Drought in Zambia Worsens Vital Sectors of the Economy

The Zambian government is considering asking farmers to make certain changes in crop production, such as importing maze from South America, to help with the deficit and rising irrigated crops, according to Reuters. The Southern African country also suffers from waning production in the mining sector due to declining commodity prices; moreover, a drought is causing the nation to lose a great deal of power. Much of Southern Africa has been ravaged by a severe drought that could cause mass starvation of 14 million people.

The Zambian government is considering asking farmers to make certain changes in crop production, such as importing maze from South America, to help with the deficit and rising irrigated crops, according to Reuters. The Southern African country also suffers from waning production in the mining sector due to declining commodity prices; moreover, a drought is causing the nation to lose a great deal of power. Much of Southern Africa has been ravaged by a severe drought that could cause mass starvation of 14 million people.

Zambia’s drought situation has a cascading effect throughout important sectors of the economy. As if the drought is not bad enough, the country also contends with a severe power shortage that partly stems from insufficient water levels to sustain hydropower needs. The government plans to issue over one million energy-efficient light bulbs after imposing a ban on traditional light bulbs, but this is a temporary solution when considering the weight of the problem.

Many citizens must contend with power outages lasting up to eight hours a day, sometimes longer as imports become rare in a high-demand market. Zambia imports some of its energy from a company in Mozambique, but prices are going up due to sub-standard power levels. To mitigate reliance on hydropower, Zambia plans to operate a coal power plant by June of this year, but it remains to be seen if such a plan will work.

The energy crunch has caused the government to raise power prices for mining companies, but some firms may be forced to close certain power plants as a result. Moreover, the government’s mixed response in regards to mining royalties has confused some investors, causing them to stall numerous investment projects.

Zambia is currently Africa’s second-largest copper producer, but China’s slowdown and the commodities price slump are leaving the government with few reform measures as officials lack the revenue stream to govern effectively. Despite the challenges, Zambian copper production went up 0.5% in 2015, but this is primarily due to contributions from mining firm First Quantum Minerals Ltd., notes Bloomberg.

Zambia’s main problem is its overreliance on copper, and much of the country’s citizens are still farmers who live off the land. Zambians have been more fortunate than other African nations by avoiding major conflict, but most of the people remain in poverty, and policymakers do not have a plan that accommodates the country’s growing population. According to the United Nations, Zambia will triple its current population of 13 million by the time 2050 arrives.