MASERU –
Lesotho is set for export growth under the New Chinese Trade Policy, according to the Chinese Ambassador to Lesotho, Yang Xiaokun.
This arrangement, the Ambassador said, opens doors for local farmers to export homegrown goods to the People’s Republic of China, potentially boosting the country’s economy and creating jobs.
He explained that the arrangement offers a zero-tariff benefit, meaning certain goods can be exported to another country without incurring import taxes.
“For local exporters, this makes their products cheaper and more competitive in international markets.”
Ambassador Xiaokun stressed that agriculture is a key sector expected to benefit from this policy, with crops, vegetables, and mushrooms earmarked to reach buyers abroad at lower costs, creating opportunities for farmers to increase their income and expand their businesses.
Mushroom farming has been identified as a promising sector, providing a pathway for local communities to engage in international trade through their products, and the Lesotho National Development Corporation (LNDC) has aligned its strategic plan with government priorities, emphasising the country’s potential for producing high-value cash crops, such as mushrooms.
The Ambassador pointed out that this arrangement arose from the 9th Forum on China-Africa Cooperation (FOCAC) Summit, during which the government of the People’s Republic of China announced zero-tariff treatment for all exports from least developed countries (LDCs) with which it maintains diplomatic relations.
“As a beneficiary of this policy, the government of Lesotho now enjoys 100% tariff line coverage for zero-tariff treatment on its exports to China.
“Under this policy, all goods originating from Lesotho that meet the quota requirements will be eligible for zero-tariff treatment when exported to China, effective from December 1, 2024,” he said.
“To further facilitate Lesotho’s exports to China, the General Administration of Customs of China (GACC) has launched the ‘Special Preferential Tariff Treatment Certificate of Origin Issuance System,” the Ambassador revealed, citing that the Revenue Services Lesotho (RSL) would utilise this system to issue Certificates of Origin for export goods that comply with the specified criteria.
“Enterprises can take advantage of the zero-tariff policy upon presentation of a valid certificate and other required materials.”
Mushrooms, as food, tonic, and medicine, reportedly offer a valuable dietary addition rich in high-quality proteins (1940%), essential amino acids, 15% fat, minerals (such as calcium, zinc, phosphorus, and iron), high vitamin content (including VB1, VB2, VA, VC), and other essential micronutrients.
Mushrooms are also believed to benefit the body by enhancing the immune system, lowering blood pressure, and reducing blood sugar levels, among other advantages.
Beyond being a nutritious food source, mushrooms represent a valuable source of income and a promising export product for Lesotho’s farmers.
To get into their production, farmers pay M1,600 for 800 spawns for a 10 m² mushroom bed and can expect to harvest 300 kg of fresh mushrooms within 2.5 to 3 months.
At the local wholesale price of 20 Maloti per kg, a farmer can collect M6,000 in sales. This means that a farmer could have annual sales of M24,000 over four production seasons (one year). The mushrooms could potentially be marketed at up to M60 per kg in supermarkets.
Mushroom cultivation is a reliable and effective method for producing nutritious food in a short timeframe while also boosting income generation.
JUNCAO mushrooms, cultivated from Juncao grasses, are part of a Chinese government-aided project in Lesotho launched in September 2007.
Ambassador Xiaokun stated that by 2022, four phases of the project had been successfully implemented.
He noted that the Chinese side has dispatched technical teams to Lesotho to provide training in Juncao mushroom cultivation, conduct on-site technical guidance, and supply essential materials, tools, and equipment.
The Ambassador further mentioned that these efforts have achieved positive results in supporting farmers across various regions to improve their livelihoods and increase their incomes.