Fuel Overview

All petroleum products need to be imported, with the exception of natural gas, as Mozambique started to produce natural gas late last century in the province of Inhambane. Current, privately-operated gas production holds proven reserves of 2.6 trillion cubic feet (TCF). The natural gas is produced and processed at a central facility, and then transported via an 865 km pipeline to South Africa, with a link to southern Mozambique for domestic use.

New sites are being developed in the Rovuma basin (Cabo Delgado) that holds over 180 TCF of liquified natural gas (LNG) reserves . Production was due to start in 2022, however, due to security constraints in the sites surrounding areas it was postponed to 2023. Mozambique is expected to become one of the major LNG exporters in 2024.

In terms of other fuels, the ports of Matola (Maputo), Beira and Nacala all have import terminals. Plans are underway to establish a fuel refinery at Nacala, however work has not yet started and it may be some time before it is operational. The extent to which it will provide fuel for the Mozambique domestic market also remains undetermined.

For more information on government and fuel provider contact details, please see the following links: 4.1 Government Contact List and 4.7 Fuel Providers Contact List.

Information may also be found at: http://www.mytravelcost.com/petrol-prices/ which is updated monthly. 

Fuel Pricing

The cost of the fuel imported into Mozambique fluctuates according to world prices and currencies. After approximately one year without variation, on 21 October 2021, the GoM readjusted the fuel prices. Diesel was the least affected with 7% increase, while cocking gas (GLP) suffered the major increase (22%). To minimize the impact, the Government continues to  subsidise the diesel prices for the public transport

Seasonal Variations 

Fuel Transportation

Fuel distribution within Mozambique is largely done by road, with railways being a second option in specific occasions. Transport infrastructure and fleets are sufficient to handle the current domestic needs. The potential for increased demand from the humanitarian community does not represent a major challenge.

Standards, Quality and Testing

Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.

Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.

Mozambique Transporters

Regional round-trip transit times: Lilongwe = 8 days, Blantyre = 6 days, Lusaka = 8 days, Harare = 3 days… these are estimates and providing there are no border crossing/clearance delays. Routings to Malawi ex- Beira: Blantyre is best via Milange (Mulanje) and Lilongwe is best via Tete and Calomue (Dedza). The Tete Bridge crossing rate for trucks is MZN 800 (US $23) for north-bound traffic only but delays can be as long as 4 days due to lane closures from maintenance. The new Armando Emilio Guebuza Bridge over the lower Zambezi at Caia has the same rates but without any delays

4.7 Mozambique Transporter Contact List

Vehicle Rental, Taxi Companies, Freight Forwarding Agents, Handling Equipment, Power Generation and ISPs.

4.8 Mozambique Additional Services Contact List

Vehicle Rental

For a list of rental car companies, please select the contact list given above.

For information on road security and for driving tips, please select the following document:

Mozambique Additional Service Providers Additional Information

Taxi Companies

For a list of taxi companies, please select the contact list given above.

Freight Forwarding Agents

For a list of freight forwarding agents, please select the contact list given above.

Handling Equipment 

For a list of handling equipment agents, please select the contact list given above.

Electricity and Power 

The electricity authority is Electricidade de Moçambique – EDM is responsible for generation, transmission and distribution but there are other companies that produce and distribute electricity. The principal generator is Hidroelectrica de Cahora Bassa, a company jointly owned by Portugal (82%) and Moçambique (18%) and the biggest hydroelectric scheme in Southern Africa. Hydropower is the most important commercial energy resource with huge potential, 2,545 MW has so far been developed. A total of 2,400 MW is installed at Cahora Bassa Dam on the Zambezi River. The installed capacity of EDM is 316 MW, of which is all hydropower, diesel plants are installed but only used as a back-up. Demand for electricity is increasing at a rate of over 20% per year so current surplus will soon disappear. For a list of main producers / distributors of electricity and power, please select the contact list given above.

For information on Power Stability, please select the following document: Mozambique Additional Service Providers Additional Information

Internet Service Providers (ISPs)

For a list of ISPs Provider Companies, please select the contact list given above. It is estimated that there are over 350,000 internet subscribers which represents 1.6% of population. In 2009 there were 14 internet service providers in Moçambique

The rate quoted below has been set by the GoM and is the minimum legal pay rate for casual workers.

Telecommunications Overview

The telecommunications infrastructure in Mozambique is largely confined to urban areas and its service is predominantly mobile. It is dominated by the three existing mobile operators: Vodacom (private – https://vm.co.mz/), Movitel (private – https://movitel.co.mz/), and Mcel (state-owned – http://www.mcel.co.mz/) and the incumbent fixed operator TDM (Telecomunicações de Moçambique, state-owned – http://www.tdm.mz/). Mcel and TDM are being merged in an effort to combine business activities, aiming to improve the cost-efficiency of state-owned companies, i.e. improving performance with lower costs.

Mozambique has one of the lowest level of fixed telephony penetration in the region. Less than 2% of households are subscribers of landline communications. In contrast, the mobile market keeps growing at an average rate of 26% per year, and covers over 65% of the population.

Mobile broadband penetration (3G) is estimated at approximately 30%, mainly in urban areas, because most of Mozambique’s inhabitants (up to 70%) live in rural areas where high costs and low returns make it commercially unattractive for mobile operators to roll out mobile broadband services. However, new entrant Movitel has been rolling out its network aggressively in rural areas and already offers 3G-based voice services and broadband, though to a small extent.

4G services are not yet available.

Some urban areas of Mozambique are benefiting from investment in fibre optics networks by commercial players, but this is still limited to very dense urban areas in the larger cities.

Mozambique is well-served by international connectivity and, in general, there do not appear to be any concerns regarding the pricing or availability of international connectivity. However, it can be expensive to access international connectivity through backhaul service providers.

Factors such as poor network quality, a lack of standardised network specifications, high backbone network pricing, unbalanced spectrum charging mechanisms and a wide range of economic factors have resulted in a lack of infrastructure sharing, duplication of backbone networks and a lack of investment in telecommunications networks in rural areas to provide voice and broadband services.

Further reform of the legal and regulatory framework is underway to increase competition, strengthen sector governance, reorganise state-owned operating companies, and extend services to all.

For more information on telecoms contacts, please see the following link: 4.8 Additional Services Contact List

Telecommunications Regulations

Mozambique’s Communications Regulatory Authority is the “Instituto Nacional das Communicações de Moçambique” (INCM – http://www.incm.gov.mz/home), which falls under the jurisdiction of the Ministry of Transport and Communications (MTC). The INCM is responsible for defining policies and strategies, and serving as an arbitrator and guarantor of law enforcement.

Existing Humanitarian Telecoms Systems

WFP has the most extensive telecommunications network with repeaters spread countrywide. Other large networks belong to UNDP, UNHCR, UNICEF and FAO.

Internet Service Providers (ISPs)

Internet connectivity is available in most of the country, mainly through mobile service providers. In dense urban areas, there is an increased utilisation of fibre optic connections. 4G connections are not yet available. A wide range of private companies are able to provide internet services.

Mobile Network Operators (MNOs)

The first mobile service provider was Mcel (state-owned), which was followed by Vodacom and more recently Movitel, both being private. Mcel and Vodacom have targeted first the corporate sector, whilst Movitel’s strategy aims at the population at large, mainly in rural areas. Vodacom and Movitel have been quite reliable.  In contrast, Mcel has had some problems lately, but the merge with TDM should improve the provision of services in the near future.

The best mobile money service provider is Vodacom (MPesa), followed by Mcel (MKesh). The Movitel service (e-Mola) is still having teething problems. For more information, please check the following websites:

Mcel: http://www.mcel.co.mz/

Vodacom: https://vm.co.mz/

Movitel: https://movitel.co.mz/

For information on MNOs please visit the GSM Association website.

Mozambique Food Suppliers, Accommodation and Other Markets

4.8 Mozambique Additional Services Contact List

Main Food Suppliers

Locations: Most commodities are produced and stored in the provinces of Nampula and Zambezia, as well as the major cities in the central region… Chimoio, Gorongosa, Beira and Tete
Transport: The country is large so transport costs must be taken into account as they can be expensive
Currency: Know the currency used during the procurement transcations, know the exchange rate (official and formal)
Payments: Be aware of payment requirements, vendors might demand an advance payment of up to 50 % etc
Deliveries: Be patient during deliveries of orders as there will always be some surprises, prepare a ‘Plan B’
Packaging: There are only two food packaging companies in Moçambique, one in Maputo and one in Nacala (SANAL)
Sugar: For locally produced sugar it is only possible to be purchased through the DNA (Distributor Nacional de Acucar)
Assistance: If you need any advice then contact the WFP Procurement Unit, they will be happy to assist

Accommodation

For a list of accommodation providers, please select the contact list given above.