On food security and agri-business growth
What operational levers can strengthen profitability in the agri-business sector?
AHMED AL-GHAZALI: Long-term planning, reliable equipment and a strong service ecosystem are key. As the country advances its food security strategy, investors and producers are increasingly focused on maximising yields per hectare. Achieving this requires careful crop planning, proper installation and realistic production forecasts. When farmers receive clear projections, they can plan inputs and manage risk more effectively, improving margins. After-sales services also play a decisive role. If irrigation systems fail or machinery breaks down during planting or harvest, losses can be irreversible. A responsive maintenance structure protects output and can mean the difference between preserving and losing a season’s yield. This model stabilises farm income, builds long-term relationships and smooths the seasonality that characterises primary agriculture.
Human capital development is equally critical. Large-scale projects increasingly incorporate structured training programmes so local operators can manage advanced equipment independently. For example, a $350m project in southern Libya involving the installation of 1000 irrigation pivots includes training centres to upskill local technicians and machine operators. By pairing foreign specialists with Libyan workers, the sec-tor is gradually building a self-reliant technical base. This reduces operating costs, enhances productivity and embeds knowledge within rural communities, creating a cycle of capacity and competitiveness.
In what ways can the supply chain be strengthened while advancing local value addition?
AL-GHAZALI: Leading manufacturers typically operate global production networks that mitigate concentration risk. Nevertheless, logistics remain a key variable, as shipping routes can face delays due to congestion or geopolitical tensions. To address this, operators are emphasising forward planning and inventory management. Forecasting demand for spare parts and maintaining substantial local stock levels has become standard practice, particularly for high-value machinery. Where feasible, non-specialised components are sourced locally. This approach reduces downtime and ensures operational continuity.
Looking ahead, deeper local value addition is the logical extension of supply chain optimisation. Libya’s geographic position offers an opportunity to serve as a production and distribution gateway to African markets. The viability of local assembly plants for agricultural machinery will depend on regulatory clarity, market scale and investor confidence. As reforms improve the investment framework and successful projects demonstrate returns, assembly operations could become increasingly feasible. Such a transition would shorten delivery timelines, create skilled employment and enhance technology transfer, gradually shifting the sector from an import-dependent model to a more integrated industrial ecosystem.
How can Libya leverage its position to expand agri-business links with sub-Saharan Africa?
AL-GHAZALI: Regional integration represents one of the most promising frontiers. Several sub-Saharan countries are landlocked and depend on access to Mediterranean ports. Infrastructure initiatives to improve road corridors from northern Libya into the Sahel, alongside the development of joint free zones, aim to streamline cross-border trade and reduce logistical bottlenecks. If effectively implemented, these links could transform Libya into a conduit for agricultural equipment, inputs and eventually processed goods destined for African markets. For agri-business operators, this would open new demand centres while diversifying revenue streams beyond the domestic market. As logistics improve and trade ties deepen, Libya’s role as a regional nexus could evolve from aspiration to reality, reinforcing food security and export oriented growth.
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