The agricultural activities and cash cropping, particularly coffee has been a very important
part of the local economy. The fertile Wahgi Valley and the Wahgi River extends into the
Kerowagi District that makes agricultural activities and cash cropping very productive. More
than 90% of the people live by cultivating their land to support themselves. There is a lack
of proper market facilities to sell their food crops, lack extension services to adopt proper
farming techniques and unavailability of financial services to support the local economy in
terms of financial resources and related products.
There are already eleven cooperatives formed in the District mainly involving women and
faith-based groups. Five of them are in the Kerowagi Urban LLG and two each in the
other three LLGs. To further support the economic activities in the District, the KDDA has
established one (1) Resource Centre in each of the four LLGs. The resource centers will
be used by the people in the communities for training on proper agricultural extension
services, basic training on book-keeping and management, carpentry, mechanic, sewing,
plumbing, electricity, welding, animal husbandry and so on. This will assist more local
farmers to enter into other formal small to medium enterprises (SMEs).
• Coffee
Kerowagi District is one of the leading smallholder coffee producing districts in the
province and the Central Highlands region but requires significant rehabilitation to existing
smallholder coffee farms. Through the World Bank’s Productive Partnership in Agriculture
Projects (PPAP) and through the support of DAL, Coffee Industry Corporation and Tribal
Aromas Limited about eleven coffee cooperatives have been formed basically to rehabilitate
coffee plots for increased production. A number of coffee nurseries have been established
starting in the Kup LLG and will continue to spread into the 3 other LLGs.
Each rural ward in the District will have a coffee co-operative and each will have coffee
nursery. More than 100,000 coffee trees have been distributed in the Kup LLG and in others
parts of the District. There are two coffee factories in the District; one in Kerowagi town
supported by the Government and the other in the Upper Lower Koronigle LLG owned and
operated privately. To further support this initiative more extension services, subsidization
of certain input factors of production and establishment of stallholder credit schemes need
to be provided.
• Vegetables, Fruits and Spices
Many communities produce vegetables, fruits and spices for self-sustenance and for selling.
Vegetables such as cabbage, garlic, bulb onion, carrot and beans of different varieties grow
really well even without artificial fertilizers. As such, more locals should be encouraged and
supported to participate in small-scale production of these crops. Together with identifying
and establishing market access, farmers should be provided with appropriate basic skills
and technical training.
Pawpaw, pineapple, avocado, mandarin and oranges are being cultivated by people mainly
for selling at the local markets. There is large production of taro, kaukau and potatoes which
are also being sold in the local markets as well as in other centers such as in Mt Hagen, Lae
and Port Moresby. The KDDA need to support the production and provide effective market
access.
Spices such as chilly, ginger and cardamom grow very well in the District. There is real
potential to intensify spices at a larger scale to supply both the domestic and international
markets. To encourage more local participation, people in the communities need to be
informed of the important uses of spices such as drug supplements in the absence of
conventional drug. This can be done by conducting more awareness on the important uses
of spices as well the potential incomes to be earned. In addition to awareness, other training
and capacity building support still needs to be provided through the KDDA.
• Livestock
There are three commercialized cattle farms and four piggeries in the District and an abattoir
in the Gena Waugla LLG. The abattoir was established and managed through the previous
Kerowagi District Development Authority. With proper coordination and linkages to market
outlets, piggery and cattle farming should be an ideal activity for the District. Other animals
can be raised for commercial purposes as sufficient land is available to undertake such
farming activities.
• Poultry
A good number of households (15% of total household population) are already involved
in the poultry raising. Apart from own consumption, chicken is sold within the local
neighborhood and markets. There is huge potential to undertake poultry raising at higher
level as an important income earner. To harness these potentials, appropriate capacity
building support and training needs to be offered by the District Administration to people
in the communities.
• Forestry
The District is home to some of the finest high altitude endemic forest tree species (Yomba
species) that are very hard and can remain for many years. Currently there is no large-scale
forestry harvesting activities except small-scale sawmilling by timber owners themselves.
Seedlings of the native stock can be generated and supplied to people with properly
registered land to grow plantation forestry. Plantation forestry with superior species that
are genetically modified and crossed through molecular techniques could also be potentially
developed to boost the forestry activities as well as reduce soil erosion. The introduced tree
species such as the eucalyptus perform extremely well in the higher altitudes. It can take
up to 10 years to fully mature. Those that were planted earlier are now being harvested for
own use and for cash income generation.
• Eco-Tourism
The District has strong strengths in natural assets, vibrant cultures and the established key
infrastructures. It is important for the unique cultures to be preserved so that it becomes
the basis to identify ourselves amongst others within the country. A way to help preserve
the culture as well as develop it for commercial purposes is through cultural festivals and
eco-tourism. Eco-tourism is a very competitive industry that has the biggest potential to
support a sustainable economic growth which can improve the living standards of a broad
spectrum of people in the communities. Kerowagi District has the potential to develop into
a major tourist destination. Thus, there is a need to advocate for and develop basic tourist
sites and attractions.
The District shares Mt. Wilhelm with Kundiawa-Gembogl District which is a tourist
destination. It also has ten (10) guest houses that require further improvements for higher
standard of hospitality to lure tourists.
• Small to Medium Enterprises and Financing
A significant number of people are involved in many small-scale and informal economic
activities. These include sales of second hand clothing, retail outlets, kai bars, PMV operations,
tyre repairs, fresh food sales, poultry and coffee buying. These activities form the basis on
which to further develop into more organized and large-scale activities. However, most lack
proper market access, start-up capital and lack basic book-keeping, entrepreneurship and
management skills.
Most of them operate on cash basis and lack proper banking services to save for later use
or for further investments. It is critical to have a banking facility at the Kerowagi Station
to access the financial services and products. There is very limited service provided by the
Bank South Pacific agency at the Kerowagi Station. There is no micro finance set up for
individuals and SMEs to access basic financial needs to support their economic activities.
It is important a Micro Finance is established in the District.