Agricultural Growth in West Africa (AGWA). Market …

1 Agricultural Growth in west Africa Market and policy drivers edited by Frank Hollinger (Food and Agriculture Organization of the United Nations). John M. Staatz (Michigan State University). Copublished by the African Development Bank and the Food and Agriculture Organization of the United Nations Rome, 2015.. The designations employed and the presentation of material in this information product do not imply the expression of any opinion whatsoever on the part of the Food and Agriculture Organization of the United Nations (FAO), or of the African Development Bank (AfDB) concerning the legal or develop- ment status of any country, territory, city or area or of its authorities, or concerning the delimitation of its frontiers or boundaries. The mention of specific companies or products of manufacturers, whether or not these have been patented, does not imply that these have been endorsed or recommended by FAO.

2 Or the AfDB in preference to others of a similar nature that are not mentioned. The views expressed in this information product are those of the author(s) and do not necessarily reflect the views or policies of FAO or AfDB. FAO ISBN 978-92-5-108700-8. FAO and AfDB, 2015. FAO and AfDB encourage the use, reproduction and dissemination of material in this information product. Except where otherwise indicated, material may be copied, downloaded and printed for private study, research and teaching purposes, or for use in non-commercial products or services, provided that appropriate acknowledgement of FAO and AfDB as the source and copyright holder is given and that FAO's and AfDB's endorsement of users' views, products or services is not implied in any way. All requests for translation and adaptation rights, and for resale and other commercial use rights should be made via or addressed to FAO information products are available on the FAO website ( ) and can be purchased through Photo credits cover page From top right to bottom left: FAO/Frank Hollinger; FAO/David Youngs; FAO/Frank Hollinger; FAO/Olivier Asselin.

3 FAO/Guilio Napoletano; FAO/Olivier Asselin; FAO/Desmond Kwande; Andrew Murray Photo credits back page Ryan Vroegindewey, Ryan Vroegindewey II. Foreword . Foreword W est African Agriculture is at a turning point. After long periods of limited attention to the sector, west African countries and their Develop- and inclusive Agricultural policies and investments. As west African Agriculture is responding to the region's demographic, social and economic transformations, ment Partners now clearly recognize the sector's vital policy making has become more complex. The range importance for broad-based Growth , food security, of stakeholders has broadened, with private sector nutrition and poverty reduction. This renewed at- and civil society organisations playing stronger roles tention to Agriculture has crystalized around the in policy formulation and implementation. Hence, Comprehensive African Agriculture Development intersectoral coordination is becoming ever more Programme (CAADP), which in west Africa is important.

4 Addressing the multiple demands on the implemented by the Economic Community of west Agricultural sector requires going well beyond the tra- African States (ECOWAS) and its member states as ditional mandates of ministries of agriculture. Crafting part of the ECOWAS Regional Agricultural Policy Agricultural policies now involves understanding the (ECOWAP). The recognition of agriculture's vital interconnections among issues as diverse as research, role has coincided with fundamental changes in the transport investments, monetary policies, and nutri- regional and global context for Agricultural Growth , tion education. This document collates a rich source bringing about unprecedented opportunities along of empirical information, knowledge and analysis with new challenges. The combination of strong highlighting these interconnections. demand Growth , higher Agricultural prices, and an improved macroeconomic and policy environment Acknowledging the many opportunities and has generated the most conducive conditions for threats emanating from the changing context for Agricultural Growth in over 30 years.

5 At the same west African Agriculture, the African Developement time, new challenges ranging from climate change Bank (AfDB), ECOWAS and the Food and Agri- to increased price volatility threaten the ability of culture Organisation of the United Nations (FAO). west Africans to seize these opportunities. decided to join forces in carrying out this analytical work. The study's aim is to provide a stronger empiri- This study on Agricultural Growth in west Africa cal foundation to inform the ongoing policy reform (AGWA) is thus very timely. It examines Agriculture and investment choices at the national and regional in its broader framework of a transforming agrifood levels and to serve as a source of information and system, from input supply to the consumer, for the analysis to a broad range of stakeholders working to 15 ECOWAS countries, using the term Agriculture build a more robust, sustainable and inclusive west (with a capital A ) to designate this entire system.

6 African Agriculture. The study has a forward-looking Based on an analysis of the drivers of past and po- perspective and is essential reading for policymakers, tential future Growth , the study derives implications development partners, scientists, farmers and other for the design and implementation of more effective players in the agrifood system alike. Donald Kaberuka Jos Graziano da Silva Kadr D sir Ou draogo President Director-General President African Development Bank Food and Agriculture Organization ECOWAS Commission of the United Nations III. Acknowledgements . Acknowledgements T he Agricultural Growth in west Africa (AGWA) study has been a joint undertaking of the African Development Bank (AfDB), the west African countries with farmers, agroproces- sors, retailers, consumers and other key informants in the agrifood system. The team gratefully thanks Food and Agriculture Organization of the United them for sharing their knowledge, expertise and Nations (FAO) and the Economic Community insights.

7 Of west African States (ECOWAS). This report is the result of a collective effort built upon the In addition, the Network of Farmers and Agri- contributions of many organizations and people. cultural Producers Organizations of west Africa The implementation of the study rested with the (ROPPA) participated during the various stages FAO Investment Centre and was led by Frank of the study and provided valuable inputs. These Hollinger, in close collaboration with the FAO s included background papers on the roles and po- Regional Office for Africa and Technical Divi- sitions of farmer organizations in the west Af- sions. The main authors of the study are Frank rican policy process and on practical experiences Hollinger (FAO) and John Staatz (Michigan State of farmer participation in growing and dynamic University, MSU). Valuable intellectual guidance food value chains. Thanks are especially due to and comments were provided by James Tefft, Mo- Mamadou Cissokho and Jacques Strebelle for fa- hamed Manssouri, Henri Josserand, Abdoulaye cilitating these contributions and to the Collectif Mbaye (all FAO), Nango Demb l , Boubacar Di- de Strat gies Alimentaires from Belgium for their allo and Steven Haggblade (all MSU), and Panos technical support.

8 Konandreas (consultant). A number of other FAO experts have contrib- In addition, the following persons played key roles uted to the study. These include Michael Marx, in mobilizing and sustaining the support for the Giorgia Nicol , Mohamed Ag Bendech, Julia study within the three partner organizations: Dou- Seevinck, H l ne Coulibaly and Catherine Bessy. gou Keita, Nejib Kacem and Jonas Chianu at AfDB, The authors also benefitted from helpful discus- Ernest Aubee, Rui da Silva and Alain Sy Traor at sions with members of FAO's Monitoring Af- ECOWAS, and Guy Evers, Alberta Mascaretti, rican Food and Agricultural Policies (MAFAP). James Tefft and Mohamed Manssouri at FAO. team. The food balance sheet analysis in Chapter 5. is based on work done by Nathalie Me-Nsope In order to strengthen the empirical base for of Michigan State University with support from the study, the study team commissioned a number the Syngenta Foundation for Sustainable Agri- of background papers and notes that provided culture.

9 Holger Matthey and Merrit Cluff from inputs into this final report. The authors of these the FAO/OECD Outlook provided special data background papers included Arl ne Alpha (trade analyses that were helpful in analyzing possible policy), Denis Drechsler (value chains), Andrew future demand and supply patterns in west Africa . Lambert (agro-industries), Panos Konandreas (price Invaluable administrative support was provided volatility, trade), Maurice Taondyand and Mbaye by Mirella Bonacci and Patrizia Veroli of FAO's Yade (budget consumption surveys), and Andrea Investment Centre. Woolverton (food consumption and retail case studies). Several persons contributed to the field- The final report was greatly improved by re- work on food consumption and trends in Accra views by Ernest Aubee, Astrid Agostini, Arl ne and Lagos and on agro-industries in Nigeria. These Alpha, Jean Balie, Jesus Barreiro Hurle, Nicolas include Anthony Akunzule, Stephan Frimpong, Bricas, Jonas Chainu, Nango Demb l , Boubac- Joan Nimarkoh, James Tefft, Adeniyi Ologun- ar Diallo, Stephanie Gallatova, H l ne Gouri- leko, Bolarin Omonona and Andrea Woolverton.

10 Chon, Steve Haggblade, Peter Hartmann, Edward The AGWA team carried out interviews in several Heineman, Najib Kacem, Dougou Keita, Siobhan V. Acknowledgements . Kelly, Panos Konandreas, Patrick Kormawa, Al- Special thanks are owed to Thorsten Hallscheidt ban Mas Aparisi, Mohamed Manssouri, Alberta for the graphic design. Mascaretti, Nomathemba Mhlanga, Jamie Mor- rison, David Neven, Alain Onibon, Hermann While gratefully acknowledging the contri- Pfeiffer, Philippe R my, Adeleki Salami, Saiful- butions of all the individuals and organizations lah Syed and James Tefft, as well as participants mentioned above, the authors accept sole re- at a review workshop held at the AfDB in July sponsibility for any remaining errors of fact or 2013. We also received helpful comments from interpretation in this report. attendees at an invited panel session on the draft AGWA report that took place during the 4th In- ternational Conference of the African Association of Agricultural Economists, held in Hammamet, Tunisia in September, 2013.