub-sector; and the subsistence-based, high-labor, low-technology communal sub-sector.

The commercial sector occupies about 44 percent of the total land area but accommodates only about 10 percent of the population. In contrast, the communal sector covers approximately 41 percent of the land area and supports about 60 percent of the population. (Sector Brief Namibia: Agriculture, 2020) Agricultural production and income in the subsistence sector remain low due to several factors, including limited access to markets.

Food and nutrition security situation

Although Namibia has made significant strides in improving food and nutrition security since independence, it remains a top priority for the Government of the Republic of Namibia (GRN). According to the Namibia Vulnerability Assessment and Analysis Report (2024), following the ongoing impacts of recurrent droughts, approximately 340,000 people are food insecure, 460,000 are moderately food insecure, and around 870,000 are food secure. Food insecurity is most prevalent in the northwestern regions, primarily due to chronic poverty and persistent drought conditions.

The main contributors to food insecurity and under-nourishment include the high poverty rate, income inequality, and the ongoing impact of HIV/AIDS. In rural areas, additional factors exacerbate food insecurity, such as chronic drought leading to water shortages, animal deaths, and crop failures. Other challenges include widespread soil erosion, land degradation, lack of agricultural land, isolation from markets, limited income-generating opportunities, and barriers to women's access to land and resources. Furthermore, the lack of implementation of appropriate policies and the loss of indigenous foods and the knowledge needed to prepare them have also contributed to the issue.

The most food-insecure segments of the population include resource-poor households, women, the youth, the elderly, child orphans, the unemployed, and households affected by HIV/AIDS. (Namibia Zero Hunger Strategic Review Report, 2016) Addressing these challenges remains critical to achieving sustainable food and nutrition security in Namibia.

Main Agricultural Sector Challenges

Namibia’s agriculture sector is constrained by a variety of challenges. This section outlines some of the main challenges, the Government’s responses to these and the remaining gaps.

• Limited human and institutional capacity

• Updating policy and turning it into practice

• Lack of coordination on food and nutrition security issues

• Weak access to agricultural data by policy makers and farmers

• Low crop productivity

• Livestock health issues

• Low in-land fish production

• Inadequate land use plans

• Inadequate capacity in land valuation

• Constraints in post-settlement support services to farmers on re-settled land

• Constraints in sustainable forestry management

• Constraints in sustainable water resources management

• Weak capacity in processing, marketing and applying quality/safety standards for crop, horticulture and livestock products

• Vulnerability to threats and crises

• Gender inequalities in the agriculture sector