Supporting Policy Research to Inform Agricultural Policy in Sub-Sahara Africa and South Asia

6-7 September, 2012. Nairobi, Kenya. Global Development Network. The Global Research Capacity Building Program. One of GDN’s projects is the one on “Supporting Policy Research to Inform Agricultural Policy in Sub-Sahara Africa and South Asia” that is funded by the Bill and Melinda Gates Foundation.

Some 35 participants attended this workshop that included politicians, researchers, donors, media, and policy analysis institutions, universities, NEPAD and a multinational seed company. Following the presentation and discussion of Case Studies two sets of round table discussions were held on the Case Sties presented.

On the second day of the workshop, the Policy Briefs were presented and a press conference held on the Briefs with media representatives from various African countries.

• Gates Foundation announced that most of their grants in agriculture would now support smallholder agriculture. Other areas of support would be breed improvement in livestock and poultry (a new area), issues of market failure, data collection and policy analysis, supports a Masters degree in Agric Economics and Policy on-going in Kenya and another planned for francophone countries to be based in Burkina Faso. Gates Foundation is interested in issues of policy research for policy formulation and decision making.
• Syngenta Company is investing US$ 500 m into Africa and will be concentration on South Africa, Kenya, Egypt and Morocco for now. They will support smallhoder farmers. The criteria for country selection are competitiveness in agriculture informed by: infrastructure support, government support in general, macro-economic stability and openness to trade.

1. Agricultural Pricing and Public Procurement.

 
Published on : August 31, 2012

Agriculture plays a major role in the economies of most Sub-Saharan African countries – creating employment, boosting GDP and supporting the livelihoods of many of the region’s poorest households. Yet the region has gone from being a net food exporter to a net food importer over the last four decades. Ensuring an adequate supply offood is a major challenge and governments have employed a range of pricing and procurement measures in an effort to achieve this, with varying degrees of success

2. Irrigation and Water Use Efficiency.

 


Published on : August 31, 2012

3. Improving the Effectiveness, Efficiency and Sustainability of Fertilizer Use.

 


Published on : August 31, 2012

4. Addressing Long Term Challenges to Food Security and Rural Livelihood.

 

Published on : September 3, 2012

5. Managing Agricultural Commercialization for Inclusive Growth.

 

Published on : September 3, 2012

Defragmenting Africa: Removing Barriers to Trade in Africa

February 7, 2012. Washington. With African leaders now calling for a continental free trade area by 2017 to boost trade within the continent, a new World Bank report shows how African countries are losing out on billions of dollars in potential trade earnings every year because of high trade barriers with neighboring countries, and that it is easier for Africa to trade with the rest of the world than with itself.

According to the new report―De-Fragmenting Africa: Deepening Regional Trade Integration

in Goods and Services―regional fragmentation could become even more costly for the continent with new World Bank forecasts suggesting that economic slowdown in the Eurozone could shave Africa’s growth by up to 1.3 percentage points this year. As the authors write, “while uncertainty surrounds the global economy and stagnation is likely to continue in traditional markets in Europe and North America, enormous opportunities for cross-border trade within Africa in food products, basic manufactures and services remain unexploited.”

The reports says this situation deprives the continent of new sources of economic growth, new jobs, and sharply falling poverty, factors which accompanied significant trade integration in East Asia and other regions. The cross-border production networks that have spurred economic dynamism in other regions, especially East Asia, have yet to materialize in Africa.

Obiageli Ezekwesili

“It is clear that Africa is not reaching its potential for regional trade, despite the fact that its benefits are enormous—they create larger markets, help countries diversify their economies, reduce costs, improve productivity and help reduce poverty.” says Obiageli "Oby" Ezekwesili, The World Bank’s Vice President for Africa, and a former Nigerian Minister of Extractive Industries. “Yet trade and non-trade barriers remain significant and fall most heavily and disproportionately on poor traders, most of whom are women. African leaders must now back aspiration with action and work together to align the policies, institutions and investments needed to unblock these barriers and to create a dynamic regional market on a scale worthy of Africa’s one billion people and its roughly $2 trillion economy."

In one notable example of trade barriers, report co-editors Paul Brenton and Gozde Isik of the World Bank describe how the South African supermarket chain Shoprite spends US$20,000 a week on import permits to distribute meat, milk, and plant-based goods to its stores in Zambia alone. For all countries it operates in, approximately 100 (single entry) import permits are applied for every week; this can rise up to 300 per week in peak periods. As a result of these and other requirements, there can be up to 1,600 documents accompanying each truck Shoprite sends with a load that crosses a border in the region.

Paul Brenton is Lead Economist (Trade and Regional Integration) in the Africa Region of the World Bank.

Gözde Isik is an Economist (consultant) in the Africa Poverty Reduction and Economic Management Unit and co-editor of the recently released book De-Fragmenting Africa: Deepening Regional Trade Integration in Goods and Services.

• Full Book English | French
• Introduction
• Part 1. Facilitating Cross-border Trade in Goods and Services
• Part 2. Removing Non-tariff Barriers to Trade
• Part 3. Integrating Services Markets

Related: 14/02 Interview with Marcelo Giugale World Bank’s Director of Economic Policy and Poverty Reduction Programs for Africa
“Imagine the benefits of allowing African doctors, nurses, teacher, engineers and lawyers to practice anywhere in the continent, but responsibility for making this happen lies with countries first and foremost,” says Marcelo Giugale, the World Bank’s Africa Director for Poverty Reduction and Economic Management. “The final prize is clear: helping Africans trade goods and services with each other. Few contributions carry more development power than that.” 

In a superb special World Bank video produced for the new report, women traders on the border with the Democratic Republic of Congo (DRC) and neighboring countries in the Great Lakes region describe how they routinely encounter violence, threats, demands for bribes, and sexual harassment, at the hands of the large numbers of customs and other government officials at the border. As one egg and sugar trader from Goma says on the video: “I buy my eggs in Rwanda; as soon as I cross to Congo I give one egg to every official who asks me. Some days I give away more than 30 eggs!”

Congo Film w/ English Subtitles Original 

Course on standards and agricultural trade in Africa

August 2 – 6, 2010. Arusha, Tanzania. World Bank Institute (WBI) – TRAPCA course on standards and agricultural trade in Africa. The 5-day course, jointly organized by the WBI and TRAPCA discussed the key issues related to agri-food trade that are of particular interests to decision-makers in SSA. Further, it analyzed the strategic agricultural trade issues associated with food security and poverty reduction which are increasingly gaining global interest in the light of the 3Fs – food, fuel and financial crisis. The course put an emphasis on the issue of standards, which has gained prominence in global food and agricultural trade for the past decades, especially in issues related to Sanitary and Phytosanitary (SPS) standards.

Over 40 people including policy makers, resource persons, researchers, CSOs, farmers organizations, donors and development partners participated in the course.

The main purpose of this course was to strengthen the capacities of African analysts:

• To further understand the implications of recent trends and developments in agricultural trade flows, recent global market developments and how they can contribute to economic growth, food security, and poverty reduction; and,
• To create greater awareness on the challenges and opportunities associated with technical regulations and standards in international markets and to develop an appreciation of appropriate policy responses, with a particular focus on agri-food products.

The 5-day course commenced with welcome remarks from (i) Dr. Peter Kiuluku, TRAPCA’s Executive Director; and (ii) Dr. Soamiely Andriamananjara, Senior Economist (Trade), Poverty Reduction and Economic Management, World Bank Institute, USA. The presentations, discussions and training followed the following modules:

• Module 1. Stylized facts in agricultural trade flows
• Module 2. Stylized facts in agricultural trade policies
• Module 3. Drivers of agricultural trade and trade policy
• Module 4. Agricultural Commodity Markets
• Module 5. Structural transformations in private sector agricultural markets
• Module 6. Standards, GMO, and IPR in Agricultural Trade
• Module 7. Recent developments in multilateral trading system
• Module 8. Agriculture in regional and preferential agreements
• Module 9. Trade policy reforms and strategic export development
• Module 10. Lessons from regional case studies

List of participants:

1. Dr. Peter Kiuluku, the ED, TRAPCA, Arusha, Tanzania.
2. *Dr. Caiphas Chekwoti, Programe Director, TRAPCA, Arusha, Tanzania.
3. Dr. Soamiely Andriamananjara, Senior Economist (Trade), Poverty Reduction and Economic Management, World Bank Institute, USA.
4. Dr. Luz Berania Diaz Rios, Agricultural & Rural Development Department (ARD), the World Bank, USA.
5. Dr. Vinaye Ancharaz, Department of Economics, University of Mauritius, Mauritius.
6. Dr. Joy Kiiru, School of Economics, University of Nairobi, Kenya.
7. Dr. Terry Kahuma, Executive Director, Uganda National Bureau of Standards (UNBS), Uganda.
8. *Ms. Jacqueline Mkindi, CEO of the Tanzania Horticultural Organization (TAHA), Tanzania.
9. Dr. David Laborde Debucquet, International Food Policy Research Institute (IFPRI), USA.
10. Tekanyo Machailo Tshetlhane, Market Intelligence Executive, Bostwana Export Development and Investment Authority, Gaborone, Botswana.
11. Kebotsemang Ofaletse, Principal Agricultural Economist, Ministry of Agriculture, Gaborone, Botswana.
12. Yapo Francis Ahoti, Driector of Standardization and Certification, Abidjan, Cote d’Ivoire.
13. Myriam Fernando, Special Projects Manager, German Development Cooperation (GTZ), Addis Ababa, Ethiopia.
14. Eric Zunouh Banye, Value Chain Advisor, Netherlands Development Organization (SNV), Accra, Ghana.
15. Abena Safoa Osei, Senior Standards Officer, Ghana Standards Board, Accra, Ghana.
16. Arshfod Njenga Ngugi, Manager, Promotion of Private Sector Development in Agriculture(PSDA), GTZ, Nairobi, Kenya.
17. Margaret N. Orina, Manager, Promotion of Private Sector Development in Agriculture(PSDA), GTZ, Nairobi, Kenya.
18. Timothy Irungu Mwangi, SPS & Standards Manager, Fintrac INC – USAID-Kenya Horitculture Competitiveness Programme, Nairobi, Kenya.
19. Fred V. Johnson, Director for Industrial Development, Ministry of Commerce and Industry, Monrovia, Liberia.
20. Richard Rakotoniaina, Executive Director, Investment Promotion, Ministry of Economy and Industry, Madagascar.
21. Joseph P. B. Maruwo, Quality Control Manager, National Smallholder Farmers’ Association of Malawi (NASFAM), Lilongwe, Malawi.
22. Mootoosamy Poovathal, Senior Agricultural Analyst, Ministry of Agro-Industry, Food Production and Security, Mauritius.
23. Benedit I Ezema, Department of Economics, Nnamdi Azikwe University, Anambra State, Nigeria.
24. Evans Stephen Osabuohien, Department of Economics, Covenant University, Ogun State, Nigeria.
25. Serigne Diene, Trade Negotiations Advisor, Ministere de l’Economie du Commerce’ Industrie et du Tourisme (MECIT), Gabon.
26. Guguletu Mqambalala, Agricultural Economist, Department of Agricultural, Forests & Fisheries, South Africa.
27. Manal Alzain Mohammed Musaad, Counternant to Advisor on Agricultural and EIF Officer, National Secretariat for WTO Affairs, Khartoum, Sudan.
28. Nasir Mahmoud Talab, Assistant to the Head of COMESA Unit, Ministry of Foreign Trade, Khartoum, Sudan.
29. Gilbert Msuta, Livestock Research Officer, Ministry of Livestock Development & Fisheries, Livestock Research Centre, Tanzania.
30. Prisca Mbaga, Trade Officer, Ministry of Industry Trade & Marketing, Dar es salaam, Tanzania.
31. Josephine Akia, Policy and Advocacy Officer, National Organic Agricultural Movement of Uganda (NOGAMU), Kampala, Uganda.
32. Simon Banda, Liaison Officer, Fairtrade Labelling Organization International, Lusaka, Zambia.
33. Chiluba Mwape, Senior Agriculture Research / Phytosanitary Officer, Zambia Agriculture Research Institute, Plant Quarantine and Phytosanitary Service, Zambia.
34. Admire Jongwe, Principal Agricultural Economist, Ministry of Agriculture, Harare, Zimbabwe. 

*Paper presenters at the FARA/ASARECA/SADC/ECDPM/CTA/ FDA regional policy dialogue workshop on promoting access to regional and international markets for agricultural commodities in East and Southern Africa (ESA), held in Nairobi, Kenya.

  

About TRAPCA

 

The Trade Policy Training Centre in Africa (trapca) was inaugurated in December 2006 with the mandate of providing training and technical expertise on trade issues to professionals in Least Developed Countries (LDCs). Situated in Arusha, Tanzania, the centre operates under the auspices of the Eastern and Southern Africa Management Institute (ESAMI) and the Lund University in Sweden.

Further reference:

TRAPCA 2010 prospectus

Ninth AGOA Forum Embraces African Agribusiness

6th August 2010. Washington. Ninth U.S.-Sub-Saharan Africa Trade and Economic Cooperation Forum, better known as “the AGOA Forum.”

In attendance were cabinet ministers and senior officials from the 38 sub-Saharan African countries that benefit from the African Growth and Opportunity (AGOA) trade preference program, as well as representatives of African regional economic communities, the American and African private sector, and civil society. The ministerial portion of the event was held in Washington, D.C. from August 2-3.

Hillary Clinton's address at the 2010 AGOA Forum

Secretary Clinton's Address to 2010 AGOA Forum On U.S.-sub-Saharan Africa Trade and Economic Cooperation

Comesa Secretary General, Sindiso Ngwenya (left), and the Alliance for Commodity Trade in Eastern and Southern Africa (ACTESA) CEO, Dr Cris Muyunda (right), made earnest appeals to US investors to invest in Africa. During a panel presentation entitled, ‘Food Security: opportunities for Africa' Ngwenya said the African market provided an opportunity for growth in agricultural development and trade.

"We can produce enough for our needs and for the rest of the world as long as challenges facing the farmers are dealt with" he said. Ngwenya said in 20 years, Africa's collective GDP would be US$2.6 trillion, its consumer spending US$1.4 trillion, the number of Africans of working age would be 1.1 billion, with 50% of Africans living in cities by 2030. He further said regional integration through the tripartite COMESA, East African Community (EAC) and the Southern Africa Development Cooperation (SADC) agreement had created a bigger market which should be exploited. The Secretary General said COMESA was addressing the challenges to agricultural development like infrastructure, technology and market related constraints through the Comprehensive Africa Agriculture Development Programme (CAADP. Ngwenya said Africa has potential to produce enough food for internal needs and international trade.

A separate session focused on the private sector and opportunities for U.S.-African trade in the agribusiness sector, was held in Kansas City, Missouri from August 4-6. After spending two days in Washington, the AGOA Forum — departed from its usual format to move the event closer to business in America’s heartland and promote direct business networking, particularly in agriculture. The US Trade Development Agency (USTDA) hosted, in Kansas city, a business meeting about food security technologies to identify opportunities in the Africa agro-business sector.

During the meeting the main African agents were presented that are trying to increase their productivity by using USA Technologies, equipments and other agriculture elements, such as seed, fertilizers and others.

Visiting African trade ministers toured the Kansas City Board of Trade, whose market-making role is credited with helping U.S. farmers. The group also visited the Waters Farm near Orrick in Ray County to discuss the planting, harvesting, storage and sale of corn, soybeans, wheat and alfalfa

A feature added this year was a trade fair where about 25 American and African businesses, large and small, displayed their goods, networked and looked for potential partners and investors. Ismail Aderogba, the head of product quality assurance and research at Multi-Trex Integrated Foods in Lagos, Nigeria, displayed his company’s products and looking for ways to export to the U.S. market. Multi-Trex processes cocoa butter, cocoa cake and cocoa beans. His company is exporting to Europe but wants to bring its products to the United States, he said.

Thirty-four African women entrepreneurs also participated in the 2010 U.S.–Sub-Saharan Africa Trade and Economic Cooperation Forum. Four of these women — entrepreneurs from Uganda, Cameroon, Ethiopia and Botswana — talked to America.gov .

Maria Odido, CEO of Bee Natural Products Ltd. in Uganda, said she is currently assessing how her business could benefit under AGOA, the African Growth and Opportunity Act. “It would take me a while to access the U.S. market for several reasons,” she said. “First of all, production levels are not very high, and therefore I cannot freely export to the U.S. I don’t have a problem with quality, but I do have a problem with quantity. What I would like to see is recognition of the value that SMEs play in Africa, just as developed countries have recognized the role of SMEs in their countries and used them to strengthen their economies. That has not become a reality in Africa.” Background: The Bee Natural Products company was set up in 2002 and became the flagship of honey industry in the Uganda. From working with 315 producers when it started out, the number of producers supplying BNP rose to 2,700 in a space of 3 years. Within 4 years, BNP captured 75% of the market and were the 2nd largest selling honey in Kenya. BNP is producing on average of 60 tons of honey annually.] Maria Odido is a fellow of the African Leadership Initiativeand a member of the Aspen Global Leadership Network

Zambian's Commerce Minister Felix Mutati cited as an example Ghana’s CEO of Homefoods Processing and Cannery Limited, Felicia Twumwasi (photo left) and Zambia’s Sylvia Banda (photo right), the CEO of Sylva Food Solutions as being among the most dynamic women on the continent.


Background: Homefoods employs 23 people and ships 6-8, 20 ft containers per month, worth an average $140,000. Sylvia Food Solutions is a food company whose products include Solar dryers and Solar Dried foods.


BACKGROUND of AGOA
The US Congress passed the African Growth and Opportunity Act legislation in 2000. President Clinton subsequently signed the AGOA bill into law on May 18, 2000. Since then, three successive administrations, including the Obama Administration, have actively implemented AGOA, working closely with African partners and other stakeholders to help them make the most of the program.

AGOA institutionalized an annual, high-level dialogue between officials of the United States and AGOA beneficiary countries: the AGOA Forum. This year’s AGOA Forum is the ninth. In 2009, the AGOA Forum was held in Nairobi, Kenya. The AGOA Forum brings together Cabinet-level officials from the United States and AGOA beneficiary countries, along with representatives of the African and American private sector and non-governmental organizations, to discuss issues related to U.S.-sub-Saharan African trade and economic cooperation.

U.S. imports from sub-Saharan Africa increased by 78 percent to $26.6 billion in the first five months of 2010. Imports under AGOA increased 74 percent to $18.8 billion during this period. AGOA non-oil products included vehicles and parts, apparel, jewelry, fruits and vegetables, wines, nuts, spices, baskets, cocoa powder, cocoa paste and seafood.

AGOA Fosters Growth for African Farmers, Fine Dining in U.S.

In addition to increased commercial exchanges between the United States and various African nations, AGOA has also allowed American consumers to discover an array of exotic, healthy and high-end agricultural products.

Policy dialogue on promoting access to regional and international markets for agricultural commodities in West and Central Africa

23rd – 24th JUNE 2010. FARA Secretariat, Accra, Ghana. In order to contribute to sustainable improvements in broad-based agricultural production, competitiveness and markets, FARA organized a Regional Policy Dialogue on Promoting Agricultural Commodity Market Access in West and Central Africa (WCA).

The workshop was organized in collaboration with the European Center for Development Policy Management (ECDPM), the Technical Center for Agricultural and Rural Co-operation (CTA), the Foundation for Democracy in Africa (FDA), the Regional Economic Communities (ECOWAS and ECCAS), and the Sub-regional Organization (CORAF/WECARD).

The workshop brought together key stakeholders involved in African agriculture and trade including policymakers, policy analysts and practitioners, researchers, and representatives of the African Union Commission, NPCA, RECs, sub-regional research organizations (SROs), regional policy institutions, regional farmers’ organizations, among others to examine the relevant policy options for promoting access to markets. The dialogue provided a platform for assessing and determining the critical issues bordering on promoting agricultural market access in WCA as well as to promote debate, enhance dialogue and facilitate discussions on WCA agricultural trade policy issues among national, regional and international experts, stakeholders and policymakers.

The WCA policy dialogue was a follow-up to the East and Southern African policy dialogue which was held in Nairobi, Kenya from 24th – 25th March, 2010. The outcomes of these two policy dialogues will be discussed during a third workshop involving representatives of CAADP implementing institutions (AUC, NPCA, CAADP Pillar Institutions, RECs, SROs, CTA, ECDPM, FDA, etc). This workshop will be organized to share lessons and mainstream key messages drawn from the two policy dialogue workshops into national and regional policy-making processes, including the CAADP country and regional compacts implementation processes.