India now one of Mozambique's top agricultural export destinations

Indian companies have become

the major buyers of agricultural

produce from Mozambique

and surrounding countries,

according to Paulo Faia of AMI

Africa Mozambique.

“The Indians are buying up

all the cotton and pulses that

Mozambique and Malawi can

produce,” he says.

Export volumes to India are

expected to continue growing.

In July 2016 Mozambique and

India signed three agreements,

including a long-term deal for the

importation of pulses.

There is a positive balance of

payments for Mozambique in the

trading of agricultural products,

according to the Indian agriculture

department.

It says that in the 2014-2015

financial year exports through

Mozambique totalled US$80.87

million, while Indian exports to

Mozambique were worth around

US$30.81 million.

The main agricultural

commodities being exported

primarily through Beira are beans,

cow peas, oter beans, pigeon peas

and cashew nuts.

Mozambique and Malawi supply

around 15% of India’s pigeon pea

imports.

Indian agricultural exports from

India to Mozambique are primarily

rice, cane sugar, confectionery,

biscuits and oil cake, according to

the Indian agriculture department.

However, Mozambique’s biggest

imports from India are medicines,

textiles and plastics, according to

Infodrive India.

The average agriculture tariff rate

for India and Mozambique is 33.5%

and 8.9% respectively, according to

the World Trade Organisation.