Local horticultural exporters have been urged to ride on the African Continental Free Trade Area (AfCFTA) tapping into low-hanging fruits like the US$39 million paprika market where South Africa is the crop’s top importer.
The AfCFTA commenced trading on January 1, 2021.
The country’s trade development and promotion agency, ZimTrade in a statement has said because South Africa is Zimbabwe’s largest trading partner, this will make it easy for local farmers to tap into this market.
“If local exporters ride on the AfCFTA — which commenced trading this year — the current market size is around US$39 million, with South Africa ranking as top African importer of paprika.
“Already, South Africa is Zimbabwe’s biggest trading partner, which will make it easy for local farmers to tap into this market,” said ZimTrade.
The trade development and promotion agency noted that the coming of the continental trade agreement raises an opportunity for Zimbabwean producers to target new markets such as Libya and Algeria who are second and third top importers of paprika in Africa.
Egypt and Tunisia are some potential lucrative markets for paprika in Africa.
“As local farmers target these markets, they need to come up with measures to address some barriers to entry as there is high competition in markets,” it said.