agriculture as engine of growth for transforming in sub-saharan africa dr. freddie kwesiga division...
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Agriculture as engine of growth for transforming in Sub-Saharan Africa
Dr. Freddie KwesigaDivision Manager, West & Central Africa
African Development Bank([email protected])
Presentation to the Earth Institute Global Classroom
Outline of presentation
Background: the role of the agricultural sector in the development of Sub-Saharan Africa
A systemic approach to transforming African agriculture
From islands of success to continental impact: Scaling up and out through strengthening innovation capacity
The main Challenge for Sub Saharan Africa: Poverty!
Source: World Bank 2004
• Approximately 180m Africans live on less than US$1 each day
• Livelihoods are mainly based on exploitation of natural resources—principally agriculture.
SSA and the MDGs
Source: World Bank, 2005
Sub-Saharan Africa may miss the 2015 target for MDG 1 if business as usual approach maintained
Agriculture is key in reversing this trend, we mst not loose focus on this sector.
MDG Targe
ts
Where are the poor and the hungry?
Mainly in rural areas and reliant on rain-fed, subsistence agriculture
Unable to grow or buy enough food to meet their dietary requirements
Highly vulnerable to risks beyond their control
Importance of agriculture in economic growth
Agriculture along with education and health and infrastructure were top agenda at the dawn of independence for most SSA 50 years agoSelf reliance in food production was keyAgriculture remains the main source of livelihood for the majority of Africans, providing: 35% of GDP 70% of employment 40% of exports
Today, low agricultural productivity and degradation of natural resources are accelerating and reinforcing poverty and food insecurity.
Diversity of farming systems in Sub-Saharan Africa
Given this diversity,
recommendations
are indicative, not
prescriptive – not
“one-size-fits-all,”
but a menu of
choices from which
to develop integrated
interventions
Agricultural production system
Characteristics:
Traditional, subsistence oriented – agriculture as a way of life not 4 market.
Largely rainfed, low soil fertility, low input use, little mechanization,
Complex farming systems – mixed crops, livestock
In remote villages, far away from research and extension, based on farmer knowledge.
Women perform the majority of agricultural tasks, with limited access to extension, credit value addition, market)
Out-migration of men and youth from to urban areas
Population growth pressure on land & natural resource base
HIV/AIDS, malaria & other pandemic diseases impacts labor productivity
Low input, low output.
Vicious circle underlying decline in African farmers’ livelihoods
Unfavourable economic returns to agricultural production
Unsustainable agricultural practices
Vicious circle underlying decline in African farmers’ livelihoods
The vicious circle must be broken!
HOW?
Cereal Yield growth among low-income countries
(Sachs, 2005)
Countries that began with low yields in 1980 tended to experience economic decline between 1980 and 2000
Realities of African Agriculture
Low Agricultural productivity, reflects the failure to find and adopt more productive farming technologies and markets.
New technologies & markets helped farmers in Asia and Latin America during the green revolution. Farmers in Africa did not participate in this technological upgrade.
The inability of African farmers to access more productive technologies and markets means more destructive methods unable to boost production in pace with population growth.
One example is shortening fallow periods, a practice that mines soils and can eventually lead to actual decline in crop yields per hectare.
need for systematic diagnosis…
Fast growing population
Long dry season, droughts
Deforestation due to expansion of agriculture
Shortened fallow periods
Lack of technologies & access to inputs
Low soil fertility
Poor quantity quality fodderOvergrazing
Labour constraints
Poverty and Food insecurity
Low productivity
Poor markets and policies
Weed infestation
Causal Flow Diagram on household poverty & food security problems in Eastern Zambia (1988)
Realities of ag sector in SSA
Lack of access to technology & inputs
Inadequate infrastructure and land tenure arrangements
Weak links to markets, lack of market information & incentives
Weak private sector (entrepreneurs exist, build on these)
Underinvestment in Health, education and research; ineffective R&D models; weak and unaccountable institutions
Harmful policies (SAP)
Effects of globalization
Increasing land productivity through agroforestry
Grass fallow
Improved yields
NPK Fertilizer
Improved fallow
continuous cropping
Miombo
Agro-Agro-ForestrForestr
y y systemsystem
ss
Clearing
Poor yields
Two routes to ag production growth –
area vs. yield growth (index, 1961=100)
Source: Henao & Baanante (IFDC). African Fertilizer Summit, Abuja, June 2006. http://www.africafertilizersummit.org/Background_Papers/03%20Henao%20and%20Baanante--Agricultural%20Production.pdf
Ag production increases in South Asia due to yield (productivity) increases (3.6% p.a.);very slight increase in area
Agricultural production growth in Sub-Saharan Africa, 1961-2001: increase due largely to area growth (doubled), only 1% annual increase in yields
Extending th
e area
under
susta
inable
land m
anag
emen
t
and re
liable
water a
vaila
bility
Agricultural research, technology uptake and adoption
Increasing food supply, reducing
hunger, and strengthening national
and regional food security
Improving infrastructure and
trade-related capacities for market access
Reversing the decline of agriculture requires implementation of CAADP
Interventions should be systemicsystemic in turn calls for partnership partnership and institutional mechanismsand institutional mechanisms for working in this model
What are the relevant sub-systems that interact in SSA
agriculture?
Global political- economic
system
Health and educationsystems
Natural resources/biophysicalenvironmt
Infra-structure
Private sector
for value chain
Research and University Knowledge
systems
Policies and
markets
Building Infrastructure is key to the success of agric
sector..
Urgent need to end the drudgery of collecting water & fuel women’s burden
Urgent need for more and better:
• Transportation infrastructure: roads, waterways ports, railways, research, education, health…
• Investments in water systems: dams, large and small-scale irrigation systems, wells and most of all; water harvesting and storage at farm level
• Provision of fuel and energy ( e.g solar powered)in rural areas
• Communications (use of IT is key, see cellphones)
• Investments in agro-industries (processing of agricultural products)
Agriculture in SSA could gain more ground if ….
Challenges Responses
Farmers produce what market requires (product mix, quality)
Unavailability of quality seed
Very low use of fertilizer (Africa averages 12kg/ha, vs. 150Kg/ha in India and > 400kg/ha in Japan)
Lack of (timely) credit
High post-harvest losses
Little processing of production (value-adding activities) in rural areas
High costs of transport to urban markets
Improve access to market informa-tion, quality standards, etc. (e.g., market info delivery via cell phone)
Partnerships emerging, (AATF, CGIAR, PVT sector)
Increase availability of fertilizer, engage private sector (stockists) in distribution(AFFM at AfDB, GR)
microfinance, esp. for womenIncrease investments in post-harvest storage and processing activities (machinery, training), incl. role for private sector
roads, farmer transportation cooperatives, regional markets
African agriculture has registered
some successesVarietal improvements (NERICA rice mosaic resistant cassava, IR maize, etc.)
Increased use of inputs (soil fertility, fodder, pest management)
Improved water capture and use (irrigation)
Infrastructure (roads, dams) to support the above
However, these have not had broad impact due to:
• Poor linkages between production, processing, trade/marketing and consumption( value chain)
• Inadequate human and financial resources
• Weak institutional frameworks, including lack of partnerships for addressing these issues
Local variety Experimental
Signs of hope: Greater input availability
Increasing the availability of inputs recognized as essential to jump-starting agricultural growth, e.g.: African Fertilizer Summit (Abuja 2006) AGRA initiative (Gates & Rockefeller Foundation
Alliance for a Green Revolution for Africa) Millennium Villages initiative, Malawi story Growth of private sector seed companies AfDB African Water and Fertilizer Facilities Initiatives supporting micro-credit, micro-
financing ( drawing from Grameen Bank) AfDB, World Bank investments in
infrastructure (roads, irrigation systems, markets)
CAADP agenda
Signs of hope: IT, private sector
Emergence of IT (internet, cell phones) breaks down knowledge and information barriers (but more is needed to reduce costs and improve available information)Gradual increases in private sector involvement in African agriculture (recognize and empower Private sector from community perspective such as shopkeepers, transporters in value chains need to become more profitable, better linkages to markets for this to take off)
Successful models as example ofinnovation system initiative
EXAMPLE 1: outgrower schemes are transferring knowledge and income sources to farmers in Mozambique and many other African countries.
innovation systems
EXAMPLE 2: Agroforestry/INRM to improve livelihoods o.f Kenyan Milk producers for the Nairobi Market
innovation systems
EXAMPLE 3: Organizing women farmers to improve access to inputs and markets in Malawi and Western Kenya. Fertilizers sold in small affordable packets ( like salt, sugar, paraffin etc)
Scaling up & out of successful innovations
Documenting success stories and farmer innovations
Understanding farmer practices of technology adaptation
Perfecting use of extrapo-lation domains (GIS)
Strengthening knowledge sharing processes
Fostering enabling environments (policies, market incentives, etc.)
Source: Douthwaite (2003), IIRR (2000)
Conclusions (1)
Our goal must be to make African agricultural at profitable, and pleasurable – to attract the youth, create jobs. This calls for renewed investment and focus on Africa’s rural poor
“Putting farmers first” – empower farmers to drive the development process
Reaching Africa’s women farmers with inputs & technology, and improving their education, health, economic returns and empowerment, are key drivers to the development process
Major investments in sustainable soil and water management are required, especially in light of climate change
Conclusions (2)
More value-adding activities need to be created at the village level – to generate more jobs and stem out-migration of Africa’s rural youth.
Partnerships outside agric sector are key
Slowing population growth and improving the skills & health and education of rural people are essential for sustainable improvements in rural livelihoods
Interventions must be grounded in a systems approach and long term planning
Good science and good policy, good governance must underlie all our efforts.