Kavango east: The Vhungu Vhungu Green Scheme in the Kavango East Region requires an annual budget of N.dollars 22 million to operate at full production capacity, farm manager Floris Smith has said. Smith made the remarks on Monday in response to a question from Paulus Mbangu, chairperson of the Parliamentary Standing Committee on Agriculture, Environment and Natural Resources.

According to Namibia Press Agency, the committee is conducting an oversight visit to the Kavango East Region from 18 to 20 August 2025. Smith explained that for both the summer and winter crops, the full annual production budget would be N.dollars 22 million, depending on the cost of fuel, electricity, and the amount of rainfall the country receives.

When asked whether the farm could become self-sustainable in the near future, Smith said that prior to the establishment of Agribusdev, green schemes such as Shadikongoro operated independently and sustainably. He stated that he did not use taxpayer money and managed all expenses from marketing and sales to salaries, depositing the income directly into the bank.

Smith emphasised that the key difference between past and current management lies in decision-making and financial control. Previously, he could directly handle financial matters like writing cheques for repairs and salaries, but now he has to go through another party for such decisions.

According to Smith, with greater autonomy and decision-making authority, green schemes like Vhungu Vhungu could be self-sustainable. However, he also highlighted the need for fully functional machinery and equipment. Currently, the farm has only two operational tractors, while seven are needed to meet its full production requirements. Smith mentioned that they are still waiting for additional equipment to arrive.