Consultants claim N$8m from Kalimbeza's N$18m allocation
A parliamentary standing committee on natural resources report has revealed that of the N$18 million allocated to the Kalimbeza Rice Project, N$8 million was spent on consultants, leaving little for operational expenses, machinery or production inputs.
The committee criticised the arrangement as not making "any economic sense” and reflective of the mismanagement and centralised bureaucracy that continue to cripple Namibia’s green scheme programme.
The report estimates that rehabilitating and expanding the six schemes it inspected – Kalimbeza, Shadikongoro, Ndonga Linena, Musese, Sikondo and Uvhungu Vhungu – will require around N$300 million.
Extrapolated to include the remaining five green schemes (Etunda, Mashare, Shitemo, Hardap and Orange River), the national rehabilitation cost is estimated to exceed N$900 million.
However, the 2025/26 national budget allocates only N$113 million to the green scheme programme, of which N$33 million is for operational costs and N$80 million for infrastructure maintenance and development.
The committee cautioned that the programme’s current funding “is insufficient even to stabilise” operations across the schemes they inspected.
Rice fields idle despite millions injected
At the Kalimbeza Rice Project in the Zambezi region, production has halted mainly due to broken equipment and chronic underfunding.
Project manager Patrick Kompeli told the committee that operations “have faced significant challenges, including broken machinery, vandalism and lack of funds for repairs.”
The project, which occupies 229 hectares with 150 hectares suitable for rice production, harvested 180 tonnes of raw rice in 2024.
However, “the rice remains unprocessed because the processing machine has been out of order,” Kompeli said.
Although the agriculture ministry allocated funds for a new machine, the equipment “has not yet been procured", the report stated.
The committee took aim at the practice of managing procurement centrally from Windhoek, warning:
“The current arrangements of centralising operations from Windhoek will lead to economic collapse, as signs are already showing," committee members warned.
Funding gaps, ageing equipment
At Shadikongoro, which combines commercial and small-scale farmer production, the farm requires N$48 million to buy new machinery and develop 183 hectares for maize, wheat and orchards.
The project currently operates with only two tractors and borrows a combine harvester from neighbouring schemes.
The Ndonga Linena Green Scheme was highlighted as a national success story for introducing precision-farming technology such as soil sensors, automated irrigation and crop monitoring.
Farm manager Janno Rentel said with the technology they have, they can monitor soil conditions in real time and track the growth of every crop.
In the 2025 season, Ndonga Linena’s commercial operations produced 1 900 tonnes of maize worth N$17.94 million, with a combined turnover target of N$47.5 million for the next season.
However, small-scale farmers told the committee they face electricity bills of over N$1 million per month, which undermines their profitability.
Success amid woes
At Uvhungu Vhungu, farm manager Floris Smith reported that the Namibia Revenue Agency (NamRA) owes the farm N$2.5 million in VAT refunds outstanding for four years.
“If released, the funds would significantly support repairs, maintenance and the purchase of new equipment,” Smith said.
The scheme has refurbished two pump stations for N$1.75 million, repaired four pumps and dragline systems and purchased new tractors and crop sprayers. Yet, it still lacks a storage facility, leading to “serious losses, delays and wastage”, according to the report.
The Sikondo Green Scheme in Kavango West, known for its long-running potato production, also struggles with high electricity costs and outdated irrigation systems. While the committee noted ongoing efforts to diversify into fruit trees and livestock feed, it stressed the urgent need for investment in modern technology to sustain operations.
At Musese, a privately operated facility, maize and livestock production continue to be strained by power outages.
The committee commended the project for maintaining food production and employment despite financial and logistical challenges.
Centralisation stifles progress
The committee found that the centralised procurement system remains a significant obstacle to all projects.
“Currently, all approvals and authorisations must be obtained from Windhoek. These delays slow down critical operations such as machinery repairs, acquisition of inputs and maintenance of infrastructure,” the report said.
It recommended decentralising decision-making to regional offices, arguing that this would “enhance accountability, strengthen local capacity and reduce bottlenecks.”
Potential fatal blow
The report also reiterated that the 2021 dissolution of the Agricultural Business Development Agency (AgriBusDev), though well-intentioned, “lacked a strategic direction and has been prolonged.”
The committee warned that the government’s partial integration of AgriBusDev into the ministry “may kill the green scheme entirely; signs are already showing.”
While the report does not directly cite her, President Netumbo Nandi-Ndaitwah’s administration has repeatedly emphasised food self-sufficiency and rural revitalisation as national priorities.
The committee’s findings underscore how far that vision remains from reality, noting that “persistent challenges must be urgently addressed through improved coordination, strengthened financial management, capacity building and policy reforms.”
The committee concluded that the green schemes remain vital for food security, employment creation and rural development but warned that without decisive action, their decline will deepen.
“These projects have the potential to serve as models for sustainable agriculture across Namibia,” the report said, “but achieving this requires urgent reform in management systems, decentralisation of procurement, stronger coordination with the private sector, and investment in modern technology and infrastructure.”
The committee criticised the arrangement as not making "any economic sense” and reflective of the mismanagement and centralised bureaucracy that continue to cripple Namibia’s green scheme programme.
The report estimates that rehabilitating and expanding the six schemes it inspected – Kalimbeza, Shadikongoro, Ndonga Linena, Musese, Sikondo and Uvhungu Vhungu – will require around N$300 million.
Extrapolated to include the remaining five green schemes (Etunda, Mashare, Shitemo, Hardap and Orange River), the national rehabilitation cost is estimated to exceed N$900 million.
However, the 2025/26 national budget allocates only N$113 million to the green scheme programme, of which N$33 million is for operational costs and N$80 million for infrastructure maintenance and development.
The committee cautioned that the programme’s current funding “is insufficient even to stabilise” operations across the schemes they inspected.
Rice fields idle despite millions injected
At the Kalimbeza Rice Project in the Zambezi region, production has halted mainly due to broken equipment and chronic underfunding.
Project manager Patrick Kompeli told the committee that operations “have faced significant challenges, including broken machinery, vandalism and lack of funds for repairs.”
The project, which occupies 229 hectares with 150 hectares suitable for rice production, harvested 180 tonnes of raw rice in 2024.
However, “the rice remains unprocessed because the processing machine has been out of order,” Kompeli said.
Although the agriculture ministry allocated funds for a new machine, the equipment “has not yet been procured", the report stated.
The committee took aim at the practice of managing procurement centrally from Windhoek, warning:
“The current arrangements of centralising operations from Windhoek will lead to economic collapse, as signs are already showing," committee members warned.
Funding gaps, ageing equipment
At Shadikongoro, which combines commercial and small-scale farmer production, the farm requires N$48 million to buy new machinery and develop 183 hectares for maize, wheat and orchards.
The project currently operates with only two tractors and borrows a combine harvester from neighbouring schemes.
The Ndonga Linena Green Scheme was highlighted as a national success story for introducing precision-farming technology such as soil sensors, automated irrigation and crop monitoring.
Farm manager Janno Rentel said with the technology they have, they can monitor soil conditions in real time and track the growth of every crop.
In the 2025 season, Ndonga Linena’s commercial operations produced 1 900 tonnes of maize worth N$17.94 million, with a combined turnover target of N$47.5 million for the next season.
However, small-scale farmers told the committee they face electricity bills of over N$1 million per month, which undermines their profitability.
Success amid woes
At Uvhungu Vhungu, farm manager Floris Smith reported that the Namibia Revenue Agency (NamRA) owes the farm N$2.5 million in VAT refunds outstanding for four years.
“If released, the funds would significantly support repairs, maintenance and the purchase of new equipment,” Smith said.
The scheme has refurbished two pump stations for N$1.75 million, repaired four pumps and dragline systems and purchased new tractors and crop sprayers. Yet, it still lacks a storage facility, leading to “serious losses, delays and wastage”, according to the report.
The Sikondo Green Scheme in Kavango West, known for its long-running potato production, also struggles with high electricity costs and outdated irrigation systems. While the committee noted ongoing efforts to diversify into fruit trees and livestock feed, it stressed the urgent need for investment in modern technology to sustain operations.
At Musese, a privately operated facility, maize and livestock production continue to be strained by power outages.
The committee commended the project for maintaining food production and employment despite financial and logistical challenges.
Centralisation stifles progress
The committee found that the centralised procurement system remains a significant obstacle to all projects.
“Currently, all approvals and authorisations must be obtained from Windhoek. These delays slow down critical operations such as machinery repairs, acquisition of inputs and maintenance of infrastructure,” the report said.
It recommended decentralising decision-making to regional offices, arguing that this would “enhance accountability, strengthen local capacity and reduce bottlenecks.”
Potential fatal blow
The report also reiterated that the 2021 dissolution of the Agricultural Business Development Agency (AgriBusDev), though well-intentioned, “lacked a strategic direction and has been prolonged.”
The committee warned that the government’s partial integration of AgriBusDev into the ministry “may kill the green scheme entirely; signs are already showing.”
While the report does not directly cite her, President Netumbo Nandi-Ndaitwah’s administration has repeatedly emphasised food self-sufficiency and rural revitalisation as national priorities.
The committee’s findings underscore how far that vision remains from reality, noting that “persistent challenges must be urgently addressed through improved coordination, strengthened financial management, capacity building and policy reforms.”
The committee concluded that the green schemes remain vital for food security, employment creation and rural development but warned that without decisive action, their decline will deepen.
“These projects have the potential to serve as models for sustainable agriculture across Namibia,” the report said, “but achieving this requires urgent reform in management systems, decentralisation of procurement, stronger coordination with the private sector, and investment in modern technology and infrastructure.”
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