Dutch MPs visit Tanzania and Ethiopia for business relations

In the third week of August, a group of Dutch parliamentarians visited Tanzania and Ethiopia to investigate the opportunities for Dutch agri-business in those countries. Agri-ProFocus was present at both occasions.

The seven Dutch parliamentarians joining the visit to East Africa were all members of the Parliamentary Commission on Foreign Affairs. In recent years, the Dutch government has changed its policy from providing development aid to promoting mutually beneficial trade. That is why the parliamentarians’ visit focused on finding out about business opportunities in Tanzania and Ethiopia. Key stake was how to deploy the Dutch Good Growth Fund, a 750 million euro facility for the support of business relations, which will be decided on soon.

Tanzania
First, Tanzania was on the itinerary. Agri-Hub coordinator Mr Tom Ole Sikar, who has recently taken up this position, joined the parliamentarians on the 18th of August for a visit to two Dutch companies in the vicinity of Arusha: FIDES Tanzania and RijkZwaan (which is a member of the Agri-ProFocus partnership). In the afternoon, this was followed by a meeting at the offices of TAHA (Tanzanian Horticultural Association) with TAHA, Matchmaker Associates and Agri-ProFocus Tanzania, to discuss broad issues related to agribusiness development.

Mr Ole Sikar reports: “The MPs were interested in knowing how skills development influenced product quality and market access; what services we provide to local agri-businesses; and how land availability and rising conflicts relate to investment in Tanzania. Some of the critical issues pointed out by our side were high taxes and high VAT on import materials, which make Tanzanian products less competitive compared to Kenyan ones; import barriers that lead to long delays at border crossings to clear cargo; and corruption.”

During the evening, a Dutch business group in Arusha was officially launched by the Dutch ambassador, followed by a dinner organised by the Dutch business community. “The parliamentarians explained that the major aim of their visit to Arusha is business and wanted to find out opportunities to improve trade for Dutch businesses in Arusha. This is part of the changes in Dutch policy, which is integrating trade into foreign policy and promoting a shift from aid to trade.”

Ethiopia
The Agri-ProFocus Ethiopia Agri-Hub was invited by the Dutch Embassy to co-organise a two days field trip. Mr Gerrit Holtland, Agri-Hub coordinator in Ethiopia, explains: “On 23 and 24 August, we prepared a tour in which 10 organisations in Ambo-Wolliso region were visited. The organisations included 3 Dutch agri-businesses, an agri-NGO, a cooperative union, the zonal administration, an environmental NGO, a MFI, a NGO working on social accountability and a school. We presented the Agri-Hub as well.”

“The parliamentarians were particularly interested in options for the Dutch Good Growth Fund: the (potential) role of private companies (especially agri-companies) in bringing about socio-economic development. Issues like land grabbing and creating sustainable relationships between companies and local communities were extensively explored.”

He concludes: “The delegation got a good overview of what is going on in Ethiopia in the field of agriculture and the members expressed their gratitude for the organisation. With regard to the Agri-Hub, I think organising the field visits was great and we look forward to a continued good working relationship with the Embassy.”