Tea Ties: From Labor to Ownership

Mozambique’s tea sector is at a turning point. Solidaridad and Sociedade Desenvolvimento da Zambézia (SDZ) are launching an outgrower model that transforms seasonal tea labor into independent production, creating new opportunities for workers while supporting the long-term health of the sector.

The tea industry in Mozambique has long faced systemic challenges. Most critically, a chronic labor shortage has led to production delays, rising costs and in some cases, the abandonment of plantations. Seasonal workers often lack stable income, while tea companies bear the weight of unsustainable operational models.

Yet, a new vision is taking root. In a groundbreaking partnership, Solidaridad and Sociedade Desenvolvimento da Zambézia (SDZ) are poised to launch a bold and inclusive business model that will help transform tea workers from seasonal laborers into producers with a meaningful stake in the value chain.

At the heart of this transformation is a proposed outgrower system, a model designed to integrate local communities into tea production through shared ownership and responsibility. The initiative, developed through continuous engagement between Solidaridad, SDZ and district governments, will formally launch once a Memorandum of Understanding (MoU) is signed by all parties.

The MoU will formalize commitments around land access, roles and responsibilities and market guarantees, setting a firm foundation for the model’s rollout. Once implemented, 652 workers are expected to transition into independent tea producers.

Each person will be allocated approximately 2.5 ha, totaling 1,500 ha under cultivation. These farmers will manage all aspects of production and sell directly to the SDZ factory under a fair and transparent pricing structure. Farmgate prices will range from MZN 7.00 to MZN 12.00/kg (approximately 9–16 euro cents), and a minimum price of MZN 4.00/kg (approximately 5 euro cents) for field purchases .

With average yield projections of 1,200 kg per hectare, this could translate to an annual income of MZN 36,000 (approximately 486 euros) per producer, marking a significant shift from wage dependency to income generation based on entrepreneurship. The outgrower system is not just an economic arrangement; it is a reimagining of how the tea sector can work for everyone involved.

The model aims to:

  • Increase productivity through direct ownership and incentive structures
  • Strengthen local economies by embedding value creation in communities
  • Ensure business sustainability by lowering labor costs and securing raw material supply
  • Promote fairness and inclusion by formally recognizing workers as producers

The pending MoU outlines a governance and accountability framework to ensure effective implementation, conflict resolution and long-term viability of the initiative.

Both SDZ and Solidaridad are fully prepared to implement the model. Trainings, systems and technical support structures have already been designed to support farmers as they transition into ownership roles.

“This is not just a policy shift, but a new era for tea farming in Mozambique,” says Gilberto Nhantumbo, Project Manager (Mozambique), Solidaridad. “We are ready to activate this model the moment the MoU is signed.”

This upcoming transformation holds immense promise: a fairer, more resilient tea economy where producers have agency, companies remain competitive and rural livelihoods are strengthened.

Mozambique’s tea sector may soon become a model of shared prosperity, one that demonstrates the power of partnerships, inclusive design and a vision for lasting change.

It’s time to build a tea sector that benefits all, leaf by leaf, hectare by hectare.”

Gilberto Nhantumbo, Project Manager (Mozambique), Solidaridad

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