Political turmoil in Mozambique has disrupted Eswatini’s sugar exports, as the country relies on the port of Maputo. The Eswatini Sugar Association warns of increased costs and delays due to potential rerouting through South Africa. The unrest poses broader implications for regional trade and economic stability, necessitating alternative strategies and stronger conflict resolution frameworks.
The recent political unrest in Mozambique has significantly disrupted the sugar export supply chain of Eswatini, compelling the nation to explore alternative shipping routes. The Eswatini sugar sector is heavily reliant on the port of Maputo, Mozambique, where a terminal is jointly operated with South Africa, Zimbabwe, and Mozambique. Since the mid-1990s, this port has been essential for exporting raw sugar to markets in the European Union and the United States.
Nontobeko Mabuza from the Eswatini Sugar Association (ESA) has expressed concern regarding the impact of Mozambique’s instability on export operations. She noted that while rerouting shipments via Durban, South Africa, is possible, this transition could incur additional costs and result in longer delivery times. Given the existing economic framework, consumers might favor moving their shipping base to Durban, which would burden transport infrastructure due to the increased volume of goods traveling through South Africa instead of Mozambique.
In 2023, the ESA reported revenue of $305 million from exporting over 26,000 tons of sugar to various markets, leveraging the U.S. African Growth and Opportunity Act. However, Bhekizwe Maziya, chief executive of Eswatini’s national agriculture marketing board, indicated that the political strife has caused severe border congestion and delays exacerbated by the closure of the Lebombo border post between South Africa and Mozambique.
Protests led by opposition figure Venancio Mondlane have shut down significant transportation routes in Mozambique, leading to clashes with security forces and resulting in numerous fatalities. Mozambican political activist Solomon Mondlane articulated that the unrest could obstruct trade for neighboring landlocked nations such as Eswatini, emphasizing the urgent need to identify reliable export routes to avert future disruptions.
Political analyst Sibusiso Nhlabatsi underscored the necessity for the Southern African Development Community to reinforce conflict management strategies in light of the internal crises afflicting member states like Mozambique. Establishing accountability frameworks can help maintain regional stability in the face of such challenges.
The political turmoil in Mozambique has critical implications for the economies of its neighboring countries. Mozambique serves as a transit point for various exports, especially for landlocked nations like Eswatini. The reliance on the port of Maputo for sugar exports underscores the interconnectedness of the Southern African economy and highlights the vulnerabilities faced by dependent countries amid regional instability. The ongoing protests and the consequences of border closures have further strained trade and raised alarms regarding regional economic health.
In summary, the political unrest in Mozambique presents significant challenges for Eswatini’s sugar export sector, with potential economic ramifications for the region. The reliance on the port of Maputo exposes Eswatini to supply chain disruptions, prompting calls for expedited evaluation and adaptation of alternative trade routes. Regional stakeholders must engage proactively to mitigate these risks, ensuring economic resilience amidst ongoing instability.
Original Source: www.voanews.com
